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UK economy dodges no-deal Brexit hit, for now

People walk through the Canary Wharf financial district of London
FILE PHOTO: People walk through the Canary Wharf financial district of London, Britain, December 7, 2018. REUTERS/Simon Dawson

March 22, 2019

By William Schomberg

LONDON (Reuters) – Britain’s economy has struggled beneath the weight of Brexit uncertainty for nearly three years, but many business leaders would probably be relieved just to have more of the same for the next few months.

The risk of a damaging no-deal exit by the world’s fifth-biggest economy from the European Union on March 29 has been averted by the reprieve granted to Prime Minister Theresa May by other EU leaders on Thursday.

But the possibility could return as soon as April 12. Or the delay could stretch into May or beyond, depending on the prime minister’s ability to break the Brexit impasse in parliament.

Employers took some comfort from the postponement, even if it did little to settle the wide range of Brexit outcomes that has led to many of them putting their expansion plans on hold.

“Businesses will accept a short extension because it’s a better alternative to no deal,” Seamus Nevin, chief economist at Make UK, an engineering trade group, said.

“But we really need to make decisions soon. Prolonged uncertainty just means the investment decline of recent months will continue and companies will be forced to decide whether to move production elsewhere.”

Carmakers have reduced expansion plans in Britain and many financial firms have set up operations in other EU countries.

Overall business investment fell throughout 2018, the longest such run since the global financial crisis, and another fall is expected in 2019, threatening to worsen the country’s weak productivity growth.

Britain’s economy lost momentum after the 2016 referendum decision to leave the EU.

The slowdown deepened last year as the Brexit deadline approached, with no guarantee of a transition to smooth the shock, but also reflecting the weakening of the world economy.

While Britain would bear the brunt of a no-deal Brexit hit, U.S. Federal Reserve Chair Jerome Powell has said it is a risk for the slowing U.S. economy, along with Washington’s trade war with China.

The shock would also be felt in Europe where Britain’s closest trading partners are struggling.

“It would be a material shock for the EU at a difficult time,” Brian Coulton, chief economist at ratings agency Fitch Ratings, said. “Among the things that could tip the euro zone into a recession, it might be a candidate.”

“NATIONAL EMERGENCY”

Even the strongest Brexit supporters say a no-deal divorce would deliver a shock. But they believe the economy would adjust and flourish once it is free of the constraints of EU rules and can strike its own trade deals around the world.

Gerard Lyons, a pro-Brexit economist, said weak business investment was a long-standing British problem, not just a Brexit one, and he pointed to strong jobs growth and tax revenues as a sign of underlying resilience in the economy.

While his preferred option was for Britain to leave EU with a transition and then hammer out a trade deal, he said a no-deal Brexit would not be a disaster because progress has been made to prepare Britain’s finance industry, ports and logistics.

“It’s like a kick in the groin. It depends how hard the other side wants to kick you, and how well you maneuver yourself,” Lyons said.

The Bank of England said on Thursday that about 80 percent of almost 300 companies it surveyed felt they were as ready as they could be for a no-deal, no-transition Brexit, up from 50 percent in January.

The BoE has said a worst-case no-deal Brexit scenario — in which Britain loses the confidence of global investors and chaos hits transport and ports — could mean that the economy is 5 percent smaller in three years’ time than if the country stayed in the EU.

A more managed no-deal Brexit could reduce the hit to about 2.5 percent, still a material hit at a time when the economy is struggling to grow by more than 1.5 percent a year.

Most economists say the higher the barriers for British firms to do business in the EU, the bigger the drag will be on economic growth stretching out into the decades ahead.

Any gains from free trade deals with countries such as China or the United States would be “relatively modest”, Britain’s independent budget forecasters have said.

It is small wonder therefore that many employers are hoping for a change of the Brexit plan, even if it means yet more sapping uncertainty.

“Our country is facing a national emergency,” the Confederation of British Industry, a major employers group, and the Trades Union Congress umbrella group said on Thursday in a rare joint letter to May, urging her to avoid a no-deal Brexit.

“The shock to our economy would be felt by generations to come.”

