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Speaker 1: Now here's a highlight from Coast to Coast AM on

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Speaker 1: iHeart Radio. Welcome back to Coast to Coast George nor

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Speaker 1: with Harry Den Junior. Harry was two thousand and eight

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Speaker 1: a bubble, Yes, coming in the well. First of all,

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Speaker 1: our first bubble was ninety five to two thousand. People

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Speaker 1: forget that stocks went straight up. Technology led bubble technology

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Speaker 1: stock and then even during a boom, and I was

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Speaker 1: still very bullish all the way out to two thousand

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Speaker 1: and seven. Back then we had the biggest crash we've

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Speaker 1: seen since the twenty nine to thirty two crash. So

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Speaker 1: that was the first bubble, and crash now that I

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Speaker 1: call that a natural bubble. The economy was great, the

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Speaker 1: baby boomers were accelerating the fastest. I mean, my research

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Speaker 1: show the nineties would be the strongest decade of the eighties, nineties,

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Speaker 1: two thousands and up until recently. Okay, so that bubble birth. Well,

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Speaker 1: now we've had a second bubble. Okay, since the two

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Speaker 1: thousand and eight downturn, because that was the worst downturn

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Speaker 1: since the Great Depression, worst than nineteen eighty to eighty two.

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Speaker 1: That was the lowest point in demographics after the last

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Speaker 1: generations spending peak in the nineteen sixties, and here we

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Speaker 1: are coming in into this one. So this is the

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Speaker 1: second bubble. This bubble is greater. I'll tell you everybody,

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Speaker 1: you go look up, you're assignment, go look up. After

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Speaker 1: this the stock market. You look at the Dow, the

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Speaker 1: S and P five under the NASDAC. You can look

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Speaker 1: around the world, but look at those leading in a

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Speaker 1: look at the stock market just since COVID, just since

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Speaker 1: March of last year, this has been the most straight

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Speaker 1: up thrust, more than any time in the Roaring twenties,

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Speaker 1: more than the first tech bubble in the nineties, and

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Speaker 1: those were both historic times in the stock market, fullish times.

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Speaker 1: This is straight up because they're printing that five trillion

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Speaker 1: dollars in all central banks around the world. They injected

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Speaker 1: trillions and trillions of dollars into the monetaries of people.

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Speaker 1: Need to understand when they do this money printing, they're

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Speaker 1: not printing dollar bills. They are literally buying money, I

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Speaker 1: mean keep creating money and buying bonds in the financial

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Speaker 1: assets that they're injecting new money on top of normal

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Speaker 1: investors trillies and trillion of dollars, which pushes up all

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Speaker 1: financial assets, bond, stocks, real estates, everything. So what it

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Speaker 1: creates is not People keep saying, oh, they're going to

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Speaker 1: cause inflation. No, we've had very little inflation, and only recently.

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Speaker 1: And like I said earlier, that's temporary. It's creating the

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Speaker 1: biggest financial asset bubble in history, potentially stocks. And so

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Speaker 1: what happens, they have to crash. It gets so bubbly,

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Speaker 1: and bubbles don't even need a recess. And although that's

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Speaker 1: inevitable too, these bubbles crash of their own extremes. But

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Speaker 1: look at that stock market chart. Anybody looks at that

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Speaker 1: and says this is not a bubble. They don't have

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Speaker 1: their eyes open. Bubbles of this nature always crash, and

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Speaker 1: they crash twice as fast as they build. So we

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Speaker 1: built the greatest bubble in history in the last several years.

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Speaker 1: The next two years, maybe three, is going to see

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Speaker 1: the greatest crast of our lifetimes. This is virtually guaranteed.

