WEBVTT - Crisis Investing Legend Explains What Comes Next | Doug Casey 0:00:14.360 --> 0:00:18.920 Everyone, Welcome to another episode of the Market Disruptors showed today. 0:00:18.920 --> 0:00:21.279 I am so excited because I am sitting down with 0:00:21.280 --> 0:00:23.480 someone who I've been following for a really long time, 0:00:23.560 --> 0:00:27.639 Doug Casey. Um, if you're into gold, you probably know 0:00:27.680 --> 0:00:30.400 who Doug Casey is. He's the founder of Casey Research, 0:00:30.520 --> 0:00:35.240 best selling authors several books, including the book Crisis Investing 0:00:35.280 --> 0:00:38.640 from best selling Book, and currently he's writing a new 0:00:38.680 --> 0:00:41.519 blog called The International Man. And he definitely is the 0:00:41.560 --> 0:00:44.320 International Man. Doug, thank you so much for coming on 0:00:44.360 --> 0:00:47.480 the show. Well, it's supposed to visit with you Mark 0:00:47.880 --> 0:00:52.920 at the moment, I'm in the quiet backward, a little 0:00:52.920 --> 0:00:56.880 welfare state of Uruguay where I've been sitting out this 0:00:57.480 --> 0:01:01.240 COVID hysteria. Oh wow, do you do you are the 0:01:01.280 --> 0:01:03.920 International Man? Well? Um, I gave a little bit of 0:01:03.920 --> 0:01:05.360 an intro, and of course, like I said, I've been 0:01:05.360 --> 0:01:07.040 following you for a long time, at least a dozen 0:01:07.120 --> 0:01:10.200 years at this point. But I'm guessing there might be 0:01:10.240 --> 0:01:12.319 a couple of people left that aren't sure who you are. 0:01:12.319 --> 0:01:14.319 So just give us a quick background on kind of 0:01:14.959 --> 0:01:18.560 maybe what you've been doing and where you're at right now. Well, 0:01:18.640 --> 0:01:22.399 my first book was called The International Man, and it 0:01:22.480 --> 0:01:24.160 was a guide book to making the most of your 0:01:24.200 --> 0:01:29.360 personal freedom and financial opportunity around the world, among other things. 0:01:29.360 --> 0:01:31.959 That book became the largest selling book in the history 0:01:31.959 --> 0:01:36.240 of Rhodesia. Uh and that's one record that's never going 0:01:36.280 --> 0:01:39.759 to be broken. UH. And of course my current blog 0:01:39.920 --> 0:01:43.800 is called international Man dot com kind of after that book. 0:01:44.440 --> 0:01:50.720 And then my second book, Crisis Investing, became the largest 0:01:50.720 --> 0:01:54.400 selling book of the year on the of any type, 0:01:55.480 --> 0:01:57.360 and it was number one on the New York Times 0:01:57.400 --> 0:01:59.680 list for eighteen weeks and on the list for about 0:02:00.080 --> 0:02:03.880 thirty so. And I've written a number of books since then, 0:02:03.920 --> 0:02:08.760 although now I'm basically doing novels, because there are many 0:02:08.840 --> 0:02:12.000 things that you can say in the form of fiction 0:02:12.040 --> 0:02:15.800 that you actually dare not say in the form of nonfiction. 0:02:16.560 --> 0:02:21.600 First novel happened to have a copy with me is Speculator, 0:02:21.919 --> 0:02:25.800 which is a story about the gold mining business, with 0:02:25.840 --> 0:02:29.040 our hero Charles Knight, making a couple hundred million dollars, 0:02:29.080 --> 0:02:33.079 which is possible in bull markets in gold, and then 0:02:33.120 --> 0:02:35.680 having it stolen from him after he gets involved in 0:02:35.680 --> 0:02:39.760 a bush war in Africa, where I've spent a lot 0:02:39.760 --> 0:02:43.840 of time and uh, and I wrote drug Lord, and 0:02:43.840 --> 0:02:48.560 we're just finishing one called Assassin now, which is really 0:02:48.600 --> 0:02:50.800 kind of a hot potato because it goes into the 0:02:50.840 --> 0:02:57.320 morality and the history and the ethics of the techniques 0:02:57.960 --> 0:03:02.359 of political assassination. Just kind of now. I suspect it 0:03:02.400 --> 0:03:04.760 will do well. Because it was a title like Assassin, 0:03:05.400 --> 0:03:08.880 most people we'll think, oh, it must be about killing Trump. 