Steve Wynn: No Common Sense in Washington
 |  June 24, 2010
Steve Wynn

Steve Wynn

Steve Wynn, the American entrepreneur and casino resort/real-estate developer, was recently interviewed by CNBC for the opening of his new Encore Beach Club in Las Vegas. During the questions and answers session with the correspondent, the billionaire business owner addressed some of the most serious problems American companies face and the incompetent manner in which politicians in Washington, DC are handling the economic situation and the unpredictable manner in which they continue to aggressively punish US businesses.

In the interview Wynn talks about the lack of common sense that has disappeared in Washington and the completely out-of-control spending that is fueling the massive national debt:

“It’s common sense that’s disappeared in Washington DC. It’s common sense that’s disappeared in the years of 7 and 8 in America. We’re inheriting the awful results, both in our government … of wild, uncontrolled spending, unbelievable, unsustainable debt.

And yet, here we are, doing it again, $20 billion a month to the FHA. On top of what happens to Fannie Mae and Freddie Mac. We’re doing it again today for $20 billion a month! We’re destroying the housing market, again; under the name of a stimulus, phony misrepresented names.”

Steve then explains how China now offers more opportunities and a more stable and business-friendly environment than the United States:

Interviewer:
“What about the regulation and government oversight of working there [Macau, China] as opposed to here?”

Steve Wynn:
“Macau has been steady. The shocking, unexpected government is the one in Washington. That’s where we get surprises every day. That’s where taxes are changed every five minutes. That’s where you don’t know that to expect tomorrow. To compare political stability and predictability in China to Washington is like comparing Mount Everest to an anthill.

Macau and China is stable, Washington is not!

Is there a businessman or a media person in America that isn’t frightened about the next crazy idea that is coming from Washington. The financial institutions, the cars, the businessmen, the taxes, the health care, everything is Coo Coo. And God knows what’s next?

Regarding the massive health care bill that was passed earlier this year, Wynn correctly predicts that it will have the exact opposite effect that Washington lawmakers promised, it will raise the costs of health care and make things worse for everyone.

Interviewer:
“What’s health care going to cost you?”

Steve Wynn:
“A lot. It’s going to produce the exact opposite of what they said. Health costs, because of that 2,700 pages, are going up not down. In the simplest possible terms, they added 32 million people, the amount of doctors is going down and the amount we’re paying them is less. When demand goes up and the supply of doctors goes down, what happened to the price? High school students out there, children? Price goes up!

The one thing that would’ve saved us money, the control of frivolous lawsuits, they didn’t touch with a ten foot pole. Those hypocritical SOBs and the Congress didn’t touch it with a ten foot pole. Every insurance company, every businessman in America said doctors are doing testing in fear of frivolous lawsuits that are unnecessary that is jacking up the price of medicine. Please do something about that. In Texas they put a cap on punitive damages and the malpractice insurance dropped by 45% in one year. But did they do it in Washington? No.

Finally, Steve explains that the unpredictable and irresponsible manner in which our government is acting had created a “frightening” business climate in America and helped created an atmosphere of uncertainty for everyone.

So when you ask me today about predictability and uncertainty in China compared to Washington, I take China. Washington is unpredictable these days. Washington is… No one in the business community from one coast to the other has any idea what’s next. And what’s even worse, the people that do business with us that buy our bonds in other countries don’t even know what’s next. The uncertainty of the business climate in America is frightening, frightening to everybody. And it’s delaying the recovery.

We’re on our way to Greece, in the hands of a confused and foolish government that is living up to the prediction of Alexis de Tocqueville who in 1909 said: “The American system of democracy will prevail until that moment when the politicians discover that they can bribe the electorate with their own money.” And boy it’s in full bloom today. So extreme that it would probably have an end unto itself. The public is frightened.

This Tea Party business is all about fear. There is a sense in the land of discomfort. There is a sense of fear that the politicians are ruining us. And the people are right.

It’s got to stop. It’s got to stop!”

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