America's Inequality Score Is 0.01 Away From The Number That Caused The Gilded Age To Collapse

Right now, the United States is at the Right now, the United States is at the same kind of instructional inflection same kind of instructional inflection same kind of instructional inflection point that has preceded every major point that has preceded every major point that has preceded every major social eruption in recorded history. social eruption in recorded history. social eruption in recorded history. >> All you had to do was pay us enough to >> All you had to do was pay us enough to >> All you had to do was pay us enough to live. There goes your inventory. live. There goes your inventory. live. There goes your inventory. >> It was a six alarm fire that burned the >> It was a six alarm fire that burned the >> It was a six alarm fire that burned the place to the ground. He uploaded the place to the ground. He uploaded the place to the ground. He uploaded the video to Instagram himself because he video to Instagram himself because he video to Instagram himself because he knew that the public was going to be on knew that the public was going to be on knew that the public was going to be on his side. His name is Kamal Abdul Karim. his side. His name is Kamal Abdul Karim. his side. His name is Kamal Abdul Karim. A 29year-old making roughly $37,000 a A 29year-old making roughly $37,000 a A 29year-old making roughly $37,000 a year. The problem? An average year. The problem? An average year. The problem? An average one-bedroom near the facility in one-bedroom near the facility in one-bedroom near the facility in Ontario, California, runs over $2,000 Ontario, California, runs over $2,000 Ontario, California, runs over $2,000 a month. To him, the injustice of the a month. To him, the injustice of the a month. To him, the injustice of the situation was obvious. The rich abuse situation was obvious. The rich abuse situation was obvious. The rich abuse the masses and the masses suffer as they the masses and the masses suffer as they the masses and the masses suffer as they must. Therefore, his act to him, despite must. Therefore, his act to him, despite must. Therefore, his act to him, despite being arson, was actually a service of being arson, was actually a service of being arson, was actually a service of justice. Now, how do I know that he and justice. Now, how do I know that he and justice. Now, how do I know that he and a growing number of people believe that a growing number of people believe that a growing number of people believe that this act of vigilanteism was actually this act of vigilanteism was actually this act of vigilanteism was actually justice? Because on his very first phone justice? Because on his very first phone justice? Because on his very first phone call while in custody, he compared call while in custody, he compared call while in custody, he compared himself to Luigi Manion. Manion is the himself to Luigi Manion. Manion is the himself to Luigi Manion. Manion is the all too popular murderer who shot and all too popular murderer who shot and all too popular murderer who shot and killed a health insurance CEO in cold killed a health insurance CEO in cold killed a health insurance CEO in cold blood on a Manhattan sidewalk back in blood on a Manhattan sidewalk back in blood on a Manhattan sidewalk back in December of 24. A murder so shockingly December of 24. A murder so shockingly December of 24. A murder so shockingly wellreceived by the public that his wellreceived by the public that his wellreceived by the public that his legal defense fund has already raised legal defense fund has already raised legal defense fund has already raised nearly a million dollars from roughly nearly a million dollars from roughly nearly a million dollars from roughly 30,000 30,000 30,000 donors. Approximately 50% of American donors. Approximately 50% of American donors. Approximately 50% of American college students sympathize more with college students sympathize more with college students sympathize more with Manioni than the man that he killed. Manioni than the man that he killed. Manioni than the man that he killed. Inequality has already surpassed Inequality has already surpassed Inequality has already surpassed inlerable. And now instability in the inlerable. And now instability in the inlerable. And now instability in the Middle East threatens to become the Middle East threatens to become the Middle East threatens to become the straw that breaks the camel's back. and straw that breaks the camel's back. and straw that breaks the camel's back. and I'm going to prove it. There are just I'm going to prove it. There are just I'm going to prove it. There are just two paths before us. If you want to two paths before us. If you want to two paths before us. If you want to avoid calamity, it is imperative we take avoid calamity, it is imperative we take avoid calamity, it is imperative we take the right one. I'll explain why in four the right one. I'll explain why in four the right one. I'll explain why in four parts. Part three is what the vigilantes parts. Part three is what the vigilantes parts. Part three is what the vigilantes do not understand. So, regardless of do not understand. So, regardless of do not understand. So, regardless of what you think now, do not skip that what you think now, do not skip that what you think now, do not skip that part. Welcome to part one, the two-sided part. Welcome to part one, the two-sided part. Welcome to part one, the two-sided squeeze. Since 1979, worker productivity squeeze. Since 1979, worker productivity squeeze. Since 1979, worker productivity in the United States has grown by 80.9%, in the United States has grown by 80.9%, in the United States has grown by 80.9%, but wages have only grown by 29.4%. but wages have only grown by 29.4%. but wages have only grown by 29.4%. The last time America's wealth The last time America's wealth The last time America's wealth