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tv   Face the Nation  CBS  March 14, 2022 3:00am-3:30am PDT

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you are fully loaded and completely equipped for the race that's been designed for you. ♪♪ >> brennan: welcome back to "face the nation." for a closer look at what americans are thinking about the war in ukraine, we go to cbs news elections and surveys director anthony salvanto. good morning to you, anthony. >> good morning, margaret. >> brennan: some of thggfeek to put b impn russian petroleum products into the united states. they admit it is going to make things more expensive for consumers. what do americans thunder think about that? >> margaret, there is wide
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support for sanctions against russia. it is really strong with both democrats and republicans. but most importantly, in a poll you want to follow up with, what does if that means you're going to pay more at the pumps? and it remains at 60%. we'll have to watch that. but you ask people why it is that they support the sanctions, and it is not that they say they can readily afford it. it is that they say they want to help ukraine and punish russia. >> brennan: but inflation is already at a new 40-year high. so how tolerant are people going to be? >> what happens is people feel like russia is not going to stop at ukraine. there are 69% who think that russia is going to invade other countries, and they're concerned about a wider war. they're concerned about a global recession. when you look at the folks who are most concerned
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about that, they're even more likely to support the oil sanctions. so people might be willing to pay more now in order to try to stop or avoid something worse later, margaret. >> brennan: anthony, how do americans assess the president's leadership during this crisis? >> well, his handling up it is up over the last week, but it is still not net positive. a couple of reasons for that. one is that people say they still feel nervous about this. and, secondly, there is half the country that says they want him to take stronger action towards russia. and so we followed up and asked, what would be stronger action. the things that pop out are even stronger sanctions and supplying more military weapons to ukraine. we also looked at the idea of enforcing a no-fly zone. here you see americans real weariness about get into a wider war. because in the abstract, you get a majority that
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says yes, they would support a no-fly zone. but you follow up and say what if russia takes that as an act of war, and then support really drops off, down to 38%. you see americans wanting to do something, wanting to stop russia but really concerned about being concerned about being drawn into a conflict. margaret? >> brennan: anthony salvanto, thank you. we'll be right back. in boston, where biotech innovates daily and our doctors teach at harvard medical school, and where the physicians doing the world-changing research are the ones providing care. there's only one mass general brigham. ...the burning, itching. the pain. emerge tremfyant®. with tremfya®... ...most people saw 90% clearer skin at 16 weeks.
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>> brennan: last week harsh financial sanctions and trade restrictions were put in place to punish russia. among them, the banning of al imports of oil, and goods such as vodka and caviar. joining us is kristalina georgieva. weak to "face the nation." >> thank you very much for having me. >> brennan: i wonder how you can calculate the total impact of all of these restrictions that have been put on russia. will russia default on its
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debts? and what impact will that have to the global economy? >> let's remember that the reason they are unprecedented sanctions is because the unthinkable happened: a devastating war in ukraine. and the impact of the sanctions is quite severe for the russian economy. we expect deep recession in russia. and this abrupt contractions affecting already how the russian population is taking the hit on them. the ruble depreciated significantly. what does that mean? real incomes have shrank. the purchasing power of the russian population hassignih inms oferng liti c
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at no longer we think of russian default as improbable event. russia has the money to service its debt but cannot access it. what i'm more concerned about is that t there are consequences that go beyond ukraine and russia. >> brennan: right. i mean, you have said that the crisis in ukraine could cause famine in africa, for example. you look at the wheat imports and the price spikes there. which countries around the world are you most concerned about? is this going to destabilize other governments? >> what we are most concerned about are the immediate neighbors of russia and ukraine, the republics, and the caucuses, because they have trade relations with both russia and ukraine, more than the rest of the world. and because of this
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outflow of people, the refugee wave in europe is of the order of magnitude of what happened in the second world war. so there the impact is most significant. beyond the immediate neighbors, t there are two groups of countries we're very worried about. the first group are countries that have yet to recover from the covid economic crisis. for them, this shock is particularly painful. and the second group of countries are those that are more dependent on energy imports from russia because there the impact on consumption, but also on inflation, is going to be more prominent. >> brennan: are we looking, because of the debt levels you talk about, the
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vulnerability -- are we looking at this as a potential of becoming a financial crisis for the rest of the world? >> for now, no. when you look at the total exposure of banks to russia, it is about $120 billion. not negligent, but definitely not systemically relevant. what we are seeing is while inevitably we're going to downgrade or growth projections for 2022, it is still going to be a positive growth rate. for countries that have been fast to recover from the covid crisis, like the united states, growth is robust. it is those that were falling behind where the impact is more severe. ad let me say this: yes, war in ukraine means hunger in africa.
