Inflation Cools Down & Education Department Downsizes | 3.13.25

Summary

Morning Wire Podcast Summary
Episode: Inflation Cools Down & Education Department Downsizes
Release Date: March 13, 2025

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1. Inflation Trends and Trump's Tariffs

Georgia Howe opens the episode by highlighting a positive development in the U.S. economy: inflation is cooling more than economists anticipated, coinciding with the implementation of former President Trump's tariffs on steel and aluminum.

Notable Quotes:

• John Bickley [00:09]: "The president wants steel and aluminum in America. And let me be clear, nothing's going to stop that until we've got a big, strong domestic steel and aluminum capability."

• Cabot Phillips [02:11]: "According to the Labor Department's monthly inflation report... the Consumer Price Index... rose 2.8% from the same month last year and just 0.2% from the month before. Both of those numbers were better than expectations..."

The discussion delves into the specifics of the Consumer Price Index (CPI), noting a significant annual decrease in inflation rates and the positive impact on housing costs, which saw the smallest yearly increase since 2021.

Economic Strategies and Reactions:

White House Press Secretary Caroline Levitt [02:45]: "The cost of eggs is going down. Cost of gasoline is going down because of the massive deregulatory efforts of this president and also the fact that we are delivering on his promise to drill, baby, drill already."

Despite these encouraging signs, Georgia Howe raises concerns about the sustainability of this trend, particularly in light of newly imposed tariffs.

Trade War Impact:

Cabot Phillips [03:35]: "These numbers do reflect February data that came in before President Trump ratcheted up his trade war with Canada, Mexico, Europe and China..."

Commerce Secretary Howard Lutnick [04:51]: Emphasizes that tariffs might cause short-term price increases but are intended to boost long-term demand for American-made products.

John Bickley [04:51]: "Inflation comes from a government printing too much money, the Biden administration having a $2 trillion deficit..."

E.J., Heritage Economist [05:26]: "Everyone said the sky was falling when Trump implemented tariffs in his first term, and most consumers saw no difference at all."

Public Opinion:

Recent polls indicate a dip in President Trump's approval regarding his economic handling, with a CNN poll citing a 44% approval rate—12 points below previous standings.

Cabot Phillips [06:02]: "There is a risk the President could lose support on the issue where he's typically been the most popular."

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2. Department of Education Downsizing

The podcast transitions to a significant shift in the Department of Education, with nearly half of its workforce being terminated as the administration moves towards potentially dissolving the agency.

Key Developments:

Linda McMahon [07:02]: "Things kicked off late Tuesday when Education Department staff across the country were told to stay home..."

Donald Trump [07:58]: "Road to a total shutdown? Yes, actually it is, because that was the President's mandate."

Impact on Education:

Linda McMahon [07:56]: The layoffs aim to enhance efficiency and redirect resources to essential areas like student loans and programs for special needs without affecting these critical services.

Targeted Cuts:

The initial round of cuts is primarily aimed at the Office of Civil Rights, responsible for enforcing Title IX policies, including controversial issues like gender-neutral bathrooms.

Linda McMahon [08:24]: "We want to stop the abuse of your taxpayer dollars to indoctrinate America's youth."

Financial Adjustments:

$600 million in grants for training teachers in social justice and anti-racism initiatives have been cut, with future reductions expected as the department reorganizes.

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3. Escalating Violence in Syria

Georgia Howe and Tim Rice bring attention to the deteriorating situation in Syria, where religious minorities are facing severe persecution under the new Islamist extremist leadership.

Situation Overview:

Megan Basham [10:05]: "HTS is Sunni like 70% of the rest of Syria... targeting provinces known for Alawite and Christian populations."

Human Rights Violations:

Reports indicate that over 1,300 Christians and Alawites have been killed recently, with entire families being massacred and properties seized.

Personal Accounts:

Survivors describe horrifying scenes of militant violence, including beheadings and indiscriminate killings.

International Responses:

• United Nations: Calls for immediate action to protect civilians.
• US Government: Condemns the killings, attributing them to radical Islamic terrorists.
• Israeli Defense Minister: Criticizes Syria's new leadership, urging intervention.

Historical Context:

Donald Trump [13:13]: Criticizes past U.S. involvement in Syria, suggesting that supporting certain rebel groups led to worse outcomes than the Assad regime.

Current Leadership:

Ahmad Al Sharra, Syria’s new president, is identified as a former member of ISIS and Al Qaeda, raising concerns about the future stability and inclusivity of his administration.

