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Speaker 4: Report meaning a live man like this man letting butterfly
Speaker 4: flapping his wing, dig down in the forest Man, it
Speaker 4: gonna cause a tree fall, letting five thousand miles away.
Speaker 5: Man, nobody's seen.
Speaker 4: Nobody who.
Speaker 5: You don't need No, Man, we don't like you followed
Speaker 5: another story and you got ed like that. That's the win. Man,
Speaker 5: don't blackly down on the panel, man, Man don't matter.
Speaker 6: Man, you know the stormy. It is actually quite difficult
Speaker 6: to record with you, not necessarily because of your scheduling
Speaker 6: or you know, don't have anything interesting to say, because
Speaker 6: I swear every time we do this, we end up
Speaker 6: talking for like half an hour before even get rolling
Speaker 6: about just completely unrelated things like goy beams and literary
Speaker 6: literally release release.
Speaker 5: Oh man, it's all it's all true. It's good to
Speaker 5: be back. I wish one of these times we're gonna
Speaker 5: have to I'm gonna have to come on and talk
Speaker 5: about something positive. But today is not going to be
Speaker 5: that day.
Speaker 6: Yeah, today is most certainly not that day.
Speaker 5: Uh.
Speaker 6: So we're going to talk about a couple of things.
Speaker 6: Inflation for one, uh but more generally kind of the
Speaker 6: all of the compounding issues from uh basically the Federal
Speaker 6: Reserve and setting interest rates. Right, there's a really interesting
Speaker 6: discussion to be had about Canada. That you know, we
Speaker 6: can get into in a little bit, but I think
Speaker 6: it's important to talk about this because if you've really
Speaker 6: heard anyone talk about this, who's outside of the band
Speaker 6: of normal people, right who depend on something other than
Speaker 6: assets for their daily living expenses. Sort of hard to
Speaker 6: bridge that golf, because what really prompted this discussion was
Speaker 6: a comment, you know, when you and I were going
Speaker 6: back and forth about this, where I just asked an
Speaker 6: open question of how much of the growth in the
Speaker 6: market since eight plus or minus is actually due to
Speaker 6: the market growing and how much of it is just inflation.
Speaker 6: Because in that conversation we were talking about the fact that
Speaker 6: really we've been in a recession of some type pretty
Speaker 6: much off and on ever since that we never really recovered.
Speaker 6: And I saw this happen in real time as I
Speaker 6: finished up college, where the Biden admin just changed the
Speaker 6: definition of what a recession was, so we magically weren't
Speaker 6: in a recession. It's magic words theory of economic analysis.
Speaker 6: But once I did some digging, and people will know this,
Speaker 6: this isn't the most esoteric knowledge, I realized that well,
Speaker 6: that exact exact same thing happens to inflation, right The
Speaker 6: way that it is measured is completely and totally contrived.
Speaker 6: So that was really the genesis of this conversation. And yeah, man,
Speaker 6: I'll kick it to your story.
Speaker 5: All right. So if we take the SMP Composite Index,
Speaker 5: I have it up somewhere here, all right, the real return.
Speaker 5: So let's just say I think that what is the
Speaker 5: when you see what the overall adjusted or what the inflation?
Speaker 5: What the h we'll say the S and P andrew
Speaker 5: annual return for twenty twenty five, right, it was nine
Speaker 5: point three percent by year end, all right, so that's
Speaker 5: not great. But what's the actual rate of inflation? Well,
Speaker 5: I can tell you it's not two percent. You probably
Speaker 5: already know it's not two percent, right, so actual inflation? See,
Speaker 5: all right, it's just this is funny. This is funny.
Speaker 5: You know how you just said, like the Biden admin
Speaker 5: changed the definition of what a recession was, and everyone
Speaker 5: and we thought that was really funny. Everyone online joked
Speaker 5: about it. But what everyone didn't I guess didn't know
Speaker 5: or maybe knew a long time ago and forgot. The
Speaker 5: Federal Reserve has changed the rate at which it calculates
Speaker 5: inflation three or four times now since you've been born.
Speaker 5: So basically, when something is inconvenient, they just stop calculating it.
Speaker 5: So in nineteen eighty we used to factor things like
Speaker 5: housing costs, energy costs, healthcare into our inflation metric our CPI,
Speaker 5: and then in nineteen ninety we threw out two of
Speaker 5: those things, and in two thousand we threw out even
Speaker 5: more things. So now when we calculate inflation, the cost
Speaker 5: of housing is not included, the cost of houses not included,
Speaker 5: the cost of energy not included, the cost of health
Speaker 5: care not included, and they'll probably throw out groceries too,
Speaker 5: So maybe they'll just calculate inflation on, you know, the
Speaker 5: cost of streaming services. I don't fucking know. So if
Speaker 5: we were to calculate inflation on what inflation used to
Speaker 5: be calculated on, right, the nineteen eighty methodology is probably
Speaker 5: the most honest we've ever been. And if I look
Speaker 5: at that same inputs just calculated the way we used to,
Speaker 5: twenty twenty three was fifteen percent at sixteen percent inflation,
Speaker 5: twenty twenty four was twelve thirteen percent inflation. Right, it
Speaker 5: was at a steady ten percent a year from nineteen
Speaker 5: ninety three to twenty nineteen, So if you had one
Speaker 5: thousand dollars, let's say in twenty twenty, right, So something
Speaker 5: costs one thousand dollars, that thing from twenty twenty to
Speaker 5: twenty twenty six is now nineteen hundred dollars, right, which
Speaker 5: is a actual rate of inflation. Because these are lagging indicators,
Speaker 5: I hadn't do it forward, all right, So about fifteen
Speaker 5: percent a year has been the actual rate of inflation
Speaker 5: since twenty twenty to now. And that compounds like compound interest.
Speaker 5: This is the thing that everybody Boomers don't understand about inflation. Oh,
Speaker 5: boomers were lied to about everything. So when they say
Speaker 5: on the news that, oh, inflation is coming down, it's down,
Speaker 5: you know, down one percent. Inflation's coming down. That'd be
Speaker 5: like saying you have a fifteen percent interest mortgage and
Speaker 5: for one year I charged you fourteen percent. That's basically
Speaker 5: what it's saying. Inflation compounds just like interest, and the
Speaker 5: cumulative effects are kind of what boomers can't see. So
Speaker 5: when you talk about stock market returns, you can adjust
Speaker 5: them downwards for the inflation each year, but that doesn't
Speaker 5: really factor in the cut of inflation You've already got
Speaker 5: in there. So actual stock market returns. Right for the
Speaker 5: last I don't know, f S and P five hundred
Speaker 5: is ranged somewhere in between ten to fifteen, ten to
Speaker 5: seventeen percent, and now let's minus twelve percent out of
Speaker 5: that conservatively, and then you're looking at your real rate
Speaker 5: of return. So all this big stock market bubbles, Trump
Speaker 5: is talking about how the S and P five hundred
Speaker 5: is going to be at new highs, it's not. We're
Speaker 5: at zero percent actual returns. Maybe two percent returns, three
Speaker 5: percent returns the highest. So that means if you were
Speaker 5: to like, let's say you're investing, you now need to like,
Speaker 5: if you did twenty five percent returns that year, you
Speaker 5: would be very very happy. But you didn't actually do
Speaker 5: twenty five percent. You did a little bit more than ten.