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but war in ukraine also has social implications for many, many countries through the channels that are already demonstrably impactful: one, commodity prices, energy, grains, fertilizers, metals. o, i has on inflation, and in countries where inflation has already been high, it is dramatic -- >> brennan: like the united states? >> like the united states. and think of brazil, mexico. and, three, what do we do when we have to fight inflation? we tighten financial conditions. >> brennan: you've been working on emergency funding for ukraine. if that government falls, can russia seize that money if russia installs a puppet government in
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ukraine? can they get access to that money? >> we are thinking of our interactions with ukraine as being very productive. we have provided $1.4 billion in emergency financing into the ukrainian special account with the i.m.s. in other words, it is being drawn by the government of ukraine, and nobody else can touch it. and we see that the ukrainian authorities have been remarkable. margaret, we had negotiations on this $1.4 billion, and my staff tells me they can hear the air raid sirens, and yet work goes on. i have family in ukraine, and they tell me they can still pull money from banks, even in the city of kharkiv, which is the
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second largest heavily bombarded city. so bravo to the ukrainian authorities for what they do. >> brennan: director, thank you for your time this morning. >> thank you. >> brennan: we want to go to the chief economic advisor, and that's mohamed el-erian. who joins us from cambridge. good morning to you. >> good morning, margaret. >> brennan: in this country we saw yet another high, a 40-year high inflation. it is the fed's job to control that. what are you expecting? >> he doesn't have an easy decision. inflation is high and it will go higher because of what is happening in ukraine. basically they have got to make a choice: hit the brakes, regain credibility but risk a recession. or tap the brakes and we have an inflation problem going into next year. we're here because the fed is very late and has no
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good policy options. >> brennan: no god policy op -- no good policy options. goldman sachs upped their forecast of -- >> yes. they're thinking we're going to get seven hikes. and i don't think this economy can support seven hikes. if we do get seven hikes, the country will go into inflation. i expect what we'll here on wednesday is a 25 basis point rate hikes, and we will hear they will contract what has become a $9 trillion deficit. last week when we got this 7.9% inflation, the fed was still putting liquidity into this economy.
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>> brennan: mohamed, you have been a critic for some time. the white house this week is calling inflation a putin price hike. you were on this program back in december talking about how serious inflation was. where does the responsibility for this lie, exactly? >> so it lies in the circumstances. it lies in the fed being late and mischaracterizing inflation. until the end of november, they were calling it transitory. but also, to be fair to the administration, there will be a putin inflation component. i estimate at 7.9%, we will probably get very close or above 10% before we come down. and that difference will be all because of the disruption that putin's war implied for commodity prices. >> brennan: double-digit inflation -- when do you think we will see that?
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people are really feeling it now. >> the worst thing for us would be not only do we feel the high inflation, but we also feel income losses. that's why it is critical to avoid a recession. we can't avoid stagflation, lower growth, higher prices, but we certainly can avoid a recession and we can bounce back quickly. >> brennan: it is the fed's job to control inflation. the white house is saying both that it is not their fault but that they're doing something about it at the same time. are there political measures here that actually can be taken? >> there are, and they're stuck in congress. you can do more to increase labor participation so that wage pressure comes down. that is about child care and about easing people's way back into the labor force. you can do more to enhance productivity, and you can do more to remove supply bottlenecks. the administration has
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policies. lots of them are stuck in congress right now. >> brennan: when you talk about supply chain chainbottlenecks. in china, they enforced a new lockd lockdown. i don't want to overstate this, but how concerned should we be about this as a factor? >> we should because china is sticking to a zero covid policy. so they will have sequential lockdowns that will have spillovers to us. we can be in a good house, but we live in a really tough neighborhood, and that's why it is important to respond quickly. we can't fall behind again on policies. >> brennan: again on
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policies? so that's up to the fed. the treasury secretary is already saying we should expect 12 months of inflation. when can we play catch-up there and bring prices back down? or are these tools really out of the hands of policy-makers at this point? >> secretary yellen is correct, we'll have at least 12 months of uncomfortable inflation, something we haven't had since the '70s and '80s. it hits food and gas particularly hard. as to what we can do, we have to be really careful we don't get another wave of inflation due to what economists call deanchored inflation expectations. basically, it is a simple story. i, being the america work, will go in and ask for compensation for past inflation.
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and i will also ask for compensation for future inflation. if that happens, we have that awful wage price cycle. >> brennan: mohamed el-erian, thank you very much for your analysis this morning. and we will track what happens in the coming days. we'll be back in a moment.
