WEBVTT - The Mark Moss Show Dec 17, 2021 0:00:00.120 --> 0:00:03.040 Hey, everyone, welcome to another episode of the Mark Moss Show. 0:00:03.120 --> 0:00:06.800 Of course we're talking about bitcoin, we're talking about cryptocurrencies. 0:00:06.840 --> 0:00:10.520 We're talking about the decentralized revolution that is here in 0:00:10.600 --> 0:00:13.480 front of us. It's happening as we speak each and 0:00:13.520 --> 0:00:16.160 every week. Now I'm joined in the studio with one 0:00:16.160 --> 0:00:18.840 of my friends, Jason Buack. You can find him on 0:00:18.840 --> 0:00:22.640 Twitter at Jason E. Burrock. That's bu r A c 0:00:22.960 --> 0:00:27.120 K and uh. He is a He's an amazing financial analyst, 0:00:27.160 --> 0:00:29.440 really someone that I bounced a lot of ideas off 0:00:29.440 --> 0:00:31.080 on a macro level and I wanted to bring him 0:00:31.120 --> 0:00:33.000 on the radio. So Jason, thanks so much. We are 0:00:33.120 --> 0:00:35.199 joining me today. It's great to be on Mark. You're 0:00:35.200 --> 0:00:37.400 doing a really good job on here. Congratulations on your 0:00:37.400 --> 0:00:40.519 new show. Thanks man, thank you. I know, you know 0:00:40.600 --> 0:00:43.560 sometimes you've you've been been nice enough to start to 0:00:43.600 --> 0:00:45.559 send me a lot of information and and some d 0:00:45.680 --> 0:00:47.160 m s, and we've kind of gone back and forth, 0:00:47.200 --> 0:00:50.479 and you know, there was something that we were talking about. Um, 0:00:50.520 --> 0:00:51.680 it might have been a week or two ago, a 0:00:51.720 --> 0:00:53.120 couple of weeks ago when we start talking about get 0:00:53.159 --> 0:00:56.520 you on the show, and you were talking about how um, 0:00:56.560 --> 0:00:59.040 the government the Central Bank, and the government is in 0:00:59.040 --> 0:01:02.560 this situation to a where a large percentage of their 0:01:02.600 --> 0:01:05.800 tax revenue now has started to come increasingly more from 0:01:05.880 --> 0:01:09.440 capital gains, and there's a reason why they need to 0:01:09.480 --> 0:01:12.400 continue to get asset prices to go up, including they 0:01:12.480 --> 0:01:14.440 might even want to see bitcoin going up to a 0:01:14.480 --> 0:01:17.120 million dollars because they need that revenue. I think, is that? 0:01:17.200 --> 0:01:19.959 Is that right what you were saying. Yes, there's a 0:01:20.000 --> 0:01:24.479 lot of reasons for this. So there's been enormous structural 0:01:24.600 --> 0:01:29.080 changes in the annual US federal government tax or seats 0:01:29.080 --> 0:01:31.760 of the last couple of decades. So a couple of 0:01:31.760 --> 0:01:36.120 decades ago, capital gains, taxes on stock spawns, real estate, 0:01:36.480 --> 0:01:39.039 it was barely ten percent. Most years, it wasn't ten 0:01:39.120 --> 0:01:43.000 percent of annual tax revenues. So the real economy, corporation, 0:01:43.160 --> 0:01:46.520 small businesses, that was what was paying the tax revenues. 0:01:46.959 --> 0:01:51.720 Now what has changed is, depending upon how you measure GDP, 0:01:52.000 --> 0:01:56.200 government spending now accounts for around fifty of g d P, 0:01:56.720 --> 0:01:59.240 and the government's not going to tax itself. A lot 0:01:59.240 --> 0:02:02.480 of corporation and don't pay taxes, especially the ones that 0:02:02.520 --> 0:02:05.880 are politically connected like General Electric or Tesla Motors that 0:02:05.920 --> 0:02:08.320 are relying on a lot of government subsidies to survive 0:02:08.360 --> 0:02:12.080 and are not consistently profitable. So you have a situation 0:02:12.560 --> 0:02:16.800 where the government realized this, the Futtal Reserve Bank realized this, 0:02:17.120 --> 0:02:21.320 the large banks in the US realized this. The large 0:02:21.360 --> 0:02:25.680 banks decided a couple of decades ago that it was 0:02:25.760 --> 0:02:29.520 a lot more profitable for them. There's no caps on 0:02:29.919 --> 0:02:33.280 lending the amount of percentage interest rates that they could charge, 0:02:33.560 --> 0:02:38.040 so the large banks have basically they take depositor money 0:02:38.080 --> 0:02:40.839 and they take the reserves that the Futtle Reserve gives them, 0:02:41.000 --> 0:02:43.440 and they could use that as collateral. They can pledge it, 0:02:43.520 --> 0:02:47.520 they can um put it as hypothecated and rehypothecated, all 0:02:47.520 --> 0:02:50.639 this stuff, and they put on hedge fund trades, so 0:02:50.760 --> 0:02:57.000 on stocks, bawns, real estate, currencies, commodities, over the counter derivatives. 