David is joined by his first podcast guest of 2025, and what a guest it is! The distinguished economist, Dr. Lacy Hunt, joins David to talk about a real assessment of the labor market; of economic growth; and of the second, third, and fourth order impact of tariffs. He transcends the mere first order inflationary impact to delve into the second order disinflationary impact. It is a fascinating conversation that is apolitical, objective, and vitally important.

Quarterly Review and Outlook

David responds to his National Review colleague Michael Brendan Dougherty's recent attack on free trade. David tries to be far more charitable in tone and content than protectionists appear willing to be, but seeks to hold the anti-free-trade crowd to the same thing all engaged in public argument ought to be held to, especially in an economic way of thinking: first principles, a limiting principle, and, most of all, the accountability of real life.

David takes a look at certain efforts to undermine the spirit of the law, whether or not the letter of the law is followed, and what it means for our financial markets. This is a golden issue for Capital Record, an optimal application of where freedom and virtue must be juxtaposed. 

This week, David unpacks some really important lessons on the current state of U.S. manufacturing: why the electoral and the political cannot be confused with the economic, and why neither should be confused with the cultural. There is something in here for everyone to be bothered by, so jump on in to a reality check about U.S. manufacturing.

Audio clip from FLVOICENEWS.COM

How should we think about people who make billions of dollars managing the capital of others? Does a hedge fund manager like Bill Ackman add any value to society? Why would someone worth $50-100 million hate someone worth $9 billion? This week’s Capital Record doesn’t have time to get into dog-whistle antisemitism, but it does have time to get into class envy, the embarrassing error of believing capital allocation is a valueless exercise, and the merit of achievement embodied by someone like Bill Ackman.

The One Big Beautiful Bill Act has been criticized for not doing enough to rein in deficits. It has been praised for extending tax cuts. And it is underrated for some of the pro-growth business measures the bill includes intended to promote supply-side business incentives. But what about the “promises kept:” In the new tax bill -- the “no tax on tips” and “no tax on overtime wages” -- are these pro-growth? What about the deduction for interest expense on auto loans? Or the special bonus standard deduction for senior citizens? David does a refresher in today’s podcast on the principles of the supply side tax movement that have been front and center for almost 50 years. Tax cuts that incentivize production and tax cuts that appeal to a very specific voting block are rarely the same thing!

Show Notes:
A Referee’s Take on the One, Big, Beautiful Bill

The Biden administration spent $42 billion of taxpayer funds to bring broadband access to rural America, and people are shocked, shocked, that nothing has been done. As people on both sides of the aisle scream for government to “do more,” perhaps there is a lesson in this failure to create connectivity, and perhaps that lesson ought to be that incentives and knowledge matter.

Show notes:
https://x.com/geiger_capital/status/1905591976876990670?s=61
https://www.ntia.gov/45-year-anniversary

The media may have obsessed over the extravagant Jeff Bezos wedding in Venice last weekend, but most regular people with jobs and a family probably couldn’t care less. But in this week’s episode, David takes note of who does seem to care about such things, and what principles can be learned from the whole affair that impact our understanding of economics in the 21st century. This is a seriously contrarian episode of the Capital Record!

David walks through the new Barry Diller autobiography and extracts some key business lessons that speak to our own objectives here on the Capital Record. Barry may have been a Hollywood and media industry giant, and he may not care much for all of our ideological commitments, but he has a lot to offer in this week’s episode.

Show Notes:
"Business Lessons from the New Barry Diller Book"