0:03:09.600 --> 0:03:14.360 I'm not against Trump. Actually, he's vastly the alternative for 0:03:14.440 --> 0:03:17.000 whatever problems he has, and he does have problems, to 0:03:17.000 --> 0:03:20.240 believe me. But anyway, that's what I'm doing. That's kind 0:03:20.240 --> 0:03:23.799 of who I am. Mark. Yeah, that's great. Um. Now 0:03:23.840 --> 0:03:27.880 I'm curious, um, just dipping into the novel for a 0:03:27.960 --> 0:03:31.360 little bit. Now again, Right, you've made your career investing, 0:03:31.440 --> 0:03:36.080 crisis investing, speculating, um, and now you're writing novels about speculators. 0:03:36.200 --> 0:03:38.600 And so really it seems like the last thirty years 0:03:38.640 --> 0:03:41.600 or so, really you've been um, trying to educate people 0:03:41.880 --> 0:03:44.320 right through your research that you've been done doing and 0:03:44.360 --> 0:03:47.000 so forth your books you've been writing. I'm curious through 0:03:47.000 --> 0:03:50.440 the novels still teach people, but in more of like 0:03:50.480 --> 0:03:54.040 a story format or is it just like for fun 0:03:54.040 --> 0:03:56.200 and there's really no lesson there. No, there's lots of 0:03:56.280 --> 0:04:00.280 lessons that are the UH. The first novel, Specular Later, 0:04:00.960 --> 0:04:07.840 is actually a a fun textbook in the gold mining 0:04:08.120 --> 0:04:14.480 industry and the gold mining stock market, UH, and all 0:04:14.480 --> 0:04:19.440 of the problems, the scandals, the frauds that come up 0:04:19.480 --> 0:04:24.040 with it. Our hero in the book gets lucky on 0:04:24.160 --> 0:04:27.520 a punt he makes on a gold mining stock that 0:04:27.600 --> 0:04:30.880 has a property in Africa. So he decides to go 0:04:31.640 --> 0:04:35.800 to the country of Gondwana to check it out, and 0:04:35.839 --> 0:04:40.080 from there he gets involved in a in a bush war. 0:04:40.200 --> 0:04:45.120 And so no, it's it's a great story, but you 0:04:45.200 --> 0:04:47.279 can learn a lot about the way the gold mining 0:04:47.320 --> 0:04:50.240 business works in it, just as a drug lord. Second book, 0:04:50.520 --> 0:04:53.320 you can learn a lot about the drug business because 0:04:53.320 --> 0:04:56.960 in my younger years I toyed with the idea of 0:04:57.200 --> 0:05:00.640 becoming a drug lord. Long story, don't want to hear 0:05:00.640 --> 0:05:03.760 it now. And of course I'm not really toying in 0:05:03.800 --> 0:05:06.200 the third book with the idea of becoming an assassin. 0:05:06.800 --> 0:05:11.560 But I think for the next decade, UH, what we're 0:05:11.600 --> 0:05:16.200 looking at, Mark is the beginning, well, the climax of 0:05:16.240 --> 0:05:20.080 the collapse of Western civilization, which is a which is 0:05:20.360 --> 0:05:25.839 a genuine tragedy. So, um, yeah, these are things you 0:05:25.880 --> 0:05:29.480 can say in fiction that it's better than a nonfiction. 0:05:29.560 --> 0:05:32.680 I think. Yeah, definitely makes sense now for everybody that's 0:05:32.680 --> 0:05:35.239 tune in and watching. As I said, I mean, doud Casey, 0:05:35.279 --> 0:05:37.640 he's a legend. He's been really reporting on this type 0:05:37.680 --> 0:05:39.640 of stuff that I talked about all the time for 0:05:39.720 --> 0:05:43.680 over thirty years. Um, and we're gonna dig into crisis investing. 0:05:43.800 --> 0:05:47.080 What he sees happening right now. I'm gonna ask him about, um, 0:05:47.080 --> 0:05:50.159 where we see things going, what the endgame is, what 0:05:50.279 --> 0:05:54.000 happens to gold, Um, maybe get into bitcoin if he wants, 0:05:54.160 --> 0:05:56.680 and really kind of what we what he sees as 0:05:56.839 --> 0:05:59.560 as happening here. So a lot we're gonna unpack. Um, 0:05:59.600 --> 0:06:01.520 So stay with us. We're gonna dig into some good stuff. 0:06:01.520 --> 0:06:04.480 But Doug back to UM, So back to the book 0:06:05.279 --> 0:06:10.520 Crisis Investing. Um, tell us about crisis investing and how 0:06:10.640 --> 0:06:12.880 is that, how is that like your thesis and how 0:06:12.880 --> 0:06:17.599 have you kind of followed this crisis investing well. As 0:06:17.640 --> 0:06:21.720 the government has become more powerful over the last century, 0:06:21.920 --> 0:06:28.560 actually since since World War One, it's become more and 0:06:28.640 --> 0:06:33.360 more important to perfect your skills as a speculator even 0:06:33.480 --> 0:06:37.240 more than an investor. Uh. An investor is somebody that 0:06:38.800 --> 0:06:43.440 allocates money in order to create new wealth, that's excellent. 