(Writing by William Schomberg; Editing by Toby Chopra)

Source: OANN

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Lawmakers Quit UK Labour Party Citing Takeover By Radical Left

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Mexico frees 6 water rights activists after years in prison

The Mexican government has freed six activists who fought to protect their community's water supply, acknowledging that their rights were "seriously violated" during more than a dozen years in jail.

The six activists from the town of Tlanixco had been sentenced to up to 50 years for the death of a Spanish flower grower. Tlanixco residents had claimed their drinking water supplies were being soaked up by commercial flower growers in a neighboring town.

Government authorities declined to continue fighting appeals by the six activists.

The government's top human rights official says President Andrés Manuel Lopez Obrador's administration is currently reviewing 538 cases involving people who may have been unfairly jailed. Alejandro Encinas said Thursday the pending cases often involve people fighting to defend water and land rights.

Source: Fox News World

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Watch: Joe Biden Jokes About Groping Scandal

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French finance minister criticizes reported pay deal for Airbus boss Enders

Airbus CEO Tom Enders attends Airbus's annual press conference on Full-Year 2018 results in Blagnac
Airbus Chief Executive Tom Enders attends Airbus's annual press conference on Full-Year 2018 results in Blagnac, near Toulouse, France February 14, 2019. REUTERS/Regis Duvignau

April 4, 2019

PARIS (Reuters) – French Finance Minister Bruno Le Maire on Thursday criticized a reported bumper pay deal for Tom Enders, the outgoing chief executive of planemaker Airbus.

“We’re talking about excessive amounts here,” Le Maire told BFM TV.

Le Monde newspaper earlier reported that Enders could get a golden parachute farewell pay deal worth 36.8 million euros ($41 million).

(Reporting by Sudip Kar-Gupta; Editing by Alexander Smith)

Source: OANN

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Chinese premier confident economy will meet annual growth target

Chinese Premier Li Keqiang attends a news conference following the closing session of the National People's Congress (NPC) at the Great Hall of the People in Beijing
FILE PHOTO: Chinese Premier Li Keqiang attends a news conference following the closing session of the National People's Congress (NPC) at the Great Hall of the People in Beijing, China March 15, 2019. REUTERS/Thomas Peter

April 13, 2019

By Alexandra Harney

SHANGHAI (Reuters) – China is confident that it will meet its 2019 economic growth target of six percent to 6.5 percent, premier Li Keqiang said on Friday.

Speaking at a summit between China and Central and Eastern European countries in the Croatian city of Dubrovnik, Li listed several positive indicators of economic activity and pledged to continue policies to help support growth.

Li said China would maintain the direction of its macroeconomic policies but would not move toward quantitative easing or flood the economy with bank bills.

A Reuters poll on Friday showed China’s economic growth is expected to slow to a near 30-year low of 6.2 percent this year, as sluggish demand at home and abroad weigh on activity despite a flurry of policy support measures.

(Reporting by Alexandra Harney; Additional reporting by Shanghai newsroom; Editing by Clarence Fernandez)

Source: OANN

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Beto O’Rourke, no longer the shiny new candidate, says he’s still ‘in a good place’

Beto O’Rourke isn’t the shiny new thing anymore in the race for the Democratic presidential nomination.

Indeed, the media spotlight and the momentum appear to have shifted in recent weeks to South Bend, Ind., Mayor Pete Buttigieg, whose candidacy has surged over the past month.

O'ROURKE CONFRONTED AT TOWN HALL

But O'Rourke, a former three-term congressman from El Paso, Texas, says he's not fretting.

“I feel great,” he told Fox News on Thursday. “I feel like we’re in a good place.”

He added: “I think more than any other candidate, we’ve been showing up answering questions. I think we’ve answered nearly 600 questions so far in a little bit more than a month. Have visited more communities. That’s what I want to do. That’s democracy.”

O’Rourke spoke with Fox News during stops in Derry and Concord, N.H., making his second trip since launching his campaign to the state with the first primary in the race for the White House.

THE LATEST 2020 REPORTS FROM FOX NEWS

O’Rourke was soaring in the polls and was posting eye-popping fundraising figures as he basked in generous media attention and large crowds on the campaign trail in the weeks after he declared his candidacy in last month.