0:02:57.360 --> 0:03:00.519 The majority of annual bank profits now is not from 0:03:00.560 --> 0:03:04.120 normal lending. It's from like leveraged hedge fund trades on 0:03:04.200 --> 0:03:08.840 bonds and currencies and over the counter derivatives. So the 0:03:09.320 --> 0:03:11.320 this is what a lot of people have called the 0:03:11.440 --> 0:03:16.280 financialization of the economy, where the real economy um where 0:03:16.320 --> 0:03:19.560 there's investments by the follow government investments by the private sector. 0:03:19.639 --> 0:03:22.399 The government releases press releases. You know, it's I've lived 0:03:22.440 --> 0:03:24.840 here in d C for over twenty years now, and 0:03:25.120 --> 0:03:30.679 there's always infrastructure plans announced, and these infrastructure plans, the 0:03:30.760 --> 0:03:34.720 return on investment on these things, the actual infrastructure never 0:03:34.760 --> 0:03:38.280 seems to get done correctly. It so basically, when the 0:03:38.280 --> 0:03:42.360 government spends money, it's not helping the regular people. It's 0:03:42.360 --> 0:03:45.440 going for corporate welfare, it's going for bailouts, it's helping 0:03:45.440 --> 0:03:49.080 out large corporations and special interest groups. And that's where 0:03:49.160 --> 0:03:51.840 the capital gains on stocks, bonds, royal estate and now 0:03:51.880 --> 0:03:56.400 crypto comes in. Because the official FED policy mark for 0:03:56.440 --> 0:03:59.120 the last two decades, and the FED doesn't even want 0:03:59.120 --> 0:04:01.480 to talk about this in more publicly because the wealth 0:04:01.520 --> 0:04:05.440 disparity that they've created intentionally, by the way, because you 0:04:05.520 --> 0:04:08.600 had the Alan Greenspan FED, you have the Ben Bernanke FED, 0:04:08.800 --> 0:04:11.360 you had the Janet yelling FED all talking about the 0:04:11.400 --> 0:04:15.520 wealth effect, and the wealth effect basically means asset price 0:04:15.560 --> 0:04:20.200 inflation and what Austrian School economists call the canceil Wan effect, 0:04:20.760 --> 0:04:25.200 which is enormous amounts of currency and credit being misallocated. 0:04:25.200 --> 0:04:28.080 It's not going to the right places. It's being subsidized, 0:04:28.520 --> 0:04:32.680 given to large corporations for bailouts, UM, people on Wall 0:04:32.720 --> 0:04:35.920 Street to put hedge fund bets, or for bailouts, covert bailouts, 0:04:36.120 --> 0:04:39.800 and political insiders here in d C. And that's how 0:04:39.839 --> 0:04:42.680 the tax base has changed. Now here we are a 0:04:42.680 --> 0:04:45.880 couple of decades later. And I said at the beginning 0:04:45.880 --> 0:04:49.520 of the segment that the annual tax revenues for stocks, bonds, 0:04:49.520 --> 0:04:52.400 in real estate were ten percent or less for capital 0:04:52.400 --> 0:04:57.040 gains taxes. Now we're here, we are, we're approaching, so 0:04:57.080 --> 0:05:00.600 we've had a three x move now in capital game taxes. 0:05:00.680 --> 0:05:04.360 This is all part of my stagflate tax life thesis 0:05:04.400 --> 0:05:06.440 that I've been talking about for years. And it's just 0:05:06.440 --> 0:05:09.880 gonna get worse the government, the federal government and all 0:05:10.000 --> 0:05:13.279 levels of government because in a lot of states and 0:05:13.320 --> 0:05:16.640 a lot of counties they're going there increasing property taxes 0:05:16.720 --> 0:05:19.880 a lot too. So this is all part of inflating 0:05:19.960 --> 0:05:23.320 royal state as well. So I mean it makes perfect sense. 