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Speaker 1: For my research, what would you categorize the crash of

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Speaker 1: two thousand and eight on a one to ten, ten

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Speaker 1: being the worst that was a nine. Nineteen twenty nine

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Speaker 1: two was at ten. This will be a ten. So

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Speaker 1: so that was an eighth to nine. This will be

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Speaker 1: a ten. This will be the This is the greatest

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Speaker 1: bubble we'll ever see. We won't see anything like this

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Speaker 1: the rest of our lifetimes, particularly people, you know, baby boomers,

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Speaker 1: more my age and stuff. Okay, but this will be

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Speaker 1: the greatest crash we will see in our lifetimes because

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Speaker 1: these things don't on this magnitude. Again, the greatest crash

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Speaker 1: is the twenty nine to thirty two, and the two

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Speaker 1: thousand and eight to nine was was, you know, a

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Speaker 1: very large crash, and this one will be the biggest

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Speaker 1: one received. So this is something to get serious about.

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Speaker 1: I tell people to look real quick. You know, I

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Speaker 1: have a newsletter like most forecasting stuff, but we have

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Speaker 1: a free newsletter. You get two articles or three every

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Speaker 1: week to keep up with our thinking until you know,

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Speaker 1: just to get to know it. Because I know what

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Speaker 1: I'm saying is different than most economists. We have a

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Speaker 1: whole different approach. I always have again looking at people

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Speaker 1: and not what economists do, and understanding how predictable are so.

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Speaker 1: So this is a good time to just get to

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Speaker 1: know it. Harryget dot com. You can at least get

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Speaker 1: on this screen newsletter, and I think you're going to

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Speaker 1: see very soon that this. I think this is going

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Speaker 1: to be the fastest change from boom and bubble to

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Speaker 1: burst we have seen. This is going to be stronger

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Speaker 1: and and think back, stronger than that two thousand to

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Speaker 1: two thousand and two tech bubble crash, and that was

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Speaker 1: a seventy eight percent decline in the mad back in

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Speaker 1: tech stock. I'm predicting an eighty seven percent, give or

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Speaker 1: take declining in stocks in just the next two years,

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Speaker 1: and more than that. Georgian. This is what makes it

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Speaker 1: so hard, and people don't understand the first crash out

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Speaker 1: of a bubble like this, and I've studied every bubble

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Speaker 1: around the world in the last hundred plus years. The

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Speaker 1: first crash tends to average forty six percent in just

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Speaker 1: two to three months. And this crash, now that we've

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Speaker 1: bubbled up so much, I am projecting just the first

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Speaker 1: crash in the first couple of months when this happens.

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Speaker 1: But I think the first quarter of this year it's

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Speaker 1: going to be that it looks like fifty five percent.

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Speaker 1: Stock's going to go down something like fifty five percent.

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Speaker 1: People can even blink, and then people will panic and sell,

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Speaker 1: and then it will bounce back for a few months

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Speaker 1: and people say, oh my god, why did I felt?

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Speaker 1: And then you'll see this long two year decline, bigger,

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Speaker 1: you know, more compared to the twenty nine to thirty

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Speaker 1: two crash. Again, this is a once in a life

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Speaker 1: time event. I know this sounds like extreme. I'm not

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Speaker 1: an extreme guy. Okay, I've been forecasting for forty years.

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Speaker 1: I'm usually the same guy you know when people are

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Speaker 1: too bullish or too barished. This is extreme. This bubble

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Speaker 1: has been stretched and all you have to do. Like

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Speaker 1: I said at the beginning of this, look at the

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Speaker 1: stock market just for the last two years compared to

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Speaker 1: the whole boom. This is the greatest boom in history,

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Speaker 1: the longest and the greatest the last two years since

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Speaker 1: COVID is just off the charts. Bubble of all times.

