Kudlow: How one leading Democrat's proposal is 'critical race theory run wild'

How about we start with some daily hot topics? Even pet peeves, which may or may not be discussed in the show, but, if we don't, we'll get to them tomorrow.

First up: I’m still totally peeved about the Biden cave-in to Vladimir Putin on the Nord Stream 2 pipeline that Trumpers like myself stopped for a couple of years. 

They caved in, and almost worse, they say they'll sanction Russia if they weaponize the use of the pipeline. Well, of course Putin will weaponize it! That's why he's Putin! That's why we're not supposed to love him. Got it?

Sanctioning him after he builds the pipeline is kind of like going after the horses after the barn door's already open or trying to put the toothpaste back into the tube — know what I mean?

There's a paper tiger quality to all this as Team Biden hands Putin the keys to European dominance. I’m going to be peeved about this for a good long time (just saying). We will discuss it during the show.

Another hot topic is the breaking news that the distinguished House member from California, Maxine Waters, is now proposing a race-based down payment program for home purchases. 

This is coming after Democratic proposals for race-based small business assistance COVID aid, which was rejected by a couple of courts.

My pal, Steve Miller, is coming on in a few moments. I’m sure he's going to have something to say about this. 

Of course, this is critical race theory run wild. The way to end discrimination in housing or any place else is — wait for it —  to discriminate.

It's not enough that we stand at the starting line with equal opportunities. Waters and her ilk want to use discrimination to somehow guarantee that we'll all be equal at the finish line. 

The trouble is that this violates the Declaration of Independence, the Constitution and probably about 5,000 laws and will be overturned as we've seen in other Biden race-based initiatives. 

Here's some more:

Building on his immense success regarding immigration control and border policies, Team Biden and his progressive allies in Congress want to defund ICE— the Immigration and Customs Enforcement Agency. 

I guess this is the analog to defunding police and this new ICE idea is going to be just about as popular as defunding the police was. I don't want to spoil it for Steve Miller, so I’ll stop on that.

Meanwhile, polls are starting to show that voters regard inflation as a bigger problem than unemployment, and Mr. Biden’s response is to spend another $4 trillion. 

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I can hardly keep a straight face. Got it? High inflation? Blow up the spending. Only Ivy League economists could come up with that!  Just kidding! That was a joke!

Speaking of inflation, in today's existing home sales report for June, the median price increase over the past 12 months came to 23.4%. Think that's enough inflation?

Another thing: Fed Chair Jay Powell’s term is up next year, and there's a lot of speculation about his reappointment or not reappointment.

I happen to think Jay has done a good job. But if he wants to tamp down the inflation bulge, he's going to have to start tampering down the Fed's portfolio purchases and stop putting so much excess cash into the economy, which is causing the inflation problem in the first place.

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If he does that (AKA the right thing) he might not be reappointed by an administration that basically believes in modern monetary theory (which is federal spending on a 24/7 basis, federal borrowing on a 24/7 basis financed by a constant flow of free money provided by the central bank). 

Go woke, go broke. 

It doesn't work for me. I don't think it works for Jay Powell and therein lies his potential reappointment problem for next year.