But even if the sheen has diminished to some degree, O’Rourke remains a draw on the campaign trail. Derry’s Grind Rail Trail Cafe was packed with voters eager to get a look at the former congressman, who nearly upset Republican Sen. Ted Cruz of Texas last year. And a crowd of a couple of hundred watched him at Gibson’s Bookstore in Concord, a key stop for Democratic White House hopefuls.

“We show up for everyone. We take no one for granted,” he told the audience.

In an interview after the event, O’Rourke pointed to the calendar, emphasizing that “we’re still roughly 10 months out from the first votes being cast. And that’s a lot of time, a lot of miles, a lot of hours, a lot of town halls, a lot of questions, and I’m up for it and I’m looking forward to it.”

He discounted early polling, saying, “I just am not concerned about, nor am I following, the polls. You may know that throughout the Senate campaign we never hired a pollster or participated in a focus group.”

O’Rourke raised more than $9 million in the 18 days from the launch of his campaign through March 31, which was the end of the first quarter of fundraising. Asked if he can keep up that pace in the second quarter, he noted that “there are more people who have given to us (in last year’s Senate campaign) that can give for the first time in this race, or who can give additional amounts. I think that speaks to our ability for capacity and pace.”

He said he'll tap his nascent campaign war chest to increase staff in New Hampshire and other early-voting states, and “use that money doing what we’re doing here, ensuring that we have an ability to show up everywhere, in every part of every state that we go to.”

BIDEN JOINS STRIKING UNION MEMBERS AS 2020 SPECULATION MOUNTS

O’Rourke’s trip to the Granite State came days before a likely presidential announcement by onetime Vice President Joe Biden.

O’Rourke said Biden “would be a great addition to an already outstanding field of Democratic contenders. He certainly brings something to the conversation, to the debates.”

Ahead of O'Rourke's arrival in New Hampshire, the Republican National Committee painted him as one more too-liberal Democrat supporting fringe proposals.

"Beto’s socialist schemes would kill jobs, hike taxes and reverse our country’s roaring economic success," RNC spokesperson Mandi Merritt told Fox News.

Source: Fox News Politics

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FILE PHOTO: The logo of the OPEC is seen at OPEC's headquarters in Vienna
FILE PHOTO: The logo of the Organisation of the Petroleum Exporting Countries at OPEC’s headquarters in Vienna, Austria December 5, 2018. REUTERS/Leonhard Foeger/File Photo

April 26, 2019

JOINT BASE ANDREWS, Md. (Reuters) – U.S. President Donald Trump said on Friday he called the Organization of the Petroleum Exporting Countries and told the cartel to lower oil prices.

“Gasoline prices are coming down. I called up OPEC, I said you’ve got to bring them down. You’ve got to bring them down,” Trump told reporters.

(Reporting by Roberta Rampton; Writing by Makini Brice; Editing by Chizu Nomiyama)

Source: OANN

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Sonia Bompastor, director of the Olympique Lyonnais womenÕs Youth Academy, leads a training at the OL Academy near Lyon
Sonia Bompastor, director of the Olympique Lyonnais womenÕs Youth Academy, leads a training at the OL Academy in Meyzieu near Lyon, France, April 16, 2019. REUTERS/Emmanuel Foudrot

April 26, 2019

By Julien Pretot

MEYZIEU, France (Reuters) – Olympique Lyonnais president Jean-Michel Aulas was wringing out his women’s team shirts in the locker room on a rainy London day eight years ago when he decided it was time to take gender equality more seriously.

It was halftime in their Champions League semi-final second leg against Arsenal at Meadow Park with 507 fans watching and Aulas realized that his players did not have a another kit for the second half.

“Next time, there will be a second set just like for the men, that’s how it’s going to work from now on,” he said.

Lyon have since won five Champions League titles to become the most successful women’s team in Europe and recently claimed a 13th consecutive domestic crown.

They visit Chelsea on Sunday in the second leg of their Champions League semi-final, with a fourth straight title in their sights.

At the heart of their achievements is a pervasive ethos that promotes gender equality throughout the club, starting in the youth academy.

