Latest / Plausibly Live - The Dave Bowman Show Podcast / Can Presidents Throw Reporters Out of the White House?
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- 0:21From the on air across America Newsroom, this is your Morning
- 0:24News update. CNNMS Now and Politico say they
- 0:28are taking the Trump administration to court after
- 0:30their reporters were denied access to the White House.
- 0:33President Trump accused the organizations of producing fake
- 0:36news, yet would say their credentials were revoked without
- 0:39notice or an opportunity to appeal.
- 0:41The White House had not publicly responded to the announced legal
- 0:44action early Monday. United States Southern Command
- 0:47says an American strike killed four people aboard A vessel
- 0:50suspect of traveling along a Caribbean drug trafficking
- 0:53route. The military has not publicly
- 0:55released evidence identifying the occupants or cargo.
- 0:58Treasury Secretary Scott Besson says the United States has
- 1:01proposed an incident alert system with China for artificial
- 1:05intelligence events affecting national security.
- 1:07No agreement has been announced. The Seahawks defeated Arizona 31
- 1:11to 7. Jackson Smith and Jigba caught 3
- 1:14touchdown passes, while Seattle's defense held the
- 1:16Cardinals to 151 yards. The Mariners beat Colorado 2 to
- 1:20one behind 7 scoreless innings from Kate Anderson.
- 1:24Closer Andres Munoz left with an apparent arm problem for the On
- 1:28Air Across America network. I'm Alex Ross.
- 1:34The world is a complicated place.
- 1:36Fortunately, Dave Bowman has opinions, some informed, some
- 1:41inconvenient, and a few that may require supporting
- 1:44documentation, history, politics, and the absurdity of
- 1:48modern life. This Well, good morning, good
- 1:57evening or good afternoon, wherever you are, whatever you
- 1:59do. Lot of things happening in the
- 2:01world today, most of them are far beyond our control, you
- 2:04might say. So perhaps it's time we took a
- 2:07pause and thought about life, thought about the laws of
- 2:11gravity, the media, the 5th Amendment, Hollywood.
- 2:17Don't touch that dial. Just try to hear me out for a
- 2:20little while. Look, the freedom to publish is
- 2:24protected by the 1st Amendment. A journalist's continued
- 2:28presence in his physical access at the White House once the
- 2:32government has created a credential system and granted
- 2:35that access, however, is not protected by the 1st Amendment.
- 2:41Yes, you heard that correctly. It is actually an interesting
- 2:47case that falls not under the 1st Amendment, but under the 5th
- 2:53Amendment. What the 5th Amendment have not
- 2:58the Doctor Fauci territory? Yeah, it is, but you got to read
- 3:03the. Whole.
- 3:05Thing don't touch that dial just got to hear me out for a little
- 3:08while Not feeling it this morning really hot.
- 3:15I don't know what it's cold here.
- 3:18OK. I've been griping all summer
- 3:20about it being hot and this morning I actually had to I had
- 3:23to turn on the heat and you know, if I'm turning on the
- 3:25heat, you know that it's cold. Fingers are hurting.
- 3:30Text the show 209565 Dave 209-565-3283 e-mail Dave at the
- 3:37Dave bowmanshow.com. As you heard in the news, the
- 3:44President has announced that CNNMS, NOW and Politico have
- 3:49been banned from the White House.
- 3:52Now Trump. The President has cited
- 3:56dishonesty, persistently negative reporting as the
- 4:00reasons for doing this. People are complaining because
- 4:05he did not identify a particular story.
- 4:08I like there was a phrase Once Upon a time about a dead fish.
- 4:13You know, when you, when you smell a dead fish, you don't
- 4:15necessarily know which part, which part of the fish stinks.
- 4:18I mean, it just, it just smells like dead fish.