0:05:23.320 --> 0:05:25.720 I mean, asset prices have gone sky high. Obviously, we've 0:05:25.720 --> 0:05:28.400 seen cryptocurrencies going high. Real estate price has never been higher, 0:05:28.440 --> 0:05:31.160 stock market has never been higher, etcetera. Um. And so 0:05:31.200 --> 0:05:33.599 then it makes sense that they're making more on capital gains, 0:05:33.600 --> 0:05:35.960 and so it also makes sense that the revenue that 0:05:36.000 --> 0:05:38.320 the government's collected off cap gains has gone from ten 0:05:38.680 --> 0:05:42.719 to thirty or whatever. But what happens if asset prices 0:05:42.720 --> 0:05:45.320 were to drop and then that revenue from cap gains 0:05:45.400 --> 0:05:48.159 drops down? Are they that dependent on that increase in 0:05:48.240 --> 0:05:52.640 cap gains taxes? Yes? Yes. And the other problem here, Mark, 0:05:52.839 --> 0:05:56.440 is you're creating a country of speculators. So instead of 0:05:56.440 --> 0:05:59.599 a business owner, an entrepreneur or a small business owner, 0:05:59.839 --> 0:06:02.120 the citing that I want to invest in new property, 0:06:02.120 --> 0:06:04.200 plan and equipment, I want to expand my business, I 0:06:04.200 --> 0:06:07.000 want to hire employees. Instead, you have people that have 0:06:07.160 --> 0:06:10.040 some savings or capital or their retirement account. They want 0:06:10.040 --> 0:06:12.240 to go gamble on n f T s, they want 0:06:12.240 --> 0:06:15.200 to go gamble on crypto. They're not creating jobs, so 0:06:15.240 --> 0:06:18.880 they're they're the real economy, human beings who actually want 0:06:18.880 --> 0:06:22.200 to work, who actually want to grow their income. It's 0:06:22.200 --> 0:06:26.840 not happening the conventional way. It's happening like it basically 0:06:26.880 --> 0:06:28.960 created a nation of speculators. And if you go back 0:06:29.000 --> 0:06:32.839 through financial history, this is actually looking now. Obviously things 0:06:32.880 --> 0:06:35.240 are more modern and more digital people are trading on 0:06:35.279 --> 0:06:38.640 their smartphones. But the speculative behavior is actually reminding me 0:06:38.680 --> 0:06:42.520 a lot of studying prior to the Weimar Republic hyperinflation, 0:06:43.040 --> 0:06:46.880 the crazy amounts of speculation on stocks and currencies. Yeah, 0:06:46.960 --> 0:06:49.359 it's interesting you say that, because just this week I 0:06:49.400 --> 0:06:52.000 put out a video um I'm calling I called it 0:06:52.120 --> 0:06:55.040 Generation Gamble, which is actually from a little documentary that 0:06:55.080 --> 0:06:58.280 CNBC did, and basically it's exactly what you're what you 0:06:58.360 --> 0:07:01.440 just said there, which is we've created this generation of gamblers. 0:07:01.440 --> 0:07:04.240 And I saw that um on robin hood or or 0:07:04.320 --> 0:07:07.520 not just robbing it, but everywhere options trading has surpassed 0:07:07.520 --> 0:07:10.200 stock trading for the first time in history. And so 0:07:10.680 --> 0:07:12.920 between options trading and what that shows is, you know, 0:07:12.960 --> 0:07:15.280 buying stocks, you're kind of buying equity, and a company, 0:07:15.280 --> 0:07:17.240 you're like buying a business. You're kind of investing in 0:07:17.280 --> 0:07:20.000 a business. Maybe there's some money going to I mean 0:07:20.200 --> 0:07:21.960 kind of supposed to be going towards a business for 0:07:22.000 --> 0:07:25.360 capital expenditure, But when you're doing options, it's just pure gambling. 0:07:25.640 --> 0:07:27.400 And we've seen obviously, you know the rise of the 0:07:27.440 --> 0:07:30.360 cryptocurrency investing, as you said, n f T S etcetera. 0:07:30.480 --> 0:07:32.720 And and we're even seeing reports now people quitting their 0:07:32.800 --> 0:07:36.440 jobs to just be full time traders. And when you're 0:07:36.440 --> 0:07:40.160 trading options or you're trading crypto assets, you're not providing 0:07:40.280 --> 0:07:42.720 any value to the point that you're making, right, So 0:07:42.840 --> 0:07:46.440 like you're trading these assets, you're not providing any value 0:07:46.560 --> 0:07:49.640 to anything. But what you're doing is you're increasing your 0:07:49.720 --> 0:07:53.000 dollars without providing value. But then you take those dollars 0:07:53.880 --> 0:07:57.520 and then you go buy goods and services from productive people. 