In 2013, Aulas appointed former Lyon and France player Sonia Bompastor as head of the Women’s Academy — the female equivalent of one of France’s top youth set-ups that has produced players such as Karim Benzema, Alexandre Lacazette and Hatem Ben Arfa.

At the Youth Academy, girls and boys share the same facilities.

“Pitches, physiotherapy rooms are the same for all,” the 38-year-old Bompastor told Reuters.

As the girls train under the watch of former Lyon and France international Camille Abily, the screams of the boys practicing can be heard nearby.

The boys and girls also benefit from the same psychological support that includes hypnosis sessions and yoga.

“We have a ‘mental ability’ cell and the hypnotist acts on the girls’ subconscious, on their deeply held beliefs after observing them on and off the pitch,” Bompastor added.

SAME TREATMENT

One message the Academy staff are trying to convey is that girls are as good as boys.

“Women’s nature is such that we have low self-esteem. So self-esteem is a big topic for our girls,” said Bompastor.

This is not the case with the boys, she added.

“Some 14, 15-year-old boys still think they would beat our professional players, we tell them this would not be happening. We still need to work on those beliefs,” she said.

Female players also have to face questions that their male counterparts do not, Bompastor explained.

“In France there is a problem with the way women are considered, there are high aesthetic expectations. So we get heavy questions on femininity, intimate questions that men don’t get,” she said.

OL’s Academy has been held up as a shining example for others to follow, even in the U.S., where women’s soccer has a wider audience than in Europe.

“About one third of the (senior women’s) squad comes from the Academy, we have a good balance,” said Bompastor.

“I’m getting tons of requests from American universities and foreign clubs, who want to come and visit our facilities.”

‘ONE CLUB’

The salaries of the senior players is one area where there remains a large discrepancy between Lyon’s men’s and women’s teams.

While the three best-paid women players in the world are at Lyon with Ballon d’Or winner Ada Hegerberg earning 400,000 euros ($445,520) a year, this figure is dwarfed by the around 4 million euros earned annually by men’s player Memphis Depay.

There is, however, a level of interaction between the men’s and women’s players that is not present at many other clubs.

“When you talk about OL you talk about women and men, you talk about one club and you feel it when you are here or outside in the city,” Germany defender Carolin Simon told Reuters.

“We see it when we play in the big stadium. It’s not ‘normal’ for women’s football,” the 26-year-old, who joined the club last year, added.

Lyon’s female players also enjoy respect from their male counterparts, Simon said.

“It’s very cool, it’s a big honor to feel that it doesn’t matter if you are a professional man or woman. We talk with the men, there are handshakes, it’s a good atmosphere and it’s also why we are successful,” said Simon.

“The men respect us and it’s not just for the cameras.”

Her team mate, England’s Lucy Bronze, sees the men’s respect as key to improving women’s football.

“We might not be paid the same but they are just normal with us, they see us as footballers the same as they are,” Bronze told Reuters.

“Being at Lyon has really opened my eyes. To improve women’s football, it starts with having the respect of your male counterparts. It’s the biggest thing because they can influence so many people.”

(Reporting by Julien Pretot; Editing by Toby Davis)

Source: OANN

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FILE PHOTO: Ethiopian migrants, stranded in war-torn Yemen, sit on the ground of a detention site pending repatriation to their home country, in Aden, Yemen
FILE PHOTO: Ethiopian migrants, stranded in war-torn Yemen, sit on the ground of a detention site pending repatriation to their home country, in Aden, Yemen April 24, 2019. REUTERS/Fawaz Salman/File Photo

April 26, 2019

GENEVA (Reuters) – Yemeni authorities have rounded up about 3,000 irregular migrants, predominantly Ethiopians, in the south of the country, “creating an acute humanitarian situation,” the U.N. migration agency said on Friday.

“IOM is deeply concerned about the conditions in which the migrants are being held and is engaging with the authorities to ensure access to the detained migrants,” the International Organization for Migration said.

The migrants are held in open-air football stadiums and in a military camp, it said in a statement.

The detentions began on Sunday in the city of Aden and the neighboring province of Lahj, which are under the control of the internationally recognized government backed by Saudi Arabia and the United Arab Emirates. Iran-aligned Houthi rebels control Sanaa, the capital, and other major urban centers.