Speaker 5: So in order for you to keep up, you have
Speaker 5: to earn fifteen to twenty percent just to tread water.
Speaker 5: And no one's earning fifteen to twenty percent a year.
Speaker 5: So even boomers with their stock market returns, those are
Speaker 5: all fake, right, It's just happening slowly to where they
Speaker 5: don't notice. They see their four to one k going
Speaker 5: up and the value of their house going up, but
Speaker 5: they don't compare that to the purchasing power. Right. So, like,
Speaker 5: let's say you're a boomer whose house doubled from twenty
Speaker 5: twenty two to twenty twenty four, which most of them did, well,
Speaker 5: the cost of everything doubled, right, That thousand dollars thing
Speaker 5: now costs nineteen hundred dollars. So even the boomers who
Speaker 5: are so scared about their housing costs, like their value
Speaker 5: of their house, they don't know that the value of
Speaker 5: their house hasn't increased at all. It's actually gone down.
Speaker 5: So inflation is so ubiquitous, it's kind of baked into
Speaker 5: everything that people don't notice it, right, or they don't
Speaker 5: notice to look at all aspects of their life. Right,
Speaker 5: So they see their stock market returns as separate from
Speaker 5: what happens to the value of the dollar they see
Speaker 5: they're housing their house, you know, price, as separate, and
Speaker 5: they're really all a function of the same thing. Right.
Speaker 5: The boomers really haven't made all that much money in
Speaker 5: real terms at all. So it makes the situation that
Speaker 5: the younger generation is put in significantly more damning because
Speaker 5: if you say, all right, boomer, you really actually haven't
Speaker 5: made that much money. All the money that you think
Speaker 5: you made has actually just been currency debasement. Okay, well,
Speaker 5: then what does that make the youngest generation, who's you know,
Speaker 5: quality of life has now you know, been admitted by everyone,
Speaker 5: it's going to be exponentially worse. Everyone thinks the boomers
Speaker 5: had it so much better. They did in certain aspects,
Speaker 5: but not since nineteen eighty they haven't. And most of
Speaker 5: the Boomer gains that we look at as gains happened
Speaker 5: after nineteen eighty. They've just been riding. They've basically been
Speaker 5: cheering on currency debasement, thinking they've been getting a pay raise.
Speaker 5: All of the cheap stuff that we talk about, like oh,
Speaker 5: you're able to buy a house at this price. You know,
Speaker 5: a single family could you know, be sustained off of
Speaker 5: one guy working a factory job. Not in nineteen eighty
Speaker 5: and certainly not since. So the time that people are
Speaker 5: really attributing to, like, you know, livable time was when
Speaker 5: the boomers were kids, right, like teenagers' early twenties like that.
Speaker 5: But what's gonna happen now, And this is what I
Speaker 5: kind of wanted to talk about is velocity of money,
Speaker 5: And no one really talks about velocity of money and
Speaker 5: velocity of money is probably just asn't. So when you
Speaker 5: ask a libertarian about inflation, he'll talk to you about
Speaker 5: the Federal Reserve and say a bunch of dumb shit.
Speaker 5: He doesn't understand. This is why Peter Shift is always wrong, right.
Speaker 5: He has no idea even now why the price of
Speaker 5: gold is going up because he's a fucking retard. Sorry,
Speaker 5: I really I shouldn't swear so much. But libertarians aren't
Speaker 5: factoring in velocity of money, right. They'll tell you how
Speaker 5: much money was printed, and oh, well, if you print
Speaker 5: this much money, of course this is you know, gonna
Speaker 5: is going to happen like inflation happens much much more
Speaker 5: from velocity of money. So the Trump government is going
Speaker 5: to try to tamp down inflation, even though he thinks
Speaker 5: he's going to be able to run it hot, just
Speaker 5: like he probably thought he could do everything for Israel
Speaker 5: and you know, win domestic politics. He's quickly finding out
Speaker 5: that's actually not the case. The admin is going to
Speaker 5: be forced to choose yet again, and by the person
Speaker 5: that he picked. All right, everyone is like kind of
Speaker 5: obsessed and like, oh, this guy is the son in
Speaker 5: law of the head of the world sign and his Council, Like, yes,
Speaker 5: this is also true, but he is a really big
Speaker 5: hawk as far as FED policy. So that means they're
Speaker 5: going to try and tamp down inflation, and they're going
Speaker 5: to do that with the only tool that they have,
Speaker 5: which is the interest rate, which generally works kind of Right,
Speaker 5: if I raise the interest rate, people borrow less money
Speaker 5: and they hold loans for less amount of time, and
Speaker 5: most of our money, right, most of the printing doesn't
Speaker 5: happen at the federal reserve. This is again why libertarians
Speaker 5: are fucking wrong about everything. All of the money printing
Speaker 5: happens in the banks because they're supposed to do that, right,
Speaker 5: So the treasure the Federals sells them treasury bonds at
Speaker 5: a certain rate, and then they take those treasury bonds
Speaker 5: and put them in their bank vaults, call them reserves,
Speaker 5: and they will lend against them, right, usually like ten
Speaker 5: to one. And it's the lending that they do, the
Speaker 5: issuing of mortgages things like that, that actually prints the money. Right.
Speaker 5: The money is printed by loans created off of those treasuries.
Speaker 5: The money isn't printed by the creation of treasuries.
Speaker 6: Well, and Stormy, as I'm sure you're aware, during COVID,
Speaker 6: and it might still be the case. I haven't checked.
Speaker 5: The reserve rate was dropped to zero, yes, yes, I
Speaker 5: was going to get to that even further, ridiculously increasing
Speaker 5: the amount of effective inflation. Yes. And then also this
Speaker 5: other thing happened, which are called non bank lenders, right,
Speaker 5: this is a new phenomenon. Like all of those like
Speaker 5: by now pay later apps that you've seen just explode everywhere.
Speaker 5: Those are lenders. They're printing money right like you're you know,
Speaker 5: I mean, let alone payment.
Speaker 6: The explosion of digital consumer looks, you know, that's any
Speaker 6: one of these other kind of give knockoffs.