- 4:21Reporters who arrived at the White House were subsequently
- 4:25discovering that their credentials had been revoked,
- 4:28disabled. At least some of these reporters
- 4:32were required to report were to surrender their badges and 1
- 4:37Secret Service officer reportedly again, we don't know
- 4:41this. It's a report told one of the
- 4:44excluded journalists that the decision came from quote above
- 4:47him. Well, no kidding, it came from
- 4:51above him. Well, the the Secret Service
- 4:54agent isn't deciding who gets. Come on people, that's not
- 4:58reporting. Political reporter Cheyenne
- 5:02Hazlett, CNN reporter Betsy Cline and Ms. Now reporter
- 5:07Akayla Gardner were among those who were denied entry, and
- 5:12according to Politico, many White House officials were.
- 5:15According to Politico, many White House officials were
- 5:17surprised by the announcement and could not explain the
- 5:20standards or process behind it. Which is actually the real
- 5:25problem. I look, I don't have to like CNN
- 5:30and I don't. I have not watched CNN.
- 5:35I'd have to since they did away with headline news for sure.
- 5:39But I don't consciously remember watching CNN since the Gulf War.
- 5:46I've never watched Ms. Now. Politico is one of those things
- 5:50that occasionally I click on, but usually it's because
- 5:55whatever they're saying is controversially wrong.
- 5:59I don't have to admire them. I don't have to agree with them.
- 6:01I don't have to watch them to recognize a constitutional issue
- 6:05here. Freedom of the press means
- 6:07almost nothing if the government can turn around and decide that
- 6:11favorable coverage earns access while critical coverage earns
- 6:15banishment. But is that what's happening
- 6:18here? It's more complicated than
- 6:21simply saying the First Amendment gives reporters the
- 6:23right to enter the White House. It actually does not.
- 6:28In fact, you, you, you could use any kind of reading you want to
- 6:33the First Amendment. You won't find that right for
- 6:36reporters to enter the White House there.
- 6:38It's not. But there is a stronger
- 6:42immediate argument under the 5th Amendment.
- 6:46Central question comes down to can the president exclude
- 6:49journalists from the White House because he believes that the
- 6:53reporting is dishonest, hostile or unfair?
- 6:57And that's really what this comes down to, doesn't it?
- 7:00If the president decides that he doesn't like the reporting, not
- 7:04the reporter, but the reporting, can he simply say, well, you
- 7:11cannot come in here? There is a common assumption
- 7:14that banning reporters is a violation of the freedom of
- 7:17press. It's understandable, but it's
- 7:20incomplete, certainly from a constitutional standpoint.
- 7:24First Amendment protects publishing news and criticism,
- 7:28asking hostile or uncomfortable questions, investigations of
- 7:33government activity, expressing political viewpoints, and
- 7:36gathering news through lawful means.
- 7:38But it does not automatically guarantee.
- 7:41Listen carefully. A seat in the briefing room.
- 7:45It does not guarantee admission to the Oval Office.
- 7:49It does not guarantee a personal interview with the President,
- 7:52nor does it guarantee membership in the traveling traveling press
- 7:55pool. Nor does it guarantee entry into
- 7:59every government controlled location.
- 8:03Constitution does not ordinarily require a president to speak
- 8:07with any given reporter. It does not require that the
- 8:11White House has to invite journalists into every meeting
- 8:14or every official event. The difficulty begins, however,
- 8:19when the government creates A continuing system of access and
- 8:23then decides to selectively remove journalists from that
- 8:28system. That's where the real problem
- 8:33begins. The First Amendment addresses
- 8:38the substance of journalism. Covers prevents the government
- 8:42from censoring unfavorable reporting.
- 8:45Nobody can't imagine that anybody would want that.
- 8:48I mean, I assume that the president understands that he
- 8:52cannot censor the news. Maybe that's a bad assumption on
- 8:55my part. I don't know.
- 8:57I've met enough people in my life who think that the
- 8:59government can censor the news to concern me.
- 9:04But the First Amendment does prevent that.
- 9:07It also cannot impose prior restraint on publication.
