20VC: Larry Summers on How to Manage Inflation; Should We Increase Rates Even Higher, Why We Need To Change The US Tax System, Why Europe is a Museum, China is a Jail and Bitcoin is an Experiment & How a Trump Win Would Hurt the US Economy

Larry Summers is the Former Treasury Secretary and one of America’s leading economists. In addition to serving as 71st Secretary of  the Treasury in the Clinton Administration, Dr. Summers served as Director of the White House National Economic Council in the Obama Administration, as President of Harvard University, and as the Chief Economist of the World Bank. Huge thanks to Sarah Cannon for the intro to Larry today.

In Today’s Episode with Larry Summers We Discuss:

1. The Journey to Being One of the World’s Leading Economists:

• How Larry’s mother and father both being economists shaped his early thinking as an economist?
• How did Larry’s parenting teach his children economics at an early age?
• What does Larry know now that he wishes he had known when he entered the workforce?

2. How to Get the US Out of Debt:

• What would Larry do to save the US economy today?
• What can be done to increase revenues for the US economy?
• Why does Larry believe carried interest should be taxed as income tax?
• Why does Larry believe we need more billionaires? How would he tax them more efficiently?
• Why does Larry believe cutting taxes is indefensible?
• What can be done to reduce inflation without massively hurting the poorest in society?

3. The World Around Us:

• What does Larry mean when he says, “Europe is a museum, China is a jail and Bitcoin is an experiement”?
• Why does Larry believe the next 5 years will be difficult for China?
• Why does Larry believe the next 5 years will be challenging for Europe?
• Which nation is Larry most confident about when projecting forward for the next 5-10 years?

4. Politics and a Trump Administration:

• How does Larry reflect on the role of Biden on the US economy and state of inflation?
• Would a Trump administration be better or worse for the US economy?
• What are the chances of Trump beating Biden in the next election?
• What would Larry most like to change about the US political system?