Speaker 5: And also the sports betting people don't see sports betting
Speaker 5: as inflationary, and it very much is right because when
Speaker 5: someone is, you know, placing a bet at like ten
Speaker 5: to one odds, right, that's leverage because if you win,
Speaker 5: you expect to be paid that ten to one, don't you.
Speaker 5: It's no different than leverage. So the explosion of derivatives
Speaker 5: is another type of again lending. This is where the
Speaker 5: inflation actually comes from, that end velocity. So this new
Speaker 5: man is going to raise the interest rates very sharply,
Speaker 5: and I mean sharply. I don't think it'll be I
Speaker 5: don't think people give credit where credit is to Jerome Powell.
Speaker 5: Jerome Powell's a saint. The world economy existed on basically
Speaker 5: zero percent interest rates. The US had a negative interest
Speaker 5: rate for like ten years, right, because if the interest
Speaker 5: rate is two percent, but inflation is like a lot
Speaker 5: more than two percent, that means the interest rate is
Speaker 5: effectively negative. So the US has had negative interest rates
Speaker 5: for a very long time, which again created the explosion
Speaker 5: in lending, which is explosion in the monetary supply, which
Speaker 5: is why boomers think that they were getting rich but
Speaker 5: were actually just treading water themselves. They're easily fooled, those boomers.
Speaker 5: But he raised the interest rates from effectively negative interest
Speaker 5: rates to five percent during a fucking pandemic, all without
Speaker 5: a market crash, a credit where credit is due. Jerome
Speaker 5: Powell knows how to do his fucking job. And this
Speaker 5: guy is probably going to be as aggressive, if not
Speaker 5: more aggressive. So what happens when interest rates go up?
Speaker 5: People borrow less money, right, So that's how they that's
Speaker 5: how they're going to bring down inflation. Because don't get
Speaker 5: me wrong, Jerome Powell, over the course of raising those
Speaker 5: interest rates he basically zapped five trillion dollars with a
Speaker 5: goybeam and disintegrated it. Right, five trillion dollars disappeared by
Speaker 5: him raising interest rates. That's going to happen this time.
Speaker 5: Except what's also going to happen is the velocity of
Speaker 5: money is going to tank. We're already seeing it now.
Speaker 5: Every single person listening to this is probably agonizing over
Speaker 5: each and every expense that they have to make, and
Speaker 5: that means people are scared to spend money. And when
Speaker 5: people are desperate to save money and to spend as
Speaker 5: little as possible, the velocity of money goes down and
Speaker 5: the inflation goes up rapidly. Right, So, if velocity of
Speaker 5: money is high and money is changing hands and moving
Speaker 5: all around, its inflationary value is effectively zero. But if
Speaker 5: everyone yanks all the money out of the system right
Speaker 5: and tries to stuff it away and there's less money
Speaker 5: going around, counterintuitively, it makes things more expensive. It's just
Speaker 5: coming from it's just a demand side problem instead is
Speaker 5: a supply side problem. So they're going to create a
Speaker 5: demand side problem at the time when they go about
Speaker 5: trying to solve the supply side problem, and unfortunately they
Speaker 5: are taking They're using the one lever that is in
Speaker 5: their control to solve a problem and then create a
Speaker 5: problem that is in a domain where they do not
Speaker 5: have control. Because velocity of money is entirely psychological and
Speaker 5: macro effects based, right, So, like I say macro effects
Speaker 5: because if you are, you know, trying to agonize over
Speaker 5: all of your spending, trying to spend as little money
Speaker 5: as possible, you are reducing the amount of velocity of money.
Speaker 5: But if I also ship your job to India, I've
Speaker 5: effectively done the same thing. Well, and I've pulled your
Speaker 5: whole salary out of the money supply have to decrease
Speaker 5: the velocity of money by however much you used to
Speaker 5: make well.
Speaker 6: And to that point, look, you know, I was never
Speaker 6: a highly compensated employee, right in the grand scheme of.
Speaker 5: Things, incredibly undervalued, thank you.
Speaker 6: That's a nice way to say perpetually unemployed. But what
Speaker 6: you would have is that jobs like that would have
Speaker 6: been a way to outpace or at the very least
Speaker 6: keep pace with inflation, relatively high compensation text advantaged ways
Speaker 6: to dump that money into the market. You don't need
Speaker 6: to get into that. That's a discussion for another day.
Speaker 6: And now obviously that's quite expensive for the firm, which
Speaker 6: is why they are they are offloading. But a problem
Speaker 6: which historically has been reserved for a working class and
Speaker 6: for young people, it's coming for your laptop job. Right
Speaker 6: you can't, I mean not everyone. I'm sure someone will,
Speaker 6: but the ability to out earn this is sort of
Speaker 6: going away. And unless you already have assets, because again,
Speaker 6: when you know, monetary velocity goes down, if you're a seller,
Speaker 6: you have to deeply, deeply discount whatever you're selling because
Speaker 6: people are you know, generally it's like, well I don't
Speaker 6: want to be giving up money, but this is such
Speaker 6: a good deal I can't say no to it. Well,
Speaker 6: even people who do have assets, well, sure they have
Speaker 6: an asset, that's good, they own that thing, But if
Speaker 6: they don't have the income to service that, to make
Speaker 6: their mortgage payment, they're going to get blown out of
Speaker 6: the water because the market for or most things is
Speaker 6: going to crash. And there are leading indicators of this,
Speaker 6: right yep. Buying in you know, assets like cars is
Speaker 6: way way down. Cars have been hit by inflation like crazy.
Speaker 5: This is actually the perfect example. I'm glad you hate this.
Speaker 6: This is a perfect.
Speaker 5: Example of how demand can collapse but prices can still increase.
Speaker 6: Exactly because you know, demand for new cars is, you know,
Speaker 6: way down. You've been reading stories about this really sense
Speaker 6: around twenty two to twenty three, but it sort of
Speaker 6: continued to pace. But one, well, the interest rates up,
Speaker 6: so your cost of lending is proportionally quite high. But
Speaker 6: also people are unlikely to dump something for more of
Speaker 6: a loss than they're comfortable with. So you just have
Speaker 6: in general incredibly low velocity of both money and of assets.
Speaker 5: Bingo. This is why. SO housing is another thing I
Speaker 5: think we should talk about because the so I think
Speaker 5: I made a prediction a long time ago on maybe
Speaker 5: this show or others right, that the demand for housing
Speaker 5: was going to collapse just from demography and overall, you know,
Speaker 5: prevailing financial conditions. And I think we've seen a pullback
Speaker 5: in every major housing market in the country, and things
Speaker 5: still aren't selling, like literally nothing is selling. All of
Speaker 5: the boom states, right, Colorado, Texas, Florida are now the
Speaker 5: lowest transaction volume states in the country. The amount of
Speaker 5: real estate actions that have happened this year are half
Speaker 5: of what they were the year prior. Right, So fifty
Speaker 5: percent of demand just disappeared, and that's going to steadily increase,
Speaker 5: and the prices with those are going to go down briefly,
Speaker 5: and then the thing that Jay and I are talking
Speaker 5: about is going to go up. Right, So you're going
Speaker 5: to basically shake a bunch of people out of assets,
Speaker 5: and then those prices of those assets are going to balloon.