Both sides are under international diplomatic pressure to implement a United Nations-sponsored ceasefire deal agreed last year in Sweden and to prepare for a wider political dialogue that would end the four-year-old war.

Thousands of migrants arrive in Yemen every year, mostly from the Horn of Africa, driven by drought and unemployment at home and lured by the wages available in the Gulf.

(Writing by Maher Chmaytelli, Editing by William Maclean)

Source: OANN

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U.S. dollar notes are seen in this picture illustration
U.S. dollar notes are seen in this November 7, 2016 picture illustration. Picture taken November 7. REUTERS/Dado Ruvic/Illustration

April 26, 2019

(Reuters) – Following are five big themes likely to dominate thinking of investors and traders in the coming week and the Reuters stories related to them.

1/DOLLAR JUGGERNAUT

The dollar has zipped to near two-year highs, leaving many scratching their heads. To many, it’s down to signs the U.S. economy is chugging ahead while the rest of the world loses steam. After all, Wall Street is busily scaling new peaks day after day.

Never mind the cause, the effect is stark. The euro has tumbled to 22-month lows against the dollar and investors are preparing for more, buying options to shield against further downside. Emerging-market currencies are also in pain, with Turkish lira and Argentine peso both sharply weaker.

Now U.S. data need to keep surprising on the upside or even just meet expectations. The International Monetary Fund sees U.S. growth at 2.3 percent this year. For Germany, the forecast is 0.8 percent. The U.S. economy’s rude health has given rise to speculation the Fed might resume raising interest rates. Unlikely. But as other countries — Canada, Sweden and Australia are the latest — hint at more policy easing, there seems to be one way the dollar can go. Up.

(GRAPHIC: Dollar outperforms G10 FX – https://tmsnrt.rs/2Dz17S5)

2/FED: UP OR DOWN?

Wall Street is near record highs and recession worries are receding, so as we mentioned above, investors might wonder if the Federal Reserve will start raising rates again.

Such a pivot is unlikely after the Fed killed off rate-rise expectations at its March meeting. And the latest Reuters poll all but puts to bed any risk of rates will go up this economic cycle, given inflation remains below the Fed’s alarm threshold and unemployment is the lowest in generations.

Before the March rate-pause announcement, a preponderance of economists penciled in one or more increases this year. But that has flipped. A majority of those surveyed April 22-24 see no further tightening through December and more are leaning toward a cut by the end of next year.

Indeed, interest rate futures imply Fed Funds will be below the current 2.25-2.50 percent target range by this December.

Recent positive consumer spending and exports data have eased market concerns of a sharp economic slowdown. But inflation probably needs to run hot for a long period to panic policymakers off their wait-and-see course.     

(GRAPHIC: Federal funds and the economy – https://tmsnrt.rs/2DzjTZz)

3/HEISEI TO REIWA

Next week ends three decades of Japan’s Heisei era. Heisei, or Achieving Peace, began in 1989 near the peak of a massive stock market bubble and closes with the country trapped in low growth, no inflation, and negative interest rates.

The new era that dawns on May 1 is called Reiwa, meaning Beautiful Harmony. It begins when Crown Prince Naruhito ascends the Chrysanthemum Throne. But do investors really want harmony? What they want to see is a bit of economic growth and inflation to shake up the status quo.

The Bank of Japan’s stimulus toolkit to revive a long-suffering economy is anything but harmonious and yet it’s set to stay. The central bank confirmed recently rates will stay near zero for a long time. But the coming days may not be harmonious or peaceful for currency markets. A 10-day Golden Week holiday kicks off on April 29 and investors are fretting over the risk of a “flash crash” – a violent currency spasm that can occur in times of thin trading turnover.

The year has already seen two yen spikes and many, including Japan’s housewife-trader brigade – so-called Mrs Watanabes – appear to have bought yen as the holiday approaches. Their short dollar/long yen positions recently reached record highs, stock exchange data showed.

