WHEN: Today, Thursday, November 2, 2017
WHERE: CNBC's "Closing Bell"
Following is the unofficial transcript of a FIRST ON CNBC INTERVIEW with Senator Elizabeth Warren and CNBC's John Harwood on CNBC's "Closing Bell" (M-F 3PM – 5PM ET) today, Thursday, November 2nd. Following is a link to the video on CNBC.com: https://www.cnbc.com/video/2017/11/02/full-interview-with-senator-elizabeth-warren.html.
All references must be sourced to CNBC.
KELLY EVANS: WELCOME BACK. THE NEW TAX PLAN BACKED BY THE PRESIDENT GETTING SOME INTERESTING REVIEWS TODAY. AND THE HARSHEST WORDS, UNSURPRISINGLY, HAVE COME FROM DEMOCRATS. ONE OF THE LEADING VOICES OF SENATE DEMOCRATS AND A MEMBER OF THE BANKING COMMUNITY, ELIZABETH WARREN IS WITH JOHN HARWOOD.
JOHN HARWOOD: KELLY, I'M GOING TO DIVE RIGHT IN IN WITH SENATOR WARREN. FIRST OF ALL. BIG PICTURE, ARE YOU AGAINST ANY TAX CUT OR ARE YOU AGAINST THIS TAX CUT IN PARTICULAR?
SENATOR ELIZABETH WARREN: SO I AM AGAINST WHAT THE REPUBLICANS HAVE PUT TOGETHER IN THIS TAX PLAN, IN WHICH THEY GIVE $2 TRILLION IN JUST GIVEAWAYS TO GIANT CORPORATIONS. BIG WINNERS HERE, NUMBER ONE BIGGEST WINNER IN THE COUNTRY IS ESTIMATED TO BE WELLS FARGO, WHO WOULD MAKE OUT WITH BILLIONS OF DOLLARS. YOU DO REMEMBER WELLS FARGO -- THE COMPANY THAT OPENED FAKE ACCOUNTS, CHEATED ITS OWN CUSTOMERS. SECOND BIG GROUP THAT WOULD MAKE OUT BIG WOULD BE THE FOREIGN INVESTORS, WHO ARE ESTIMATED TO MAKE ABOUT $700 BILLION OUT OF THIS. THIRD BIG GROUP WOULD BE THE MULTINATIONALS AND THIS GIVES REAL SUBSIDIES TO MOVE JOBS OVERSEAS TO MAKE INVESTMENTS OVERSEAS. BAD IDEA.
HARWOOD: DO YOU SEE ANY MERIT TO THE IDEA THAT CUTTING TAXES FOR CORPORATIONS, EXPENSING PROVISIONS WILL STIMULATE ECONOMIC ACTIVITY AND THEREFORE HELP WORKERS?
WARREN: YOU KNOW, THIS IS THE BIG LIE THAT THE REPUBLICANS KEEP TRYING TO PUSH. AND THEY'VE BEEN PUSHING IT, LET'S FACE IT, FOR 30 YEARS NOW. AND FOR 30 YEARS NOW WE'VE WATCHED WORKERS WAGES JUST STAY FLAT. IN FACT, WHAT HAPPENED AFTER THE GEORGE W. BUSH TAX CUTS IN THE EARLY 2000s? WAGES STAYED FLAT. WHAT HAPPENED OVER IN GREAT BRITAIN? THEY DROPPED CORPORATE TAX RATE BY 11 POINTS AND WAGES ACTUALLY DECLINED.
HARWOOD: SOME ECONOMISTS IN YOUR PARTY SAY, IN FACT, GIVEN THE DEMANDS OF SOCIAL SECURITY AND MEDICARE, THE DEFICITS WE HAVE ALREADY, TAXES NEED TO GO UP, NOT DOWN. IS THAT WHERE YOU ARE?
WARREN: THE WAY I LOOK AT IT IS THE REVERSE. WHAT'S HAPPENING RIGHT NOW IS THE REPUBLICANS ARE SAYING," LET'S GIVE $2 TRILLION TO GIANT CORPORATIONS," AND THEN WHEN IT BLOWS A HOLE IN THE DEBT, WHICH WE KNOW IT WILL DO, THEY COME BACK IN A YEAR, OR TWO YEARS AND SAY, "GEE, REALLY, REALLY SORRY, BUT WE'RE GOING TO HAVE TO CUT MEDICARE, GOING TO HAVE TO CUT MEDICAID, GOING TO HAVE TO MAKE CUTS IN ALL THE INVESTMENTS HERE IN AMERICA." YOU KNOW, I JUST WANT TO SAY ON THAT $2 TRILLION, IF THE REPUBLICANS REALLY THINK WE HAVE $2 TRILLION TO SPEND, WHY NOT SPEND IT ON INFRASTRUCTURE? THAT'S SOMETHING THAT WILL REALLY BOOST THE ECONOMY RIGHT NOW. WHY NOT FORGIVE STUDENT LOAN DEBT? THAT WOULD BOOST THE ECONOMY. WHY NOT WRITE A CHECK TO EVERY AMERICAN EARNING LESS THAN $200,000 A YEAR FOR $17,000? A LOT OF WAYS YOU COULD SPEND $2 TRILLION.
HARWOOD: AS YOU KNOW, THEY DON'T NEED YOUR VOTES TO PASS THIS BILL. CAN YOU STOP IT?
WARREN: I'M GOING TO DO MY BEST. THIS IS REALLY ONCE AGAIN LIKE IT WAS WITH HEALTH CARE. IT'S WHETHER OR NOT THE AMERICAN PEOPLE GET TO SEE WHAT GOES ON, AND MAKE THEIR VOICES HEARD. THAT HAPPENS, THIS BILL WILL NEVER BECOME LAW.
HARWOOD: JEROME POWELL WAS PICKED AS THE NEW CHAIRMAN OF THE FED BY THE PRESIDENT TODAY. HE'S DESCRIBED AS THE CLOSEST THING THERE IS TO JANET YELLEN WHO'S THERE ALREADY AMONG THE CHOICES THE PRESIDENT WAS CONSIDERING. DO YOU SUPPORT JEROME POWELL AND DO YOU ENVISION PROBLEMS WITH HIS CONFIRMATION?
WARREN: SO LET ME SAY, THE CLOSEST THING TO JANET YELLEN IS JANET YELLEN. WELL, I THINK IT'S WORTH A MINUTE TO STOP AND SAY JANET YELLEN HAS DONE A GREAT JOB AS A FED CHAIR AND SHE WILL BE THE FIRST FED CHAIR SINCE 1979 WHO DOESN'T GET REAPPOINTED. THAT'S BEEN TRUE REGARDLESS OF PARTY, THIS HAS BEEN A VERY NONPARTISAN THING. JEROME POWELL –
HARWOOD: ANY CONCERN ABOUT POWELL ON REGULATION, WALL STREET REGULATION?
WARREN: POWELL HAS ALIGNED HIMSELF WITH JANET YELLEN ON A REGULAR BASIS, AND THAT IS A GOOD SIGN, BUT LOOK, THIS IS WHAT HEARINGS ARE ABOUT. I'M GOING TO ASK HIM SOME TOUGH QUESTIONS AND SEE WHAT HIS ANSWERS ARE.
HARWOOD: ELIZABETH WARREN, THANKS SO MUCH FOR BEING WITH US.
WARREN: THANK YOU.
HARWOOD: KELLY, BACK TO YOU.
EVANS: ALL RIGHT. OUR JOHN HARWOOD SPEAKING WITH SENATOR ELIZABETH WARREN. THANK YOU BOTH VERY MUCH.
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