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Speaker 1: There is only one way that can end in history,

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Speaker 1: and that is a sharp, quick, deep crash. Is there

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Speaker 1: any way hearing it can be stopped? No? Not at

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Speaker 1: this point. When you stretch it this far, it has

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Speaker 1: to come back. And balance is good. In other words,

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Speaker 1: I especially okay, you know I'm a baby boomer and

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Speaker 1: I'm bolder. Okay, but but for young people coming along

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Speaker 1: and just starting to say for the future, it would

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Speaker 1: stock stretch this high the highs, and isn't. In these

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Speaker 1: high val they have no chance of making decent returns,

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Speaker 1: so they can retire in the future. So it's gonna

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Speaker 1: be the best thing that could happen is the leftist

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Speaker 1: stock market and the economy come back to balance after

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Speaker 1: these two giant bubbles. Again, the first one was natural, Okay,

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Speaker 1: this one is a hundred percent artificial, created only by

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Speaker 1: NonStop stimulus now for almost twelve years. George, this is crazy.

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Speaker 1: This is going to go down in history. People are

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Speaker 1: gonna say, what were they smoking. I think you slip

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Speaker 1: off of printing more money every year and think you

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Speaker 1: can create a sustainable boom. This is nuts. What's going

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Speaker 1: to bring it back? Okay? The Millennial generation the next generation.

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Speaker 1: And I've been saying this. You know, the Baby boom

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Speaker 1: was what caused the boom from nineteen eighty twee to

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Speaker 1: two thousand step of the greatest boom in history and

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Speaker 1: the longest. Okay, because of the size of the generation, Well,

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Speaker 1: the millennial generation only takes us back to the levels

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Speaker 1: of Baby Boom peak spinning, but that's still huge. I mean,

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Speaker 1: you know, after this downturn of stuff, So two thousand

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Speaker 1: twenty four into two thousand and thirty seven is the boom. Notice,

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Speaker 1: not as long as long as the nineteen eighty three

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Speaker 1: to two thousand and seven baby boom. Natural boom, that's

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Speaker 1: the next boom. But we need to bring We need

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Speaker 1: to write off a lot of debts. You know, there's

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Speaker 1: twenty three percent of public large companies they can't even

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Speaker 1: pay the debt service. They're called zombie companies today, and

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Speaker 1: that's rising because they can They're only alive because the

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Speaker 1: money is so cheap and easy. They keep the economy

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Speaker 1: going artificially. We need to flush out these bad companies.

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Speaker 1: They're they're wasting resources and people, and we need and

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Speaker 1: then the millennial generation will naturally drive a boom again.

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Speaker 1: But that boom is going to be very, very compromised

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Speaker 1: if we don't get rid of a lot of bad

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Speaker 1: debts and a lot of zombie companies. Again, twenty three

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Speaker 1: percent of public companies can't even pay the debt service, okay,

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Speaker 1: and only being kept alive by simmas. We got to

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Speaker 1: flush this stuff out. That's going to be painful. That's

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Speaker 1: why I'm saying Just if you can just be more

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Speaker 1: safe and can servatives being high quality treasury bonds and

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Speaker 1: safe invest for just the next couple of years, until

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Speaker 1: we have this great reset I call it, everything will

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Speaker 1: work in your very You'll be buying stocks for twenty

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Speaker 1: cents from the dollar. Who doesn't want to do that

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Speaker 1: and be able to invest in the next boom generated

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Speaker 1: by millennials. Now, the millennials of the US and Europe, Okay,

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Speaker 1: that's nothing compared to the Indians. They're going to do

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Speaker 1: in the next thirty forty years what the Chinese did

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Speaker 1: from nineteen Eightien to recently. The Chinese were the first

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Speaker 1: large emerging country to move you into much higher spending

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Speaker 1: and growth and a big demographic surge. India has stronger

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Speaker 1: projections for my research than even China, and even Indian

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Speaker 1: economists don't think India can ever outdo China. I'm telling you,

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Speaker 1: India is the next big thing and they're gonna dominate

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Speaker 1: the next boom far more than our millennials. But even

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Speaker 1: in this country, if the millennials are going to bring

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Speaker 1: us back and we are cheating these younger people, if

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Speaker 1: we don't get rid of all our bad debts and

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Speaker 1: excess of spinulus. Spinulus like this only causes people to misinvest.

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Speaker 1: That's why government shouldn't over tinker with economy like this.