0:07:57.560 --> 0:08:01.200 And so really it's this net drags drain onto the 0:08:01.360 --> 0:08:04.280 entire economy. And I was explaining this video how how 0:08:04.320 --> 0:08:06.920 this is happening and how bad it is for the society. 0:08:07.240 --> 0:08:09.800 The problem is is that I mean to explain to 0:08:09.840 --> 0:08:12.800 somebody why they should go slave over a job making 0:08:12.800 --> 0:08:14.400 twenty bucks an hour and then go flip n F 0:08:14.440 --> 0:08:16.240 T s and make, you know, fifty bucks a pop. 0:08:16.240 --> 0:08:19.200 It is very difficult. But it's it's not you know, 0:08:19.240 --> 0:08:21.240 it's it's just a sign of the times as a 0:08:21.320 --> 0:08:23.400 sign of of where we're at, and it's a sign 0:08:23.440 --> 0:08:27.160 of what has happened with the Fiat money system. Now, 0:08:27.160 --> 0:08:28.880 by the way, you're listening to the Mark Moa show. 0:08:28.880 --> 0:08:31.600 We're talking about bitcoin. We're talking about cryptocurrencies, We're talking 0:08:31.640 --> 0:08:35.680 about the decentralized Revolution. I'm in the studio with Jason Barack. 0:08:36.080 --> 0:08:38.559 You can find them on Twitter at Jason e Berrock. 0:08:39.160 --> 0:08:41.839 Of course I'm on Twitter at one. Mark Moss and 0:08:41.920 --> 0:08:44.800 I have him on and we're talking specifically about the 0:08:44.840 --> 0:08:47.360 problems that are happening in the financial system with the 0:08:47.360 --> 0:08:50.640 Federal Reserve and some of the dangers that are going 0:08:50.720 --> 0:08:54.559 on inside the government that I think proves the use 0:08:54.640 --> 0:08:56.920 case and the need for something like bitcoin. When we 0:08:56.960 --> 0:09:00.240 come back, we're I want to talk about how you 0:09:00.280 --> 0:09:02.360 said that the g d P, or the gross Domestic 0:09:02.400 --> 0:09:05.439 Product of the government, is fake, and how the federal 0:09:05.520 --> 0:09:09.600 government spending is now accounting for a majority of what's 0:09:09.920 --> 0:09:13.640 put into that g DP. It's like, uh, I made 0:09:13.679 --> 0:09:15.360 another video. I said, it's like a ponzi, and you 0:09:15.360 --> 0:09:17.679 can't taper a ponzi. So we're gonna talk about those 0:09:17.679 --> 0:09:19.880 things when we get back again. You're listening to the 0:09:19.880 --> 0:09:23.720 Mark ma Show talking about bitcoin, talking about cryptocurrencies, talking 0:09:23.720 --> 0:09:27.200 about the decentralized Revolution, and we're talking about what's happening 0:09:27.400 --> 0:09:29.520 in the government and the Federal Reserve, we're gonna be 0:09:29.640 --> 0:09:32.200 right back. Hey, everybody, welcome back. You're listening to the 0:09:32.200 --> 0:09:35.760 Mark Moa Show. We're talking about bitcoin, we're talking about cryptocurrencies. 0:09:35.760 --> 0:09:38.560 We're talking about the decentralized revolution. Each and every week. 0:09:38.800 --> 0:09:41.360 I'm in the studio right now with Jason Barack is uh. 0:09:41.559 --> 0:09:43.840 You can find him on Twitter at Jason e back 0:09:43.960 --> 0:09:46.679 and he's uh, somebody that I spent a lot of 0:09:46.679 --> 0:09:50.040 time talking about, UM. Talking to I should say about 0:09:50.080 --> 0:09:52.600 what is going on with the FED and the debt 0:09:52.960 --> 0:09:56.480 and all these things, and so UM we're talking about 0:09:56.520 --> 0:09:59.080 before the break, we're talking about how the FED needs 0:09:59.120 --> 0:10:02.000 these asset price is to continue going up because they 0:10:02.080 --> 0:10:05.800 depend on that much tax revenue. UM. But Jason, something 0:10:05.800 --> 0:10:07.720 else that you had told me is that the GDP, 0:10:08.040 --> 0:10:10.880 the gross domestic product that the government uses, UM, is 0:10:10.920 --> 0:10:14.240 all fake. Tell me about that. Well. Murray Rothbard, the 0:10:14.240 --> 0:10:17.080 Austrian School economist, He used to say that government spending 0:10:17.120 --> 0:10:21.040 should be subtracted from GDP. But as of as of 0:10:21.120 --> 0:10:23.600 right now, government spending, depending upon how you measure it, 0:10:23.640 --> 0:10:27.959 is about fifty GDP. Now, there is a lot of waste, fraud, 0:10:27.960 --> 0:10:30.880 corruption and abuse here in the DC metro