0:06:44.160 --> 0:06:47.680 A speculator is a little bit different. A speculators somebody 0:06:47.680 --> 0:06:54.760 who capitalizes on distortions in the marketplace, generally politically caused distortions. 0:06:55.160 --> 0:06:59.520 And I'm afraid that with the trillions of dollars being 0:06:59.560 --> 0:07:03.640 created by the US government and many many trillions more 0:07:04.160 --> 0:07:07.839 currency units by every other government in the world, now, uh, 0:07:07.880 --> 0:07:10.600 it's going to become very very hard to be an 0:07:10.680 --> 0:07:14.240 investor in the years to come. You're almost going to 0:07:14.280 --> 0:07:19.520 be forced to be a speculator. So that's why the 0:07:19.640 --> 0:07:23.080 gold mining business in particular is a good place to 0:07:23.120 --> 0:07:25.920 be right now, because I think that there's going to 0:07:26.040 --> 0:07:31.400 be a panic into gold. It's not cheap anymore from 0:07:31.440 --> 0:07:35.640 some points of view, but it's going a lot higher 0:07:35.720 --> 0:07:40.600 before this is over, because they're going to destroy the dollar. Yeah. Now, 0:07:41.440 --> 0:07:45.440 obviously he wrote that book back in and they've been 0:07:45.440 --> 0:07:48.280 destroying the dollar. I mean, whatever date you want to 0:07:48.280 --> 0:07:50.440 put on it, definitely since nine seventy one, right when 0:07:50.440 --> 0:07:52.880 they when they left the gold standard. Um, so ten 0:07:52.960 --> 0:07:55.600 years later you wrote the book. Um, But here we 0:07:55.640 --> 0:07:58.960 are thirty years later and they're still destroying the dollar. Um. Right, 0:07:59.000 --> 0:08:02.520 They're still printing more dollars um. Does it seem like 0:08:02.560 --> 0:08:04.440 at some point like how long can they keep this 0:08:04.560 --> 0:08:08.200 charade going? Uh? Yeah, I don't think they can keep 0:08:08.200 --> 0:08:16.000 it going much longer, because at this point, the government's 0:08:16.040 --> 0:08:23.720 debt is on a hyper while I curve, in other words, 0:08:23.760 --> 0:08:27.600 starting seriously back inteventy one, with the dollar was completely 0:08:27.600 --> 0:08:32.560 cut loose from gold, it grew gradually, gradually, gradually, and 0:08:33.480 --> 0:08:37.840 a couple of years and with the with the crisis 0:08:37.880 --> 0:08:41.520 of two thousand eight and on, we passed the knee 0:08:42.000 --> 0:08:46.960 where the curve started getting closer to the vertical. Now 0:08:47.000 --> 0:08:50.600 it's heading towards the vertical. Uh So, I don't think 0:08:50.640 --> 0:08:53.080 this is going to go on another thirty years. I 0:08:53.120 --> 0:08:59.560 think THEES are going to be the most catastrophic decade 0:09:00.520 --> 0:09:03.480 that we've had for a very long time. It could 0:09:03.480 --> 0:09:05.800 be not just the biggest thing since World War Two, 0:09:06.280 --> 0:09:09.240 but it could be the biggest thing since the Industrial Revolution. 0:09:09.640 --> 0:09:13.079 Although I I hasten to say that the Industrial Revolution 0:09:13.400 --> 0:09:16.000 was a wonderful thing, but what's going on now is 0:09:16.000 --> 0:09:18.640 going to be a horrible thing. Most of the people 0:09:18.679 --> 0:09:21.360 Most of the people in the world that have any 0:09:21.400 --> 0:09:26.920 savings have their savings in currency, preferably in dollars. But 0:09:27.000 --> 0:09:30.600 when they destroy the dollar, it's going to create chaos, 0:09:31.600 --> 0:09:37.439 social chaos, financial chaos, economic chaos, political chaos, and before 0:09:37.480 --> 0:09:40.839 it's all over, it may wind up in something resembling 0:09:40.880 --> 0:09:44.440 World War three. I know this sounds very apocalyptic, but 0:09:45.640 --> 0:09:50.160 we're in the early stages of something that's