Speaker 5: It if you didn't want to set up a permanent
Speaker 5: underclass and you just happen to do it by accident,
Speaker 5: I don't think you could have come up with a
Speaker 5: better ide way of going about it. That you really
Speaker 5: can't it because the boomers they're going You're going to
Speaker 5: see a lot of properties literally rotting away because the
Speaker 5: boomers that lived in them died and their kids can't
Speaker 5: sell it because no one wants to buy it, and
Speaker 5: then no one can afford to buy it to move
Speaker 5: in it. Right, So you're going to have a housing
Speaker 5: problem at the same like you're going to have a
Speaker 5: housing problems in like cost of housing at the same
Speaker 5: time as you're going to have basically a ton of
Speaker 5: inventory empty everywhere, which you're starting to see now, so
Speaker 5: that there's very few things that that administratively can fix
Speaker 5: this without really like a total crash out, and I
Speaker 5: don't think that's what people are bracketing for.
Speaker 6: Well, and this is the point that uh Mark Mitchell
Speaker 6: of Rasmussen, who's on my show not too long ago made,
Speaker 6: oh thank you. He made a really interesting post to Twitter.
Speaker 6: It was today or yesterday, relatively recently. Ree basically was
Speaker 6: was talking about a recent meeting he'd had with the
Speaker 6: President where he said, I went in there and I said,
Speaker 6: mister President, you need to crash the housing market. H
Speaker 6: That's that's an option. And he was basically saying He's
Speaker 6: like yeah, and I could tell no one had ever
Speaker 6: told him that before. And you see that in the
Speaker 6: messaging from the administration, right, He's he said, you know,
Speaker 6: I will do nothing that allows the value of housing
Speaker 6: to decrease.
Speaker 5: Uh. Well, so we're not foreclosures are now hitting the
Speaker 5: full time. The foreclosers are now coming close in in commercial.
Speaker 6: Real estate, right, this is like, I mean commercial real
Speaker 6: it's been screwed for six years.
Speaker 5: Yes, but so has our housing market.
Speaker 6: Well, and that's my point, right that you know, you
Speaker 6: could look at the situation and in uh you know,
Speaker 6: not corporate point is in kind of like business and
Speaker 6: real estate in twenty twenty and say this is never
Speaker 6: coming back, this is screwed. But it's taken more than
Speaker 6: half a decade for that to actually shake out. And yeah, sure,
Speaker 6: we're on a long enough time span. You know you
Speaker 6: can simply say, well, I'll stack cash and wait for
Speaker 6: the market at the bottom of the fall out of
Speaker 6: the market. But you need a place to lay it.
Speaker 6: And let's also acknowledge that you know that these same
Speaker 6: trends are hitting rent because someone is paying a mortgage
Speaker 6: on your apartment. I think someone is being forced to
Speaker 6: bear the higher cost of interest.
Speaker 5: Like, sure, what do you what are you going to
Speaker 5: put that money into? You can say gold. Okay, everyone
Speaker 5: that says gold, are you gonna stuff your money in gold?
Speaker 5: Has never tried to liquidate gold, right, They have never
Speaker 5: tried to buy anything with it. Because when you go
Speaker 5: to buy something with gold, when you turn your gold
Speaker 5: into money again so you can make your purchase, you
Speaker 5: will be surprised to find out that no one's gonna
Speaker 5: buy it at whatever the spot price of gold is. Right,
Speaker 5: you will take a ten to twenty percent haircut. You
Speaker 5: can just go to Kickko and find out what the
Speaker 5: wholesale rates are for buying, and that's basically a global
Speaker 5: exchange or a national exchange. And you'd be like, wow,
Speaker 5: so basically I buy a thing for this price and
Speaker 5: no one will buy it for me. No one will
Speaker 5: buy it for me quickly for the same price. Well
Speaker 5: that's bullshit, Yes it is, Yes, it is bullshit, right,
Speaker 5: because when you are the seller, you either have two options.
Speaker 5: You could either just run around and ask everyone you
Speaker 5: know to come buy a piece of bullying off you
Speaker 5: the guy, when they could just buy it from like
Speaker 5: a place that actually sells gold. Like so just do
Speaker 5: you trust the stranger on Craigslist? No, you just buy
Speaker 5: it from the people that sell gold, or you try
Speaker 5: and have or you're forced to sell it to them
Speaker 5: and they're not buying it back for full fare. So
Speaker 5: all of the people that say like, oh, well, I'm
Speaker 5: just going to just keep all my money in gold,
Speaker 5: well great, try and turn that into money when you
Speaker 5: need to buy a house. Tell me how much money
Speaker 5: you saved.
Speaker 6: I mean, let alone the storage of transport issues. Right. Yeah,
Speaker 6: I actually do know someone who everybody does a piece
Speaker 6: of land with a quote Suzuku's Jimmy worth of silver bullion. Uh,
Speaker 6: but you know, One it was the seventies, and two
Speaker 6: it's in Baltimore. You really want to go to Baltimore
Speaker 6: to pick that up?
Speaker 5: Uh? Try driving through Baltimore now with the Suzuki samurais
Speaker 5: full of silver silver dollars. Well.
Speaker 6: Uh, he did describe remembering his dad with an open
Speaker 6: bolt with an open bolt transferable uzzi. Uh, so you
Speaker 6: know that's how you do that.
Speaker 5: Yeah, it was.
Speaker 6: It's a pretty cool story.
Speaker 5: Uh. Yeah. But the less if you can do this,
Speaker 5: you and if a person is in the position to
Speaker 5: drive a Zuki Samurai full of silver bullion at the
Speaker 5: same time as you know, wielding or having holstered an
Speaker 5: open bolt, fully automatic uzzi and drive through the hood
Speaker 5: of Baltimore, if anyone is able to do this, you
Speaker 5: are like duty bound to do this. Well.
Speaker 6: Also, like, if you're that cool, what do you taking
Speaker 6: advice from us for? Right, You've obviously got you've got
Speaker 6: other plans. Uh.
Speaker 5: Yeah, Land is actually a good thing. Land is better
Speaker 5: than gold.
Speaker 6: So one other thing, Stormy. Uh. One of the things
Speaker 6: that that you talked about when when you and I
Speaker 6: were on the phone is that this problem is not
Speaker 6: unique to America. You're the one's making this this decision.