area. There's 0:10:30.960 --> 0:10:35.360 a lot of bribes, there's a lot of unbidded contracts, 0:10:35.480 --> 0:10:37.920 lobbying as part of it. There's also an enormous amount 0:10:37.960 --> 0:10:41.319 of revolving door corruption between Wall Street in d C. 0:10:41.520 --> 0:10:44.480 Between the regulators who want to go work at in 0:10:44.520 --> 0:10:47.920 the regulatory department of hedge funds and investment banks, big pharma, 0:10:48.000 --> 0:10:51.120 military industrial complex. So a lot of that government spending 0:10:51.160 --> 0:10:56.320 mark is actually corporate welfare, is actually secret bailouts, covert 0:10:56.320 --> 0:11:01.280 bailouts with based on bribes and unbidded contract so large corporations. 0:11:01.760 --> 0:11:04.160 And this is common in a lot of other countries, 0:11:04.679 --> 0:11:07.040 but um here in the United States. You know the 0:11:07.120 --> 0:11:10.000 corruption levels. In the past, it was looked at as 0:11:10.080 --> 0:11:12.520 not as corrupt as other countries, but now like the 0:11:12.600 --> 0:11:17.120 United States has emerging market corruption levels. So the the 0:11:17.120 --> 0:11:19.200 amount of government spent and the government is not going 0:11:19.240 --> 0:11:22.400 to tax itself. So if the government is spending this much, 0:11:22.440 --> 0:11:25.800 and the government is handing out enormous amounts of welfare payments, 0:11:25.880 --> 0:11:29.920 all these different social transfer payments for healthcare payments and 0:11:30.000 --> 0:11:33.800 welfare checks and ebt cards to the states, it's not 0:11:33.840 --> 0:11:35.600 gonna that stuff is not gonna get taxed. Now the 0:11:35.600 --> 0:11:38.320 individuals who are receiving some of these things. If they 0:11:38.800 --> 0:11:40.680 based on income, they might get taxed on some of 0:11:40.720 --> 0:11:43.000 these things depending upon how much like subsidies and stuff 0:11:43.040 --> 0:11:45.160 they get. But that over the government's not paying taxes 0:11:45.200 --> 0:11:47.480 that people here in d C. I mean, I've had 0:11:47.480 --> 0:11:50.360 off the record conversations with people I've been at parties 0:11:50.400 --> 0:11:52.600 and charity events. I mean, there's lots of people here 0:11:52.600 --> 0:11:54.000 in DC that are making a lot of money and 0:11:54.000 --> 0:11:56.680 not paying taxes or figuring out ways around it. There's 0:11:56.800 --> 0:11:59.920 that type of level of corruption here in the DC 0:12:00.080 --> 0:12:03.520 mat area. Yeah, you know, um, I I was. You know, 0:12:03.640 --> 0:12:05.720 there's something I've I was told a long time ago, 0:12:05.760 --> 0:12:08.080 and I'd always recite over and over is that the 0:12:08.160 --> 0:12:12.120 government cannot give something that has not taken um. And 0:12:12.160 --> 0:12:14.240 so in order for them to spend money, they have 0:12:14.320 --> 0:12:16.960 to take it from somebody else. Um. Which is why 0:12:17.040 --> 0:12:19.800 you said, you know, like GDP or should be removed 0:12:19.920 --> 0:12:22.600 or government spending should be removed from GDP because it's 0:12:22.600 --> 0:12:26.400 not real GDP. They've they're basically just redistributing that money. 0:12:26.440 --> 0:12:29.000 So something that I've been kind of paying attention to 0:12:29.080 --> 0:12:31.839 is this debt to GDP level and per like the 0:12:31.920 --> 0:12:36.680 Kinsey and multiplier um Like, once you get over to GDP, UM, 0:12:36.720 --> 0:12:39.400 the more debt you have, the less growth you're getting. 0:12:39.400 --> 0:12:41.200 And eventually you don't get enough growth out of that 0:12:41.240 --> 0:12:43.360 debt and you dig yourself deeper and deeper in a hole. 0:12:43.720 --> 0:12:46.200 And then like, um, you know, once you get over 0:12:46.200 --> 0:12:49.319 a hundred debt to GDP, then it's basically game over 0:12:49.360 --> 0:12:53.480 at that point. Now we're at over a hundred debt 0:12:53.480 --> 0:12:56.480 to GDP. But if what you're saying is fifty percent 0:12:56.520 --> 0:12:59.440 of it is phony, then we might even be way higher. 