1 00:00:00,320 --> 00:00:03,040 Speaker 1: Hello, and welcome to another episode of the Mark Mos Show. 2 00:00:03,080 --> 00:00:05,800 Speaker 1: We're always talking about the way the world is changing 3 00:00:05,800 --> 00:00:08,920 Speaker 1: as we look at it through the lens of politics, finance, 4 00:00:09,119 --> 00:00:12,200 Speaker 1: and technology. Today, I have a big story, a story 5 00:00:12,240 --> 00:00:15,319 Speaker 1: from history that I want to retail. I want to 6 00:00:15,360 --> 00:00:20,040 Speaker 1: talk about the truth about the Great Depression and more specifically, 7 00:00:20,120 --> 00:00:23,640 Speaker 1: the government's role in the economic collapse. The story you've 8 00:00:23,680 --> 00:00:26,319 Speaker 1: been told about the Great Depression is not the real 9 00:00:26,400 --> 00:00:28,560 Speaker 1: story of the Great Depression. You know what they say 10 00:00:28,600 --> 00:00:31,240 Speaker 1: about history, Those that do not understand history are bound 11 00:00:31,320 --> 00:00:33,519 Speaker 1: to repeat it. And I want to make sure you 12 00:00:33,600 --> 00:00:35,640 Speaker 1: understand because I don't want you to repeat it. I 13 00:00:35,640 --> 00:00:38,080 Speaker 1: don't want us to repeat it. And what I see 14 00:00:38,120 --> 00:00:42,560 Speaker 1: happening today from a lot of people, specifically in government regulators, 15 00:00:42,600 --> 00:00:46,800 Speaker 1: is leading us down the same path. Now there are differences, 16 00:00:47,479 --> 00:00:51,080 Speaker 1: there are similarities, but the story you've been told is wrong, 17 00:00:51,440 --> 00:00:53,800 Speaker 1: and so I want to break down exactly what happened. 18 00:00:53,800 --> 00:00:56,160 Speaker 1: And of course, like always, I'm bringing the receipts. I 19 00:00:56,200 --> 00:00:58,200 Speaker 1: got the dates, I got the names, I got the amounts, 20 00:00:58,360 --> 00:01:00,680 Speaker 1: and we're going to look at it as it happened, 21 00:01:00,960 --> 00:01:03,440 Speaker 1: play by place. You can understand exactly what happened. Because, 22 00:01:03,440 --> 00:01:06,200 Speaker 1: as I said, a lot of the government policies and 23 00:01:06,280 --> 00:01:09,560 Speaker 1: a lot of what the people are asking the governments 24 00:01:09,560 --> 00:01:12,440 Speaker 1: to do are leading us down the same path, and 25 00:01:12,640 --> 00:01:15,640 Speaker 1: I don't want to go back. If you know those stories, 26 00:01:15,680 --> 00:01:19,360 Speaker 1: the dust bowls, the breadlines, the high unemployment, you don't 27 00:01:19,360 --> 00:01:20,520 Speaker 1: want to go down that path either. 28 00:01:20,520 --> 00:01:21,520 Speaker 2: So we're going to break this down. 29 00:01:21,800 --> 00:01:24,280 Speaker 1: What happened, what really went on, what it was like 30 00:01:24,520 --> 00:01:27,320 Speaker 1: living through that, how we eventually came out of it, 31 00:01:27,560 --> 00:01:29,520 Speaker 1: and again, what are the lessons that we can learn 32 00:01:29,760 --> 00:01:32,920 Speaker 1: to make sure we don't ever go down that same 33 00:01:32,959 --> 00:01:37,240 Speaker 1: path again. So let's talk first about the background of 34 00:01:37,240 --> 00:01:40,000 Speaker 1: the Great Depression, the Great Depression. Now, we had the 35 00:01:40,040 --> 00:01:42,319 Speaker 1: Great Financial Crash as well, two thousand and eight, that 36 00:01:42,440 --> 00:01:45,720 Speaker 1: was also great, but the Great Depression was even greater. 37 00:01:45,880 --> 00:01:48,200 Speaker 1: So this was set back about one hundred years ago. 38 00:01:48,600 --> 00:01:50,720 Speaker 1: It was actually in the late nineteen twenties, and it 39 00:01:50,760 --> 00:01:53,600 Speaker 1: really happened in late nineteen twenties into the nineteen thirties 40 00:01:53,640 --> 00:01:55,320 Speaker 1: is when this happened. But you sort of have to 41 00:01:55,360 --> 00:01:58,360 Speaker 1: look at the run up of this to see what 42 00:01:58,520 --> 00:01:59,120 Speaker 1: led to this. 43 00:01:59,240 --> 00:02:00,200 Speaker 2: Now, a couple things. 44 00:02:01,800 --> 00:02:04,560 Speaker 1: This was on the back of World War One. So 45 00:02:04,680 --> 00:02:07,040 Speaker 1: World War One was the war, there was a. 46 00:02:06,920 --> 00:02:08,000 Speaker 2: Lot of things that happened. 47 00:02:08,440 --> 00:02:12,480 Speaker 1: Specifically, what we saw was a massive war happening in 48 00:02:12,520 --> 00:02:17,160 Speaker 1: Europe between England and France against Germany. Now the US 49 00:02:17,200 --> 00:02:20,000 Speaker 1: got involved because JP Morgan was the one that was 50 00:02:20,040 --> 00:02:22,560 Speaker 1: issuing all the debt, all the war bonds to England 51 00:02:22,600 --> 00:02:25,400 Speaker 1: and France, and not only were they giving them the 52 00:02:25,480 --> 00:02:27,640 Speaker 1: money to go fight the war, that money that they 53 00:02:27,639 --> 00:02:30,320 Speaker 1: were giving them came back to the United States, and 54 00:02:30,360 --> 00:02:33,399 Speaker 1: so the United States had massive abundance and flourishment because 55 00:02:33,440 --> 00:02:36,200 Speaker 1: the US was making all of the goods and services 56 00:02:36,200 --> 00:02:39,400 Speaker 1: that were then going back over into the war efforts. 57 00:02:39,440 --> 00:02:42,360 Speaker 1: So the banking system was profiting by giving the money 58 00:02:42,560 --> 00:02:45,160 Speaker 1: loaning the money to France and England, and then the 59 00:02:45,280 --> 00:02:48,840 Speaker 1: US industrial sector had a massive boom because all that 60 00:02:48,919 --> 00:02:51,840 Speaker 1: money came back to buy the goods and services for 61 00:02:51,880 --> 00:02:54,880 Speaker 1: the war. So the US had this massive amount of prosperity. 62 00:02:55,120 --> 00:02:57,880 Speaker 1: At the same time, over in Europe they had massive 63 00:02:58,000 --> 00:03:01,960 Speaker 1: inflation and devastation all of this debt they had to 64 00:03:02,000 --> 00:03:04,959 Speaker 1: take on. They also had to debase their currency, so 65 00:03:05,000 --> 00:03:08,280 Speaker 1: they printed way too much currency to fight the war. Now, 66 00:03:08,480 --> 00:03:11,960 Speaker 1: up until this point, and really until nineteen seventy one, 67 00:03:12,080 --> 00:03:15,840 Speaker 1: but at this point gold was still money. Gold was money, 68 00:03:15,880 --> 00:03:19,079 Speaker 1: but the dollars, the paper gold certificates were backed by 69 00:03:19,120 --> 00:03:21,480 Speaker 1: the gold in the bank. But what happened is France 70 00:03:21,480 --> 00:03:25,000 Speaker 1: and Germany printed way too many of these paper gold certificates, 71 00:03:25,040 --> 00:03:28,040 Speaker 1: these paper dollars, this fiat currency, and at the end 72 00:03:28,040 --> 00:03:32,720 Speaker 1: of the war, John Maynard Keynes Warren Churchill, Hey, you've 73 00:03:32,760 --> 00:03:36,440 Speaker 1: printed way too much dollars. You've printed you've doubled the 74 00:03:36,480 --> 00:03:39,720 Speaker 1: amount of paper money currency. You can't go back to 75 00:03:39,880 --> 00:03:42,880 Speaker 1: the same gold to paper peg that you had before. 76 00:03:43,040 --> 00:03:45,480 Speaker 1: If you do, it's going to cause a massive depression. 77 00:03:45,800 --> 00:03:47,920 Speaker 1: What you need to do is double the price of gold. 78 00:03:47,960 --> 00:03:49,880 Speaker 1: Instead of thirty dollars announce, you need to have now 79 00:03:49,960 --> 00:03:52,400 Speaker 1: sixty dollars announce because you've printed so much more currency. 80 00:03:52,840 --> 00:03:55,800 Speaker 1: Churchill said, Nah, we ain't doing that, and he went 81 00:03:55,840 --> 00:03:59,400 Speaker 1: back to the original peg, and just like was warned 82 00:03:59,400 --> 00:04:02,840 Speaker 1: by John Keyns, it led to a massive depression that's 83 00:04:02,840 --> 00:04:05,720 Speaker 1: spilled over into the United States. Now, coming back to 84 00:04:05,760 --> 00:04:08,960 Speaker 1: the United States again, after this World War One, we 85 00:04:09,280 --> 00:04:12,320 Speaker 1: had this massive amount of prosperity going into the twenties, 86 00:04:12,360 --> 00:04:15,600 Speaker 1: which was known as the Roaring twenties. The Roaring twenties 87 00:04:15,600 --> 00:04:20,440 Speaker 1: marked a period of sign significant economic expansion in the US. 88 00:04:20,720 --> 00:04:24,359 Speaker 1: From nineteen twenty to nineteen twenty nine, the US real 89 00:04:24,640 --> 00:04:28,599 Speaker 1: GDP gross domestic product grew an average of four point 90 00:04:28,640 --> 00:04:31,039 Speaker 1: two percent per year, which is really good, which is 91 00:04:31,080 --> 00:04:33,400 Speaker 1: sort of where we've been over the last couple of years. 