- 9:10It cannot punish you for your viewpoints that have been
- 9:13published, and it cannot condition government benefits on
- 9:18adopting government approved language, nor can it retaliate,
- 9:23Nor can the government retaliate against constitutionally
- 9:25protected expression. The 5th Amendment on the other
- 9:29hand, yes, it has the whole part about, you know, you know what
- 9:38I'm trying to say here, No capital crime, no infamous
- 9:42crime, grand juries. It has the part in there about
- 9:46non self incrimination and it has a part in there about double
- 9:50jeopardy. But when you get down to the end
- 9:53of it, it says nor be deprived of life comma, liberty, comma or
- 10:00property comma without due process of law.
- 10:05Now that's an important phrase, isn't it?
- 10:09You cannot. It it's so weird that it gets
- 10:12kind of crunched into that Fifth Amendment, which we're so used
- 10:15to being used by the likes of Fauci.
- 10:19But the Fifth Amendment actually addresses government procedure.
- 10:24It you cannot deprive someone of life, liberty or property
- 10:27without due process. Now, OK, Dave, we're not.
- 10:31We're not depriving them of life.
- 10:33Or is is the past their property?
- 10:36No. So we're not doing that.
- 10:38So what's left? Liberty.
- 10:41In the White House context, that means you have to establish a
- 10:48procedure, a clear credentialing standard, a notice of alleged
- 10:53violations, an explanation of the government's decision, and
- 10:57an opportunity for the journalist to respond to that
- 11:00before you get a decision based on established rules.
- 11:03Rather than simply the president saying I don't like that press
- 11:09credential is not property in the ordinary sense.
- 11:11Courts have treated access under established credentialing system
- 11:15as a protected liberty. This isn't Dave making this up.
- 11:19The courts have already decided that that system is a protected
- 11:23liberty. This distinction came about in a
- 11:28court case back in 1977 called Cheryl, Cheryl versus Knight,
- 11:33and it's SHSHERRILLV Knight, Robert.
- 11:38Cheryl was a journalist for The Nation.
- 11:40He applied for a White House press pass.
- 11:42The Secret Service said 9 they would not issue 1 without
- 11:47providing any reasoning, any explanation or meaningful
- 11:51process through which he could challenge the denial at the
- 11:54time. In 1977, the DC Circuit Court
- 11:57held that not every journalist has a constitutional right to
- 12:02enter the White House. There is no constitutional right
- 12:05to be in the White House. Instead, the court did rule,
- 12:10however, that the White House had voluntarily opened up
- 12:14portions of the complex to bona fide journalists and that access
- 12:19is important to the practice of journalism.
- 12:22Denial of a press pass could not be based on arbitrary or
- 12:27undefined government discretion. The government needed to had to
- 12:34publish meaningful standards and a rejected applicant was
- 12:37entitled to notice, an opportunity to respond, and a
- 12:41written explanation. Once the government establishes
- 12:45access for the press, it can't just take that away arbitrarily.
- 12:50Application here should be pretty obvious.
- 12:54The reporting supplied to us so far indicates that the three
- 12:59organizations were not denied credentials during a normal
- 13:02application process. The existing access was disabled
- 13:06after the President publicly condemn their their coverage.
- 13:12Now that makes Shirrell the case here directly relevant.
- 13:18Is the White House constitutionally required to
- 13:21admit reporters in the 1st place?
- 13:23No, it's not. It's that right so-called does
- 13:27not exist. But has the White House
- 13:30voluntarily created a press access and credential exist
- 13:33them? Yes, it has.
- 13:37You can spare me the argument that well, we inherited that
- 13:40from the previous administrations, probably, But
- 13:43the White House in general. On day one, the administration
- 13:47could have said we're redoing all this, but they didn't have
- 13:53the reporters receive credentials and regularly use
- 13:55them. Yes.
- 13:58Does the government therefore have unlimited authority to
- 14:01confiscate these credentials under the 5th Amendment?
- 14:03No, because the liberty interest is protected by the procedural
- 14:08due process. When you get into procedural due
- 14:12process and you start understanding what that means,
- 14:15particularly on the 5th and the 14th Amendments, you, you have
- 14:19to start asking the question, was there any due process here
- 14:24under the current system? You have to look at what appears
- 14:30to have happened. Was there an incident?
