The Michael Knowles Show – “Michael Knowles In The White House: EXCLUSIVE Updates & Interviews”

Date: September 1, 2025
Host: Michael Knowles (Daily Wire)
Primary Guests:

• Scott Besant, Secretary of the Treasury
• Scott Turner, Secretary of Housing and Urban Development (HUD)

Brief Overview

In this exclusive episode, Michael Knowles takes his podcast inside the White House, following his historic attendance at a Cabinet meeting—making him the first podcaster to do so. He sits down for in-depth interviews with Treasury Secretary Scott Besant and HUD Secretary Scott Turner. The primary focus is on the Trump administration’s economic strategy, tariffs, the Federal Reserve, housing affordability, urban decay, and the tension between principle and politics. The episode provides rare insider perspectives on policy, management, and the philosophy driving the administration’s actions.

Key Discussion Points & Insights

1. Historic White House Access and Cabinet Meeting

• [00:55] Michael Knowles remarks on being the first podcaster to attend a Cabinet meeting, noting the honor and significance.
  • “I think I actually might be the first podcaster ever invited into a Cabinet meeting, which I was very honored by...” – Michael Knowles

2. Economic Policy and ‘Parallel Prosperity’

A. Focus on American Workers

• [02:54] Besant introduces the idea of “parallel prosperity”—ending the divide between Wall Street’s gains and Main Street’s stagnation:
  • “Wall Street can do well, but now it's Main Street's turn for a catch up. And that's what we're really starting to see here.” – Scott Besant

B. Tariffs, Manufacturing, and Trade

• [03:33] Discussion of tariffs generating substantial revenues ($100 billion), increasing US manufacturing, and negotiating lucrative trade deals, particularly with the EU.
• [04:01] Besant rebuts critics, explaining that previous policies offshored production, undermining middle-class growth, and argues for trade balancing:
  • “If someone sells us an LG television, we are going to sell them a General Motors car again, just like we used to.” – Scott Besant

C. Inflation, Price Concerns, and Corporate Responses

• [05:42] Knowles raises Walmart’s concerns about rising prices due to tariffs.

• [06:13 – 08:23] Besant counters that economists were “wrong about tariffs,” China is absorbing many costs, and economic preferences are shifting:

  • “If somehow the price of an avocado goes up, then you buy a South Carolina peach.” – Scott Besant

• Besant also notes inflation has stabilized under President Trump (1.9% CPI) and stresses the focus on affordability for working Americans.

3. The Federal Reserve: Oversight and Future Direction

A. Central Bank Independence and Scandal

• [11:01] Besant emphasizes the importance of independent central banking but says legitimacy comes from public trust and transparency.

• [11:40] Knowles summarizes the Lisa Cook scandal (Fed governor accused of mortgage violation, fired by Trump) and the Fed’s slow response.

• [12:06] Besant calls for an internal Federal Reserve review:

  • “The independence of the Federal Reserve comes from the American people, from them believing there's an agreement there…” – Scott Besant

B. Interest Rates, Housing, and Distributional Effects

• [14:09] Knowles quotes President Trump: “The housing market would be doing much, much better if not for Jay Powell’s stupid rates.”

• [14:36] Besant critiques past Fed policies (quantitative easing, low rates), explaining these actions inflated asset prices and increased inequality:

  • “…the top 10% of households own 88% of equities. The bottom 50% of Americans have debt and rent.” – Scott Besant

• [16:30+] Besant warns the current high-rate environment locks out young homebuyers, referencing a startling statistic:

  • “We saw more people over 70 buy homes than people under 35. Supposed to go the other way.” – Scott Besant

C. Next Fed Chair Requirements

• [18:15] Qualities sought: market respect, deep understanding of monetary and regulatory policy, managerial capacity, and forward-looking approach (with reference to Alan Greenspan).

  • Expresses optimism about an AI-driven productivity boom impacting future Fed policy.

• [20:54] Brief management note:

  • “You've got to run the business. It's a big business.” – Michael Knowles

4. Sovereign Wealth Fund and Strategic Investments

• [21:01+] Trump’s acquisition of 10% of Intel sparks discussion of a possible US sovereign wealth fund.

• [21:43] Besant outlines two fund avenues:

  1. Strategic Industries: Chips, pharmaceuticals, steel, rare earths—to safeguard vital supply chains, particularly from China.
     • “If they were to do a blockade of Taiwan and stop semiconductors from getting off, that would be a problem.” – Scott Besant
  2. Monetizing Assets: U.S. takes equity in companies it supports with grants (e.g., Intel), considers windfalls from GSEs (Fannie/Freddie) or a TikTok sale.

• [23:29] Besant: “President Trump wants to create assets for the American people, not debt... He wants to pay down the debt with the tariff money.”

• [24:48] On surpassing expectations: “I like to tell the President and Wall Street it's called a beat and a raise. So you keep expectations low. You beat, then you can raise it.” – Scott Besant

• [26:41] Projected acceleration in growth:

  • “I do think we're going to see the acceleration fourth quarter of this year, beginning of next year. And I think 2026 could be a great year.” – Scott Besant

5. Labor Day, Tip Income, and Working Americans

• [26:56] Besant’s personal plan: celebrating the “no tax on tips” law by visiting restaurants and diners.

  • Emphasizes genuine benefits for working Americans.

• [27:47] Besant: “...when I walk into a restaurant, I'm the most popular person there.”