concentration was this out of whack was concentration was this out of whack was concentration was this out of whack was the guilded age. You know, the era of the guilded age. You know, the era of the guilded age. You know, the era of the robber barons, and I mean that the robber barons, and I mean that the robber barons, and I mean that comparison literally. You can actually comparison literally. You can actually comparison literally. You can actually measure inequality. You use something measure inequality. You use something measure inequality. You use something called the Jinny coefficient. It peaked called the Jinny coefficient. It peaked called the Jinny coefficient. It peaked in 1890 during the Gilded Age with a in 1890 during the Gilded Age with a in 1890 during the Gilded Age with a genie coefficient of 0.87. genie coefficient of 0.87. genie coefficient of 0.87. It was a catastrophe that almost It was a catastrophe that almost It was a catastrophe that almost destroyed America. Now, guess what? destroyed America. Now, guess what? destroyed America. Now, guess what? Today's genie coefficient is 0.86. Today's genie coefficient is 0.86. Today's genie coefficient is 0.86. We're only 01 We're only 01 We're only 01 behind our all-time worst score. In the behind our all-time worst score. In the behind our all-time worst score. In the Gilded Age, the richest 4,000 families Gilded Age, the richest 4,000 families Gilded Age, the richest 4,000 families in this country held as much wealth as in this country held as much wealth as in this country held as much wealth as the other 11.6 million households the other 11.6 million households the other 11.6 million households combined. Today, the top 1% hold as much combined. Today, the top 1% hold as much combined. Today, the top 1% hold as much wealth as the bottom 90% combined. Same wealth as the bottom 90% combined. Same wealth as the bottom 90% combined. Same stupid, socially suicidal picture, but stupid, socially suicidal picture, but stupid, socially suicidal picture, but 130 years later. This isn't just kind of 130 years later. This isn't just kind of 130 years later. This isn't just kind of uncomfortable, it's genuinely uncomfortable, it's genuinely uncomfortable, it's genuinely destabilizing. And given all of the destabilizing. And given all of the destabilizing. And given all of the local and global upheaval that we're all local and global upheaval that we're all local and global upheaval that we're all living through right now, I really hope living through right now, I really hope living through right now, I really hope I don't have to spend time convincing I don't have to spend time convincing I don't have to spend time convincing you that things right now are extremely you that things right now are extremely you that things right now are extremely unstable. This is what happens. unstable. This is what happens. unstable. This is what happens. inequality starts building up. Right now inequality starts building up. Right now inequality starts building up. Right now in America, 10% of Americans own 93% of in America, 10% of Americans own 93% of in America, 10% of Americans own 93% of all stocks and financial assets. But all stocks and financial assets. But all stocks and financial assets. But that by itself does not cause people to that by itself does not cause people to that by itself does not cause people to burn warehouses and shoot CEOs. For burn warehouses and shoot CEOs. For burn warehouses and shoot CEOs. For that, you need a second ingredient, that, you need a second ingredient, that, you need a second ingredient, inflation. Why? Because inflation is inflation. Why? Because inflation is inflation. Why? Because inflation is what created the unaffordability crisis. what created the unaffordability crisis. what created the unaffordability crisis. Right now, people are convinced that Right now, people are convinced that Right now, people are convinced that billionaires are stealing money. But the billionaires are stealing money. But the billionaires are stealing money. But the reality is this is a politician and reality is this is a politician and reality is this is a politician and central banking problem where we run central banking problem where we run central banking problem where we run these insane deficits and then we money these insane deficits and then we money these insane deficits and then we money print to cover the problem and that is print to cover the problem and that is print to cover the problem and that is what drives a K-shaped economy and that what drives a K-shaped economy and that what drives a K-shaped economy and that is what creates the billionaire class. is what creates the billionaire class. is what creates the billionaire class. And guess which political party is And guess which political party is And guess which political party is driving the unaffordability crisis. driving the unaffordability crisis. driving the unaffordability crisis. That's right, both of them. Until state That's right, both of them. Until state That's right, both of them. Until state and federal budgets are balanced, you and federal budgets are balanced, you and federal budgets are balanced, you are being stolen from by your elected are being stolen from by your elected are being stolen from by your elected officials. It's not the wealthy stealing officials. It's not the wealthy stealing officials. It's not the wealthy stealing from you. It is the politicians in from you. It is the politicians in from you. It is the politicians in charge of the budget. An unbalanced charge of the budget. An unbalanced charge of the budget. An unbalanced budget forces the government to money budget forces the government to money budget forces the government to money print. And when the government prints print. And when the government prints print. And when the government prints money, and it has been printing historic money, and it has been printing historic money, and