92 00:04:33,920 --> 00:04:36,160 Speaker 1: And that is the sign of wealth. The amount of 93 00:04:36,200 --> 00:04:39,000 Speaker 1: goods and services that we're producing in the US growing 94 00:04:39,040 --> 00:04:42,520 Speaker 1: by four percent from about eighty four billion in nineteen 95 00:04:42,560 --> 00:04:45,080 Speaker 1: twenty two one hundred billion nineteen twenty nine. 96 00:04:45,240 --> 00:04:48,800 Speaker 2: Now, all of this growth was fueled by just. 97 00:04:48,720 --> 00:04:53,800 Speaker 1: Like most things, major technological advances, increased industrial production, and 98 00:04:53,880 --> 00:04:59,600 Speaker 1: of course rising consumer spending. Now when that was all happening, 99 00:05:00,080 --> 00:05:03,839 Speaker 1: we saw the stock market. We saw the stock market 100 00:05:03,880 --> 00:05:07,120 Speaker 1: take off. Right by nineteen twenty eight, the stock market 101 00:05:07,160 --> 00:05:12,039 Speaker 1: was banging, the Dow Jones Industrial Average, the DJIA reached 102 00:05:12,040 --> 00:05:16,960 Speaker 1: its peak. It had basically quadrupled in value just since 103 00:05:17,040 --> 00:05:19,119 Speaker 1: nineteen twenty five. So in this short period of time, 104 00:05:19,200 --> 00:05:22,440 Speaker 1: we started getting to the hyper parabolic stage of this 105 00:05:22,560 --> 00:05:26,039 Speaker 1: market cycle. Now, in the late nineteen twenties, the stock 106 00:05:26,080 --> 00:05:28,680 Speaker 1: market experienced, you know, like I said, this massive rise, 107 00:05:29,720 --> 00:05:33,640 Speaker 1: and that's because everybody started to speculate. That's what happens 108 00:05:33,680 --> 00:05:34,960 Speaker 1: at the top of markets. 109 00:05:35,200 --> 00:05:36,200 Speaker 2: Everybody hears about. 110 00:05:36,040 --> 00:05:37,560 Speaker 1: All the money being made, all the greed, they all 111 00:05:37,560 --> 00:05:39,520 Speaker 1: want to come in and more and more and more 112 00:05:39,520 --> 00:05:42,720 Speaker 1: people come in to speculate in that. So we have 113 00:05:42,760 --> 00:05:47,240 Speaker 1: the economy is booming, we have the stock market, the speculation, 114 00:05:47,240 --> 00:05:49,880 Speaker 1: the stock market is booming, and then we have the 115 00:05:50,000 --> 00:05:51,080 Speaker 1: personal debt. 116 00:05:51,720 --> 00:05:53,120 Speaker 2: Consumer debt started growing. 117 00:05:53,600 --> 00:05:56,200 Speaker 1: The banks were loaning out money, both public and private, 118 00:05:57,080 --> 00:06:01,000 Speaker 1: and we saw massive amounts of debt going into buying, 119 00:06:01,360 --> 00:06:05,680 Speaker 1: buying for all types of things, including cars, houses, things 120 00:06:05,720 --> 00:06:09,039 Speaker 1: like that. So all of this led to this massive 121 00:06:09,240 --> 00:06:14,680 Speaker 1: expansion in the monetary base, right through credit and other means. Now, 122 00:06:14,920 --> 00:06:19,479 Speaker 1: anytime you rapidly expand the monetary base faster than you've 123 00:06:19,600 --> 00:06:23,360 Speaker 1: expanded the goods and services the production base, you lead 124 00:06:23,400 --> 00:06:27,720 Speaker 1: to massive high inflation and crash. We can go back 125 00:06:27,760 --> 00:06:31,080 Speaker 1: to Spain in the fourteen hundreds. At the time, gold 126 00:06:31,120 --> 00:06:34,960 Speaker 1: and silver were money, and they sent ships over to 127 00:06:35,080 --> 00:06:39,400 Speaker 1: Peru and found one of the largest silver mine discoveries 128 00:06:39,400 --> 00:06:42,280 Speaker 1: at the time, and they started bringing all that silver back. 129 00:06:42,360 --> 00:06:44,680 Speaker 1: Why wouldn't they They found all this money, let's bring 130 00:06:44,680 --> 00:06:47,840 Speaker 1: it back. But by rapidly expanding the money supply by 131 00:06:47,839 --> 00:06:50,560 Speaker 1: bringing the silver back without expanding the goods and services. 132 00:06:50,640 --> 00:06:53,320 Speaker 1: It led to massive inflation every time. It doesn't matter 133 00:06:53,360 --> 00:06:55,760 Speaker 1: where the money comes from, you just can't do that. 134 00:06:56,000 --> 00:06:58,160 Speaker 1: And this is exactly what happened. We saw a massive 135 00:06:58,160 --> 00:07:02,120 Speaker 1: expanse some automobiles, households, house to appliances, furniture, all of 136 00:07:02,160 --> 00:07:05,720 Speaker 1: these things, all of this consumer credit expanding. 137 00:07:05,760 --> 00:07:06,400 Speaker 2: Which was good. 138 00:07:06,480 --> 00:07:09,560 Speaker 1: It led to this massive boom of the nineteen twenties. 139 00:07:09,720 --> 00:07:11,800 Speaker 1: But the thing with credit, the thing with credit and 140 00:07:11,920 --> 00:07:15,240 Speaker 1: leverage is that it helps you grow way faster, but 141 00:07:15,280 --> 00:07:17,760 Speaker 1: then at the top it can help you burn your 142 00:07:17,760 --> 00:07:21,760 Speaker 1: house down. It becomes unstable at the top. And so 143 00:07:22,080 --> 00:07:25,000 Speaker 1: for all of these reasons, we saw this run up 144 00:07:25,160 --> 00:07:29,480 Speaker 1: into the nineteen twenties, the Roaring twenties as it's called. 145 00:07:30,760 --> 00:07:35,119 Speaker 1: But then after that come the destruction. So we saw, 146 00:07:35,280 --> 00:07:38,720 Speaker 1: like I said, all this debt increase. But in nineteen 147 00:07:38,800 --> 00:07:42,679 Speaker 1: twenty nine, we saw the signs of the crash finally 148 00:07:42,720 --> 00:07:46,480 Speaker 1: starting to happen. In March and April of nineteen twenty nine, 149 00:07:46,840 --> 00:07:51,400 Speaker 1: we saw warning signs as the Federal Reserve started to realize, oh, shoot, 150 00:07:52,000 --> 00:07:55,680 Speaker 1: we have created this easy monetary environment. We have too 151 00:07:55,800 --> 00:08:02,080 Speaker 1: much inflation, too much debt. We better cool things off. 152 00:08:02,280 --> 00:08:04,720 Speaker 1: Sound familiar, sort of like what Jerome Powell and the 153 00:08:04,720 --> 00:08:08,840 Speaker 1: Federal Reserve decided about two years ago. Oh, shoot, prices 154 00:08:08,880 --> 00:08:11,880 Speaker 1: are going up too fast. Oh the economy's going too hot, 155 00:08:12,040 --> 00:08:17,640 Speaker 1: debts getting too high. We better tighten monetary policy. Just 156 00:08:17,760 --> 00:08:20,240 Speaker 1: like what we saw in the last two years. Is 157 00:08:20,280 --> 00:08:22,480 Speaker 1: exactly what they saw then. So then the Federal Reserve 158 00:08:22,640 --> 00:08:26,560 Speaker 1: started to what same thing, raise interest rates. If they 159 00:08:26,680 --> 00:08:30,280 Speaker 1: raise interest rates, then they can curb the amount of debt, 160 00:08:30,480 --> 00:08:33,360 Speaker 1: and they would are hoping to curb stock market speculation. 161 00:08:34,000 --> 00:08:35,640 Speaker 2: Sound familiar now. 162 00:08:35,720 --> 00:08:38,120 Speaker 1: Prior to nineteen twenty nine, during much of the nineteen twenties, 163 00:08:38,120 --> 00:08:39,960 Speaker 1: the Federal Reserve, like I said, was keeping it this 164 00:08:40,200 --> 00:08:41,760 Speaker 1: easy monetary policy. 165 00:08:42,080 --> 00:08:42,920 Speaker 2: But when things. 166 00:08:42,760 --> 00:08:46,719 Speaker 1: Got too cooked, too hot, they had to slow them 167 00:08:46,760 --> 00:08:50,079 Speaker 1: down in a very similar way, just like they do now. 168 00:08:50,360 --> 00:08:52,000 Speaker 1: If you're just tuning in, you're listening to the Mark 169 00:08:52,040 --> 00:08:55,720 Speaker 1: mass Show talking about the truth behind the nineteen twenty 170 00:08:55,800 --> 00:08:58,040 Speaker 1: nine Great Depression, and I want you to know the 171 00:08:58,080 --> 00:09:00,760 Speaker 1: truth so we can avoid going back into this same problems. 172 00:09:00,800 --> 00:09:02,120 Speaker 1: I'll be back with more of that story in a 173 00:09:02,120 --> 00:09:04,200 Speaker 1: minute when I come back. Don't go away, all right, 174 00:09:04,200 --> 00:09:05,840 Speaker 1: welcome back. If you just tune in, you're listening to 175 00:09:05,880 --> 00:09:08,679 Speaker 1: the Mark Maus Show. We're talking about the truth, the 176 00:09:08,840 --> 00:09:12,040 Speaker 1: true story of what really happened in the nineteen twenty 177 00:09:12,080 --> 00:09:15,760 Speaker 1: nine Great Depression. It's not what you've been told. I 178 00:09:15,800 --> 00:09:17,840 Speaker 1: want to make sure you know the real events, because 179 00:09:17,880 --> 00:09:20,760 Speaker 1: we're starting to see the same things happening today, and 180 00:09:20,800 --> 00:09:22,520 Speaker 1: I want to make sure we can avoid this, or 181 00:09:22,559 --> 00:09:24,600 Speaker 1: at least make sure that you're prepared to deal with this. 182 00:09:24,640 --> 00:09:27,839 Speaker 1: All right, So things got really cooked. The economy was 183 00:09:27,880 --> 00:09:32,040 Speaker 1: cranking for a long time. Rampant speculation of the stock market, 184 00:09:32,480 --> 00:09:37,320 Speaker 1: massive explosion in debt which led to monetary base increasing, 185 00:09:37,559 --> 00:09:41,120 Speaker 1: and more prices. This was all in the roaring nineteen twenties. 