Speaker 6: But you know, as you said, right, the Fed coughs,
Speaker 6: the world catches a cold, and specifically you were talking
Speaker 6: about the nation of Canada, which I'll be honest, man,
Speaker 6: I am sort of equal parts disturbed and amazed by
Speaker 6: the Nation of Canada. Nothing to do with you Canadians listening.
Speaker 6: You're great, particularly if you give me money. But maybe
Speaker 6: we could examine that as one example of how this
Speaker 6: causes issues for other people than just kind of normal working.
Speaker 5: Americans, and Canada is actually a very good case study
Speaker 5: of how this could shake out, right, which obviously isn't great.
Speaker 5: So Canadians have a couple problems. So one, well, you
Speaker 5: guys have lots of problems. But let's just take the
Speaker 5: Canadian real estate market, right, So Canada basically exported all
Speaker 5: of its production capacity, right, the ability to make things right.
Speaker 5: The regulators have made it impossible to you know, start
Speaker 5: up a thing to make things Agriculture is basically regulated
Speaker 5: all to hell. Energy is regulated all to hell, and
Speaker 5: it doesn't really make a lot of money just as
Speaker 5: a nation. So that's gonna I'm gonna come back to
Speaker 5: that in a second, and that's going to be important.
Speaker 5: So Canada has had a real estate boom bigger than ours. Right,
Speaker 5: So as much as people are upset about what's happened
Speaker 5: to us real estate prices, you should just be thankful
Speaker 5: you're not in Canada, right, because Canada real estate prices
Speaker 5: have I mean literally like quadrupled in ten years more.
Speaker 5: And if you're in an economy where nothing makes money
Speaker 5: but housing is shooting through the roof, what do you
Speaker 5: put your money in housing? Right? And so much so
Speaker 5: that forty percent of Canadians right have either a small
Speaker 5: or a large chunk of their savings, like their retirement
Speaker 5: savings in real estate trusts right, or real estate investment
Speaker 5: companies right, real estate funds because real estate was the
Speaker 5: only thing making any money on paper. Right, The only
Speaker 5: thing going up in the Canadian stock market was real
Speaker 5: estate funds. Because the only thing going up in Canada
Speaker 5: was real estate. And they have a real problem. Well,
Speaker 5: you can tell that they have a real problem because
Speaker 5: the five biggest real estate investment funds over the last
Speaker 5: two years have all suspended redemptions. Right. So a fund
Speaker 5: suspending redemptions is like your bank account suspending withdrawals. It's
Speaker 5: not a good sign. Right, They're basically saying investors can't
Speaker 5: take their money out. So now that forty percent of
Speaker 5: Canadians that have their and most of it not even
Speaker 5: to their knowledge. Right, there's a whole bunch of these
Speaker 5: bullshit money market funds like these black Rock ETFs and
Speaker 5: dumb shit like that and automatic you know, basically automated
Speaker 5: four oh one k investment machines, right, because that's really
Speaker 5: what it is like if you have Blackrock or Vanguard
Speaker 5: manage your four oh one k retirement savings, it's just
Speaker 5: a really retarded and I mean it's literally right compared
Speaker 5: to like what a lot of the hedge fund guys
Speaker 5: are running. The algorithm that decides what stocks your four
Speaker 5: oh one k buys has literal down syndrome, right, It's
Speaker 5: the most unintelligent, you know, robot ever and it just
Speaker 5: basically throws you into whatever is moving or whatever is
Speaker 5: anyways it's done. So most Canadians probably don't even know
Speaker 5: that their money is in these real estate funds, so
Speaker 5: they don't know that their money is locked in them, right,
Speaker 5: the algorithm can't trade out of them because they can't
Speaker 5: get their money out. But you know, unless you are
Speaker 5: like Hawke eyed on your four oh one K. You're
Speaker 5: not going to know this is an issue, right. Mostly
Speaker 5: it's the individual private investors that are screaming about it.
Speaker 5: So they built a fuck tone of housing because it
Speaker 5: was making a lot of money. Right, A literal garage
Speaker 5: in Vancouver or Toronto, a literal one bedroom garage, not
Speaker 5: even like a fucking condo. A garage that has been
Speaker 5: turned into a garage or sorry, turned from a garage
Speaker 5: into a tiny home will cost you almost a million dollars.
Speaker 5: So everyone obviously was in the garage building business. Like
Speaker 5: you can pay a million dollars for a shack, okay,
Speaker 5: and a Canadian may not live in a shack, but
Speaker 5: in you know, five Indians will. So they had plenty
Speaker 5: of people to sell them to, which all sounds just
Speaker 5: shitty but fine, except for the fact that in Canada,
Speaker 5: and as an American, we are going to find this
Speaker 5: incredibly unjust because like we we have a concept of like,
Speaker 5: if you make a deal with somebody, you make a deal, right,
Speaker 5: and the terms that you agree upon are the terms.
Speaker 5: But in Canada that's not the case. So if you
Speaker 5: have a mortgage, you don't A fixed rate mortgage is
Speaker 5: something that doesn't exist in Canada. Right, it is an
Speaker 5: adjustable rate mortgage that you have to renegotiate every year,
Speaker 5: or sorry, every three years, from what I understand, and
Speaker 5: that means if interest rates go up, when you go
Speaker 5: to renegotiate that mortgage rate, your payment it. Basically it's
Speaker 5: the same exact thing that blew up the housing market
Speaker 5: in two thousand and eight, those adjustable rate mortgages. Because
Speaker 5: for the last thirty years of them dishing out these mortgages,
Speaker 5: the interest rate hasn't moved more than like one percent
Speaker 5: up and down in either direction, right, like half a
Speaker 5: point a quarter of a point. But in the last
Speaker 5: five years, especially the last three years, interest rates have
Speaker 5: gone up a hell of a lot more. And I'll
Speaker 5: talk about that last, right, Well, sixty percent of those
Speaker 5: mortgages are going to renegotiate this year. And if anyone's
Speaker 5: been checking what has been happening in the Anglo sphere,
Speaker 5: right as the as the FED raises interest rates slightly, right,
Speaker 5: this is to your point about the world catching a cold, right, bank,
Speaker 5: let's take at the Bank of Canada. Now, I'm now
Speaker 5: going to be specific because I don't want to piss
Speaker 5: off any Canadians. M hmm, okay, yeah, bond yields. We'll
Speaker 5: say the five year government all right, let me see.