Interview Two: HUD Secretary Scott Turner – Urban Crisis and Housing Affordability

6. Housing Crisis: Causes and Solutions

• [30:39] Knowles and Turner discuss the housing affordability crisis (median price: $435,000).
  • “$435,000 is a lot of money for grown people like you and I.” – Scott Turner

A. Interest Rates and Regulatory Reform

• Turner laments high rates and regulatory burdens, credits removing “affirmatively furthering fair housing” for restoring local control and flexibility.
  • “Washington doesn't know the needs of Nashville, Tennessee or Plano Texas or Dubuque, Iowa, or Trenton, New Jersey…” – Scott Turner

B. Public-Private Partnerships

• Turner highlights successful affordable housing initiatives when government, nonprofits, faith-based organizations, and private sector collaborate.

7. Urban Decay, Crime, and Federal Intervention

• [34:17] Knowles raises Trump’s threats to “invade” crumbling cities; Turner frames this as a response to deep leadership failures, not partisanship.

  • “HUD, housing, poverty is not a political issue. Safety is not a political. Everybody wants to be safe…” – Scott Turner

• [35:58] Turner references the mugging of a local reporter in DC, illustrating the harsh reality on city streets.

• [36:55] Turner: “Remember the defund, the police movement? Well, we're seeing the results of that kind of paradigm, the results of that kind of culture.”

A. Principle vs. Politics

• [38:00] Turner calls for a re-prioritization of principle over political power.
  • “Politics should never trump principle. And I believe what you're seeing now with the president, with this cabinet, with leaders in this administration, we're getting back to principles.” – Scott Turner

Notable Quotes & Memorable Moments

• [02:54] “Wall Street can do well, but now it’s Main Street’s turn for a catch up.” – Scott Besant
• [06:13] “I think a lot of the standard economists didn't use that kind of imagination to be able to say, well of course China's going to eat these [tariffs].” – Scott Besant
• [12:06] “The independence of the Federal Reserve comes from the American people...” – Scott Besant
• [14:36] “... top 10% of households own 88% of equities. ... The bottom 50% of Americans have debt and rent. So again, you end up with this distributional problem.” – Scott Besant
• [16:50] “We saw more people over 70 buy homes than people under 35. Supposed to go the other way.” – Scott Besant
• [18:15] “Someone ... who has respect of the markets, understands monetary policy, but also is more like Alan Greenspan was as Fed chair.” – Scott Besant
• [21:43] “One, there are strategic industries...five to seven strategic industries that we have to rebuild at home.” – Scott Besant
• [23:29] “President Trump wants to create assets for the American people, not debt... He wants to pay down the debt with the tariffs.” – Scott Besant
• [27:47] “Because of no tax on tips, when I walk into a restaurant, I'm the most popular person there.” – Scott Besant
• [31:43] “$435,000 is a lot of money for grown people like you and I. And so what we've been very intentional about at HUD is to bring down burdensome regulations.” – Scott Turner
• [32:37] “Washington doesn't know the needs of Nashville, Tennessee or Plano Texas or Dubuque, Iowa, or Trenton, New Jersey…” – Scott Turner
• [35:59] “President Trump ... said, we're gonna take over Washington, D.C. we're gonna send the National Guard, we're gonna send our troops to make sure that the streets of our capital city are safe...” – Scott Turner
• [38:12] “We're getting back to principles. We're getting back to the foundational principles that make America great, that make America safe...” – Scott Turner

Important Timestamps

• [00:55] – Knowles describes his unique access to the Cabinet meeting.
• [02:54] – Besant lays out “parallel prosperity.”
• [06:13] – Besant discusses tariffs, economic consensus, and China.
• [11:01] – Besant on Federal Reserve independence and scandal.
• [14:36] – Besant critiques past Fed policies and their impact on inequality.
• [16:50] – Besant on housing market demographics.
• [18:15] – Besant describes the search for the next Fed Chair.
• [21:43] – Besant explains potential shape of a US sovereign wealth fund.
• [26:56] – Besant talks about Labor Day and “no tax on tips”
• [30:39] – Turner details housing costs and regulatory strategy.
• [34:17] – Knowles and Turner discuss Trump’s plan for decaying cities.
• [38:00] – Turner discusses the need to prioritize principle over politics.

Tone & Style

The episode blends policy wonkery with conversational candor. Knowles pushes for specifics while guests relay both big-picture narratives (“parallel prosperity,” “principle over politics”) and practical outcomes (tariff revenue, regulatory reform, crime crackdowns). Both secretaries use vivid anecdotes and data, referencing everyday American experiences and pressing economic realities. There is a consistent undercurrent of political confidence and some partisan challenge, but frequent emphasis is placed on returning to foundational principles and delivering tangible results for ordinary Americans.

For Listeners Who Missed the Episode

• Key themes: The Trump administration's economic and trade strategies, the practical effects for workers and consumers, internal debates about the Federal Reserve’s future, plans for leveraging state resources, and ways to fix housing and city decline.
• Insider perspective: Unprecedented direct access to Cabinet deliberations and dynamics from those shaping U.S. economic and housing policy.
• Philosophy: Emphasis on empowering Main Street, restoring principle over political calculation, and “creating assets for the American people, not debt.”
• Memorable moments: Data-driven take-downs of economic orthodoxy, candid appraisals of policy mistakes, and unflinching talk about city decline.

In short:
This episode offers a frank, in-the-room view of core policy debates in Washington, coupling administrative pride with practical economic detail and a focus on the lived reality of American households. The message is clear: the administration aims to engineer prosperity and safety for working Americans, sometimes at odds with expert consensus or entrenched interests. The conversations are rich with both ideology and practical detail—the kind of dialogue seldom heard outside the halls of power.