186 00:09:41,360 --> 00:09:44,640 Speaker 1: Nineteen twenty nine, all of a sudden, the Federal Reserve said, oh, shoot, 187 00:09:44,960 --> 00:09:48,000 Speaker 1: things are running too hot. We better slow them down, 188 00:09:48,160 --> 00:09:50,920 Speaker 1: just like they did here in the US in twenty 189 00:09:50,960 --> 00:09:51,400 Speaker 1: twenty one. 190 00:09:52,600 --> 00:09:53,360 Speaker 2: And what do they do? 191 00:09:53,440 --> 00:09:55,120 Speaker 1: The same thing they did this time. They started to 192 00:09:55,320 --> 00:09:57,959 Speaker 1: raise interest rates. They were hoping if they raised interest 193 00:09:58,000 --> 00:10:01,480 Speaker 1: rates it would bring stock prices down, just like what 194 00:10:01,520 --> 00:10:04,520 Speaker 1: they did again. All right, And so this was nineteen 195 00:10:04,559 --> 00:10:08,520 Speaker 1: twenty nine, and they started to continue to do this. 196 00:10:08,920 --> 00:10:11,560 Speaker 1: The discount rate at the Federal Reserve Bank of New 197 00:10:11,640 --> 00:10:15,200 Speaker 1: York was at four percent for most of the nineteen twenties. 198 00:10:15,600 --> 00:10:17,000 Speaker 2: But in nineteen twenty. 199 00:10:16,800 --> 00:10:19,200 Speaker 1: Nine, when they got scared and they decided that they 200 00:10:19,280 --> 00:10:22,400 Speaker 1: want to slow things down, they started raising rates and 201 00:10:22,440 --> 00:10:24,800 Speaker 1: they moved the discount rate from four percent to five 202 00:10:24,840 --> 00:10:28,160 Speaker 1: percent over several months, and it was this one percent increase. 203 00:10:28,600 --> 00:10:31,280 Speaker 1: It was a considerable shift, at least given the context 204 00:10:31,280 --> 00:10:34,199 Speaker 1: of the time, that really started to cool things off. Now, 205 00:10:34,200 --> 00:10:36,240 Speaker 1: to put that into perspective, to go from four percent 206 00:10:36,240 --> 00:10:39,440 Speaker 1: to five percent one percent compared to now where they 207 00:10:39,440 --> 00:10:43,640 Speaker 1: went basically from zero to five percent, pretty big deal. 208 00:10:43,960 --> 00:10:47,040 Speaker 1: But when they did that, they still had some control 209 00:10:47,080 --> 00:10:49,640 Speaker 1: over the market, unlike today. They still had some of 210 00:10:49,679 --> 00:10:51,160 Speaker 1: the control of the market, which is why that one 211 00:10:51,200 --> 00:10:55,240 Speaker 1: percent really started to slow things down, and the market reacted. 212 00:10:55,440 --> 00:10:58,840 Speaker 1: The rate height contributed to a loss in confidence among investors. 213 00:10:59,200 --> 00:11:00,680 Speaker 1: Mini saw it as a six know that that era 214 00:11:00,720 --> 00:11:03,079 Speaker 1: of easy money and high profits was coming to an end, 215 00:11:03,200 --> 00:11:06,320 Speaker 1: which is exactly what the Fed wanted. And then the 216 00:11:06,400 --> 00:11:09,840 Speaker 1: speculators who had been in the market decided to stop 217 00:11:09,880 --> 00:11:14,079 Speaker 1: speculating as much because the cost of borrowing went up. Now, 218 00:11:14,080 --> 00:11:17,520 Speaker 1: when all that happened, we started to see things crashing, 219 00:11:18,120 --> 00:11:22,200 Speaker 1: when people stopped buying, markets stop going up. That's exactly 220 00:11:22,200 --> 00:11:25,200 Speaker 1: what happened. That's exactly what the FED wanted. But they 221 00:11:25,200 --> 00:11:28,240 Speaker 1: didn't actually want to careful what you wish because you 222 00:11:28,360 --> 00:11:30,280 Speaker 1: might get it. Well that they got it, and so 223 00:11:30,360 --> 00:11:32,520 Speaker 1: now we saw the crash happening by October of nineteen 224 00:11:32,559 --> 00:11:35,360 Speaker 1: twenty nine, So we saw that happening, but we also 225 00:11:35,400 --> 00:11:39,440 Speaker 1: saw economic weakness, and then we got into this historic 226 00:11:39,480 --> 00:11:42,800 Speaker 1: stock market crash October twenty fourth, nineteen twenty nine. It 227 00:11:42,840 --> 00:11:45,800 Speaker 1: was known as Black Thursday. The stock market began to crash, 228 00:11:45,800 --> 00:11:48,880 Speaker 1: with the Dow Jones falling eleven percent on a single day, 229 00:11:49,320 --> 00:11:51,600 Speaker 1: which was a pretty big deal for any stock market 230 00:11:51,679 --> 00:11:54,960 Speaker 1: to move at that that much at that time. And 231 00:11:55,000 --> 00:11:57,520 Speaker 1: this was the biggest companies in the United States at 232 00:11:57,520 --> 00:12:01,560 Speaker 1: the time. We're talking about General Motors, Standard Oil, at 233 00:12:01,760 --> 00:12:03,400 Speaker 1: and T you know, companies like that. 234 00:12:03,800 --> 00:12:05,000 Speaker 2: They took massive hits. 235 00:12:05,280 --> 00:12:09,000 Speaker 1: Now, in October twenty ninth, we saw another black Day, 236 00:12:09,040 --> 00:12:13,120 Speaker 1: this time Black Tuesday. Massive sell offs happened, sixteen million 237 00:12:13,160 --> 00:12:17,080 Speaker 1: shares traded, the market lost an additional twelve percent and 238 00:12:17,120 --> 00:12:20,439 Speaker 1: that's sort of the official start of the Great Depression, 239 00:12:21,800 --> 00:12:25,160 Speaker 1: So eleven percent in a day, twelve percent in a day. 240 00:12:25,440 --> 00:12:28,560 Speaker 1: Things really started to fall off now. From its peak 241 00:12:28,600 --> 00:12:31,760 Speaker 1: in September nineteen twenty nine, the Dow Jones lost about 242 00:12:31,800 --> 00:12:35,920 Speaker 1: thirty nine percent by October. From September to October, the 243 00:12:35,920 --> 00:12:39,800 Speaker 1: market crashed about almost forty percent. Now then moving into 244 00:12:39,800 --> 00:12:43,600 Speaker 1: the nineteen thirties, then, of course, as the stock market 245 00:12:43,640 --> 00:12:47,480 Speaker 1: went down, speculation went down, lending went down, then economic 246 00:12:47,520 --> 00:12:50,640 Speaker 1: activity went down, which when economic activity goes down, then 247 00:12:50,760 --> 00:12:54,040 Speaker 1: gross domestic product starts to go down. As a matter 248 00:12:54,040 --> 00:12:56,560 Speaker 1: of fact, it fell by eight point five percent in 249 00:12:56,679 --> 00:13:00,880 Speaker 1: nineteen thirty and then unemployment went up, of course, which 250 00:13:00,880 --> 00:13:02,880 Speaker 1: is exactly what the Fed's been trying to engineer today. 251 00:13:03,000 --> 00:13:05,840 Speaker 1: They're trying to get unemployment to go up so they 252 00:13:05,880 --> 00:13:08,480 Speaker 1: can cool things down, just like they did in nineteen 253 00:13:08,520 --> 00:13:12,480 Speaker 1: twenty nine. Now we saw unemployment rise to eight point 254 00:13:12,559 --> 00:13:16,520 Speaker 1: nine percent from only three point two percent the year before, 255 00:13:16,559 --> 00:13:19,839 Speaker 1: so it like tripled in a year. Nineteen thirty one 256 00:13:20,000 --> 00:13:22,520 Speaker 1: we started to see the banking crisis, over two thousand 257 00:13:22,520 --> 00:13:25,680 Speaker 1: banks closed. Unemployment now jumped from eight point nine percent 258 00:13:25,720 --> 00:13:30,319 Speaker 1: to fifteen point nine percent. Almost doubling again in another year, 259 00:13:30,400 --> 00:13:33,360 Speaker 1: tripled at the first year, doubled the next year. Nineteen 260 00:13:33,440 --> 00:13:35,920 Speaker 1: thirty two was the lowest point of the depression for 261 00:13:35,960 --> 00:13:39,120 Speaker 1: the stock market. The Dow Jones had lost almost ninety 262 00:13:39,160 --> 00:13:41,200 Speaker 1: percent of its value compared to its peak in nineteen 263 00:13:41,240 --> 00:13:43,439 Speaker 1: twenty nine. A lot of people are calling for a 264 00:13:43,440 --> 00:13:46,560 Speaker 1: stock market crash of eighty percent to happen. Well, not 265 00:13:46,640 --> 00:13:47,640 Speaker 1: a lot, there's some people. 266 00:13:47,960 --> 00:13:48,240 Speaker 2: I'm not. 267 00:13:48,480 --> 00:13:51,559 Speaker 1: That's not my base case to happen. But it did 268 00:13:51,640 --> 00:13:52,680 Speaker 1: drop ninety percent. 