0:12:59.720 --> 0:13:03.400 Is something that you're thinking about. Well, the and this 0:13:03.440 --> 0:13:06.320 is why the dollar hasn't crashed. You the entire global 0:13:06.360 --> 0:13:10.480 financial system, all these emerging market governments, these foreign governments, 0:13:10.520 --> 0:13:13.760 a lot of foreign corporations, they're using dollars still, they're 0:13:13.760 --> 0:13:16.920 borrowing dollar denominated debt. When the dollar index gets weak, 0:13:16.960 --> 0:13:19.920 and it got week in twenty, they borrowed even more dollars. 0:13:19.960 --> 0:13:22.400 So as long as that continues, as long as dollar 0:13:22.480 --> 0:13:25.080 denominated debt grows, the US is going to be able 0:13:25.080 --> 0:13:27.080 to get away with this, get away with stag flee 0:13:27.120 --> 0:13:29.280 tax life for a while. Plus you have all these 0:13:29.320 --> 0:13:32.160 other governments and this is a global macro analysis. Here 0:13:32.400 --> 0:13:34.360 you have all these other governments trying to do the 0:13:34.400 --> 0:13:37.800 same thing. Um in and I've talked about this example. 0:13:37.840 --> 0:13:40.360 I've done YouTube videos on this. There's almost two thousand 0:13:40.400 --> 0:13:42.559 free YouTube videos on my channel if your listeners want 0:13:42.559 --> 0:13:45.640 to check it out. But in the Indian government last 0:13:45.720 --> 0:13:49.360 year in two run a record trades or plus. What 0:13:49.400 --> 0:13:52.000 did they do? Their central bank printed a bunch of 0:13:52.040 --> 0:13:55.120 their own currency, Indian routpees and bought US dollars. They 0:13:55.160 --> 0:13:57.800 propped up, They helped prop up the dollar so they 0:13:57.840 --> 0:14:00.760 could run an enormous trades or plus. Now India is 0:14:00.800 --> 0:14:02.760 paying for it with a weaker currency and they're having 0:14:02.800 --> 0:14:06.839 inflation problems and um you know, the normal problems from 0:14:06.880 --> 0:14:09.040 creating a lot of currency and emerging market. But the 0:14:09.120 --> 0:14:12.720 US has benefited heavily from this dollar standard system, the 0:14:12.720 --> 0:14:16.120 world reserve currency. Plus you have with the current system, 0:14:16.160 --> 0:14:19.120 all these other foreign governments for incorporations. If the dollar 0:14:19.200 --> 0:14:21.920 gets weak, they borrow in dollars, so it creates like 0:14:22.160 --> 0:14:24.280 this is why the dollar is basically in a trading range. 0:14:24.320 --> 0:14:27.320 And these other governments and central banks are doing very 0:14:27.360 --> 0:14:31.080 similar policies. I call it Japanification. Similar to Japan and 0:14:31.120 --> 0:14:36.240 the United States. M hmm, yeah. And you know, I know, uh, 0:14:36.360 --> 0:14:38.400 you know, another one of my friends, Brent Johnson, he 0:14:38.400 --> 0:14:40.600 always talks about the you know, dollar milkshake theory and 0:14:40.600 --> 0:14:42.440 how the dollar is going to continue to suck all 0:14:42.440 --> 0:14:45.360 the liquidity out of all the other currencies, and um, 0:14:45.400 --> 0:14:47.480 you know, we're we're seeing that to some extent. But 0:14:47.920 --> 0:14:50.240 the one thing that I always think about is like, Okay, 0:14:50.280 --> 0:14:52.800 that's great if the dollar is getting stronger against all 0:14:52.840 --> 0:14:56.160 the other currencies, Like that's cool, but like it's still 0:14:56.160 --> 0:14:59.320 losing ground in terms of purchasing power. Right, So it 0:14:59.320 --> 0:15:01.080 may be stronger than the currencies, but it's still buying 0:15:01.120 --> 0:15:04.240 me less houses and less stake at the grocery store. Right. Well, 0:15:04.280 --> 0:15:06.920 the asset prices are being inflated, you have foreigners who 0:15:06.960 --> 0:15:09.800 want to buy US assets because as bad as a 0:15:09.880 --> 0:15:12.280 lot of Americans think things are here in the United States, 0:15:12.320 --> 0:15:14.760 the US on a relative basis, still has better private 0:15:14.800 --> 0:15:17.240 property rights and a lot of other countries. So there 0:15:17.240 --> 0:15:19.240 are a lot of foreigners that want to invest in 0:15:19.320 --> 0:15:21.320 royal state here in the United States. Even though property 0:15:21.360 --> 0:15:23.480 taxes are going up, there are a lot of foreigners 0:15:23.480 --> 0:15:25.840 who want to buy U s stocks at the right valuation. 