very, very, 0:09:50.280 --> 0:09:53.360 very bad. This depression, I call it the Greater Depression, 0:09:53.960 --> 0:09:57.840 is not only going to be uh, much worse, but 0:09:58.200 --> 0:10:02.199 much different and much longer were lasting than the pleasantness 0:10:02.240 --> 0:10:08.960 of nine to nine. So that's the overview in a nutshell. Yeah, well, 0:10:09.000 --> 0:10:11.520 I mean I think you know, not to be doom 0:10:11.520 --> 0:10:13.319 and gloom, but I mean I think a lot of people, 0:10:13.520 --> 0:10:16.000 most people are seeing the same thing that you are. Um. 0:10:16.040 --> 0:10:17.600 I mean, at the end of last year, we had 0:10:17.640 --> 0:10:21.480 what eight different countries with over a million people each uprising. 0:10:22.080 --> 0:10:25.600 Um And obviously coronavirus has slowed that down, but that's 0:10:25.640 --> 0:10:28.960 not going away. We're gonna we're gonna see that. Um. 0:10:29.080 --> 0:10:31.520 And so I think, yeah, you're not just doing gloom. 0:10:31.520 --> 0:10:36.160 I mean that's what everybody sees. Yeah, I hate to 0:10:36.160 --> 0:10:41.720 be associated with doom and gloom because actually, the longest trend, 0:10:41.960 --> 0:10:44.880 I'll give you a give you a counter argument if 0:10:44.920 --> 0:10:48.320 you were the longest trend in motion is the ascent 0:10:48.400 --> 0:10:51.080 of man. It's been going on for two hundred thousand 0:10:51.200 --> 0:10:57.400 years and things have been getting better faster as time 0:10:57.440 --> 0:11:00.760 has gone on. It's almost like more as Low applied 0:11:00.840 --> 0:11:06.160 to anthropology. Uh So there is good news and uh 0:11:06.320 --> 0:11:09.600 what we're looking at financially and economically in in these 0:11:09.600 --> 0:11:13.400 other ways, you know that tool will pass. And uh, 0:11:13.480 --> 0:11:18.080 I'm a believer in Ray Kurzwild's concept of the singularity, 0:11:18.360 --> 0:11:21.960 and kurz Wild makes uh, I think it's almost a 0:11:22.000 --> 0:11:26.920 bulletproof case that within twenty years, with the development of 0:11:27.440 --> 0:11:35.000 everything from the perfection of computing technology, the perfection of nanotechnology, 0:11:35.559 --> 0:11:40.920 genetic engineering, other forms of biotechnology, robots, uh, that we're 0:11:40.920 --> 0:11:43.679 going to go into a whole new era. So we 0:11:43.800 --> 0:11:46.520 just have a rough spot to go through over the 0:11:46.559 --> 0:11:51.440 next ten years. So that's why you want to preserve 0:11:51.480 --> 0:11:54.360 your capital and make it grow so you're in a 0:11:54.400 --> 0:11:57.760 position to take advantage of the good times that are 0:11:57.760 --> 0:12:01.840 gonna come after these bad times are over right, right, 0:12:03.559 --> 0:12:07.400 I'm curious. Um So back in wrote that book. I've 0:12:07.440 --> 0:12:09.440 known you, I mean not not not that long. Obviously, 0:12:09.480 --> 0:12:12.120 I've known you for being the gold guy. I'm curious 0:12:12.120 --> 0:12:15.480 what brought you to gold. Was it being the speculator, like, oh, 0:12:15.559 --> 0:12:17.200 I can make a bunch of money in gold because 0:12:17.200 --> 0:12:19.560 I see this asset going up for different reasons? Or 0:12:19.760 --> 0:12:23.560 was it something more like fundamental where um, you recognized 0:12:23.679 --> 0:12:27.520 that without gold being u and having a sound money, um, 0:12:27.720 --> 0:12:29.840 the whole system was going to fall apart. Was it 0:12:29.880 --> 0:12:33.800 was it the best speculator or was it more like ideological? Well, actually, 0:12:34.960 --> 0:12:38.000 I hate to say ideological. I'd prefer to say philosophical. 