269 00:13:52,800 --> 00:13:53,360 Speaker 2: At that time. 270 00:13:54,080 --> 00:13:58,199 Speaker 1: Unemployment continued to skyrocket from three percent to nine percent, tripling, 271 00:13:58,360 --> 00:14:00,760 Speaker 1: then from nine percent to sixteen percent on doubling, and 272 00:14:00,800 --> 00:14:04,360 Speaker 1: then from sixteen to twenty three and a half percent. 273 00:14:04,960 --> 00:14:06,520 Speaker 2: A massive, massive deal. 274 00:14:07,200 --> 00:14:10,680 Speaker 1: All right, this is where things took a turn for 275 00:14:10,720 --> 00:14:14,880 Speaker 1: the worst. Now, what happens in markets, like anything in life. 276 00:14:14,880 --> 00:14:18,040 Speaker 1: We have corrections, we have seasons. People get too far 277 00:14:18,080 --> 00:14:22,080 Speaker 1: in front of themselves, they get over their skis, so 278 00:14:22,120 --> 00:14:24,320 Speaker 1: to speak, go over the bars, and they pay the 279 00:14:24,320 --> 00:14:27,720 Speaker 1: price and they have to rebuild all this speculative debt, 280 00:14:27,800 --> 00:14:31,320 Speaker 1: this bad debt, this speculative investments. It crashes and then 281 00:14:31,440 --> 00:14:35,600 Speaker 1: we recover. But that's where things went wrong. Nineteen thirty 282 00:14:35,600 --> 00:14:38,560 Speaker 1: three the New Deal initiatives by Franklin D. 283 00:14:38,880 --> 00:14:39,520 Speaker 2: Roosevelt. 284 00:14:39,800 --> 00:14:42,600 Speaker 1: In March of nineteen thirty three, he became the president 285 00:14:42,640 --> 00:14:45,240 Speaker 1: and he promised a new Deal. And this is one 286 00:14:45,280 --> 00:14:48,000 Speaker 1: of the signs that I call for about every eighty 287 00:14:48,080 --> 00:14:51,440 Speaker 1: years we see a regime change or a populist uprising. 288 00:14:52,000 --> 00:14:55,120 Speaker 1: About eighty years ago was this end of World War Two, 289 00:14:56,280 --> 00:14:59,800 Speaker 1: and it was right around this time when Franklin Roosevelt 290 00:15:00,040 --> 00:15:01,880 Speaker 1: asked the New Deal, and it was really a regime 291 00:15:01,960 --> 00:15:06,800 Speaker 1: change for America. It went from this sort of American capitalism, 292 00:15:06,960 --> 00:15:12,680 Speaker 1: laissez faire sort of regulation policy, and the regime changed 293 00:15:12,760 --> 00:15:15,360 Speaker 1: and we sort of got socialism ushered in. We're going 294 00:15:15,400 --> 00:15:17,480 Speaker 1: to talk about that. What do I mean by that? 295 00:15:17,800 --> 00:15:21,240 Speaker 1: But this is where basically nineteen thirty three FDR's New 296 00:15:21,240 --> 00:15:25,280 Speaker 1: Deal came in and created just like an unlimited amount 297 00:15:25,360 --> 00:15:30,440 Speaker 1: of programs, social programs, socialism, social programs, created all types 298 00:15:30,480 --> 00:15:33,160 Speaker 1: of like three and four letter agencies. It was the 299 00:15:33,360 --> 00:15:37,640 Speaker 1: largest expansion of the US government just boom, blew it up, 300 00:15:38,280 --> 00:15:41,640 Speaker 1: blew up the budgets to do what you know, to 301 00:15:41,720 --> 00:15:45,560 Speaker 1: take care of everybody, to provide for everybody, pass all 302 00:15:45,640 --> 00:15:49,160 Speaker 1: these different programs. They created all types of programs. The 303 00:15:49,520 --> 00:15:53,480 Speaker 1: Civilian Conservation Corps. The CCC spent three billion dollars doing 304 00:15:53,520 --> 00:15:57,760 Speaker 1: that to you know, provide jobs for young people. Then 305 00:15:57,800 --> 00:16:00,760 Speaker 1: we have the Works Progress Administration. The WPA spent about 306 00:16:00,760 --> 00:16:04,680 Speaker 1: thirteen point four billion. Purpose of that was, you know, 307 00:16:04,800 --> 00:16:09,920 Speaker 1: to give public works employee millions of people build bridges, roads, 308 00:16:09,960 --> 00:16:13,240 Speaker 1: things like that, public buildings. Now, the one question people 309 00:16:13,240 --> 00:16:15,240 Speaker 1: ask about is if we don't pay taxes, what about 310 00:16:15,280 --> 00:16:18,640 Speaker 1: the roads. The roads were there before the government and 311 00:16:18,680 --> 00:16:21,720 Speaker 1: the taxes were okay. Then we had the Agricultural Adjustment 312 00:16:21,760 --> 00:16:24,920 Speaker 1: Act Triple A. They spent about one hundred million dollars 313 00:16:24,920 --> 00:16:27,080 Speaker 1: for farmer subsidies. We're going to talk about this. This is 314 00:16:27,160 --> 00:16:28,800 Speaker 1: some of the this is some of the biggest things 315 00:16:28,840 --> 00:16:33,400 Speaker 1: that caused problem that lasted for about a year. That 316 00:16:33,520 --> 00:16:36,400 Speaker 1: was to try to raise crop prices by paying farmers 317 00:16:36,440 --> 00:16:41,400 Speaker 1: to cut back on production. So if we limit supply, 318 00:16:41,600 --> 00:16:44,280 Speaker 1: then we'll raise crop prices. But if we raise crup 319 00:16:44,320 --> 00:16:46,880 Speaker 1: prices then people can't afford them. I guess I didn't 320 00:16:46,880 --> 00:16:48,560 Speaker 1: think that went through. We'll talk about that. We saw 321 00:16:48,560 --> 00:16:52,280 Speaker 1: the Tennessee Valley Authority TVA self funding through electricity sales 322 00:16:52,280 --> 00:16:55,360 Speaker 1: and bonds, on and on and on. Social Security Act 323 00:16:55,720 --> 00:16:58,440 Speaker 1: we saw it get set up during this time. Of course, 324 00:16:58,840 --> 00:17:01,640 Speaker 1: you know you love that one Security Act, and on 325 00:17:01,680 --> 00:17:04,399 Speaker 1: and on on. We saw the Federal Deposit Insurance Corporation, 326 00:17:04,520 --> 00:17:08,119 Speaker 1: the FDIC get put into place during that time. The 327 00:17:08,160 --> 00:17:12,399 Speaker 1: Securities and Exchange Commission, the SEC was brought on during 328 00:17:12,440 --> 00:17:16,080 Speaker 1: that time. Funding of the New Deal programs. We saw 329 00:17:16,240 --> 00:17:22,560 Speaker 1: increased taxes. Government raised taxes massively, top tech top tax 330 00:17:22,640 --> 00:17:25,320 Speaker 1: rate to sixty three percent. The Revenue Act of nineteen 331 00:17:25,359 --> 00:17:28,080 Speaker 1: thirty three, or the Well Tax Act got put into place. 332 00:17:29,200 --> 00:17:34,760 Speaker 1: They increased government borrowing. All of these things happened. All right, 333 00:17:34,840 --> 00:17:37,080 Speaker 1: I want to tell you what it looked like during 334 00:17:37,080 --> 00:17:37,400 Speaker 1: that time. 335 00:17:37,440 --> 00:17:38,560 Speaker 2: But I'm gonna take a quick break. 336 00:17:38,680 --> 00:17:40,240 Speaker 1: If you just tune in your listening to the Mark 337 00:17:40,240 --> 00:17:43,520 Speaker 1: mass Show talking about the truth behind the Great Depression, 338 00:17:43,720 --> 00:17:45,879 Speaker 1: so you know what happens, so we don't have to 339 00:17:45,880 --> 00:17:47,639 Speaker 1: repeat the same thing over again. I'll be back in 340 00:17:47,680 --> 00:17:49,320 Speaker 1: a minute after I take a very quick break. Don't 341 00:17:49,320 --> 00:17:50,240 Speaker 1: go away, all. 342 00:17:50,200 --> 00:17:50,719 Speaker 2: Right, welcome back. 343 00:17:50,720 --> 00:17:52,240 Speaker 1: If you just tune in, you're listening to the Mark 344 00:17:52,320 --> 00:17:56,359 Speaker 1: Moss Show. We're talking about the truth behind the Great Depression. 345 00:17:56,359 --> 00:17:59,160 Speaker 1: The nineteen twenty nine Great Depression, because there's a lot 346 00:17:59,200 --> 00:18:01,919 Speaker 1: of similarities to what we're seeing right now. And if 347 00:18:01,960 --> 00:18:04,000 Speaker 1: you don't understand history, you're bound to repeat it. And 348 00:18:04,000 --> 00:18:06,040 Speaker 1: I want to make sure we don't go into another 349 00:18:06,119 --> 00:18:06,920 Speaker 1: great recession. 350 00:18:06,960 --> 00:18:08,720 Speaker 2: You need to know this stuff. Now, let's talk. 351 00:18:09,359 --> 00:18:11,000 Speaker 1: I kind of framed it up in what was going on, 352 00:18:11,240 --> 00:18:14,120 Speaker 1: and I gave sort of the external causes for this. 353 00:18:14,440 --> 00:18:17,840 Speaker 1: It was the massive boom in the economy because of 354 00:18:17,880 --> 00:18:21,720 Speaker 1: the war. It was the massive credit expansion because of 355 00:18:21,720 --> 00:18:25,960 Speaker 1: the banks, and it was because of the low interest rates, 356 00:18:26,000 --> 00:18:28,280 Speaker 1: the easy money policy that the FED had put into place. 357 00:18:28,520 --> 00:18:31,399 Speaker 1: Sound familiar, right, Then the FED hit the brakes and 358 00:18:31,600 --> 00:18:34,240 Speaker 1: raised the price of money, which slowed down credit expansion 359 00:18:34,359 --> 00:18:38,240 Speaker 1: and slowed down the economy. That's sort of the truth. 