- 14:33Was there a unilateral White House decision?
- 14:36Was the past canceled or was it done constitutionally?
- 14:40Was there fair notice? Were there published standards?
- 14:44Was there a hearing? Was there a written decision
- 14:47issued? When did all of those things
- 14:49happen solely based on the available reporting?
- 14:54And it's possible we don't have all.
- 14:56We don't have both sides of the story.
- 14:58Yet the government appears to have gone directly from
- 15:02presidential anger, I don't like that to credential confiscation.
- 15:07That's almost a textbook illustration of what procedural
- 15:10due process is supposed to prevent.
- 15:15Presidential power does not become constitutionally harmless
- 15:19because the affected institutions are politically
- 15:21biased. We all know CNNMS now,
- 15:24especially in political or political bias.
- 15:26We know that, you know that I know that they know that.
- 15:30But constitutional limitations matter most when applying them
- 15:36is inconvenient. Trump has used such terms as
- 15:41fake news, dishonest press, fiction, lies, purposely
- 15:45negative news. I don't personally think that
- 15:48he's wrong. I, I, again, I don't watch Cnni
- 15:52don't watch CNN because I want news, not opinion.
- 15:58If I want opinion, I'll listen to myself or to Bill or or
- 16:02somebody else. If I want news, especially if
- 16:06it's in the title news network, well, I'm expecting news.
- 16:11Those phrases, fake news, dishonest press, fictional lies,
- 16:15they may be politically powerful, but they're
- 16:18technically not legal standards. What the policy as of today
- 16:24cannot presently answer some questions.
- 16:29What constitutionally what or what, I'm sorry, what
- 16:31constitutes sufficient negative coverage to trigger an
- 16:35exclusion? Is that written down anywhere?
- 16:39And someone once say to me Once Upon a time, if it's not written
- 16:41down, it didn't happen. And you don't want the
- 16:44government doing that. You don't want the government to
- 16:46just be able to decide. Well, I don't like being called,
- 16:49I don't know the waffle. So I'm going to I'm going to
- 16:52throw a piss fit about it. That's not good government.
- 16:56That's dangerous because what happens tomorrow?
- 17:01Who determines whether that report was false or not?
- 17:04I can answer that question. The listener should determine
- 17:07it. That's pretty easy.
- 17:10Must the falsity, must the fake news be deliberate?
- 17:18Well, now we're into First Amendment issues here, aren't
- 17:20we? Now we're, now we're into that
- 17:22because now we is it deliberate? And even if it is is a lie, This
- 17:27is what Rod and I were talking about yesterday on what the
- 17:29frock is it? Do we need to pre bunk?
- 17:32It is an error if a reporter makes an error followed by a
- 17:36correction treated differently from an intentional deception.
- 17:40Does the rule apply to a reporter, an editor, a program,
- 17:44or the entire company? How many objectionable stories
- 17:48produce a cumulative violation? Can an outlet challenge the
- 17:51administration's factual determination?
- 17:54Are supportive organizations held to the same standard?
- 17:58A journalist must be able to understand beforehand what
- 18:01conduct will cause the loss of access.
- 18:04A state, a standard that's invented after the government
- 18:07becomes angry, becomes selective enforcement.
- 18:15That is a problem because selective enforcement today
- 18:21becomes something you don't want tomorrow.
- 18:26In 2018, there was a contentious press conference, you probably
- 18:30remember this, between Jim Acosta and the president.
- 18:33And after that, the White House revoked Acosta's hard pass.
- 18:38The government administration pointed to his interaction with
- 18:41the White House in turn, but did not provide any clear,
- 18:44established standards for press conference conduct or a
- 18:47meaningful procedure before revocation.
- 18:50Say what you will about the way the old thing used to work, but
- 18:54there used to be standards for this stuff.
- 18:56Maybe they were written, maybe they were unwritten, but they
- 18:58were they were they were behavioral standards, but those
- 19:01standards are not clear anymore. And of course, a federal judge
- 19:05ordered the credential temporarily restored on due
- 19:07process grounds. The government cannot revoke
- 19:11credentials 1st and then invent the government standard
- 19:15afterwards. That's the important part here.