Speaker 5: Oh yeah, So across the anglosphere, interest rates on government debt,
Speaker 5: which is basically where your interest rate from your mortgage
Speaker 5: is calculated, is has been on a tear lately. And
Speaker 5: here I will I will take a little screenshot and
Speaker 5: then we can look at this chart together. All right,
Speaker 5: So mortgage is are basically calculated off I believe. I
Speaker 5: don't know if it is the because in the US
Speaker 5: mortgages are calculated off the five year and the ten year,
Speaker 5: but I think Canada is roughly similar. I think it's
Speaker 5: I think it no, sorry, it's it's capted in the
Speaker 5: ten year, in the thirty year. I think with Canada
Speaker 5: it's the same thing. But the interest rates across the
Speaker 5: anglosphere are just stacking up very very quickly. And for
Speaker 5: like a for a government bond to move a quarter
Speaker 5: of a percent, right, a tenth of a percent in yield, right,
Speaker 5: So interest rate basically right, So the interest rate that
Speaker 5: the government pays on its debt, if you're a bond holder, right,
Speaker 5: that is yield to you. So in February twenty twenty five.
Speaker 5: The interest rate on government bonds in Canada right on
Speaker 5: the ten year was two point nine percent. It's now
Speaker 5: up a point in a year, which is a very
Speaker 5: very very big deal, and it's projected to go up
Speaker 5: another point by the end of this year. Right, so
Speaker 5: two percent on government debt is going to basically shake
Speaker 5: out to like a four percent at the time that
Speaker 5: it shakes out at. I mean, what is it. What
Speaker 5: is a mortgage rate right now? Seven percent?
Speaker 6: Yeah, it's pretty punishing, but I mean, in story.
Speaker 5: The FED rates only four and a quarter, so that
Speaker 5: extra two points comes from the banks off of the
Speaker 5: government interest rate. So if the government interest rate goes
Speaker 5: up two percent, when they go to negotiate that mortgage
Speaker 5: at the end of this year, sixty percent of them
Speaker 5: it's going to be three or four percent higher than
Speaker 5: whatever it is they're paying now, and in you know,
Speaker 5: in mortgage terms, four percent. I mean to give you
Speaker 5: an example, I went, I was looking to buy a
Speaker 5: house in twenty twenty one, and I knew the stock
Speaker 5: market was going to crash, and I knew that every
Speaker 5: time the stock market crashes, the FED drops interest rates
Speaker 5: to basically zero. So I'm like, all right, cool, all
Speaker 5: the people buying houses are buying them in cash, but
Speaker 5: basically cash that's borrowed against their stock portfolio. Stock portfolio
Speaker 5: gets you know, a thirty percent haircut. Nobody will be
Speaker 5: buying houses for cash anymore, which was correct. What I
Speaker 5: didn't see is the FED, for the first time in history,
Speaker 5: raising interest rates into a stock market crash. So I
Speaker 5: was looking at I think the hom I was looking
Speaker 5: at was one in three quarter million, and the mortgage
Speaker 5: payment on the amount that was going to finance was
Speaker 5: roughly like four grant for grand a month. The interest
Speaker 5: rate going up, the FED interest rate going up one
Speaker 5: in three quarter points made the mortgage rate go up
Speaker 5: to point nine points, and that two point nine point
Speaker 5: difference turned a four thousand dollars payment into a eighty
Speaker 5: five hundred dollars payment, same amount borrowed, same term, two
Speaker 5: percent increase, the payment doubles. So the people in Canada,
Speaker 5: sixty percent of them, are going to have their mortgage rate,
Speaker 5: their mortgage payments double. And this is why the real
Speaker 5: estate funds are freezing redemptions. Because another scary thing is
Speaker 5: that Canada doesn't do gibbs like we do gibs. Canada
Speaker 5: just puts them on the payroll. So some retarded number,
Speaker 5: like almost forty percent of Canadians are employed by the
Speaker 5: federal government, like their government, right, So rather than just
Speaker 5: hand them free money, they just hand them bullshit jobs.
Speaker 5: So if you're a government employee, you're kind of on
Speaker 5: a fixed salary. So if your mortgage payment doubles, you're
Speaker 5: going to lose your fucking house. That's all I wanted
Speaker 5: to say. And if you know a third of your
Speaker 5: economy is real estate speculation, that's going to be really
Speaker 5: bad for you or sorry for your economy. Like Canada
Speaker 5: is going to get a two thousand and eight, but
Speaker 5: only after it restructured its entire economy around housing. So
Speaker 5: two thousand and eight is bad. But the US did
Speaker 5: not structure its entire economy around housing before the crash.
Speaker 5: Canada has restructured its entire economy around real estate, and
Speaker 5: it's going to have a real estate blow up. Gonna
Speaker 5: be really bad.
Speaker 6: So before we went live, so to speak, you mentioned
Speaker 6: that one of the things you really want to do
Speaker 6: is not simply offer analysis, right, offer some sort of
Speaker 6: viable alternative or viable path. I realized you You've been
Speaker 6: quite a grim picture here, So to be honest, like,
Speaker 6: what should people do?
Speaker 5: Okay, So the only time you can really make if
Speaker 5: if everything is going according to plan, no one can
Speaker 5: make any money, right, So, like, if the stock market
Speaker 5: is just steadily crawling up every single quarter, just up
Speaker 5: and up and up, and you're on the bottom of
Speaker 5: the ladder, you're never going to be able to climb
Speaker 5: that ladder because everybody else is also you know, all
Speaker 5: the people above you are also you know, moving on
Speaker 5: up faster because they have more money compounding. Right. The
Speaker 5: only way a person can move up in the economy
Speaker 5: is when other people fall down. So we're talking about
Speaker 5: something that is ostensibly very scary, but it is also
Speaker 5: a chance for people to move themselves up. Right. So
Speaker 5: they price options all right, How much an option costs
Speaker 5: is a function of how much volatility is. And if
Speaker 5: volatility is very very high, right, the cost of that
Speaker 5: option is going to be equally high, right, because they
Speaker 5: are pricing the chance of you know, the assets swinging
Speaker 5: in either direction very aggressively. Right, They're trying to cover
Speaker 5: their ass So with people, right, that volatility is where
Speaker 5: you make money. You can't make any money if everything
Speaker 5: goes according to plan. You need volatility. If there is
Speaker 5: no volatility, then there's no gains to be had right
Speaker 5: when everything goes So how people should see this is
Speaker 5: imagine if you knew that certain parts of the economy
Speaker 5: are going to be really bad for people that have
Speaker 5: their money in certain things, or how they position themselves
Speaker 5: according or how they position themselves, right, Because what's a
Speaker 5: good way of putting it. How is that I'm trying
Speaker 5: to think because there's a lot of people that just
Speaker 5: straight up don't have any assets at all, right, But
Speaker 5: if you have some assets, and I'll probably get a
Speaker 5: lot of criticism for this, but I hold a lot
Speaker 5: of bitcoin and everyone is like, oh, well, bitcoin went
Speaker 5: down a whole bunch, like it always does, but it
Speaker 5: provides me liquidity, right, and it basically runs in much
Speaker 5: of the same mechanisms. Mine is the volatility as golden
Speaker 5: silver does, but it allows a lot faster liquidity. Right.