360 00:18:38,240 --> 00:18:40,239 Speaker 1: That's the story you've been told. You haven't really been 361 00:18:40,240 --> 00:18:43,119 Speaker 1: told it's the Fed's fault, but it is. But why 362 00:18:43,119 --> 00:18:45,640 Speaker 1: did it become just a Why did it go from 363 00:18:45,640 --> 00:18:50,679 Speaker 1: a correction and become the Great Depression? Why did it 364 00:18:50,760 --> 00:18:52,760 Speaker 1: go from something that could have recovered in a year 365 00:18:53,440 --> 00:18:55,640 Speaker 1: and go on for a long period of time. 366 00:18:56,000 --> 00:18:57,240 Speaker 2: Why was it so severe? 367 00:18:57,359 --> 00:18:59,920 Speaker 1: That's what I want to talk about, And so let's 368 00:19:00,000 --> 00:19:01,560 Speaker 1: dig into this a little bit. This is the story 369 00:19:01,600 --> 00:19:05,720 Speaker 1: that you haven't been told. And let's just say, surprise, surprise, 370 00:19:07,440 --> 00:19:10,359 Speaker 1: it's all the government's fault. Not only did they lead 371 00:19:10,400 --> 00:19:14,160 Speaker 1: to this massive expansion through easy money policies with the FED, 372 00:19:14,720 --> 00:19:17,080 Speaker 1: through this massive credit expansion and the war. Not only 373 00:19:17,119 --> 00:19:19,040 Speaker 1: did they lead to the boom, then they caused the 374 00:19:19,040 --> 00:19:21,160 Speaker 1: bust by pulling the punch bowl back. 375 00:19:21,680 --> 00:19:21,840 Speaker 2: Right. 376 00:19:21,920 --> 00:19:25,840 Speaker 1: The vast money, the vast credit expansion by the Coolidge administration, 377 00:19:25,880 --> 00:19:30,120 Speaker 1: which was there before fd R, led to this inflation, right, 378 00:19:30,119 --> 00:19:31,840 Speaker 1: But it was the pulling the back that led to 379 00:19:31,840 --> 00:19:34,000 Speaker 1: the crash. But again, why did it go from just 380 00:19:34,119 --> 00:19:37,359 Speaker 1: a little crash into this long crash? And it's partly 381 00:19:37,400 --> 00:19:40,080 Speaker 1: because of what was deemed this new deal or the 382 00:19:40,280 --> 00:19:45,760 Speaker 1: new economics of government planning. All Right, the world economy 383 00:19:45,800 --> 00:19:47,639 Speaker 1: was disintegrating at the same time, so it wasn't just 384 00:19:47,680 --> 00:19:49,240 Speaker 1: the US, it was sort of the whole world going 385 00:19:49,240 --> 00:19:51,359 Speaker 1: through this at the same time, moving into this new 386 00:19:51,440 --> 00:19:55,920 Speaker 1: socialist environment, this new government expansion. And so at the time, 387 00:19:55,960 --> 00:20:00,200 Speaker 1: the President urged businessmen not to cut prices and reduce wages, 388 00:20:00,280 --> 00:20:03,960 Speaker 1: but rather to increase capital outlays to spend more. He 389 00:20:04,000 --> 00:20:06,719 Speaker 1: said if we could maintain purchasing power, and so then 390 00:20:06,760 --> 00:20:10,280 Speaker 1: they embarked on deficit spending, spending money they didn't have. 391 00:20:10,640 --> 00:20:13,480 Speaker 1: They called on municipalities to increase their borrowing for more 392 00:20:13,480 --> 00:20:16,480 Speaker 1: public works through the farm Board, right, and they let's 393 00:20:16,480 --> 00:20:17,080 Speaker 1: just spend more. 394 00:20:17,160 --> 00:20:18,159 Speaker 2: We'll spend our way out of it. 395 00:20:18,520 --> 00:20:21,240 Speaker 1: And then things got really bad. Under what's called the 396 00:20:21,320 --> 00:20:24,359 Speaker 1: smoot Hally Terriff Act in June of nineteen thirty, what 397 00:20:24,400 --> 00:20:28,479 Speaker 1: they did is they raised American tariffs to unprecedented levels, 398 00:20:28,640 --> 00:20:33,119 Speaker 1: which been basically closed off borders of foreign goods right now. 399 00:20:33,119 --> 00:20:36,160 Speaker 1: According to most economic historians, this was the crowning folly 400 00:20:36,240 --> 00:20:38,520 Speaker 1: of this whole period from nineteen twenty to nineteen thirty three. 401 00:20:38,960 --> 00:20:41,240 Speaker 1: And this is really the beginning of the real depression, 402 00:20:41,600 --> 00:20:45,920 Speaker 1: because once we raised our tariffs, then we saw protectionism 403 00:20:46,000 --> 00:20:50,040 Speaker 1: run wild all over the world. Markets began being cut off, 404 00:20:50,280 --> 00:20:54,560 Speaker 1: tradelines with other nations were shut down. Unemployment in the 405 00:20:54,680 --> 00:21:00,000 Speaker 1: export industries all over the world grew. Then President Hoover 406 00:21:00,080 --> 00:21:02,600 Speaker 1: and said he would sign the bill into law, and 407 00:21:02,640 --> 00:21:07,199 Speaker 1: then industrial stocks broke down again. The market kept crashing 408 00:21:07,640 --> 00:21:10,440 Speaker 1: the more the government tried to meddle, The more they 409 00:21:10,440 --> 00:21:15,040 Speaker 1: tried to protect the worst things got the protectionists. They 410 00:21:15,119 --> 00:21:21,240 Speaker 1: never learned that curtilman of imports inevitably hampers exports. So 411 00:21:21,440 --> 00:21:25,080 Speaker 1: when we don't import as much, then we don't export 412 00:21:25,160 --> 00:21:28,840 Speaker 1: as much. Agricultural commodity prices, which had been well above 413 00:21:28,840 --> 00:21:31,159 Speaker 1: the nineteen twenty six base before the crisis, dropped to 414 00:21:31,200 --> 00:21:33,720 Speaker 1: a low of forty seven in the summer of nineteen 415 00:21:33,760 --> 00:21:38,720 Speaker 1: thirty two. As that happened, then farms started to go under. 416 00:21:38,800 --> 00:21:43,440 Speaker 1: Farm mortgages started to be foreclosed upon, and in order 417 00:21:43,480 --> 00:21:45,720 Speaker 1: to start to sort of stem the tide of that, 418 00:21:46,080 --> 00:21:49,840 Speaker 1: they passed more laws to now ban or pass moratoriums 419 00:21:49,880 --> 00:21:52,480 Speaker 1: where they couldn't foreclose on properties, sort of like twenty 420 00:21:52,520 --> 00:21:55,119 Speaker 1: twenty when they said they couldn't foreclothes on homes or 421 00:21:55,160 --> 00:21:59,160 Speaker 1: evict people. Then that shifted the bankruptcy to the creditors. 422 00:21:59,240 --> 00:22:00,960 Speaker 1: So instead of the farms going bankrupt, then it was 423 00:22:01,000 --> 00:22:03,879 Speaker 1: the creditors that went bankrupt, and then that caused a 424 00:22:03,880 --> 00:22:06,280 Speaker 1: banking crisis. The main creditors of the American farms were, 425 00:22:06,320 --> 00:22:09,960 Speaker 1: of course, the rural banks. When agriculture collapsed, the banks 426 00:22:10,000 --> 00:22:13,560 Speaker 1: closed their doors. Two thousand banks closed their doors because 427 00:22:13,560 --> 00:22:17,560 Speaker 1: they had deposit liabilities of one point five billion into 428 00:22:17,560 --> 00:22:20,399 Speaker 1: which they had to suspend between nineteen thirty one and 429 00:22:20,480 --> 00:22:24,640 Speaker 1: nineteen thirty two. Nineteen thirty one was a tragic year 430 00:22:24,640 --> 00:22:28,280 Speaker 1: for the whole nation and really into the world, because 431 00:22:28,280 --> 00:22:30,760 Speaker 1: the whole world sort of started to fall into this 432 00:22:30,880 --> 00:22:34,000 Speaker 1: despair and depression. The whole world is connected, so when 433 00:22:34,040 --> 00:22:37,480 Speaker 1: you start to cut off supplies through imports and exports, 434 00:22:37,520 --> 00:22:40,719 Speaker 1: everybody starts to get affected by this. In America, as 435 00:22:40,760 --> 00:22:42,960 Speaker 1: where we talked about, unemployment went through the roof. More 436 00:22:42,960 --> 00:22:46,520 Speaker 1: than eight million people were unemployed. And so then President Hoover, 437 00:22:46,600 --> 00:22:49,400 Speaker 1: who was still there, called together the nations industrial leaders 438 00:22:49,400 --> 00:22:53,119 Speaker 1: and pledged to adopt his programs to maintain wage rates, 439 00:22:53,600 --> 00:22:59,680 Speaker 1: expand spending, and for federal agencies to do what's called 440 00:22:59,720 --> 00:23:05,280 Speaker 1: price stabilization policies or price fixing, if you will, and 441 00:23:05,840 --> 00:23:08,960 Speaker 1: that would be to generate larger crops and surpluses. The 442 00:23:09,000 --> 00:23:12,480 Speaker 1: problem is when they artificially did that, then it depressed 443 00:23:12,560 --> 00:23:16,240 Speaker 1: prices because when you have more supply than demand, prices 444 00:23:16,320 --> 00:23:21,040 Speaker 1: go down. So when they depressed prices because they