it has been printing historic amounts of money for over a decade, the amounts of money for over a decade, the amounts of money for over a decade, the price of everything goes up, way up. And price of everything goes up, way up. And price of everything goes up, way up. And when that happens, your purchasing power when that happens, your purchasing power when that happens, your purchasing power goes down, way down. And the only goes down, way down. And the only goes down, way down. And the only protection from that absolutely protection from that absolutely protection from that absolutely despicable, immoral, secret tax is to despicable, immoral, secret tax is to despicable, immoral, secret tax is to own assets. That relationship is what own assets. That relationship is what own assets. That relationship is what creates billionaires. Assets are things creates billionaires. Assets are things creates billionaires. Assets are things whose value rises as more money is whose value rises as more money is whose value rises as more money is printed. Stocks, real estate, business printed. Stocks, real estate, business printed. Stocks, real estate, business ownership, etc. Assets are the only ownership, etc. Assets are the only ownership, etc. Assets are the only escape from inflation. The bad news, 90% escape from inflation. The bad news, 90% escape from inflation. The bad news, 90% of Americans barely have any at all. of Americans barely have any at all. of Americans barely have any at all. It's like being inside of an X-ray It's like being inside of an X-ray It's like being inside of an X-ray machine with no lead vest. In the machine with no lead vest. In the machine with no lead vest. In the moment, you don't realize a terrible moment, you don't realize a terrible moment, you don't realize a terrible thing is happening to you. But in thing is happening to you. But in thing is happening to you. But in reality, that thing is doing massive reality, that thing is doing massive reality, that thing is doing massive damage. You just can't see it. But it's damage. You just can't see it. But it's damage. You just can't see it. But it's the very reason you can't afford your the very reason you can't afford your the very reason you can't afford your rent. And all of the rent control in the rent. And all of the rent control in the rent. And all of the rent control in the world is not going to help. But that's a world is not going to help. But that's a world is not going to help. But that's a story for another deep dive. In fact, story for another deep dive. In fact, story for another deep dive. In fact, it's right here. Now, get this. For six it's right here. Now, get this. For six it's right here. Now, get this. For six consecutive years through 2025, the consecutive years through 2025, the consecutive years through 2025, the bottom 80% of American consumers failed bottom 80% of American consumers failed bottom 80% of American consumers failed to keep up with inflation. It's been six to keep up with inflation. It's been six to keep up with inflation. It's been six straight years of falling behind on the straight years of falling behind on the straight years of falling behind on the kinds of things you can't cut. Housing, kinds of things you can't cut. Housing, kinds of things you can't cut. Housing, grocery, energy, healthcare. These are grocery, energy, healthcare. These are grocery, energy, healthcare. These are necessities, and they're getting even necessities, and they're getting even necessities, and they're getting even more expensive faster than before. So, more expensive faster than before. So, more expensive faster than before. So, when you've got a full-time worker when you've got a full-time worker when you've got a full-time worker making $18 an hour and taking home making $18 an hour and taking home making $18 an hour and taking home roughly $37,000 a year, but a roughly $37,000 a year, but a roughly $37,000 a year, but a one-bedroom apartment in his one-bedroom apartment in his one-bedroom apartment in his neighborhood runs over $2,000 a month, neighborhood runs over $2,000 a month, neighborhood runs over $2,000 a month, you're spending 65% of your take-home you're spending 65% of your take-home you're spending 65% of your take-home pay just on rent. That's before food, pay just on rent. That's before food, pay just on rent. That's before food, before gas, before saving any money, before gas, before saving any money, before gas, before saving any money, before being able to buy the assets that before being able to buy the assets that before being able to buy the assets that would protect you from the inflation. would protect you from the inflation. would protect you from the inflation. When the necessities are unaffordable When the necessities are unaffordable When the necessities are unaffordable and people's Instagram reels are full of and people's Instagram reels are full of and people's Instagram reels are full of rich people flying around on jets, [ __ ] rich people flying around on jets, [ __ ] rich people flying around on jets, [ __ ] gets burned and uploaded to Instagram. gets burned and uploaded to Instagram. gets burned and uploaded to Instagram. History shows us over and over that what History shows us over and over that what History shows us over and over that what breaks a society is when inequality and breaks a society is when inequality and breaks a society is when inequality and unaffordability happen at the same time unaffordability happen at the same time unaffordability happen at the same time like they are now. People get squeezed like they are now. People get squeezed like they are now. People get squeezed from both sides and they start looking from both sides and they start looking from both sides and they start looking for a way out even if that way is for a way out even if that way is for a way out even if that way is ineffective and violent. Now there's a ineffective and