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>> brennan: today marks two years since the start of a national emergency in the u.s. due to covid-19. earlier, we spoke with the chairman and c.e.o. of pfizer, albert bourla, about his book. inside pfizer's nine months race to make the impossible, possible. here is part of our conversation: do you think we will ever fall have to prepare ourselves for the booster shot for covid like a flu shot? >> i think so. varieties are coming. the first one we were able to evade, but also in all of the duration of the protection, it doesn't last very long. so what we're trying to do, and we're working very diligently to do, is to make a vaccine that will prevent against all
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variants, and also something that can protect at least a year. >> brennan: you think a fourth dose, a second booster, will be necessary? >> it is necessary, a fourth, a booster, right now. the protection from the third is good enough for hospitalizations and deaths. it is not that good against infections, but it doesn't last very long. we're just submitting that data to the f.d.a., and we'll see what the experts will say outside of pfizer. >> brennan: the question that was number one on my list, and i think for so many parents, is when will the vaccine be available for those children five and under? >> potentially may, if it works. and they will do their utmost to review them fast. and we'll be ready with manufacturing. >> brennan: you are a global corporation. how is the instability in europe right now, regarding russia and ukraine, impacting you? do you expect supply chain
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issues? >> no. we're very independent in terms of our supplying our ingredients from those parts of the world. we're not making over there medicines. we do make some medicines in russia for russia, but we do not export it. we do not expect to see in the world any disruptions, right now at least, because of this war. >> brennan: you don't plan, then, to divest from russia? >> every time you have bans or trade restrictions, it is about lives, and how can you say i'm not going to send cancer medicines to russians because of what they did? usually they're exempt from this, let's say, situations, but we are not planning to invest in russia. and we have very little investments there, frankly. >> brennan: what do you think, with the technology that pfizer used, and moderna, mrna technology, it is still new, and it seems like there are a lot of possibilities for where this could be used.
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what is the next solution around the corner? >> i would say that the lowest hanging fruit is other vaccines, how to use this technology to bring vaccines that we don't have right now, or they're not good enough. the flu is a good example. the flu vaccines are not that good. and the second is oncology, cancer. right now a lot of research is happening by trying to use-- train our immune system through mrna not to attack the virus, but to attack our cancer cells, to recognize them as an enemy and try to attack them. it will revolutionize the field if we're able to be successful with that. >> brennan: how far are you from that? >> i think there is so much work happening, even before the vaccines. we started with cancer in r.n.a., and we will know if we're successful i
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think in the next two, three years. >> brennan: our full conversation is available on our website and our youtube channel. we'll be right back.
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>> brennan: around the world, the moral outrage at the scenes and reports from ukraine are deafening, but that outrage has not dented vladimir putin's resolve. among the many atrocity last week, russia bombed a maternity hospital, as pregnant women tried to bring life into the world, and some lost theirs. others defied the odds. standing next to the american vice president, poland's leader said a line has been crossed, calling the attack an act of barbarity with the features of a genocide. vladimir putin has shown time and again he does not believe rules apply to them. the u.s. says he is now
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considering using chemical weapons. >> biden: russia will pay a huge price. >> brennan: president biden has drawn a bright line to say the u.s. will not use military force to stop russia from killing ukrainians. is there a level of catastrophe that might change his mind? vladimir putin has terrified european leaders who admit their past complacency may have emboldened him. britain's top diplomat. >> the invasion of ukraine is a powerful shift on the scale of 9/11. the era of complai has convinced germany to send weapons to the war zone, but that makes little difference to the 2.5 million ukrainians who fled their homes in the past two weeks and the more than 40 million still there. as ukrainians defy the odds on the battlefield, russia is estimated to
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have lost more soldiers in two weeks than the u.s. did in two wars, in iraq and afghanistan. now western leaders say they want russian mothers to stop putin. perhaps by losing more of their own sons, they'll protest, realizing that they no longer have anything else left to lose. that's it for us today. thank you for watching. until next week, for "face the nation," i'm margaret brennan. ♪♪ captioning sponsored by cbs captioned by media access group at wgbh (dr. david jeremiah) there may have never been another time in history when end times prophecy has been more aligned with the culture
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and circumstances of the world than it is today. i believe there are ten phenomenon we are witnessing today that were recorded centuries ago in bible prophecy. (male announcer) join dr. david jeremiah in his new series, "where do we go from here?" on the next episode of "turning point." right here on this station.
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connect to tv. i'm elise preston, cbs news, new york. ♪ ♪ news." good evening. thanks for joining us. the white house issued a new warning to russia today after waves of missiles struck a ukrainian military facility less than 15 miles from the border with poland, bringing the fighting ever closer to nato's borders. dozens of people were killed and more than a hundred were wounded. there was also heavy shelling northeast of kyiv. today, ukraine's president volodymyr zelenskyy visited soldiers at a hospital in the capital as russian forces advance on the city. among the war's casualties, american journalist brent renaud was killed when russian troops opened fire on his vehicle near


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