oversupplied, 445 00:23:21,320 --> 00:23:24,280 Speaker 1: then economic conditions got even worse. As a matter of fact, 446 00:23:24,280 --> 00:23:26,880 Speaker 1: they went from bad to worse. And then unemployment shot 447 00:23:26,960 --> 00:23:29,119 Speaker 1: up again in nineteen thirty two. 448 00:23:29,240 --> 00:23:30,600 Speaker 2: And then when. 449 00:23:30,440 --> 00:23:32,760 Speaker 1: Things couldn't get any worse, we've rune a couple of 450 00:23:32,840 --> 00:23:34,960 Speaker 1: years of this. The government just can't get out of 451 00:23:34,960 --> 00:23:36,520 Speaker 1: the way. They just keep making things worse and worse 452 00:23:36,560 --> 00:23:38,840 Speaker 1: and worse. They did it again, and they struck a 453 00:23:38,840 --> 00:23:42,480 Speaker 1: final blow in the Revenue Act of nineteen thirty two, 454 00:23:42,720 --> 00:23:46,600 Speaker 1: which doubled the income tax. It was the sharpest increase 455 00:23:46,640 --> 00:23:50,840 Speaker 1: in federal tax burden in American history. So if people 456 00:23:50,880 --> 00:23:53,000 Speaker 1: can't even afford to live, everything's crashed. It's been a 457 00:23:53,000 --> 00:23:56,680 Speaker 1: couple of years now now through meddling in the markets 458 00:23:56,960 --> 00:23:59,760 Speaker 1: with the farmers and whatnot, they've crushed the prices. The 459 00:23:59,760 --> 00:24:02,160 Speaker 1: farm are going broke. They can't victim. Now, the banks 460 00:24:02,200 --> 00:24:06,120 Speaker 1: are going broke. Everyone's going broke. The unemployment has gone 461 00:24:06,200 --> 00:24:09,960 Speaker 1: up by ten times. And then when everybody's down in 462 00:24:09,960 --> 00:24:13,119 Speaker 1: the dirt, they kick them by doubling the income tax, 463 00:24:13,200 --> 00:24:17,280 Speaker 1: the highest rate increase in American history. Murray Rothbard, in 464 00:24:17,320 --> 00:24:20,760 Speaker 1: his book America's Great Depression, estimates that the fiscal burden 465 00:24:20,920 --> 00:24:23,560 Speaker 1: of federal, state, and local governments doubled during the period, 466 00:24:23,640 --> 00:24:26,959 Speaker 1: rising from sixteen percent of net private product to twenty 467 00:24:27,080 --> 00:24:30,919 Speaker 1: nine percent. So when the government takes double the amount 468 00:24:30,920 --> 00:24:32,479 Speaker 1: of money they're taking from you, what do you think 469 00:24:32,600 --> 00:24:35,200 Speaker 1: is going to happen? You have less money to spend 470 00:24:35,320 --> 00:24:39,920 Speaker 1: on other things. Then came FDR. So then FDR took 471 00:24:39,920 --> 00:24:43,440 Speaker 1: the presidency. He also fought the economy all the way 472 00:24:43,480 --> 00:24:46,280 Speaker 1: his first one hundred days. He like I said, he 473 00:24:46,359 --> 00:24:50,920 Speaker 1: launched all these agencies. He's struck in every way at 474 00:24:50,920 --> 00:24:56,960 Speaker 1: the integrity of the US dollar, including he seized everyone's gold. 475 00:24:57,680 --> 00:25:00,600 Speaker 1: And not only did he seize everyone's gold, which he 476 00:25:00,680 --> 00:25:03,560 Speaker 1: gave them dollars for paper dollars, but then he turned 477 00:25:03,560 --> 00:25:07,040 Speaker 1: around and devalued those dollars by forty percent. So now 478 00:25:07,040 --> 00:25:09,760 Speaker 1: people are even more broke. Not only the doubled the 479 00:25:09,760 --> 00:25:12,080 Speaker 1: income tax, they're already broke. The double their income tax, 480 00:25:12,080 --> 00:25:14,960 Speaker 1: and then he took half their money from them. That's 481 00:25:15,000 --> 00:25:17,640 Speaker 1: a double whammy. Double the tax and take half your money, 482 00:25:17,720 --> 00:25:21,240 Speaker 1: forty percent of your money. Then again, then he passed 483 00:25:21,240 --> 00:25:24,720 Speaker 1: what's known as the re Employment Agreement and basically put 484 00:25:24,760 --> 00:25:27,560 Speaker 1: in a minimum wage forty cents an hour. It wasn't 485 00:25:27,600 --> 00:25:30,359 Speaker 1: a lot, but he put in a minimum wage. But 486 00:25:30,480 --> 00:25:33,320 Speaker 1: when he put that into place, then the unemployment rose 487 00:25:33,359 --> 00:25:36,080 Speaker 1: to nearly thirteen million because now they couldn't hire people 488 00:25:36,080 --> 00:25:39,359 Speaker 1: for less, so they just hired less people. 489 00:25:39,480 --> 00:25:40,160 Speaker 2: That's what happened. 490 00:25:40,440 --> 00:25:44,359 Speaker 1: Then he tried to pass this Farm Relief Act. He 491 00:25:44,400 --> 00:25:47,720 Speaker 1: wanted to raise farm prices by cutting the acreages planted 492 00:25:48,160 --> 00:25:49,880 Speaker 1: or basically destroy the crops in the field. 493 00:25:49,960 --> 00:25:50,520 Speaker 2: So then they. 494 00:25:50,440 --> 00:25:55,080 Speaker 1: Literally paid farmers to not plant, literally paid them to 495 00:25:55,200 --> 00:25:58,480 Speaker 1: not plant. Before they planted too much, the supply brought 496 00:25:58,480 --> 00:26:00,919 Speaker 1: the prices down too low. Time, they said, here's a 497 00:26:00,920 --> 00:26:03,800 Speaker 1: better deal. Instead of increasing supply, let's cut the supply. 498 00:26:04,000 --> 00:26:07,200 Speaker 1: So now we'll pay people not to plant. But when 499 00:26:07,200 --> 00:26:10,000 Speaker 1: they did that, guess what happened. Then the prices of 500 00:26:10,040 --> 00:26:12,840 Speaker 1: everything went sky high and no one could afford it. 501 00:26:13,240 --> 00:26:15,840 Speaker 1: No one could afford crops. They couldn't afford cereal, they 502 00:26:15,840 --> 00:26:19,040 Speaker 1: couldn't afford meat, they couldn't afford any of that. Then, 503 00:26:19,080 --> 00:26:21,840 Speaker 1: on top of that, all of these empty fields that 504 00:26:21,880 --> 00:26:25,320 Speaker 1: weren't being planted led to giant dust bowls, which caused 505 00:26:25,359 --> 00:26:28,080 Speaker 1: even more destruction of crops. So it's like, can you 506 00:26:28,119 --> 00:26:31,280 Speaker 1: see every single time the government does something to try 507 00:26:31,280 --> 00:26:35,760 Speaker 1: to help, they have unintended consequences. It sounds good, right, Hey, 508 00:26:35,800 --> 00:26:37,320 Speaker 1: if we want to get prices of crops to go up. 509 00:26:37,400 --> 00:26:40,119 Speaker 1: Let's just cut the supply. It sounds good, except for 510 00:26:40,960 --> 00:26:44,320 Speaker 1: all the unintended consequences we didn't think about. When the 511 00:26:44,359 --> 00:26:47,119 Speaker 1: economic planner saw their plans going wrong, then they prescribed 512 00:26:47,160 --> 00:26:52,520 Speaker 1: additional doses of the federal stimulus. Right, if our plans 513 00:26:52,520 --> 00:26:54,920 Speaker 1: don't work, let's just do more of them. 514 00:26:55,040 --> 00:26:55,679 Speaker 2: So to speak. 515 00:26:56,520 --> 00:26:59,240 Speaker 1: That's always the plan, isn't it. Now. If you're just tuning, 516 00:26:59,320 --> 00:27:01,120 Speaker 1: you're listening to them more Maas Show. We're talking about 517 00:27:01,160 --> 00:27:05,320 Speaker 1: the truth behind the Great Depression. I want to we're 518 00:27:05,400 --> 00:27:08,280 Speaker 1: laying down what really happened. I want to talk about 519 00:27:08,320 --> 00:27:10,879 Speaker 1: what it was like living through that, and what are 520 00:27:10,920 --> 00:27:12,399 Speaker 1: the takeaways that we can get from this. 521 00:27:12,480 --> 00:27:13,480 Speaker 2: But I gotta take a quick break. 522 00:27:13,480 --> 00:27:14,880 Speaker 1: You don't want to go away. I'm want to give 523 00:27:14,880 --> 00:27:17,400 Speaker 1: you some stories and what we can do moving forward. 524 00:27:17,520 --> 00:27:19,080 Speaker 1: So I'll be back with more of that in a minute. 525 00:27:19,080 --> 00:27:20,560 Speaker 1: Don't go away, I'll bear back, all. 526 00:27:20,520 --> 00:27:21,000 Speaker 2: Right, Welcome back. 527 00:27:21,040 --> 00:27:22,440 Speaker 1: If you just tune and you're listening to the Mark 528 00:27:22,480 --> 00:27:26,040 Speaker 1: ma Show, we're talking about the truth behind the Great Depression. 529 00:27:26,560 --> 00:27:29,120 Speaker 1: It's not what you've been told or thought to think, 530 00:27:29,720 --> 00:27:32,679 Speaker 1: and it's not what people living through it at that 531 00:27:32,880 --> 00:27:36,399 Speaker 1: time were also taught to think because just like today, 532 00:27:36,520 --> 00:27:41,280 Speaker 1: the government feeds us full of misinformation, it's never their fault. 533 00:27:41,480 --> 00:27:45,159 Speaker 1: It's never their policies that got us into the problem. 