0:12:40.440 --> 0:12:44.560 You have to recognize what gold is. It's money, and 0:12:44.640 --> 0:12:47.040 it's most basic form you. A lot of things can 0:12:47.160 --> 0:12:50.400 be used and haven't used his money, everything from cigarettes 0:12:50.480 --> 0:12:54.480 to seashells. Someone uses money. But gold is uniquely well 0:12:54.600 --> 0:13:00.800 qualified for uses money for reasons that Aristotle enumerated in 0:13:00.840 --> 0:13:05.760 the fifth century VC. It's durable, divisible, convenient, consistent, and 0:13:06.120 --> 0:13:09.719 it has use value. You can't get stuck with it. Um. 0:13:09.800 --> 0:13:13.800 So it's actually better and different than the other the 0:13:13.840 --> 0:13:16.560 rest of the other ninety two naturally occurring elements for 0:13:16.600 --> 0:13:23.320 the use of use is money. But the thing to 0:13:23.400 --> 0:13:28.400 remember is with money, gold is the only financial asset 0:13:28.559 --> 0:13:34.200 that's not simultaneously somebody else's liability. And the Federal Reserve 0:13:34.320 --> 0:13:38.200 notes that we call dollars today are the liability of 0:13:38.240 --> 0:13:42.960 our central bank. They're backed by nothing. So this is 0:13:42.960 --> 0:13:46.079 all gonna blow up, and that's gonna be worldwide because 0:13:46.360 --> 0:13:49.560 the other central banks in the world. People think that 0:13:49.640 --> 0:13:52.439 things like the Federal Reserve and other central banks, I 0:13:52.520 --> 0:13:55.559 think that these things are part of the cosmic firmament, 0:13:56.000 --> 0:14:01.720 but they're not. Uh So, yeah, you were our own 0:14:01.760 --> 0:14:04.959 gold because it is the only financial asset that it's 0:14:05.000 --> 0:14:08.440 not somebody else's liability. Yeah. Now, you've been doing this 0:14:08.480 --> 0:14:11.520 for a long time and at the end of the day, right, 0:14:11.559 --> 0:14:13.480 I mean, you've been writing books and newsletters and trying 0:14:13.480 --> 0:14:16.600 to get the information or the education out there. Um. 0:14:16.600 --> 0:14:19.600 I love this quote from Henry Ford um back in 0:14:19.720 --> 0:14:23.280 early he said that if the people understood how the 0:14:23.320 --> 0:14:26.680 banking system work, there would be a revolution overnight. And 0:14:26.720 --> 0:14:29.040 really they've been able to kind of hide it, almost 0:14:29.120 --> 0:14:31.840 hide all this, like people don't really understand the dollar, 0:14:32.040 --> 0:14:35.200 Federal Reserve note, whatever. But now I think, especially with 0:14:35.240 --> 0:14:39.040 the rise of the internet, getting information out better. And 0:14:39.120 --> 0:14:41.480 now what I'm seeing with bitcoin and people being more 0:14:41.680 --> 0:14:44.120 interested than ever, We're starting to see a lot of 0:14:44.120 --> 0:14:46.440 people waking up to this. Now, do you do you 0:14:46.480 --> 0:14:48.840 see this trend growing like people are like getting their 0:14:48.840 --> 0:14:54.640 eyes opened. Yeah. Absolutely. One of the great things about bitcoin, Uh, 0:14:54.800 --> 0:14:57.680 I wasn't an early adopter, but I've been a big 0:14:57.720 --> 0:15:01.040 adopter and it's been very very good to me, uh, 0:15:01.160 --> 0:15:06.920 is that bitcoin has has drawn people's attention to the 0:15:07.080 --> 0:15:11.880 nature of money. People that are involved in bitcoin have 0:15:11.920 --> 0:15:16.800 taken to calling the dollar a fiat currency yep, which 0:15:16.840 --> 0:15:23.560 it is so uh. Once people own bitcoin, they have 0:15:23.640 --> 0:15:25.320 to start figuring out what wait have been? What doves 0:15:25.360 --> 0:15:27.760 bitcoin is value? Why do I want to own it? 0:15:28.120 --> 0:15:32.440 So this leads them naturally into economics and monetary theory, 0:15:33.040 --> 0:15:35.960 So that bitcoin has been very helpful and letting the 0:15:36.000 --> 0:15:39.040 cat out of the bag about what's going on monetarily. 0:15:39.240 --> 0:15:42.960 So you're quite correct. Yeah, yeah, that's one of the things. 0:15:42.960 --> 0:15:44.200 I mean, Ei, there's so many things that I love 0:15:44.200 --> 0:15:46.640 about bitcoin, but just the fact that it's got people 0:15:46.720 --> 0:15:50.520 to want to learn more, that in itself is just 0:15:50.560 --> 0:15:53.280 such a big piece. Um. So you know you've been 0:15:53.320 --> 0:15:55.040 you've been doing this for a long time, thirty years. 