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Speaker 1: Have you ever been wrong here he in any of

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Speaker 1: these predictions over all your years. Yes, I mean I

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Speaker 1: basically never when I say a major turn is coming

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Speaker 1: only early And of course I've been wanting mourning that

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Speaker 1: this is an artificial thing. I was the only guy

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Speaker 1: who was bullish in the Lady. When I was in

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Speaker 1: the late eighties, people thought I was crazy. Everybody thought

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Speaker 1: Japan was going to take over the world. In the

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Speaker 1: US with a hat spin in the eighties. You know,

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Speaker 1: we had our great boom in the fifties and sixties,

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Speaker 1: which we did. We led that, Oh we did, But

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Speaker 1: we didn't. We didn't. We really didn't stop, did we. No. Well, again,

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Speaker 1: nobody saw even though we were a wealthier, you know,

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Speaker 1: maybe slower growth coming. Nobody saw the baby boom coming.

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Speaker 1: I was because my biggest afa was I was consulting

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Speaker 1: the Fortune one hundred companies with Banning Company in the

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Speaker 1: early eighties. I got bored with that because large companies

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Speaker 1: are so cumbersome and slow, and started to do the

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Speaker 1: same strategic consulting with New Ventures in California. And when

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Speaker 1: I saw these new Ventures doing, you know, really innovative thing,

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Speaker 1: And what I had to do is I had to

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Speaker 1: study their customers. Their customers weren't the old bob hopers

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Speaker 1: I call them back then, they were the younger baby boomers.

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Speaker 1: So that's when I saw. When I was studying for

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Speaker 1: my New Venture clients, I was studying what's the future.

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Speaker 1: I was looking at their customers. I'm going, oh my gosh,

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Speaker 1: these are young boomers and oh my gosh, there are

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Speaker 1: a ton of these people who going to grow up

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Speaker 1: and spend more money. That's what turned me onto demographics

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Speaker 1: when I jumped from the Fortune one hundred world to

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Speaker 1: the New Venture world. Does China experience bubbles over there?

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Speaker 1: Oh yeah, China is the biggest bubble in the world.

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Speaker 1: And I'll tell you where people get hit in the

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Speaker 1: bubbles or stocks? Okay, that's bad, Okay, twenty nine crass,

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Speaker 1: that was bad. But the richer people own most of

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Speaker 1: the stocks. Everybody owns real estate. Okay, in real estate.

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Speaker 1: The greatest bubble in history of all times today is

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Speaker 1: in China. Okay, Australia, where I lecture a lot and

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Speaker 1: I have been able to travel now for a year

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Speaker 1: and a half. I bought Australia has the biggest bubble

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Speaker 1: in the developed world because they have so much immigration

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Speaker 1: from Asia driving the markets. So real estate is the

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Speaker 1: biggest bubble. And we have a real estate a second

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Speaker 1: real estate bubble, because remember we had a first one.

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Speaker 1: After the stock bubble crash two thousand, two thouns two,

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Speaker 1: everybody switched to speculating in real estate. So we had

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Speaker 1: a real estate bubble in a two thousand and six

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Speaker 1: and the first we had a bigger crash and real

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Speaker 1: estate into two thousand and eight, nine, ten eleven. Then

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Speaker 1: we had in the Great Depression because real estate didn't

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Speaker 1: bubble up in the Great Depression. You couldn't get easy

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Speaker 1: mortgages back then. Right now, so real estate is the

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Speaker 1: bubble that hits most people the hardest. And when now

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Speaker 1: we have a second real estate bubble and people get thinned. Oh,

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Speaker 1: this one's not as bad as no. Real estate prices

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Speaker 1: adjusted for inflation, adjusted for income, everything is now higher

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Speaker 1: than the last bubble that crashs thirty four percent. George,

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Speaker 1: I am predicting that this real estate bubble will also

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Speaker 1: be worse than the last bubble, just like stock and

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Speaker 1: it will be forty to fifty percent. Now it's one