0:15:26.160 --> 0:15:27.600 There are a lot of foreigners is still want to 0:15:27.600 --> 0:15:30.320 move to the United States, so Americans have to think 0:15:30.360 --> 0:15:33.520 of things on a relative term that the US is 0:15:33.520 --> 0:15:36.440 still attractive for an investment. UM. I don't agree with 0:15:36.480 --> 0:15:38.840 a lot of what Brent I'm friends with Brent to 0:15:39.600 --> 0:15:42.520 um the dollar. He's calling for a big dollar rally. 0:15:42.640 --> 0:15:45.040 But they Fed and the Treasury want to try to 0:15:45.120 --> 0:15:47.400 keep the dollar like in a trading range. So every 0:15:47.400 --> 0:15:51.560 time the dollar gets too strong, that basically gives the politicians, 0:15:51.560 --> 0:15:54.680 the bureaucrats, and the PhD economists here in d C 0:15:55.360 --> 0:15:57.760 an excuse to spend more to try to weaken the dollar. 0:15:58.680 --> 0:16:00.520 So that's gonna it's gonna be. I call it the 0:16:00.520 --> 0:16:03.240 dollar tug of war. So the dollar index has been 0:16:03.240 --> 0:16:06.400 a trading range for seven years. I expect that to 0:16:06.440 --> 0:16:08.720 continue for the most part because of the way the 0:16:08.760 --> 0:16:11.280 system is designed and what all these other governments and 0:16:11.280 --> 0:16:14.400 central banks are doing. But Mark, the U S imports 0:16:14.520 --> 0:16:17.200 so many things, and that's really where a lot of 0:16:17.240 --> 0:16:19.760 this stagflation and shrink flation is coming. And I've been 0:16:19.800 --> 0:16:22.720 talking about stagg flee tax lie and stagflation and shrink 0:16:22.720 --> 0:16:26.080 flation for years. So a lot of people are talking 0:16:26.120 --> 0:16:29.240 about stagflation right now, and yeah, it's bad right now. 0:16:29.240 --> 0:16:31.600 It's double digits right now, and taxes are going up. 0:16:31.640 --> 0:16:33.640 But I mean it's been going on for years. It's 0:16:33.680 --> 0:16:36.720 been getting bad for years. It wasn't quite at these levels. 0:16:36.960 --> 0:16:39.320 I was noticing it, but the majority of people weren't. 0:16:39.760 --> 0:16:43.160 I think what has happened, though, is that the government statistics, 0:16:43.200 --> 0:16:46.040 so like the c p I, which is a consumer 0:16:46.400 --> 0:16:49.440 consumer price index but I call it the Changing Propaganda Index, 0:16:50.120 --> 0:16:52.920 they can't hide the inflation as much as they used to, 0:16:53.560 --> 0:16:56.960 so the average person. I'm seeing articles on mainstream financial 0:16:57.320 --> 0:17:00.200 media talking about how the CPI is totally wrong. And 0:17:00.560 --> 0:17:02.360 you know, ten years ago, we never would have seen 0:17:02.360 --> 0:17:08.880 anything like this, calling government statistics basically total Yeah. Yeah, So, UM, 0:17:08.920 --> 0:17:11.240 I want to talk more about the cp I. I 0:17:11.280 --> 0:17:13.600 know we're expecting some numbers to come out tomorrow. I 0:17:13.600 --> 0:17:15.600 want to dig into that, and UM, I have I 0:17:15.600 --> 0:17:17.040 have a couple of questions that I want to ask 0:17:17.080 --> 0:17:19.520 about that. Of course, UM, you know we need to 0:17:19.560 --> 0:17:22.119 dig in. Uh, you're listening to the Marketma show. We're 0:17:22.119 --> 0:17:24.920 talking about, of course, bitcoin and cryptocurrencies and the technological 0:17:24.960 --> 0:17:27.720 revolution that we're witnessing. UM. Right now we're talking with 0:17:27.800 --> 0:17:31.760 Jason Barack. We're talking about the Federal Reserve, the Central Bank, 0:17:31.800 --> 0:17:34.000 we're talking about you know, the government spending and whatnot. 0:17:34.119 --> 0:17:36.080 And the reason why is because, um, if you really 0:17:36.080 --> 0:17:38.280 want to understand bitcoin and what's happening there, you kind 0:17:38.280 --> 0:17:42.240 of have to understand what's happening on the global macroeconomic scale. 