0:15:55.040 --> 0:16:00.280 You've seen gold go through several cycles. Um. Where as 0:16:00.280 --> 0:16:02.720 far as gold and a cycle, right now, it seems 0:16:02.760 --> 0:16:05.600 like now we're breaking out of maybe just like regular 0:16:05.680 --> 0:16:09.400 like cycles and actually going into more of like fundamental 0:16:09.480 --> 0:16:13.360 reasons why we need it, um, meaning like never have 0:16:13.440 --> 0:16:15.560 we seen, as you already said, right the Fed printing 0:16:15.640 --> 0:16:20.120 trillions of dollars interest rates going negative? UM. So do 0:16:20.160 --> 0:16:22.640 you see this as being like the fine like the 0:16:22.680 --> 0:16:27.800 final bull market for gold right now? Uh? Actually, I 0:16:27.840 --> 0:16:31.000 think it is the final bowl market for gold, because 0:16:31.080 --> 0:16:36.320 by the time of this catastrophe is over, I think 0:16:36.360 --> 0:16:41.560 the gold is going to be reinstitutionalized as money. UM. 0:16:41.800 --> 0:16:45.880 Let's look at the history of gold prices, because what 0:16:45.920 --> 0:16:48.680 we want to do is make money from this or 0:16:49.080 --> 0:16:53.040 or let's say, increase our not wealth and increase our 0:16:53.040 --> 0:16:57.640 standard of living. Uh. Before at seventy one, gold was 0:16:57.680 --> 0:17:01.480 controlled thirty five dollars announced it was suppressed in price 0:17:01.600 --> 0:17:06.080 by the government, So it exploded upward over the decade 0:17:06.080 --> 0:17:08.879 of the nineteen seventies, which were a bad decade in 0:17:08.880 --> 0:17:12.640 a lot of ways, um from other points of view, 0:17:12.920 --> 0:17:15.840 until it hit about eight hundred fifty dollars announced in 0:17:15.960 --> 0:17:19.920 January of nineteen eighty. Okay, so it was over priced 0:17:19.920 --> 0:17:26.280 then and subsequently, uh it fell, stock market did well, 0:17:26.359 --> 0:17:32.760 the economy recovered. Uh it got as low as two 0:17:32.840 --> 0:17:37.440 hundred and fifty hours announced in nineteen in two thousand 0:17:37.440 --> 0:17:41.440 and one, and interestingly, gold at two hundred fifty dollars 0:17:41.440 --> 0:17:46.480 announced in two thousand one was actually cheaper in real 0:17:46.680 --> 0:17:50.399 terms than gold in nineteen seventy one at thirty five dollars. 0:17:50.440 --> 0:17:54.280 Now because the dollar lost so much value, al right, 0:17:54.320 --> 0:17:57.439 where are we now. It's going from a loan that 0:17:57.560 --> 0:18:02.080 was twenty years ago, so in urns of today's dollar. 0:18:03.160 --> 0:18:06.840 Uh it hit a load back then of seven and 0:18:07.240 --> 0:18:10.800 I think this ballmarket it's gonna take it just close 0:18:10.840 --> 0:18:14.600 to ten dollars announce. I hate to pick up price 0:18:14.720 --> 0:18:16.720 at a time, but it's gonna go a lot higher 0:18:16.720 --> 0:18:19.600 because there's gonna be a panic into gold. People are 0:18:19.600 --> 0:18:22.760 gonna try to get out of dollars. I mean, look, 0:18:23.080 --> 0:18:25.760 if you live in a place like Venezuela or Zimbabwe, 0:18:26.400 --> 0:18:30.120 you don't even use those currencies. The dollar is gonna 0:18:30.119 --> 0:18:33.560 be much more serious when it falls apart, because it 0:18:33.600 --> 0:18:37.639 backs all the other currencies in the world, everything is 0:18:37.680 --> 0:18:43.879 priced in dollars. UH. When an economy like Venezuela or Zimbabwe, 0:18:44.040 --> 0:18:48.399 the two most recent bad examples, collapses, well they're small 0:18:48.520 --> 0:18:53.600 places and foreigners can bring money in and rebuild. But 0:18:53.680 --> 0:18:56.080 when the US collapses and brings the rest of the 0:18:56.080 --> 0:19:00.200 world with it, uh, this is much more serious. And 0:19:00.359 --> 0:19:03.960 some nothing nowhere country destroying gets currency. But it's gonna 0:19:04.200 --> 0:19:07.199 right here in the US now. One thing to keep 0:19:07.240 --> 0:19:10.000 in mind, just for the listeners, um, is that you know, 0:19:10.160 --> 0:19:12.160 when you just talk about gold going to ten thousand 0:19:12.200 --> 0:19:15.000 dollars an ounce, um, you also have to recognize, like, 0:19:15.040 --> 0:19:17.160 what does that mean for the dollar in itself? Right? 