534 00:27:45,520 --> 00:27:49,960 Speaker 1: It's their policies that while it is their policies that 535 00:27:50,040 --> 00:27:52,760 Speaker 1: created the problem, they don't tell us that, and so 536 00:27:52,800 --> 00:27:56,400 Speaker 1: then people want more of the same policies that got 537 00:27:56,440 --> 00:27:59,240 Speaker 1: us into that problem in the first place. It's always 538 00:27:59,280 --> 00:28:02,800 Speaker 1: the way it works. Now, there's a lot of change 539 00:28:02,800 --> 00:28:05,760 Speaker 1: that happened after this. We saw, you know, the economy 540 00:28:05,800 --> 00:28:08,840 Speaker 1: shift gears from a war economy to a peace economy. 541 00:28:09,119 --> 00:28:11,440 Speaker 1: We saw massive amounts of women This is really when 542 00:28:11,480 --> 00:28:14,800 Speaker 1: women got involved in the workforce. At that time, we saw, 543 00:28:14,880 --> 00:28:18,040 Speaker 1: as I said, this massive expansion of the government's role 544 00:28:18,160 --> 00:28:21,879 Speaker 1: in everyday life. All these agencies were created under the 545 00:28:21,960 --> 00:28:26,399 Speaker 1: FDR's New Deal. We saw a significant shift in the 546 00:28:26,520 --> 00:28:30,080 Speaker 1: role of the government in the economy. Right this era, 547 00:28:30,840 --> 00:28:34,800 Speaker 1: this era of the Great Depression, really underscore the potential 548 00:28:34,840 --> 00:28:38,920 Speaker 1: effectiveness of government intervention and stabilizing and stimulating the economy. 549 00:28:40,080 --> 00:28:42,480 Speaker 1: But the problem is, like I said, is people didn't 550 00:28:42,600 --> 00:28:45,920 Speaker 1: understand it properly. The role of the government, you know, 551 00:28:46,040 --> 00:28:48,000 Speaker 1: and the economic policies of the government and their long 552 00:28:48,080 --> 00:28:52,240 Speaker 1: term impacts of that changed. The Great Depression fundamentally changed 553 00:28:52,240 --> 00:28:54,959 Speaker 1: how we view the role of the government in the economy. 554 00:28:55,520 --> 00:28:59,600 Speaker 1: Before this, there was generally laissez faire policies of the forties. 555 00:29:00,120 --> 00:29:03,479 Speaker 1: Basically is like free markets, like let's just let's let 556 00:29:03,480 --> 00:29:06,720 Speaker 1: the government not meddle too much and let's just let things. 557 00:29:06,440 --> 00:29:09,640 Speaker 2: Go free, which is a good way to do it. 558 00:29:10,280 --> 00:29:14,960 Speaker 1: However, because things got so bad then the people didn't 559 00:29:15,000 --> 00:29:17,840 Speaker 1: like that, and then the people wanted the government to 560 00:29:17,840 --> 00:29:21,040 Speaker 1: come in and do something, anybody, just make it better. 561 00:29:21,400 --> 00:29:24,520 Speaker 1: What they didn't realize is that the more the government did, 562 00:29:24,920 --> 00:29:29,160 Speaker 1: the more they intervened, the worst things we're getting, which 563 00:29:29,200 --> 00:29:32,200 Speaker 1: is exactly what I'm trying to arm you with so 564 00:29:32,280 --> 00:29:34,960 Speaker 1: you understand how this works now. Some of the things 565 00:29:34,960 --> 00:29:39,840 Speaker 1: so like the New Deal initiated by FDR very mixed success. 566 00:29:40,680 --> 00:29:45,080 Speaker 1: It did seemingly provide some relief and it did create jobs, 567 00:29:45,400 --> 00:29:48,280 Speaker 1: but it didn't in the Great Depression right, But it 568 00:29:48,320 --> 00:29:51,920 Speaker 1: did create the social safety net of regulatory frameworks that 569 00:29:51,960 --> 00:29:54,960 Speaker 1: we have as I said, like the SEC, social Security FDIC, 570 00:29:55,160 --> 00:30:00,280 Speaker 1: et cetera. It did massively increase the size of the government. 571 00:30:00,280 --> 00:30:02,640 Speaker 1: And this is the big deal because today the government 572 00:30:03,000 --> 00:30:07,000 Speaker 1: is making up about half of the economic growth of 573 00:30:07,120 --> 00:30:09,680 Speaker 1: the country, and it's part of the reason why the 574 00:30:09,680 --> 00:30:12,240 Speaker 1: FED doesn't have control over the spending and the growth 575 00:30:12,280 --> 00:30:16,600 Speaker 1: of the country anymore like they did back then. But 576 00:30:16,800 --> 00:30:19,320 Speaker 1: really what we saw is, like I said, this shift 577 00:30:19,480 --> 00:30:22,479 Speaker 1: in the perception of the people. And this is what 578 00:30:22,560 --> 00:30:25,480 Speaker 1: I want to hit home for you here. Because things 579 00:30:25,520 --> 00:30:27,640 Speaker 1: were so bad, like I said, the government of the 580 00:30:27,680 --> 00:30:32,600 Speaker 1: people wanted the government to help, give us some assistance, 581 00:30:32,680 --> 00:30:36,960 Speaker 1: give us some help, give us more jobs, help us 582 00:30:37,000 --> 00:30:39,680 Speaker 1: with the prices of our crops, all these things. But 583 00:30:40,000 --> 00:30:42,960 Speaker 1: every time they did more of it, things got worse. 584 00:30:43,400 --> 00:30:45,800 Speaker 1: Protect us so we don't have too much supply coming 585 00:30:45,840 --> 00:30:48,320 Speaker 1: from overseas, So the government puts in tariffs into place. 586 00:30:48,520 --> 00:30:52,440 Speaker 1: But then those tariffs then limited the imports and exports, 587 00:30:52,440 --> 00:30:54,040 Speaker 1: and it also threw the rest of the world into 588 00:30:54,040 --> 00:30:57,840 Speaker 1: a tel spin. And so in a complex system, you 589 00:30:57,920 --> 00:31:02,480 Speaker 1: have to understand that everything you do has unintended consequences. 590 00:31:03,600 --> 00:31:05,920 Speaker 1: You can't just affect one thing, sort of like the body. 591 00:31:06,200 --> 00:31:08,600 Speaker 1: The body is also a complex system. So if you 592 00:31:08,640 --> 00:31:10,640 Speaker 1: go to the doctor and say, you know, I have heartburn, 593 00:31:10,680 --> 00:31:14,680 Speaker 1: for example, they can give you a prescription for that heartburn. 594 00:31:14,400 --> 00:31:17,760 Speaker 2: But if you look at if you look at the prescription. 595 00:31:17,440 --> 00:31:19,800 Speaker 1: Or read it, you'll see all the side effects that 596 00:31:19,880 --> 00:31:23,320 Speaker 1: you could get headaches or dry mouth or I don't know, 597 00:31:23,440 --> 00:31:26,280 Speaker 1: sick or even death or whatever. Right, so there's unintended 598 00:31:26,280 --> 00:31:30,080 Speaker 1: consequences that I'm doing to my body to fix one thing. 599 00:31:30,560 --> 00:31:34,040 Speaker 1: And that's exactly where the economy is. So today we 600 00:31:34,160 --> 00:31:37,280 Speaker 1: sort of have already we're starting to see. You know, 601 00:31:37,320 --> 00:31:42,040 Speaker 1: the Biden White House is saying that it's the inflation 602 00:31:42,160 --> 00:31:45,160 Speaker 1: that we're seeing is not caused by the government. It's 603 00:31:45,200 --> 00:31:47,880 Speaker 1: not caused by the government spending or the Feds. 604 00:31:48,040 --> 00:31:49,080 Speaker 2: It's you. 605 00:31:49,080 --> 00:31:51,280 Speaker 1: You're the one causing the inflation. You're the one that's 606 00:31:51,360 --> 00:31:53,400 Speaker 1: buying too much. You're the one that's spending too much. 607 00:31:53,400 --> 00:31:55,680 Speaker 1: They're starting to spend. That one, the one we've been 608 00:31:55,680 --> 00:31:58,920 Speaker 1: seeing for about two years now, is it's the greedy businesses. 609 00:31:59,400 --> 00:32:03,280 Speaker 1: How dare are these Turkey manufacturers gouge you on Thanksgiving? 610 00:32:03,480 --> 00:32:06,400 Speaker 1: How dare these oil companies gouge you on the price 611 00:32:06,400 --> 00:32:10,440 Speaker 1: of gas or any other company? They're saying, these companies 612 00:32:10,480 --> 00:32:14,440 Speaker 1: have record revenues, Look how much money they're making well, 613 00:32:14,440 --> 00:32:19,400 Speaker 1: they're making record revenues because of inflation. It's not profits. 614 00:32:19,640 --> 00:32:21,320 Speaker 1: So what do I mean by that. Let's just look 615 00:32:21,360 --> 00:32:24,360 Speaker 1: at the iPhone. For example, I say it's one thousand dollars. 616 00:32:25,280 --> 00:32:28,520 Speaker 1: If I sell ten iPhones, f Apple sold ten iPhones 617 00:32:28,520 --> 00:32:32,560 Speaker 1: and one thousand dollars, they made ten thousand dollars of revenue. Now, 618 00:32:32,640 --> 00:32:35,840 Speaker 1: let's say because of inflation and supply chains breaking down, 619 00:32:36,240 --> 00:32:39,000 Speaker 1: the cost of their goods went up, and now they 620 00:32:39,040 --> 00:32:42,720 Speaker 1: sell ten iPhones for two thousand dollars. Well, now they 621 00:32:42,760 --> 00:32:45,680 Speaker 1: made twenty thousand instead of ten thousand, but the economic 622 00:32:45,760 --> 00:32:48,719 Speaker 1: output is still the same. It still was ten iPhones. 