- 19:20And I'm pretty sure that after this interaction and after this
- 19:23next interaction, President Trump knows that in 2019-2020,
- 19:28Playboy correspondent Brian Kerrum received a temporary
- 19:32suspension after a verbal confrontation in the Rose
- 19:35Garden. After that, the DC Circuit Court
- 19:38concluded that the White House had prevail had failed to
- 19:41provide fair notice of this conduct that would result in
- 19:45suspension. General expectations of, quote,
- 19:48professionalism are nice and they sound great, but they are
- 19:52insufficiently precise. Even abrasive, theatrical or
- 19:57discourteous behavior is not enough when the government has
- 19:59not defined the prohibited conduct.
- 20:05This latest exclusion appears to be much more broad.
- 20:10It seems to apply to entire news organizations, It is expressly
- 20:16linked to their reporting, which is disliked, and it was not tied
- 20:21to any physical misconduct. It apparently lacks individual
- 20:25findings, and it threatens additional organizations with
- 20:27future exclusions. Even as a conservative, as
- 20:33someone who voted for Trump three times, that's difficult to
- 20:37defend. If there was a specific
- 20:40incident, sure, no problem. But if the if the incident is I
- 20:46don't like what you said and the government starts violating due
- 20:52process, that's a problem, folks.
- 20:56You may not like that, but it is.
- 21:00The danger is using the word professionalism as a legal
- 21:05standard. The White House is perfectly
- 21:10capable of imposing reasonable rules necessary for safety and
- 21:14order. Don't enter this area without
- 21:17authorization. Do not make physical contact
- 21:19with officials. Yield a shared microphone after
- 21:23a you know, after a specified warning.
- 21:25Don't interrupt classified briefings.
- 21:28And do what the the Secret Service says, especially if it's
- 21:32about security. But unconstitutional standards
- 21:37would clearly include things like you must treat the
- 21:39president fairly. What does that mean?
- 21:43Maintain professional, appropriate professionalism.
- 21:47Sounds great. What does it mean?
- 21:50And then saying things like do not publish dishonest coverage,
- 21:55avoid excessively negative reporting, ask appropriate
- 21:58questions, show proper respect for the office.
- 22:01All these things are objective rules regulating behavior.
- 22:05But but now you have subjective rules that regulate attitude and
- 22:09viewpoint, and that's not good. A rule against entering A strict
- 22:15restricted security zone is easily applied consistently.
- 22:18A rule against quote unfairness allows the president to punish
- 22:24whatever journalist he has a a beef with at any given
- 22:29particular moment, and that's problematic.
- 22:36Historically, non disclosure agreements which are also
- 22:39involved here, such as the standard Form 312, were directed
- 22:43towards classified information. The press has no general
- 22:48constitutional power to comply or to compel an unwilling
- 22:51official to speak. But when the government
- 22:53categorically prevents willing officials from sharing lawful,
- 22:56unclassified information, as has appeared to happen here, the
- 23:01analysis changes. Is the government restraining
- 23:04the employees right to speak? The press's ability to gather
- 23:07news, the public's ability to receive information?
- 23:12Those are questions that we don't all have, we don't have
- 23:15all the answers to. But how?
- 23:18No matter how you look at this, there is a weakness in a purely
- 23:22procedural defense. This perhaps the most
- 23:28interesting limitation of the 5th Amendment argument.
- 23:32Due process requires a fair procedure.
- 23:35It does not automatically invalidate every substantive
- 23:38rule. Suppose, for example, the White
- 23:41House now adopts a written rule. Let's say any reporter whose
- 23:46organization publishes material the President considers false
- 23:49shall lose White House access after a written notice.
- 23:53The White House may provide a notice, a hearing, a written
- 23:55decision that would improve the procedure, but it would not
- 23:59necessarily make the the the policy constitutional.
