This is how Jamie Dimon would fix income inequality

In an exclusive interview at the launch of the Chicago Entrepreneurs of Color Fund, JPMorgan Chase CEO Jamie Dimon tells CNN's Christine Romans that he would implement a negative income tax and declare a national emergency on infrastructure and education.

Posted: Jul 24, 2018 6:02 AM
Updated: Jul 24, 2018 6:18 AM

JPMorgan Chase CEO Jamie Dimon is worried the economy's momentum could be derailed by President Donald Trump's trade wars.

"If you do another $200 billion of tariffs and this national security thing about cars, I think that you're getting pretty close to reversing some of the benefits you've seen in the economy," Dimon told CNNMoney's Christine Romans.

Trump has announced pending tariffs on Chinese goods worth $200 billion, as well as potential tariffs on imports of autos and auto parts.

Dimon is probably America's most influential bank CEO. He is the longest serving chief executive on Wall Street and heads the powerful Business Roundtable. Dimon spoke with CNNMoney last Thursday in an interview that touched on trade, education, immigration and Trump.

On China, Dimon said, Trump has "raised serious issues that are pretty accurate." But his tactics pose risks, and have the potential to dial back gains from corporate tax cuts, he said.

"I would remind folks that the president's team has already said, 'There will be no retaliation.' They've already been wrong," Dimon said. "If I was the president, I'd be a little ticked off at some of my advisers, to tell you the truth."

On trade: 'Our next step' is not clear

Dimon said it's too early to know whether tariffs will undo the economy's gains, but that such a reversal is "possible."

Earlier this year, the United States imposed steep tariffs on steel and aluminum imports, angering allies such as Canada, Mexico and the European Union, which retaliated with tariffs of their own. The United States and China have swapped tariffs on billions of dollars of each other's goods, and Trump is threatening to strike again at even more Chinese exports.

Dimon said issues like Chinese intellectual property theft would have been better addressed by forming a "common front" with US allies such as Mexico, Canada, Europe and Japan.

"Now we have a little bit of a trade war, [a] trade skirmish — however you want to define it — with all our allies and China," he said. "That's complex. It raises the uncertainty a little bit."

While China will probably stick to "measured, tit-for-tat retaliation," it's not clear what the United States will do next, Dimon added.

"I just don't know what our next step is going to be," he said. "We're all anxiously waiting to see."

Dimon also said he wants the United States to wrap up negotiations on the North American Free Trade Agreement.

"We want NAFTA done," he said. "To be torturing Mexico in this way, in my opinion, is dead wrong, and it should be fixed."

On immigration: Worried about the brain drain

Dimon reiterated his support for DACA, the Obama-era program that allowed undocumented immigrants brought to the United States as children to live and work domestically without fear of deportation.

"Most Americans like the immigrants they know, who help them and work with them," he said. "We need the jobs."

He also expressed concern about a US brain drain. Foreign nationals who go to college or graduate school in the United States should be awarded green cards after graduation, Dimon said.

"In Toronto, Vancouver, they're saying, 'We'll take them all,'" he said. "So you have these new research centers, new AI centers, and new [engineering] and design centers that are being built in Vancouver and Toronto, and not in Seattle. That can't be smart."

On infrastructure and education: 'Declare an emergency'

The United States remains the best place in the world to do business, Dimon said. But he believes the country has lost its way on infrastructure and education.

"We have a national emergency in inner city schools," Dimon said, adding that he would "do infrastructure and education like World War II" and "declare an emergency."

"It isn't like we haven't been trying a little bit, but we need success at this point," he said.

In recent years, JPMorgan has focused a good chunk of its giving on economic development in underserved communities.

On Thursday, the bank announced that it would invest $4 million to provide minority entrepreneurs on Chicago's South Side and West Side with the money and resources necessary to get their businesses off the ground, replicating funds the company set up in Detroit, San Francisco and New York City.

"We know what to do, and we have to do more of it," Dimon said.

On Trump

Dimon said he doesn't agree with all the president's policies, but believes he has an obligation to engage. "You can't take yourself off the playing field," he said.

Businesses can work with an administration without supporting all its policies, he added.

"I think it's a mistake to say that because business is trying to work with government that they're supporting every policy of the government," he said. "That just is not true."

Indiana Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 31715

Reported Deaths: 1984
CountyConfirmedDeaths
Marion9189533
Lake3299167
Cass15826
Allen127766
St. Joseph117034
Hendricks112367
Hamilton109992
Johnson1082104
Elkhart100827
Madison58258
Porter48721
Bartholomew48033
Clark45838
LaPorte40821
Tippecanoe3733
Jackson3611
Howard35618
Delaware35434
Hancock31927
Shelby31421
Floyd31338
Boone28235
Morgan26124
Vanderburgh2482
Montgomery22717
White2268
Decatur22431
Clinton2151
Noble18520
Grant18520
Harrison18521
Dubois1822
Greene16723
Warrick16426
Dearborn16221
Monroe16010
Henry1597
Vigo1477
Lawrence14322
Miami1391
Putnam1337
Jennings1274
Orange12422
Scott1183
Ripley1126
Franklin1068
Carroll922
Kosciusko861
Daviess8216
Steuben792
Newton7410
Wabash722
Wayne695
Fayette654
Marshall641
LaGrange602
Jasper561
Washington521
Fulton471
Rush452
Jay430
Jefferson411
Randolph403
Pulaski390
Clay391
Whitley392
Brown331
Sullivan321
Starke313
Owen311
DeKalb291
Perry270
Huntington262
Benton250
Knox240
Crawford230
Wells230
Tipton221
Blackford201
Switzerland190
Fountain182
Parke170
Posey170
Spencer161
Gibson142
Ohio130
Adams121
Warren121
Vermillion90
Martin90
Union80
Pike60
Unassigned0152
West Lafayette
Clear
78° wxIcon
Hi: 87° Lo: 69°
Feels Like: 80°
Kokomo
Clear
76° wxIcon
Hi: 88° Lo: 66°
Feels Like: 76°
Rensselaer
Scattered Clouds
72° wxIcon
Hi: 87° Lo: 65°
Feels Like: 72°
Fowler
Scattered Clouds
72° wxIcon
Hi: 84° Lo: 66°
Feels Like: 72°
Williamsport
Clear
73° wxIcon
Hi: 87° Lo: 67°
Feels Like: 73°
Crawfordsville
Clear
70° wxIcon
Hi: 85° Lo: 68°
Feels Like: 70°
Frankfort
Scattered Clouds
74° wxIcon
Hi: 87° Lo: 67°
Feels Like: 74°
Delphi
Clear
75° wxIcon
Hi: 86° Lo: 67°
Feels Like: 75°
Monticello
Clear
75° wxIcon
Hi: 89° Lo: 66°
Feels Like: 75°
Logansport
Scattered Clouds
73° wxIcon
Hi: 86° Lo: 66°
Feels Like: 73°
Some more storms ahead....
WLFI Radar
WLFI Temps
WLFI Planner

COVID-19 Important links and resources

As the spread of COVID-19, or as it's more commonly known as the coronavirus continues, this page will serve as your one-stop for the resources you need to stay informed and to keep you and your family safe. CLICK HERE

Closings related to the prevention of the COVID-19 can be found on our Closings page.

Community Events