0:17:42.240 --> 0:17:44.120 I think that kind of it's one of the big 0:17:44.160 --> 0:17:47.520 reasons why this all matters. UM. So I'm in the 0:17:47.560 --> 0:17:49.440 studio with Jason Barrack. You can find him on Twitter 0:17:49.560 --> 0:17:53.080 at Jason E. Barack. UM. I think you can find 0:17:53.160 --> 0:17:55.720 him on YouTube at Wall Street for Main Street as 0:17:56.080 --> 0:17:57.960 as well. So we're gonna come back. We're gonna talk 0:17:58.000 --> 0:18:00.920 about this new CPI number it's expected to come out, 0:18:00.960 --> 0:18:03.720 these inflation numbers, what's happening with that so we can 0:18:04.200 --> 0:18:06.600 make sure we're focused on our money and hopefully making 0:18:06.640 --> 0:18:08.280 more of it. So we're gonna be right back with 0:18:08.359 --> 0:18:11.080 Jason in a second. Don't go away, Hey, everyone, welcome back. 0:18:11.119 --> 0:18:13.040 You are listening to the Mark Moa Show, and we're 0:18:13.040 --> 0:18:15.920 talking about bitcoin, and we're talking about cryptocurrencies, and we're 0:18:15.960 --> 0:18:21.159 talking about the decentralized revolution, each and every week, and 0:18:21.200 --> 0:18:23.080 that's what we talked about each over week, over and 0:18:23.119 --> 0:18:25.840 over and over. But we want to understand what's going on, 0:18:26.240 --> 0:18:28.840 not just from a technical perspective or you know, what's 0:18:28.840 --> 0:18:30.720 trending or whatever. We want to understand it from a 0:18:30.800 --> 0:18:35.440 deep fundamental level, like what is really uh what what's 0:18:35.440 --> 0:18:38.200 really working behind the scenes. And in my opinion, the 0:18:38.240 --> 0:18:42.680 financial system is facing a reset about every eighty years, 0:18:42.680 --> 0:18:44.600 we see this financial revolution, the end of this long 0:18:44.680 --> 0:18:46.680 term credit cycle kind of come to an end. We're 0:18:46.680 --> 0:18:49.359 seeing the Federal Reserve running out of tools. I mean, 0:18:49.400 --> 0:18:51.440 they basically have two tools. They have interest rates, and 0:18:51.440 --> 0:18:53.560 they have money supply. Interest rates are at zero or 0:18:53.560 --> 0:18:55.600 negative in most parts of the world, and we have 0:18:55.680 --> 0:18:58.440 too much debt and their backs up against the wall. 0:18:58.720 --> 0:19:00.760 And so I'm in the studio with Jason iraq Um. 0:19:00.760 --> 0:19:02.560 He's kind of an expert in this type of stuff, 0:19:02.600 --> 0:19:04.560 and so we're kind of talking about that to help 0:19:04.600 --> 0:19:07.040 you understand what's going on a little bit better. Um 0:19:07.040 --> 0:19:09.680 not Jason, you you had mentioned right before the break 0:19:09.720 --> 0:19:13.359 about the c p I, which is the consumer price index, 0:19:13.400 --> 0:19:17.000 which is what the government uses to measure inflation, which 0:19:17.040 --> 0:19:19.000 is um you know, it's fine for them, But I 0:19:19.000 --> 0:19:20.960 think most of us measure inflation when we fill up 0:19:21.000 --> 0:19:23.600 our gas in our car, or we have to go 0:19:23.640 --> 0:19:25.840 to the grocery store and buy some food, UM, or 0:19:25.880 --> 0:19:27.480 buy a house. I think we've measured it that way. 0:19:27.520 --> 0:19:30.679 But um, rumors are that there's a cd P I 0:19:30.960 --> 0:19:33.440 that is probably gonna be very bad, meaning it is 0:19:33.440 --> 0:19:36.159 going to be very high, and they're already starting to 0:19:36.160 --> 0:19:39.480 put out some warnings. I saw some headlines today saying, um, hey, 0:19:39.560 --> 0:19:42.120 it may come out and be really bad, but it's 0:19:42.119 --> 0:19:44.320 not as bad as it looks like. Have you seen 0:19:44.359 --> 0:19:47.720 some stuff like that. Yeah, I've seen a political spin 0:19:47.880 --> 0:19:51.120 from the Biden administration already talking about that. I mean, 0:19:51.280 --> 0:19:54.280 whatever the headline number is, the the honest truth is, 0:19:54.320 --> 0:19:57.240 it doesn't matter. And I'll give you some concrete examples 0:19:57.240 --> 0:20:00.560 of that. So I didn't interview on George gam channel 0:20:00.560 --> 0:20:04.840 a couple of months ago talking about the difference in rents. 0:20:04.960 --> 0:20:09.159 So any normal consumer price index, they wait rent, but 0:20:09.240 --> 0:20:12.720 they don't accurately measure what people are paying for rents. 0:20:12.720 --> 0:20:15.520