- 24:02Why? Because the rule could still
- 24:04potentially punish critical reporting, editorial judgment,
- 24:08disfavored viewpoints, refusal to adopt government preferred
- 24:11language. And at that point, the central
- 24:13claim would move back to the First Amendment.
- 24:17The government can sometimes satisfy procedural due process
- 24:20while enforcing an unconstitutional policy.
- 24:23That's why you have been back to the First Amendment.
- 24:27The 5th Amendment can require the White House to explain what
- 24:30it's doing. The First Amendment would
- 24:32ultimately determine whether the White House is allowed to do
- 24:36that at all. And therein lies some of the
- 24:39issues. Look again.
- 24:43The press has no absolute right. It doesn't exist to enter every
- 24:50White House space. The president is not required to
- 24:53grant interviews to CNNMS, Now political, Fox News, or anyone
- 24:57else. But once the White House
- 25:00establishes A credential system of regular press access, you
- 25:04can't administer that policy arbitrarily.
- 25:09Existing credentials cannot simply be revoked without clear
- 25:12standards. Notice an opportunity to
- 25:14respond, an explanation. You know, due process, even
- 25:21adequate procedures may not save a ban because they're imposed
- 25:27because we don't like the viewpoint.
- 25:30Those are problems. Look, CNNMS. Now political
- 25:35journalists are reasonably criticized for their for their
- 25:40positions. But as always, the answer to bad
- 25:44speech is good speech. If their reporting is so bad,
- 25:49shouldn't be that, he's said, shouldn't be that easy to
- 25:52disprove, right? But if the president can just
- 25:55change things because he doesn't like it, well, that's
- 26:01potentially a problem, isn't it? Certainly is to me.
- 26:06Stay with us, We'll be right back.
- 26:40So late last week, California Governor Gavin Newsom signed a
- 26:46bill addressing a quote, catch, UN quote in a $750 million tax
- 26:52credit for Hollywood. So he's responding to a genuine
- 27:04decline in California's entertainment industry.
- 27:07But it's it's a fact. It's happened.
- 27:10But the solution that he has chosen here is perfectly
- 27:15illustrative, illustrative, illustrative of the fundamental
- 27:23weakness of his progressive economic policy.
- 27:29Think about what he's done here. He has created in California in
- 27:34general, not just Gavin Newsom, but governors before him have
- 27:38created burdens on every business with high costs, high
- 27:43taxes high. You know, it's not cheap to run
- 27:46a business in California. And then when it turns out, oh,
- 27:51my God, this is this is hurting people.
- 27:53We offer selective relief to politically favored industries,
- 28:00right? Film and production studios have
- 28:03been leaving California for years.
- 28:04I mean this, there's no two ways about that.
- 28:08The productions are increasingly moving to places like Georgia,
- 28:10New York, Canada, Britain, other locations that are offering
- 28:14better incentives for for filmmaking.
- 28:16California after 2022 lost 17,000 entertainment jobs in Los
- 28:23Angeles. Production has approached record
- 28:25low levels. And the answer here has become
- 28:31expansion of state tax credits. Now, there's something you need
- 28:35to keep in mind here. If California's business
- 28:39climate, and this is what Newsom keeps saying, is so successful,
- 28:43why does he have to create tax breaks to keep Hollywood there?
- 28:49California had already increased its annual film and television
- 28:51tax credit programs from 330 million to $750 million.
- 28:56Now you understand what a tax credit is, right?
- 28:58It's free money for selective people.
- 29:03In other words, this governor signed off on a bill that gave
- 29:07his friends in the film industry $750 million in exchange for
- 29:13their agreed agreement to not leave the new legislation that
- 29:19he has signed. He makes some credits more
- 29:20valuable and easier for them to use.
- 29:23A certain independent productions will receive relief.
- 29:27These new credit cover things like editing, sound, music,
- 29:30visual effects, finishing films and and you'll notice something
- 29:34important here. They're not necessarily talking
- 29:37about actors and production companies.
