Billionaire Carl Icahn warns of 'danger ahead' for US economy - USA TODAY

We're losing our hegemony. Some Other economists get known as regarding corporate taxes being lowered a lot more permanently.

In your 15-minute video, Icahn callsfor taxes to be lowered for corporations as well as raised with regard to hedge fund managers.He in addition reiterates his previouswarningthat rates of interest hoovering near zero are creating investment bubbles inside real estate, art, corporate earningsand high-yield bonds.

"I don't think one other guys understand the main problems we face," Icahn stated involving of presidential contenders. Trump has additionally stated however recruit Icahn to negotiate together with China.

*Interest prices are usually as well low: Icahn said he agrees withcritics who have tied themortgage meltdown of 2008 to the low interest rates which proceeded it. economy in which in addition advocatesTrump because the best candidate to correct the particular nation'sproblems.

NEW YORK Billionaire investor Carl Icahn could have said zero to end up being able to getting Donald Trump's Treasury secretary, nevertheless he's not ready to give up your nationalstage.

In a occupation interview together with USA TODAY, Icahn stated he created the video to highlight the actual "dysfunction" throughout corporate America as well as on Capitol Hill. Treasury. Inever could happen to always be able to be this productive in every other nation inside the world. "Iwant to see this dysfunctionobliterated so we obtain stuff done inside Congress," said the billionaire,known pertaining to pushing his agenda in particular publicly traded companies, includingApple, Yahoo and Motorola.

*Corporate taxes are usually also high: Icahn sayshe desires Congress figure out a approach to incentive companies for you to bring back the $2.2 trillion inside cash they will haveoverseas.It's a concern some policymakers have got argued might be dealt withthrougha tax holiday.Such the holiday wouldforgive either most or a portion associated with $770 billion inside taxes that will well be owed as well as benefit the slew of tech companies, including Apple among Icahn's largest investments. He mentioned your merger boom is actually leading to false growth by simply companies. "Igrewup on the streets within Queens (N.Y.). In case these were taxed with ordinary income, they will could have for you to spend up to39.6%.

Icahn has said he he cannot be Trump's Treasury secretary while he provides "a day job." Nevertheless he told USA TODAY he is open up tohelping Trump inside additional ways if Trump wins your White Residence inside 2016."I'd always be happy to assist him throughout in whatever way Icould," Icahn said."I'm thought of as a good negotiator."

In July, Trump toldMSNBC'sMorning Joetelevision demonstrate that he'd "love in order to deliver my buddy Carl Icahn" upon as head of the U.S. I hate to determine it go on the tubes andthat's what's sort of happening. "It's like steroids," he was quoted saying of the rise throughout acquisitions.



In an infrequent transfer even with an investor thus accustomed for the public spotlight the actual founder and chairman regarding $8.5 billion Icahn Enterprises has produced any video warning involving "danger ahead' for the U.S. Organizations are utilizing the bucks they've raised from junk bonds to buy companies these people couldn't otherwise afford, he said. Lending standards have since been tightened, however Icahn stated he still fears that historically a reduced curiosity rate rates, that now hover near zero, are creating asset bubbles throughout some other areas, which includes high-yield bonds.

*M&A bubble: Icahn mentioned an upswing ofjunk bonds will be adding to anartificialmerger boom. "The middle-class investorhasnowhere to go with their money however to the (stock) market, as well as even more concerning, high-yield bonds, which are very risky," Icahn stated in the video, which may be posted about his web site CarlIcahn.com.

Follow USA TODAY enterprise reporter Kaja Whitehouse on Twitter @kajawhitehouse

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*Hedge fund managers don't spend enough throughout taxes: Icahn stated he agrees with Trump in which Congress should shut a new tax loophole that enables hedge fund managers and other skilled investors for you to reap the actual rewards of lower tax rates on earnings.Under the existing system, hedge fund managers obtain paid out the part involving earnings that they earnfor clients, that are taxed as capital gains, or about 23.8%. Ireally think it."

CNBC's Scott Wapner moderates the Alpha Debate: Activism panel with Carl Icahn, Chairman, Icahn Enterprises in the 5th annual CNBC Institutional Investor Delivering Alpha Conference on Wednesday, July 15, 2015(Photo: Heidi Gutman, CNBC)

Here's a new set of some of Icahn's leading economicconcerns:

Icahnsaid he thinks Trump who he sparred using within 2010 more than a new casinois the best candidate to correct the dysfunction.

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