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4. Government Shutdown Threat

The episode concludes with an update on the looming threat of a U.S. government shutdown due to legislative stalemate.

Legislative Stalemate:

Tim Rice [14:22]: "Senate Democrats say they're going to block the House passed funding bill... Minority Leader Chuck Schumer is pushing for a one-month extension..."

Potential Outcomes:

Without a resolution by Friday, a partial government shutdown becomes imminent, as Republicans advocate for a six-month funding plan endorsed by Trump, while Democrats seek continued negotiations.

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Conclusion

In this episode of Morning Wire, hosts Georgia Howe and John Bickley provide a comprehensive overview of significant developments affecting the U.S. economy, education sector, international relations, and governmental operations. With expert analyses and firsthand reports, listeners gain insight into the complexities of current events shaping the nation and the world.

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For more detailed discussions and updates, consider listening to the full episode of Morning Wire by The Daily Wire.

Transcript

[Georgia Howe]

Inflation cools even more than economists expected just as Trump's tariffs go into effect.

[John Bickley]

The president wants steel and aluminum in America. And let me be clear, nothing's going to stop that until we've got a big, strong domestic steel and aluminum capability.

[Tim Rice]

How do Americans feel about Trump's strategy on the economy?

[Georgia Howe]

I'm Georgia Howe with Daily Wire Editor in Chief John Bickley. It's Thursday, March 13th, and this is Morning Wire. Nearly half of the Department of Education has been let go as the president prepares to shutter the agency completely.

[Donald Trump]

We want to bring the schools back to the states because we have the worst education department and education in the world.

[Tim Rice]

And more than a thousand minority religious civilians, including many Christians, have been slaughtered in Syria in a widespread jihadist purge.

[Georgia Howe]

Today we have an Islamist extremist who is now in charge of Syria who has already begun to persecute and kill and arrest religious minorities like Christians in Syria. Thanks for waking up with MORNING wire. Stay tuned. We have the news you need to know.

[Brandon]

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[Tim Rice]

After years of record price increases, inflation just slowed to its lowest rate in years.

[Georgia Howe]

Daily Wire senior editor Cabot Phillips is here to break it down. So, Cabot, there were some welcome signs of economic relief recently. What did we learn on Wednesday?

[Cabot Phillips]

Well, according to the Labor Department's monthly inflation report, the Consumer Price Index, which tracks the general cost of everyday goods, rose 2.8% from the same month last year and just 0.2% from the month before. Both of those numbers were better than expectations and marked the first time in four months that we saw an annual decrease in in the consumer price index or inflation. At the same time, core prices saw a 3.1% increase from last year. That is the best number we've seen in nearly four years. Here's White House press Secretary Caroline Levitt addressing those numbers Wednesday.

[Caroline Levitt]

You see, the cost of eggs is going down. Cost of gasoline is going down because of the massive deregulatory efforts of this president and also the fact that we are delivering on his promise to drill, baby, drill already. You saw this past weekend, the National Economic Advisory put out a report that because of the regulations, inflation's we've already slashed. In just 52 days, we've saved American taxpayers $180 billion. That comes out to about $2,000 per American household. That's in 52 days.

[Cabot Phillips]

Looking through the data, inflation rates on housing saw the most notable cooling. They were up 4.2% from the same month last year, which doesn't sound great, but is actually the smallest yearly increase since 2021. So all that to say inflation is still present. Prices are still going up just at a significantly slower pace than we saw in recent years.

[Georgia Howe]

But there are some warning signs, though, that we're not out of the woods. How are tariffs affecting things?

[Linda McMahon]

Right.

[Cabot Phillips]

These numbers do reflect February data that came in before President Trump ratcheted up his trade war with Canada, Mexico, Europe and China, among others. On Wednesday, 25% tariffs on all steel and aluminum products went into effect. Canada immediately responded with 25% tariffs of their own on more than $20 billion worth of American imports. For their part, the European Union also slapp retaliatory tariffs on nearly $30 billion worth of goods, including home appliances, textiles and agricultural products. And it's worth noting that list of goods is not random. EU officials told reporters they wanted to target products that primarily came from Republican led states. They're hitting soybeans in Mike Johnson's Louisiana, beef in Kansas, Nebraska and Texas and produce in Alabama and Georgia. So they're clearly hoping to exert political pressure on Trump from within his own party. The White House has conceded that these tariffs could cause prices to go up in the short term, but they will in theory increase demand for American made products in the long run, incentivizing companies to up their domestic production, bringing hopefully lower costs. Here's Commerce Secretary Howard Lutnick making that point on Fox Wednesday morning.

