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Welcome to another edition of the Chicks
on the Right podcast, where we talk

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to our friend and sponsor of the
show, Zach Abraham from Bulwart Capital Management,

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about all the craziness going on in
the world in the economy right now.

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And one of the crazy things that's
going on, Zach is that McDonald's

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Starbucks home depot they have all announced
like way lower than expectation results and Red

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Lobster filing for bankruptcy. What do
you make of this and who is net

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done done? Yeah, yeah,
you know it. Really it's harder to

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predict that in this environment than I
think any other environment before, because it

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really is a tale of two cities. Right If you have exposure to you

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know, federal spending in any way, shape or form, you're probably in

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great shape. But I mean,
you could go down through the Russell two

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thousand index right now and you could
just look at a balance sheet and I

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could look at the term expirations,
so like look at when their debt's expiring,

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and if their debt a lot of
those companies, you can look at

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it and go if they're debt expires
anytime in the next six today months,

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if rates are anywhere near here they're
done. Oh my god. Yeah,

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So I mean it's bad. Yeah, it is, it is, And

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I don't have any names off the
top of my head, but you just

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have a lot of there's a lot
and this is always this was always gonna

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happen. When you have a period
of sustained low interest rates, you're gonna

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obviously wind up compiling a lot of
debt and a lot of weak things that

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should go under don't, right,
And so it is bad. And when

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I say should go under, I
don't like it when companies default, But

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companies that are not producing enough value, right, which an easy way to

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tell that is if they can't pay
to service their own debt. Right,

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it means that they're whatever products they're
offering aren't bringing them a value to the

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marketplace. And so getting rid of
the weaker ones is actually good for the

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overall environment. Right, It's like
kind of liked. And that's one of

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the deleterious impacts of low interest rates
is it allows weak to live, which

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sucks away from productive companies, right, adds unneeded you know, wage competition

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and different things like that. So
it's it's not all bad. But when

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you sit back and take a look
at it. You know we were talking

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about in our investment meeting this morning. You've got growth cryptal or clicking along

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right now at about three percent.
When you consider the deficits we're running,

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that's actually really good. Yeah,
it's like compare and contrast these companies though,

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that are going to like crash and
burn to our government, which will

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never they'll never understand what that's like. Like I feel start like I feel

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bad because I'm like, oh,
Red Lobster, you know, it's like

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and that sucks that they are.
They're going bankrupt, But that's it's a

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terrible thing because we grew up with
that name, right, It's one of

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those things that we grew up with. But at the same time, I'm

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like, they're going bankrupt because as
they couldn't hack it in this market,

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whereas if you can parent, contrast
that to our government, which just keeps

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going, well, we'll just take
more money from people who need to pay

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their fair share. I wish people
would get the comparison, you know what

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I mean, because they'll never understand
what it's like to be in there.

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The government won't. They'll never understand
what it's like to be in the free

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market and I wish that our government
would There's a part of me that's like,

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I wish they would understand what it's
like to crash and burn, because

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then maybe they'd stop taking money from
all of us, you know what I

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mean, and doing it at a
rate that just keeps going like this.

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You know, yeah, well,
I mean. The other thing that's really

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interesting too, is that when you're
printing as much as we are, right,

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why why are you talking about raising
taxes? You know what I mean,

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canny not talking about it, bragging
about it, right, yeah,

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waking about raising taxes because you can't
control your spending and you're printing. And

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this is one of the things we
were talking about last week. Does a

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government need to bring in tax revenue? Of course, okay, But when

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you go off the point where you're
no longer linked to a commodity like gold,

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you're not a old back currency anymore, and you're a fiat currency,

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the analogy we use. So we
went off the gold standard in seventy one,

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but there's so much muscle memory.
Nobody in seventy one really realized what

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that meant, right, because no
major power had ever been completely fiat before.

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Right, certainly know what was considered
a reserve currency. It was always

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backed by gold, so nobody really
knew. And so the analogy we've used

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is sort of like an elephant.
If you take a baby elephant and you

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put a cuff round its leg and
you steak put a steak in the ground,

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you can use that as a tether, right, because baby elephant isn't

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strong enough to pull the steak out
of the ground. Well, by the

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time the elephants an adult, you
can still use that steak to control them,

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Like, they'll stay there because it's
trained in their head. Right.

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So even though we went off the
gold standard in seventy one, people were

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still worried about deficits. Guys still
went out of office i e. Jimmy

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Carter for running up inflation and not
being careful about spending. Right, it's

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still mattered. Well, what's interesting
about the last ten years is the elephant

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pulled the stake out of it,
right, so they know that they they're

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completely non constrained now, right,
and they're gonna spend and spend and they're

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gonna print, they're gonna fill in
together. Well, if that's what you're

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doing, why are you? Why
are you? Why are you charging taxes

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anyway, right, whatever the deficit
is, you're just gonna fill in the

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gap with printed money. So why
are we still paying taxes? Such a

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great point. Yes, you know, and this is this is why I'm

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telling people like, brace yourself.
It's gonna get way crazier because once that

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elephant, right, what is the
elephant not done yet? He hasn't knocked

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down the circus, but he's going
to. You can find out lots of

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stuff like this from your seminars that
you do and from your website and from

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your radio show. Tell people how
to find you. Now you can go

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to Bordcapitoalmanagement dot com. Sign up
for it. It's free, no obligation.

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People aren't gonna call you if you
want to meet with me or speak

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to me or an advisor. After
that we can get you hooked up.

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But it's a great way to educate
yourself on what we do and how we

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do it, and with no obligation. So hopefully uh yeah, and learn

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how to keep you more of your
radio dot com Know your risk radio dot

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com? Right, Thank you lady. That investment advisory service is offered through

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