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Speaker 1: thing your stocks go down and a lot of people

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Speaker 1: don't allow it. Everybody, almost everybody owns real estate. So

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Speaker 1: this is what really hits and Chinese China is now

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Speaker 1: you have a fraction of our incomes, but they have

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Speaker 1: seventy five percent of their net worth and real estate

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Speaker 1: in China. China's got the biggest real estate bubble, gonna

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Speaker 1: have the biggest real estate crash, and China will never

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Speaker 1: be the same after this. And it's just going to

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Speaker 1: open the door to investing in India. India is going

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Speaker 1: to be my number one country to invest in. Coming

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Speaker 1: on the other side of it, doesn't trying to have

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Speaker 1: a lot of real estate in like Vancouver, Canada. Oh yeah,

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Speaker 1: Chinese and big buyers in the West Coast. And yes, Vancouver,

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Speaker 1: which by the way, my favorite city in North America

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Speaker 1: for going to Vancouver is where you see the most

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Speaker 1: Chinese investing in event, it's not good when you see

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Speaker 1: people speculating and areas expire. So Vancouver is going to

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Speaker 1: be along with San Francisco in La like that, but

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Speaker 1: even more, Vancouver is going to be one of the

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Speaker 1: biggest crash cities in real estate because of Chinese buying.

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Speaker 1: They love buying real estate, especially in Vancouver. Well with

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Speaker 1: Harry Dent Jr. His website is his name Harry Dent

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Speaker 1: dot com linked up at Coast to coastam dot com.

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Speaker 1: We're going to take calls with him next hour here

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Speaker 1: on Coast to Coast, so jump on board. Most of

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Speaker 1: the lines are unavailable already because people are on hold

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Speaker 1: waiting to talk to you, Harry. You know, during the

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Speaker 1: COVID situation, they threw what was called PPP money at

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Speaker 1: companies to support them in employment. Are they still going

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Speaker 1: to do that again? That was free money? Oh? I

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Speaker 1: mean and and this is this is really terrible any

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Speaker 1: almost any business, and I talked to many and people

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Speaker 1: that work with business consultants. It's you just pick up

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Speaker 1: the votage is instan mind. They're so desperate to get

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Speaker 1: out of this downturn in two thousand and eight nine

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Speaker 1: and all this stuff since. But yeah, it's just free money.

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Speaker 1: But it's indiscriminate. Okay. It's one thing what I would

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Speaker 1: do is I if I was the government, the way

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Speaker 1: I'd be helping the commy I would be giving banks

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Speaker 1: some help when they write down bad loans. The biggest

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Speaker 1: thing we do is get bad loans out of the

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Speaker 1: way so we make more way to make good loans.

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Speaker 1: So you've got to get the bad loans out of

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Speaker 1: the way first. No, the government's giving every incentive to

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Speaker 1: banks to keep bad loans going, and then that leaves

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Speaker 1: less ability to lend money. Who especially the younger up

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Speaker 1: becoming a new business to get good loans and so

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Speaker 1: so I mean this the only way to get out

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Speaker 1: of the lights. There is no solution to this point.

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Speaker 1: We stress the bubble. The bubble has to burst and

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Speaker 1: let things rebalance. And again, what it means high unemployment

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Speaker 1: for a while, that's what hits most people. But what

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Speaker 1: it most means financial assets, stocks, bonds, real estate, especially

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Speaker 1: risky bonds, junk bonds and stuff. In four months, they're

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Speaker 1: all gonna have to come back down to normal. And

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Speaker 1: that again, this is why once in a lifetime like

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Speaker 1: nineteen twenty nine to thirty two, you don't just see

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Speaker 1: a sizeable stock crash, you see a giant stock crash,

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Speaker 1: because that's resetting bubbles back down to normal so we

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Speaker 1: can grow and invest again. Listen, to more Coast to

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Speaker 1: Coast AM every weeknight at one am Eastern and go

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Speaker 1: to Coast to Coast am dot com. Are there