Speaker 5: This is why JP morgan is is allocating a lot
Speaker 5: of money to crypto, specifically bitcoin, not you know, ethereum
Speaker 5: or whatever has been doing the same thing they bought
Speaker 5: all the way down. In any type of really inflationary environment,
Speaker 5: you're going to see things that have liquidity and store
Speaker 5: of value become everyone's favorite assets. So how do you
Speaker 5: deal with a hyperinflationary or sorry, an inflationary environment. You
Speaker 5: buy assets? Okay, what else can you buy? You buy commodities, right,
Speaker 5: and the commodity cycle is just now starting. Land is
Speaker 5: a commodity, especially agricultural land is a commodity, and it's
Speaker 5: one of the things that our economy has grossly underpriced
Speaker 5: for a tremendous amount of time. Right, you don't actually
Speaker 5: have to go plant crops. You can literally just lease
Speaker 5: the land out to farmers. So the income generation is
Speaker 5: kind of like sticking a renter somewhere like you were
Speaker 5: talking about, like, oh well, you know, even if no
Speaker 5: matter what happens to rents, there's somebody behind that renter
Speaker 5: has to be paying that mortgage. Right. So land is
Speaker 5: something that is infinitely more liquid than gold is without
Speaker 5: the haircut. Right, it's different than housing. People should recognize
Speaker 5: that commodities. If you want something that is publicly traded
Speaker 5: that you can slide into and out of, right, turn
Speaker 5: to money very very quickly. People need to focus heavily
Speaker 5: on commodities because you're basically facing a one to an
Speaker 5: eighty year commodity supercycle. That's a whole separate podcast. But
Speaker 5: there is specific types of assets where a lot of
Speaker 5: this stuff will pass you by and that have been
Speaker 5: grossly underpriced. Because the thing that we've had in this
Speaker 5: hyperinflationary environment is which medical amount of capital concentration? Right?
Speaker 5: Not only is there a metric fuck ton of money,
Speaker 5: but the metric fuck ton of money is all concentrated
Speaker 5: in very specific things, right, which in my opinion is
Speaker 5: very very dumb things. Right. And it seems that the
Speaker 5: market's kind of thinking it's dumb too, which is nice
Speaker 5: because software companies are basically falling apart right now as
Speaker 5: far as the stocks, and you're seeing all of that
Speaker 5: money have to go into things like small caps, into commodities, right.
Speaker 5: So as money bleeds out of these balloon industries, these
Speaker 5: balloon sectors, it's going to reprice a lot of other things.
Speaker 5: But basically, getting yourself on the ladder board should be
Speaker 5: the most important thing, whether it is assets in public markets,
Speaker 5: whether it is real estate. In terms of land, I
Speaker 5: wouldn't want to be I wouldn't want to be flipping
Speaker 5: homes right now, right, But land is also something that
Speaker 5: people can afford, right, it's not something that they're priced
Speaker 5: out of. Right, Land is infinitely cheaper than the house
Speaker 5: that you put on it, but now nobody wants that house.
Speaker 5: So for people with no money, they need to be
Speaker 5: skill stacking. I mean I'd almost have to really think
Speaker 5: about it for like some time to basically tell the
Speaker 5: person without any money, you know how they need to
Speaker 5: position themselves. But for a person with even a small
Speaker 5: amount of money, you have a chance to get it
Speaker 5: right in a way that will not necessarily set you up,
Speaker 5: but put you on a ladder where you otherwise wouldn't.
Speaker 5: Like a good example of this would be like after
Speaker 5: two thousand and eight, I was sitting at my kitchen
Speaker 5: table with my dad. I had just gotten out of college,
Speaker 5: and like this was it was like two thousand and nine,
Speaker 5: so the crash was like in full swing and my
Speaker 5: dad is sitting there and he's like, if you had
Speaker 5: an extra hundred thousand dollars right sitting around, like would
Speaker 5: you buy GM Ford and Bank of America? And I
Speaker 5: mean these stocks where I think Bank of America I was,
Speaker 5: I always get it wrong, but these stock were dollar
Speaker 5: like single digit and low double digits. I mean it
Speaker 5: looked like they were going to go bankrupt. Nobody knew.
Speaker 5: And there was a series of three or four stocks
Speaker 5: my dad asked me about and I basically pussied out.
Speaker 5: I said like, oh no, like you know, I did
Speaker 5: the typical dum or take. I was like, oh no,
Speaker 5: we just saw bear Stearns go bankrupt. There's a good
Speaker 5: chance Bank of America could go bankrupt. You know, FOURD
Speaker 5: and GM. It kind of looks like it's over for Ford,
Speaker 5: and it really looks like it's over for GM. And
Speaker 5: there was one other stock. I can't remember what it was,
Speaker 5: But if I had told him to buy that those stocks,
Speaker 5: I can't remember. I did the math once and it
Speaker 5: would have been something like fifteen million bucks. So in
Speaker 5: a crash, you have a chance to buy things at
Speaker 5: fire sale prices. Basically, a whole bunch of investment bankers,
Speaker 5: you know, fell off the ladder, and all of a sudden,
Speaker 5: all of these rungs opened up. A lot of people
Speaker 5: made a lot of money coming out of the Great
Speaker 5: Financial Crisis that never would have been able to make
Speaker 5: any money if anything had just gone on the way
Speaker 5: things always go. And people should look at it. If
Speaker 5: you're not on top a crash is the best thing
Speaker 5: that can happen to you. I mean, inflation's going to suck,
Speaker 5: but there's ways of mitigating inflation. I'll let people, you know,
Speaker 5: research various ways to basically, you know, I can't help
Speaker 5: you make groceries cheaper, but if you've got a couple
Speaker 5: hundred grand that you're trying to keep away from inflation,
Speaker 5: there's a ton of ways to do that. But people
Speaker 5: should look at this like an opportunity because it's the
Speaker 5: only It's only when things get shaken up really really
Speaker 5: hard that there's a chance to make moves. When everything
Speaker 5: just goes on accordingly, the big things just get bigger
Speaker 5: and the rich people just get richer. But when the
Speaker 5: rich people lose their shirts, there's a chance for you
Speaker 5: to actually make money. I made most of my initial
Speaker 5: nut in housing during the foreclosure crisis. I use that
Speaker 5: to fund my first startup. If it wasn't for the
Speaker 5: two thousand and eight fine crisis, I would probably be,
Speaker 5: you know, working in some cubicle somewhere. So it was
Speaker 5: actually the two thousand and eight financial crisis that gave
Speaker 5: me an opportunity to make a bunch of money. Because
Speaker 5: a whole bunch of banks lost their shirt. So that's
Speaker 5: the way it's really just mindset.