0:19:17.200 --> 0:19:20.520 So in Zimbabwe they have one hundred trillion dollar bank 0:19:20.560 --> 0:19:23.760 notes and you know, keep one of my keep point 0:19:23.760 --> 0:19:25.200 in my wall, and I've spent a lot of time 0:19:25.200 --> 0:19:28.880 in Zimbabwe, and like and for what it's worth, mark, 0:19:29.000 --> 0:19:32.680 this is a this is a fun fact. A hundred 0:19:32.720 --> 0:19:37.359 trillion dollars Zimbabwe note uh. And the president of the 0:19:37.400 --> 0:19:40.120 central bank that printed up happens to be a friend 0:19:40.160 --> 0:19:44.600 of mine. Long story that's not relevant right now. A 0:19:44.680 --> 0:19:48.800 hundred trillion dollars Zimbabwe no trades today for around sixty 0:19:49.000 --> 0:19:51.720 eight dollars, so you could have picked them up for 0:19:51.880 --> 0:19:57.280 nothing back and around two thousand three four when they 0:19:57.280 --> 0:20:01.439 were being printed. Uh, they've actually been excellent those pieces 0:20:01.440 --> 0:20:05.960 of paper. That's interesting. I bought one, um, but as 0:20:06.000 --> 0:20:08.560 a collect collectible. It was in like man condition. I 0:20:08.600 --> 0:20:12.280 bought it, I like a year ago, and uh, maybe 0:20:12.320 --> 0:20:14.200 ten bucks done. I don't know, Yeah, I want to. 0:20:14.240 --> 0:20:16.080 I want to say it was like ten bucks or 0:20:16.119 --> 0:20:19.960 maybe fifteen bucks or something like that. I forget, but yeah, 0:20:20.000 --> 0:20:22.359 something like that. But I guess the point being, Um, 0:20:22.400 --> 0:20:24.400 you know when I was a kid being a millionaire 0:20:24.520 --> 0:20:26.160 or not not even a kid, I mean ten years 0:20:26.160 --> 0:20:29.320 ago being a millionaire with something, Hey, like being a 0:20:29.359 --> 0:20:31.960 millionaire isn't what it used to be, and like being 0:20:32.000 --> 0:20:35.240 a billionaire isn't even a big deal anymore. When people 0:20:35.280 --> 0:20:39.679 like Elon Musk or Worth they say eighty billion dollars, right, 0:20:39.800 --> 0:20:41.639 So I mean when when you say gold going to 0:20:41.680 --> 0:20:44.080 ten thousand, like I might be a billionaire at that point, 0:20:44.960 --> 0:20:48.560 you know or whatever. Right, So, uh, it doesn't mean 0:20:48.640 --> 0:20:50.880 doesn't mean I'm gonna be able to buy my purchasing 0:20:50.880 --> 0:20:52.960 power will be what a billionaire does today. It just 0:20:53.000 --> 0:20:57.440 means that's what the dollars are right. Look, the dollar 0:20:58.400 --> 0:21:03.760 is sure liability of a bankrupt government. It's basically an 0:21:03.800 --> 0:21:07.200 I owe you nothing. Sure it's still got value because 0:21:07.200 --> 0:21:08.840 you can take it down to the Chevy dealer and 0:21:08.880 --> 0:21:12.560 he'll sell you a car for it. But things are 0:21:12.560 --> 0:21:14.920 going to change very, very rapidly over the next couple 0:21:14.920 --> 0:21:17.480 of years. Do you see it? So you've been you've 0:21:17.520 --> 0:21:20.479 been you've been reading, watching, reading, reporting on this for 0:21:20.520 --> 0:21:23.359 thirty years. Um. You know, as we've already kind of 0:21:23.359 --> 0:21:27.440 talked about, it's like this escalating thing. Um and uh, 0:21:27.640 --> 0:21:29.720 I mean now you're talking about it like maybe coming 0:21:29.720 --> 0:21:32.679 to an end at some point. I'm just curious. Do 0:21:32.760 --> 0:21:35.360 you think that the Fed still has a couple more 0:21:35.359 --> 0:21:38.359 tricks up their sleeve? I mean, I guess at some 0:21:38.400 --> 0:21:40.560 point the printing just stops working. That's that's kind of 0:21:40.560 --> 0:21:43.679 what you see. Uh yeah, I think we're at the 0:21:43.800 --> 0:21:47.399 end game right now, because even in two thousand and eight, 0:21:48.080 --> 0:21:51.720 who could have guessed that they take interest rate? I 0:21:51.720 --> 0:21:55.359 thought it was cosmically impossible to have interest rates to 0:21:55.359 --> 0:21:59.480 go below zero. But they have. Uh so what have 0:21:59.520 --> 0:22:02.520 they done? They've taken interest rates as low as they 0:22:02.520 --> 0:22:06.240 can go. Uh. They they're printing up money by the 0:22:06.359 --> 