(GRAPHIC: Japan stocks: from Hensei to Reiwa – https://tmsnrt.rs/2W6a7Fe)

4/EARNING TURNING

Quarterly earnings were supposed to be the worst in Europe in almost three years, but with a third of results in, things are looking a little rosier.

Two-thirds of companies’ results have beat expectations, and they point to earnings growth of 4.5 percent year-on-year. Financials have delivered the biggest surprises, according to analysis by Barclays.

That might just show how low expectations were. In fact, analysts are still taking a red pen to their estimates.

The latest I/B/E/S data from Refinitiv shows analysts on average expect first-quarter earnings-per-share for STOXX 600-listed companies to fall 4.2 percent. That would be their worst quarter since 2016 and down sharply from an estimated 3.4 percent just a week earlier.

Those estimates may end up being a little too bearish as earnings season goes on, quelling worries that Europe is heading toward a corporate recession.

GSK and Reckitt Benckiser will give the market a glimpse of the health of the consumer products market and spending on everything from toothpaste, washing powder and paracetamol.

(GRAPHIC: Earnings forecasts – https://tmsnrt.rs/2DuO2ZF)

5/WAITING FOR THE OLD LADY

Sterling has gone into the doldrums amid the Brexit delay and unproductive talks between the UK government and the opposition Labour party on a EU withdrawal deal. The resurgent dollar, meanwhile, has taken 2 percent off the pound in April. It is unlikely the Bank of England will be able to rouse it at its May 2 meeting.

Despite robust retail and jobs data of late, the economic picture is gloomy – 2019 growth is likely to be around 1.2 percent, the weakest since 2009, investment is down and Governor Mark Carney says business uncertainty is “through the roof”.

Indeed, expectations for an interest rate increase have been whittled down; Reuters polls forecast rates will not move until early 2020, a calendar quarter later than was forecast a month ago. The hunt for a new governor to replace Carney in October adds more uncertainty to the mix.

The recent run of UK data has fueled hopes of economic rebound. That’s put net hedge fund positions in the pound into positive territory for the first time in nearly a year. The Old Lady of Threadneedle Street might temper some of that optimism.

(GRAPHIC: Sterling positions – https://tmsnrt.rs/2XJwUXX)

(Reporting by Alden Bentley in New York, Vidya Ranganathan in Singapore; Karin Strohecker, Josephine Mason and Saikat Chatterjee in London; compiled by Sujata Rao; edited by Larry King)

Source: OANN

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Democratic presidential candidate Elizabeth Warren suggested that doctors and nurses don’t treat African American women the same way they do white women.

Warren appeared on Wednesday together with a number of other 2020 Democratic candidates at the She The People Forum in Houston, discussing issues concerning women of color.

WARREN’S $1.25T EDUCATION PLAN ‘SWEEPING’ GIVEAWAY TO THE WEALTHY AT EXPENSE OF THE POOR, WAPO EDITORIAL BOARD SAYS

The Massachusetts senator announced on stage a plan to decrease the childbirth mortality rate among black women while identifying a systematic problem with how they are treated.

“And there is a specific problem, as you rightly identified, for women of color who are three, four times more likely to die in childbirth,” Warren said.

“And here’s the thing, even after we do the adjustments for income, for education, this is true across the board. This is true for well-educated African American women, for wealthy African American women, and the best studies that I’m seeing put it down to just one thing, prejudice,” she added.

“That doctors and nurses don’t hear African American women’s medical issues the same way that they hear the same things from white women.”

“That doctors and nurses don’t hear African American women’s medical issues the same way that they hear the same things from white women.”

— Elizabeth Warren

CHARLIE KIRK: WARREN AND OTHER DEMS OFFER FREE MONEY – BUT DON’T TELL YOU PRICE WILL BE YOUR FREEDOM

Warren went on to get into details of her plan, noting that hospitals will be given bonuses if they manage to reduce the childbirth mortality rate among black women in an effort to give financial incentives for those doctors and nurses to provide better care.

“And if they don’t, then they’re going to have money taken away from them,” Warren added.

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“I want to see the hospitals see it as their responsibility to address this problem head-on and make it a first priority. The best way to do that is to use the money to make it happen because we gotta have change, and we gotta have change now.”

Source: Fox News Politics

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