Speaker 6: I think that's the closest that you and I have
Speaker 6: ever gotten to a hopeful message in one of these episodes.
Speaker 5: Right, I think that's a win. It was all over
Speaker 5: the place. But yeah, trying to discuss the economics of
Speaker 5: this country right now isn't fun. Same thing with all
Speaker 5: these people losing their jobs. There's mass amounts of people
Speaker 5: are very upset about layoffs. And I think a lot
Speaker 5: of the people that have gotten laid off, I mean,
Speaker 5: especially if you work in tech that you like, the
Speaker 5: outsourcing is going to come to an end very quickly
Speaker 5: because and a lot of people are factoring us in.
Speaker 5: But like, there's also going to be a lot of
Speaker 5: data breaches because in Indian and Calcutta, right, he doesn't
Speaker 5: know that you know an admin. He doesn't know the
Speaker 5: importance of like an ad the you know admin access.
Speaker 5: So if his cousin wants to give him one thousand
Speaker 5: dollars US dollars for admin access to like all of
Speaker 5: the bank accounts at XYZ Bank that just outsourced to India, right, Like,
Speaker 5: this is going to be a disaster for a lot
Speaker 5: of these companies, right, and they're going to, especially all
Speaker 5: the AI in tech companies are going to have to
Speaker 5: end up bringing it all the way all the way
Speaker 5: back home. Right. So this outsourcing thing is just really
Speaker 5: laying corporate problem solving that's going to get unwound. But
Speaker 5: I bet a lot of the people it may not
Speaker 5: seem this way now, but if you were some corporate
Speaker 5: drone at Facebook or you know, Deloitte or whatever, I
Speaker 5: bet you if I ask you in ten years from now,
Speaker 5: are you happy you got laid off? You'll probably tell
Speaker 5: me yes. Because everybody in our sphere jokes about all,
Speaker 5: you know, these bullshit jobs, how most of the jobs
Speaker 5: are bullshit jobs. Well, they're bullshit jobs that'll take like
Speaker 5: that will literally suck your life away from you, and
Speaker 5: you'll be an old man before you know it, right,
Speaker 5: But you'll you'd probably be too scared to basically try
Speaker 5: and do something else. So I think a lot of
Speaker 5: people are going to, by circumstances that are out of
Speaker 5: their control, be forced to do something that otherwise wouldn't
Speaker 5: have that seems impossible and scary, but they'll come out
Speaker 5: the other end very glad they did it. Like, are
Speaker 5: you going to be glad that you didn't spend ten
Speaker 5: more years in some soul sucking corporate hell whole with
Speaker 5: some screaming HR manager. I think we're going to see
Speaker 5: an explosion in entrepreneurism. I really do, because it's the
Speaker 5: only way people are going to be able to guarantee
Speaker 5: a lot of income security is if they manage their
Speaker 5: income themselves. And I think it's going to be great,
Speaker 5: and I think a lot of people are going to
Speaker 5: be a lot happier. So just be glad you got fired,
Speaker 5: I guess, even though it doesn't seem that way.
Speaker 6: That's what I said.
Speaker 5: Are you happy? Are You're actually a perfect example? Are you?
Speaker 6: Are you kidding? I? Was it horrible at having real jobs?
Speaker 6: Is anybody who worked with me? Yeah?
Speaker 5: Would you have ever done what you're doing now?
Speaker 6: Decent chance? But now, to be perfectly honest, it was
Speaker 6: a decision.
Speaker 5: Why I'd caught up with you and been like, hey,
Speaker 5: do you want to just go and be a content
Speaker 5: creator on the internet. You'd be like, fuck, no, dude,
Speaker 5: I have bills.
Speaker 6: You said that hypothetically, like you didn't tell me to do.
Speaker 5: That, so I told you to do it. When you
Speaker 5: were doing something you were not working at corporate job
Speaker 5: all the way, yet you were already halfway out the door,
Speaker 5: and you were already making at least some money off
Speaker 5: of this. It was you had significantly de risked my
Speaker 5: investment analysis. You took all the risk off of it.
Speaker 5: But I mean, are you happier?
Speaker 6: Oh yeah, are you kidding? Even aside from okay, yeah, sure,
Speaker 6: Like I have a job that's not particularly like harder, backbreaking,
Speaker 6: Like it's not like I'm doing something physically strenuous, but
Speaker 6: being unemployed is great, or being sorry self employed is great.
Speaker 6: I would I could never go back genuinely for any.
Speaker 5: I was listening to your talk with Lucas, and I
Speaker 5: think there's going to be there's a lot of people
Speaker 5: that would be very very scared, too scared to do
Speaker 5: something like what Lucas has done, but would always in
Speaker 5: the back of their head wish that they did. And
Speaker 5: I think a lot of people are going to find
Speaker 5: themselves where doing what Lucas did is going to be
Speaker 5: the most saying choice you have. And I think a
Speaker 5: lot of people are going to be good at something
Speaker 5: they never thought that they were going to be good at,
Speaker 5: and be very very interested in something that they never
Speaker 5: thought they would have been interested in most entrepreneurs. I
Speaker 5: know that, you know they the business that they own
Speaker 5: now looks nothing like the business that they started or
Speaker 5: that they set out to make. So I think a
Speaker 5: whole bunch of people are going to be doing things
Speaker 5: that they didn't think they were going to be doing,
Speaker 5: and they're going to be much happier. So I think
Speaker 5: everyone being forced out or checking out of corporate America
Speaker 5: may be the best thing that ever happens to us,
Speaker 5: both politically and economically. It'll be whatever comes out of
Speaker 5: this will be infinitely more resilient.
Speaker 6: So Stormy, where could people find you?
Speaker 5: I think just the Inquisition podcast man.
Speaker 6: Yeah, I'll be sure to link that as well as
Speaker 6: your Twitter.
Speaker 4: Uh.
Speaker 5: Yeah, we give you a burden money. Prove my hypothesis correct.
Speaker 6: Yeah, this is the best, the best shilling segment I've
Speaker 6: ever had. Yes, give me.
Speaker 5: That money, right, give him more than a little bit,
Speaker 5: not a lot, but just more than a little bit.
Speaker 6: Yeah, so I stopped calling you for for financial advice?
Speaker 5: Definitely. I doubt that will happen.
Speaker 6: Well, dude, this is a ton of fun. Man, I
Speaker 6: appreciate it. I'll see you on a good.
Speaker 5: Soon, all right, I mean later. Marketing is hard, but
Speaker 5: I'll tell you a little secret.
Speaker 1: It doesn't have to be. Let me point something out.
Speaker 5: You're listening to a podcast right now, and it's great.
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Speaker 5: today