[John Bickley]

Inflation comes from a government printing too much money, the Biden administration having a $2 trillion deficit. You don't get inflation from having a tariff because what a tariff says is if it' Europe, if it's made foreign, it costs, it might cost a little more, but that which is made in America does not cost more.

[Cabot Phillips]

Now others on the right say Democrats are fear mongering over the looming impacts of tariffs. They point to President Trump's policies from his first term as proof you can implement them without broad price increases. To that point, here's Heritage economists E.J.

[E.J.]

And Tony, everyone said the sky was falling when Trump implemented tariffs in his first term, and most consumers saw no difference at all. In fact, the price index, that measures the overall price level of things we import into this country. So that would be the things on which tariffs were placed. That price index actually fell after Trump implemented tariffs in his first administration. So this idea that tariffs are always passed on in full to the consumer, the record of history as well as economic theory says that that's not the case.

[Cabot Phillips]

But look, there is certainly a very real political risk here attached to President Trump's strategy.

[Georgia Howe]

Right. So what kind of reaction are we seeing from voters?

[Cabot Phillips]

So, during his first term, President Trump consistently saw a higher approval rating on his handling of the economy than any other issue. It arguably is what got him back in the White House. But in recent weeks, Americans do appear to be souring on his handling of the economy. A CNN poll found him at 44% on that front. That is 12 points underwater and his lowest rating on the economy on record. Now, the White House is confident those numbers will turn around as inflation continues to slow and tariffs drive American manufacturing, but that does not happen. There is a risk the President could lose support on the issue where he's typically been the most popular.

[Georgia Howe]

Right. Cabot, thanks for reporting.

[Cabot Phillips]

Anytime.

[Georgia Howe]

President Trump seems closer than ever to fulfilling his campaign promise to shut down the Department of Education.

[Tim Rice]

Here with the latest is Daily Wire Deputy Managing Editor Tim Rice. Tim, so things are moving pretty fast here. There's been a lot of reaction already to this. What's the latest?

[Linda McMahon]

Yeah, good morning, John. Things kicked off late Tuesday when Education Department staff across the country were told to stay home. On Wednesday, all department offices were closed starting Tuesday night for security reasons. Staffers were told to take their laptops and vacate their offices by 6pm Shortly after that, the Education Department notified around half of its 4,133 employees that their positions had been terminated. This is probably the biggest round of layoffs we've seen since the Trump administration shut down USAID.

[Tim Rice]

Yeah.

[Linda McMahon]

Education Secretary Linda McMahon said in a statement Wednesday that this reduction in force reflects the Department of Education's commitment to efficiency, accountability, and ensuring that resources are directed where they matter most to students, parents and teachers. And in an appearance on Fox news Tuesday evening, McMahon told Laura Ingraham that this was indeed the first step towards shuttering the department entirely.

[Cabot Phillips]

Is this the first step on the.

[Donald Trump]

Road to a total shutdown? Yes, actually it is, because that was the President's mandate. This directive to me clearly is to shut down the Department of Education, which we know we'll have to work with Congress, you know, to get that accomplished.

[Linda McMahon]

Trump addressed these layoffs from the Oval Office yesterday when a reporter noted that many of the affected employees served during his first term.

[Donald Trump]

I feel very badly and. But many of them don't work at all. Many of them never showed up to work.

[Tim Rice]

Now, there's been a flood of reactions from Democrats and media figures about this, really sounding the alarm about what this will do, what impact will this really have, what exactly will happen if the Education Department is fully shut down?

[Linda McMahon]

Well, to HEAR Trump and McMahon tell it, not a whole lot. McMahon has stressed that this first round of layoffs won't impact student loans or programs dedicated to students with special needs. The cuts seem largely targeted at the department's Office of Civil Rights, which is charged with enforcing Title IX policies. So things like whether or not schools should have gender neutral bathrooms. Trump has said he wants to stop the abuse of your taxpayer dollars to indoctrinate America's youth. And McMahon says she wants to return control of education to the states. The department has already cut $600 million in grants for training teachers in things like social justice activism and anti racism. So we should expect to see a lot more of that type of cut while the department reassigns things like student loans and special needs programs to other federal agencies or even state governments.

[Tim Rice]

Well, it's certainly going to be interesting to see how these changes are handled. Tim, thanks so much for reporting.

[Linda McMahon]

You bet.

[Tim Rice]

Just months after the fall of Bashar al Assad's regime in Syria, government forces there are massacring religious minorities. Current estimates vary, but some human rights groups say more than 1300 Christians and Alawites have been killed in the last few days alone.

