Speaker 1: Welcome to another episode of the Chicks on the Right podcast,
where we welcome our friend and sponsor of the show,
Zach Abraham from Bulwart Capital Management, to talk to us
about the economy and money. And I guess somebody recently,
according to Yahoo Finance, somebody did a chat GPT exercise
where they asked what would happen if regular Joe Schmoe
families across the country could write off life expenses in
much the same way that corporations get to write off
like everything, and so, of course the answer was, well,
middle class families would save a ton of money, but
the government would take in less revenue. So was this
a pointless exercise? Or do you think the tax code
could and should be adjusted to make wealth like the
wealth gap shrink a little bit?
Speaker 2: And do you think taxation is theft? Do you think
it's theft to discuss?
Speaker 3: Yes, I too, So I guess the better way to
put it would be do I feel like it stuffed?
Speaker 4: Versus do I think it stuff?
Speaker 3: Because those are two, So I look, I think one
of the tough one of the best ways to frame
a discussion about taxes and it first of all, it
requires nuance because regardless of what plan we come up with,
somebody's got to send a check to the government.
Speaker 5: Right.
Speaker 3: And so it's like saying it was the best root
canal I ever had, right.
Speaker 4: I mean, you know what I mean, it's make it
the least.
Speaker 3: Painful, right, Like, that's a good one. And so taxes
are like that too. So then you kind of sit
back and you start taking kind of a bigger look
at least this is what I've done in my life,
and gone, wait a second, what makes the most sense? Right?
And first I'm drawn to something like a flat tax
because it's fair, right. The only issue I have with
that is, in a way it's not because what that
means is that everybody else will be paying a much
larger percentage of their income for basic goods than somebody
like me would pay, right, or like even more so
with a well, shoot a politician.
Speaker 4: Right, Nancy, Nancy blow right?
Speaker 3: So so meaning it's a regressive tax in a way,
because you don't want the tax burden to be disproportionately
on the smaller the smaller guy, right.
Speaker 4: And what we should want.
Speaker 3: One of the unique aspects of America is upward economic mobility.
And if you lose the hope of upward economic mobility,
you're going to see a lot more nasty things occurring
in culture. Right, Like the belief that I can get
ahead is one of the reasons why I participate. Right,
It's one of the reasons I don't burn down cities.
It's one of the reasons that I don't act.
Speaker 4: Like an idiot. So we need that.
Speaker 3: And I think when you pull back, you go, Okay,
here's the deal. No one's gonna like this. There is
no perfect setup. But we should have a tax code
that is huge toward guys that make more money or
women that make more money, and with the thought of
not punishing them, but the thought of we're doing that
so that there's less of a burden on the lower end,
therefore allowing them a greater opportunity to acquire and build wealth.
Speaker 4: And if every but like I said, I.
Speaker 3: Every if upward mobility is alive, and well, it's much
better for a culture.
Speaker 4: It's much better for a society kids have hope.
Speaker 1: Is that a fair tax like a consumption tax? Then
are you down with a consumption Is it like it?
Speaker 2: Or is it like a herman knees?
Speaker 4: No?
Speaker 3: Well, so, guys and I hate saying this because it
means that I'm going to pay a tax. But I
do think an income tax that is somewhat progressive makes sense.
And the reason why I say that is because you.
Speaker 4: When people have.
Speaker 3: You have to have ways to tax wealthy people, because
wealthy people have a lot of ways to avoid taxes, right,
so so, and again it's not because they're well, we
don't want to punish them. But if a guy makes
five million dollars a year, paying thirty five percent is
a lot of tax, okay, But that tax does not
impact his lifestyle whatsoever. And I'm not saying that entitles
the governments that money. It doesn't, okay, But if me
paying or and I don't make that much money. But
if making that much money, if paying that level of
tax is meant the guy that's got three kids making
ninety five grand a year driving truck or one hundred
and twenty grand a year driving truck, if it means
that he's only paying like ten and that enables him
to put bigger amounts of money away in his four
to one K I'm all for it.
Speaker 4: I'm all for it, and I don't like it. Again,
we're paying tax.
Speaker 3: It's not perfect, but we got to step back and
go like, you know, what are we trying to do
with these taxes?
Speaker 4: What is the goal now?
Speaker 3: For people sitting there making the argument that we don't
have a revenue problem, that we have a spending problem,
that's one hundred percent true, right, So anything that we
do on the tax side needs to be met with
government getting way more efficient.
Speaker 4: I mean, it's a joke and people are like, well,
what do you mean. Dogs didn't find that much.
Speaker 3: People don't understand the inherent waste that's baked into the
cake when.
Speaker 2: It comes to oh my gosh, so much.
Speaker 4: Even stuff that isn't fraudulent.
Speaker 3: And I'll just tell you right now if you haven't
a tough time conceptualizing this. When you are running a
for profit company, making the tough choices to generate a
profit isn't easy, okay, And it's tough to generate a
profit in a competitive landscape when your primary aim isn't
to generate a profit or to be you know, to
be studious with assets, you're not going to be right
like it's it's it's too Fiscal discipline is hard enough
when your life depends on it, but when it doesn't.