- 29:39They're talking about the people who work on these films, which
- 29:43is a lot of people. I don't think we understand
- 29:45that. So you see your favorite actor
- 29:48up there on the screen, the big screen, but you do you ever
- 29:51think about what goes into that and everything down to who
- 29:57brought the trailer, who who built the trailer that the that
- 30:00the actor lives in, who cleans it?
- 30:02Who brings them their food? There are a lot of things that
- 30:07go into this that don't necessarily get covered.
- 30:10I think one of the best examples showing all this that I've ever
- 30:13seen. There was a season of Archer,
- 30:16the cartoon Archer, where one of the one of the guest characters
- 30:21was a movie producer. And they, they, the story takes
- 30:26place on scene where they're filming a movie.
- 30:28And it's like, you don't really understand how many people are
- 30:32there watching all this stuff and helping all this stuff and
- 30:35doing all this stuff. And that's before the film even
- 30:37gets developed, gets edited, gets added music, musicians who
- 30:42have to play the music that goes all of this.
- 30:44Of course, that's kind of going away too.
- 30:46But Newsom looks at this and sees an entertainment industry
- 30:52that generally is more than just actors, directors and studios
- 30:56executives. It has editors, drivers,
- 30:58carpenters, electricians, costumers, musicians, caterers,
- 31:02technicians, all this other stuff, and fears that subsidized
- 31:07competition from other States and foreign countries will allow
- 31:09the industry to collapse. And of course, if it does, that
- 31:12harms working families and related businesses in
- 31:14California. And it flies in the face of his
- 31:16position that California is great, which he doesn't want.
- 31:25It also means that some of those people will leave to go work in
- 31:28these other places, which means they wouldn't be voting for him.
- 31:33His idea here is that a targeted incentive might preserve jobs
- 31:37and generate economic activity that might actually exceed the
- 31:42immediate cost. It might produce more than $750
- 31:44million worth. Newsom has correctly identified
- 31:47the real problem. However, what he hasn't done is
- 31:53come up with a solution that actually works, which is very
- 31:56simple. If letting Hollywood keep some
- 32:01of their money because, well, it's good for the it's good for
- 32:07the whole system here. If letting Hollywood keep some
- 32:10money is good, why isn't letting every business keep some of
- 32:16their money good? It's crony capitalism.
- 32:18In other words, Hollywood is one of California's most politically
- 32:22influential industries, and state officials are now deciding
- 32:26which productions qualify how much assistance they receive.
- 32:30Smaller businesses might enjoy that as well.
- 32:34Restaurants, manufacturers, retailers, farmers, independent
- 32:37contracts are all facing the same high cost environment.
- 32:40But they're not getting the Hollywood sighs relief, are
- 32:42they? If, if, if Gavin Newsom can use
- 32:46the tax code to benefit his friends, why isn't he doing it
- 32:53to benefit everyone in California?
- 32:57He's operating what is not a general a genuinely free market.
- 33:02The better alternative would have been to reduce taxes and
- 33:05regulatory costs for every Californian, every California
- 33:08business and employee, and address energy and housing costs
- 33:13that make California labor more expensive.
- 33:16His actions may, for the time being, preserve some
- 33:19entertainment jobs, and he only cares about them through the
- 33:21election of 2028. But that benefit should be
- 33:25acknowledged, and it doesn't repair California's failing
- 33:28economic model, it actually reinforces it.
- 33:32If lowering a company's tax burden creates jobs in
- 33:35Hollywood, then lowering the tax burden creates jobs everywhere.
- 33:39The answer is not special treatment for California's most
- 33:42politically connected. The answer is a California in
- 33:48which nobody needs the governor's permission to remain
- 33:52economically competitive. Makes sense to me.
- 33:58Take the time right now. Tell the people that matter in
- 34:00your life you love them very much.
- 34:01You'd miss them if they weren't there.
- 34:02So don't pass up those opportunities.
- 34:04You don't want to have that regret Plausibly Live.
- 34:07I'm Dave Bowman and we will see you tomorrow for a new episode
- 34:11of Plausibly Live, The Dave Bowman Show right here on the On
- 34:13Air America of On Air Across America network.