[Georgia Howe]

Here with more is Daily Wire Culture reporter Megan Basham. So, Megan, the rebel group Hayat Tahrir al Sham, or hts, took control of Syria in December, and they were promising to be tolerant of religious minorities, but it looks like they're not sticking to that. What's happening?

[Megan Basham]

Yeah, a lot of disturbing reports and images are coming out of Syria right now as the country shifts toward more rigid Islamist rule. So HTS is Sunni like 70% of the rest of Syria, and they're tied to ISIS and Al Qaeda. And HTS claims that the violence that erupted last Thursday began when some holdovers from the Assad regime attacked them. So they the Sunni HTS rebel group then began targeting provinces that are known to be Alawite, which is the Shia Muslim sect Assad belongs to. They've also been killing Christians, Kurds and Druze as mosques in these regions have started calling on people to wage jihad. Now, humanitarian groups say northwest Syria has been ethnically cleansed of Christians and Kurds and that whole families are being slaughtered, essentially. They say that what started as small spurts of random vigilantism has now progressed into large scale organized violence. The evangelical news outlet World Magazine interviewed several Syrian Christians now in hiding. And one described seeing a convoy of military vehicles and tanks that stretched for miles entering the main street of his town before the militants began shooting everything in sight. He said he watched them kill four young civilians right in front of him while shouting, we will behead you pigs. And it's not just executions. Residents of Christian and Alawite cities and villages are also being displaced and their property is being seized. So across the country, HTS soldiers are allegedly harassing young Christians for not adhering to strict Sunni customs, like demanding Christian women cover up in Muslim garb. They've also reportedly been targeting men who have Christian tattoos. In some areas like Damascus, Christians are protesting, but thousands are also fleeing to Lebanon or Russia as Putin was Assad's ally. And then one other interesting note here. The Alawites, who again are Shia Muslims, are calling on Israel to, quote, save them from the brutal regime. In a letter to Benjamin Netanyahu, they wrote, we are a minority like you in the Middle East. Help us. And if you reach the Syrian coast, which is mostly Alawite, you will be received with songs and flowers.

[Georgia Howe]

So are these attacks religiously motivated or are there other factors as well?

[Megan Basham]

I would say it's both. Syria has been embroiled in civil war for more than a decade now, and those skirmishes are still continuing. So in rural areas where HTS has a weaker grip on power, targeting these religious minorities helps them exert some greater control. And also part of this is class based, as the Alawites are more associated with the political elites as Assad was. But, you know, this is a catch 22 that we see so often in the Middle East. Though Assad was by no means a good leader, he and his father before him did keep the region relatively stable. And those who opposed the US Meddling and trying to unseat him were concerned about these very kinds of alternatives. In fact, when President Trump first ran for office in 2016, he criticized Hillary Clinton over her support for arming anti Assad rebel groups. This is what he told CNN at the time.

[Donald Trump]

The problem is the other side of Assad. We have no idea who they are they probably are racist. We have no idea who these people are. We give them weapons, we give them ammunition, we give them everything. Maybe it's worse than Assad. Why are we involved? I look at Assad and Assad to me looks better than the other side. And you know, this has happened before. We back a certain side and that side turns out to be a total catastrophe.

[Megan Basham]

And to that point, Syria's new president, Ahmad Al Sharra, who replaced Assad, is himself a former Islamic State and Al Qaeda terrorist.

[Georgia Howe]

So what kind of international response are we seeing?

[Megan Basham]

The UN Is calling for immediate action to protect civilians and the US has condemned the killings, specifically blaming radical Islamic terrorists. More pointed, the Israeli Defense minister said Shira is showing his true face as a jihadist, though Sherra denies this. He said these killings are a threat to his plan to bring unity to Syria, but he has not yet acted to bring those loyalists who are acting in his name to heal.

[Georgia Howe]

Well, absolutely terrifying situation for those civilians. Megan, thanks for reporting.

[Megan Basham]

Anytime.

[Tim Rice]

Another story we're tracking this week. Senate Democrats say they're going to block the House passed funding bill, making the prospect of a government shutdown much more likely. Minority Leader Chuck Schumer is pushing for a one month extension for more negotiations, but Republicans say the six month plan endorsed by Trump is the best way forward. At least eight Senate Democrats would need to join Republicans to break a filibuster and if no deal is reached by Friday, the government will partially shut down. Thanks for waking up with us and if you enjoyed what you heard this morning, Share this episode with a friend.