Speaker 4: When the stick it keeps flowing. No matter what you do,
you're going to have massive amounts of waste.
Speaker 2: Yeah, you're a sorority girl on spring break.
Speaker 4: Like you know.
Speaker 3: For instance, I'm I believe that defense is one of
the top spending priorities of a government.
Speaker 4: I believe that that's a job. Right.
Speaker 3: Are you trying to convince me we couldn't cut our
defense budget twenty percent still and still be just as good.
Speaker 4: I just don't buy it. I just don't buy it.
Speaker 3: And so I mean, I think on average, I feel
like you could probably cut twenty percent from things that
do not even directly touch most taxpayers, meaning not slashing
Medicare and Medicaid. I think you need to deal with
them clearly, but I think you could if you add responsible,
reasonable people that were trying to do the right things
and willing to work across the aisle. I don't think
pulling back the budget fifteen to twenty percent would be
that big of a deal.
Speaker 1: Agree. I think companies get too much in the way
of subsidies tax breaks from the government from US essentially.
Speaker 4: Yes and no.
Speaker 3: So for instance, generally speaking, yes, I think subsidies are
a crime against humanity, and I can't stand that there
are going to be scenarios where we need government and
private sector cooperation.
Speaker 4: When done correctly, it's shielded wonderful results. And then also
I think we need.
Speaker 3: To be a little bit more open and conscious of
that when considering we're going up against the Chinese. But
you know, the Chinese are proving something really interesting right now.
Right everybody focuses on the government collusion with private enterprise.
They don't appreciate enough how much the Chinese Communist Party
has basically said, Okay, we're going to help you get
this thing rolling, and then after that it's thunderdome, meaning
right the greatest, the strongest hands survive, and they helped
all these companies get started and then kind of said okay,
figure it out.
Speaker 4: And it's been brutal competition.
Speaker 3: But that competition is why you're seeing them close the
gap so fast and evse, it's why you've seen them
completely close the gap in a battery technology. Competition works,
and that's why every time I hear somebody say capitalism
has failed in the United States, I go, no, no, no.
Speaker 4: We've failed.
Speaker 3: Capitalism doesn't feel Competition does not quit making people better
and stronger.
Speaker 4: It always does.
Speaker 3: What happens is you've inculcated and you've insulated these companies
from it from competition.
Speaker 4: There's a lot There's a lot of stuff to clean
up too.
Speaker 3: There's a bunch of you know, the carried interest loophole
that is a joke that should get nuked right now.
There's so many different things you can clean up to
close those loopholes that get people in companies.
Speaker 2: So yeah, listen, I still think that taxation is theft, though,
I think.
Speaker 5: It's you know, we thought a revolution over a three
percent t tax, So I'm just saying I'm not saying exactly.
Speaker 4: I am so sympathetic to that a little bit.
Speaker 3: Well, here's the here's the one thing I think that
I think the taxation the way it's currently done is
theft because I don't believe that an individual taxpayer truly
has representation in Washington, d C. Right, And I think
that the I think a lot more taxation needs to
be local.
Speaker 4: It is theft.
Speaker 3: I mean, we did fight a revolutionary war over right,
like I mean, and it's I mean, how much different
is it really from what they were saying back then
about a king?
Speaker 4: So many miles away versus what we're dealing with now.
Speaker 2: It's true.
Speaker 4: I mean true, there's.
Speaker 3: I bullwork and Zach Abraham have no representation on in
decent You believe us.
Speaker 5: We understand the whole corporate and we get it. Small
businesses get screwed. It's just it's it doesn't get any better,
you know what I mean? And I feel like they
get they get higher and higher and higher. I mean,
hopefully this administration will make it better for us.
Speaker 2: I don't know. We'll see, but I don't know.
Speaker 1: They've got time to make it better, and Zach has
time to change the hearts and minds of people that
have not yet found him. With your fabulous seminar that's
coming up, what a week.
Speaker 3: Or so anyway, Yeah, so you can find we're going
to be discussing. We're really discussing about who we are,
what you know, what makes us different, how we're different,
not just like everybody else, but also explaining what is
changed and how we're positioning to it and how through
a lot of uncertainty. You know, we're having one of
our best years right now, in the last five, last
five or six, and it's not from the normal ways
of doing things, and I think that that is kind
of just the beginning, and so just trying to explain
to people the massive shifts that are going on and
how that needs to be represented in their portfolios or
they're going to pay the price. And the easiest way
to get hold of us is Buorcapital Management dot com
or go to Know Your Risk podcast dot com or
on YouTube on all the social media stuff, no ours, funt.
Speaker 2: I love it. It's an exciting time. I love it.
Speaker 1: Thank you, Zach, Thanks you as always.
Speaker 4: Thank you, ladies. Investment advisory services offered through TREK Financial
loc and SEC Registered Investment advisor.
Speaker 3: The opinions expressed in this programmer for general informational purposes
only and are not intended to provide specific advice or
recommendations for any individual or on any specific security. Any
references to performance of security so are thought to be
materially accurate, and actual performance may differ investments involved risk
and or not guaranteed.
Speaker 4: Past performance doesn't guarantee future results. Trek twenty four three
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