0:22:11.280 bushel basket. So now what do they do? Um, Well, 0:22:11.359 --> 0:22:13.040 I don't know if they can pull another rabbit out 0:22:13.080 --> 0:22:15.520 of their hat or not. But I'll tell you what's 0:22:15.560 --> 0:22:20.480 going on outside of the US. And most Americans, especially 0:22:20.480 --> 0:22:24.480 now during the COVID hysteria, don't really look beyond our 0:22:24.480 --> 0:22:32.440 borders very much. But look, take Russia and China when 0:22:32.520 --> 0:22:35.560 they do when they trade with each other. They don't 0:22:35.680 --> 0:22:39.879 use yuan and rubles because the Chinese don't want Russian 0:22:39.960 --> 0:22:43.600 rubles they don't trust them. Why should they, And the 0:22:43.680 --> 0:22:46.399 Russians don't want Chinese U want for the same reason. 0:22:46.800 --> 0:22:48.560 So what do they do? How do they how do 0:22:48.640 --> 0:22:53.840 they exchange goods? Well, they use dollars and those dollars 0:22:53.920 --> 0:22:57.720 have to clear through New York. It's completely ridiculous that 0:22:57.920 --> 0:23:02.440 two large economies have to use a third country's currency 0:23:02.520 --> 0:23:06.080 when that third country is an adversary and could become 0:23:06.119 --> 0:23:09.439 an enemy. So my guess is, and this is starting 0:23:09.480 --> 0:23:13.199 to happen between other countries now that they actually settle 0:23:13.640 --> 0:23:18.960 debts and trading in gold. This is actually starting to happen. Uh. 0:23:19.200 --> 0:23:21.959 So that's why this would be the final gold bull market. 0:23:22.440 --> 0:23:26.280 It will get to a level that makes sense relative 0:23:26.400 --> 0:23:30.720 to the rest of the wealth in the world, and uh, 0:23:30.960 --> 0:23:33.639 it will be really, it will be reinstituted as day 0:23:33.680 --> 0:23:37.600 to day money. People forget that. Up until Roosevelt in 0:23:38.520 --> 0:23:43.960 three gold was day to day money. Uh, it was 0:23:44.000 --> 0:23:46.719 in your pocket in the form of gold coins. I 0:23:46.760 --> 0:23:49.000 think I think we're going to see that again, although 0:23:49.440 --> 0:23:55.120 with the variation, Uh, it could be digital gold, whereof 0:23:55.160 --> 0:23:59.760 you use the blockchain to trade gold electronically, something like that. 0:24:00.920 --> 0:24:05.480 The downside of the gold, though, is the centralization that's 0:24:05.520 --> 0:24:07.919 required of that. So gold is big and heavy, and 0:24:07.960 --> 0:24:09.560 so you need someone to store it and guard it 0:24:09.600 --> 0:24:13.240 and remove it. So you always have this centralization um. 0:24:13.320 --> 0:24:17.320 And anytime you have centralization, then you have manipulation UM. 0:24:17.359 --> 0:24:19.679 And I think that's maybe what caused the death of 0:24:19.720 --> 0:24:21.720 gold in the first place. Right you had all the 0:24:21.760 --> 0:24:24.560 gold centralized by the banks, and then at some point 0:24:24.600 --> 0:24:27.200 they just well then then they count confiscated whatever goal 0:24:27.280 --> 0:24:29.479 was left, and next thing you know, they now they 0:24:29.600 --> 0:24:32.080 completely manipulated the system. So it seems like if we 0:24:32.119 --> 0:24:34.680 go back to a gold system that's again centralized, we 0:24:34.760 --> 0:24:36.920 might be susceptible to going back down the exact same 0:24:36.920 --> 0:24:41.200 path again. Well, of course I don't believe the government 0:24:41.280 --> 0:24:45.440 belongs in the money business. There we go, separate money 0:24:45.440 --> 0:24:49.560 and state. I mean, separate a state and money, Yeah, exactly. 0:24:49.640 --> 0:24:54.560 I mean they separated the state from religion yep, centuries ago. 0:24:54.880 --> 0:24:59.520 Now it's time to separate the state from the economy. Um. 0:24:59.560 --> 0:25:03.560 So money is a market phenomenon. You don't need the 0:25:03.640 --> 0:25:06.560 state involved in it at all. Once the state gets 0:25:06.600 --> 0:25:10.920 hold of money, uh, they use it as a form 0:25:10.960 --> 0:25:15.679 of indirect taxation. And this is very serious because the 0:25:15.760 --> 0:25:20.440