623 00:32:49,560 --> 00:32:51,600 Speaker 1: It was still the same amount of people work in 624 00:32:51,640 --> 00:32:53,760 Speaker 1: the same amount of hours to produce the same amount 625 00:32:53,760 --> 00:32:56,320 Speaker 1: of iPhones, but instead of ten thousand, they were twenty thousand. 626 00:32:56,640 --> 00:33:00,680 Speaker 1: But that is the revenue, it's not the profit. What 627 00:33:00,760 --> 00:33:03,400 Speaker 1: we're seeing in most companies is, though, even though their 628 00:33:03,440 --> 00:33:08,440 Speaker 1: revenues are going up because the cost of their goods, services, labor, shipping, etc. 629 00:33:09,120 --> 00:33:12,120 Speaker 1: While their revenues are going up, the GDP is going up, 630 00:33:12,200 --> 00:33:15,920 Speaker 1: their profits are actually going down because the cost of 631 00:33:15,960 --> 00:33:18,120 Speaker 1: their inputs has gone up. The cost of their labor 632 00:33:18,120 --> 00:33:19,560 Speaker 1: went up, The cost of their shipping has gone up 633 00:33:19,600 --> 00:33:22,880 Speaker 1: and all of these things. And so as an investor, 634 00:33:22,920 --> 00:33:24,880 Speaker 1: when you're looking at these companies and you're looking at 635 00:33:24,880 --> 00:33:27,600 Speaker 1: earnings reports, which you should be looking at, you have 636 00:33:27,640 --> 00:33:29,960 Speaker 1: to understand to sort of cut through the noise. And 637 00:33:30,000 --> 00:33:32,360 Speaker 1: you want to look at these companies and you want 638 00:33:32,400 --> 00:33:34,640 Speaker 1: to see their revenues going up, but then you really 639 00:33:34,680 --> 00:33:37,719 Speaker 1: want to look at the profitability. And so we're starting 640 00:33:37,720 --> 00:33:40,200 Speaker 1: to see these narrative shifts. Like I said, the greedy 641 00:33:40,200 --> 00:33:44,800 Speaker 1: oil companies, the greedy Turkey companies, etc. Pillaging us, kicking 642 00:33:44,840 --> 00:33:47,920 Speaker 1: us while we're down, extracting massive amounts of wealth, gouging us, 643 00:33:47,760 --> 00:33:50,480 Speaker 1: as Elizabeth Warren and Biden would say. But here's the 644 00:33:50,520 --> 00:33:53,600 Speaker 1: way a free market works. You see, if a Turkey 645 00:33:53,600 --> 00:33:57,959 Speaker 1: company or an oil company or whatever business you want 646 00:33:58,000 --> 00:34:00,360 Speaker 1: to fill in the link with, if they were really 647 00:34:00,560 --> 00:34:03,640 Speaker 1: raising their rates extremely high and gouging you as they 648 00:34:03,680 --> 00:34:06,760 Speaker 1: want to say, if there was all this profit they 649 00:34:06,760 --> 00:34:09,680 Speaker 1: were making in a free market, other people would come 650 00:34:09,719 --> 00:34:11,839 Speaker 1: into that market to get them of that profit. So 651 00:34:12,200 --> 00:34:14,600 Speaker 1: if I'm used to making fifty dollars of profit off 652 00:34:14,640 --> 00:34:16,680 Speaker 1: of you, and now I'm making two hundred dollars of profit, 653 00:34:17,200 --> 00:34:17,880 Speaker 1: other people. 654 00:34:17,719 --> 00:34:18,760 Speaker 2: Are going to come in to compete. 655 00:34:18,760 --> 00:34:20,640 Speaker 1: They're like, well, shoot, if this guy's making two hundred 656 00:34:20,680 --> 00:34:22,040 Speaker 1: of profit, I'll come in andto I'll do it for 657 00:34:22,040 --> 00:34:23,040 Speaker 1: one hundred of profit. 658 00:34:23,239 --> 00:34:24,759 Speaker 2: And someone elseys, we'll shoot, I'll do it for fifty 659 00:34:24,760 --> 00:34:25,279 Speaker 2: dollars of profit. 660 00:34:25,280 --> 00:34:27,160 Speaker 1: Someone else I'll do it for twenty five dollars a profit, 661 00:34:27,640 --> 00:34:30,640 Speaker 1: and then we have a competitive landscape. There is no 662 00:34:30,840 --> 00:34:36,960 Speaker 1: way to gouge somebody in a free market, because if 663 00:34:36,960 --> 00:34:40,040 Speaker 1: you do, someone will come in and eat that profit. 664 00:34:41,600 --> 00:34:47,560 Speaker 1: It's only in a government protectionist, regulated market where they 665 00:34:47,640 --> 00:34:51,920 Speaker 1: can protect those profit margins big businesses working with the 666 00:34:51,960 --> 00:34:56,000 Speaker 1: governments to put policies into place that prevents free markets 667 00:34:56,000 --> 00:35:00,719 Speaker 1: from happening, that prevents competition from coming and eat into 668 00:35:00,719 --> 00:35:03,319 Speaker 1: those profit margins. Now, that's not what the government tells you. 669 00:35:03,400 --> 00:35:04,960 Speaker 1: Just like they didn't tell you in nineteen twenty nine, 670 00:35:05,080 --> 00:35:07,960 Speaker 1: they're telling you the same thing today. Even though we 671 00:35:08,000 --> 00:35:10,919 Speaker 1: caused the problem. Even though, yes, the Federal Reserve made 672 00:35:11,000 --> 00:35:15,719 Speaker 1: way too made much too much of an easy monetary policy. Yes, 673 00:35:15,760 --> 00:35:18,279 Speaker 1: because the between the Federal Reserve and the Treasury, we 674 00:35:18,280 --> 00:35:21,279 Speaker 1: spent ten trillion dollars and we caused massive amounts of inflation. Yes, 675 00:35:21,320 --> 00:35:23,840 Speaker 1: because we shut the economy down and supply chains got wrecked. 676 00:35:24,040 --> 00:35:26,440 Speaker 1: Because of all those things, we caused massive inflation. 677 00:35:26,680 --> 00:35:28,920 Speaker 2: But don't worry. Don't worry. We got your back. Now. 678 00:35:28,920 --> 00:35:30,640 Speaker 1: What we're going to do is we're going to slow 679 00:35:30,719 --> 00:35:32,680 Speaker 1: the market down, just like we did in nineteen twenty nine. 680 00:35:33,000 --> 00:35:35,640 Speaker 1: And you know what, Einstein's definition of insanity is doing 681 00:35:35,680 --> 00:35:37,240 Speaker 1: the same thing and expecting different results. 682 00:35:37,400 --> 00:35:38,680 Speaker 2: So if we do the same thing, we should get 683 00:35:38,680 --> 00:35:39,440 Speaker 2: about the same results. 684 00:35:39,520 --> 00:35:41,560 Speaker 1: We're going to see stock markets crash, we're going to 685 00:35:41,600 --> 00:35:44,560 Speaker 1: see economic activity slow down. And then what we're going 686 00:35:44,640 --> 00:35:46,080 Speaker 1: to do is we're going to get involved in the 687 00:35:46,080 --> 00:35:48,640 Speaker 1: markets and we're going to say, hey, it's these greedy 688 00:35:48,680 --> 00:35:52,680 Speaker 1: businesses that are doing this. It's the it's the tariffs, 689 00:35:52,680 --> 00:35:56,880 Speaker 1: it's the trade policies. We need to tax tariffs, we 690 00:35:56,920 --> 00:36:00,200 Speaker 1: need to limit trade, we need to re on short things, 691 00:36:00,800 --> 00:36:05,200 Speaker 1: the exact same thing. So just know that when you 692 00:36:05,239 --> 00:36:09,160 Speaker 1: see this, you can say, I remember this, I've learned 693 00:36:09,200 --> 00:36:13,280 Speaker 1: this before. I understand that it's not the free markets 694 00:36:13,320 --> 00:36:16,279 Speaker 1: that have caused this. It is the government intervention. And 695 00:36:16,320 --> 00:36:20,000 Speaker 1: so while you're looking for more government, while you're looking 696 00:36:20,000 --> 00:36:23,799 Speaker 1: for politicians to fix the problem. You have to understand 697 00:36:24,120 --> 00:36:27,480 Speaker 1: that it's not them fixing the problem, it's them creating 698 00:36:27,520 --> 00:36:29,719 Speaker 1: the problem. So how can they solve us? How can 699 00:36:29,760 --> 00:36:32,000 Speaker 1: they fix the problem that they're creating. The only way 700 00:36:32,000 --> 00:36:33,959 Speaker 1: would be to get out of the way and let 701 00:36:34,000 --> 00:36:35,680 Speaker 1: the market correct on its own. 702 00:36:35,719 --> 00:36:38,279 Speaker 2: It'll be severe, it'll be swift, and then it'll be over. 703 00:36:38,680 --> 00:36:40,239 Speaker 1: If you're just tuning in, you're listening to the Mark 704 00:36:40,280 --> 00:36:43,200 Speaker 1: mass Show talking about the truth behind the nineteen twenty 705 00:36:43,239 --> 00:36:46,279 Speaker 1: nine Great Depression. You know, I want you to learn 706 00:36:46,400 --> 00:36:48,520 Speaker 1: history so you're not doomed to repeat it. Hopefully you 707 00:36:48,560 --> 00:36:50,000 Speaker 1: like that, let me know, hit me up on social 708 00:36:50,040 --> 00:36:52,000 Speaker 1: media at one Mark Moss and that's what I got 709 00:36:52,000 --> 00:36:52,359 Speaker 1: for you today. 710 00:36:52,400 --> 00:36:53,200 Speaker 2: Thanks so much for listening.