violent. Now there's a ineffective and violent. Now there's a famous experiment in behavioral famous experiment in behavioral famous experiment in behavioral economics. Researchers give one person economics. Researchers give one person economics. Researchers give one person $100 and tell them to split it with a $100 and tell them to split it with a $100 and tell them to split it with a stranger. The stranger can accept or stranger. The stranger can accept or stranger. The stranger can accept or reject the offer. If they reject it, reject the offer. If they reject it, reject the offer. If they reject it, though, nobody gets anything. By pure though, nobody gets anything. By pure though, nobody gets anything. By pure logic, the stranger should accept any logic, the stranger should accept any logic, the stranger should accept any amount of money above zero. Something is amount of money above zero. Something is amount of money above zero. Something is always better than nothing. But they always better than nothing. But they always better than nothing. But they don't accept it. Consistently across don't accept it. Consistently across don't accept it. Consistently across cultures, people will choose nothing cultures, people will choose nothing cultures, people will choose nothing over watching someone else take a over watching someone else take a over watching someone else take a disproportionate share. But what happens disproportionate share. But what happens disproportionate share. But what happens when the cause of that disproportionate when the cause of that disproportionate when the cause of that disproportionate share is misunderstood for an share is misunderstood for an share is misunderstood for an individual? Rejecting the offer and individual? Rejecting the offer and individual? Rejecting the offer and getting nothing is completely getting nothing is completely getting nothing is completely irrational. But the instinct evolved irrational. But the instinct evolved irrational. But the instinct evolved because groups that tolerate unfairness because groups that tolerate unfairness because groups that tolerate unfairness stop cooperating and fall apart. What stop cooperating and fall apart. What stop cooperating and fall apart. What breaks the society is the compressed breaks the society is the compressed breaks the society is the compressed middle. The people with just enough time middle. The people with just enough time middle. The people with just enough time and money to see the injustice and do and money to see the injustice and do and money to see the injustice and do something about it. And ultimately, it's something about it. And ultimately, it's something about it. And ultimately, it's not the baseline suffering that causes not the baseline suffering that causes not the baseline suffering that causes people to snap on mass anyway. It's people to snap on mass anyway. It's people to snap on mass anyway. It's having inequality, having inequality, having inequality, meat unaffordability, and then be hit meat unaffordability, and then be hit meat unaffordability, and then be hit with a fresh shock when people have with a fresh shock when people have with a fresh shock when people have completely run out of cushion. The bad completely run out of cushion. The bad completely run out of cushion. The bad news for us is that shock is coming news for us is that shock is coming news for us is that shock is coming right now. Welcome to part two. Let the right now. Welcome to part two. Let the right now. Welcome to part two. Let the games begin. The world has a wild games begin. The world has a wild games begin. The world has a wild history of economies getting out of history of economies getting out of history of economies getting out of whack and then getting slapped back into whack and then getting slapped back into whack and then getting slapped back into place. In 1786, American farmers who had place. In 1786, American farmers who had place. In 1786, American farmers who had just fought the Revolutionary War for just fought the Revolutionary War for just fought the Revolutionary War for liberty were facing an unaffordability liberty were facing an unaffordability liberty were facing an unaffordability crisis. Many were losing their farms to crisis. Many were losing their farms to crisis. Many were losing their farms to debt collectors. Daniel Shea's led an debt collectors. Daniel Shea's led an debt collectors. Daniel Shea's led an armed revolt. In 1892, Andrew Carnegie armed revolt. In 1892, Andrew Carnegie armed revolt. In 1892, Andrew Carnegie announced an 18% pay cut at his most announced an 18% pay cut at his most announced an 18% pay cut at his most profitable steel plant. A gunfight profitable steel plant. A gunfight profitable steel plant. A gunfight ensued and 12 people were killed. In ensued and 12 people were killed. In ensued and 12 people were killed. In October of 2019, Chile raised the price October of 2019, Chile raised the price October of 2019, Chile raised the price of a subway ticket by 4 cents. It was of a subway ticket by 4 cents. It was of a subway ticket by 4 cents. It was the straw that broke the camel's back, the straw that broke the camel's back, the straw that broke the camel's back, and 1.2 million people took to the and 1.2 million people took to the and 1.2 million people took to the streets. 30 people died. Billions in streets. 30 people died. Billions in streets. 30 people died. Billions in property damage was done. These kinds of property damage was done. These kinds of property damage was done. These kinds of unaffordability revolts happen unaffordability revolts happen unaffordability revolts happen constantly throughout history all over constantly throughout history all over constantly throughout history all over the world. They are mechanistic as well the world. They are mechanistic as well the world. They are mechanistic as well as emotional. When people can't make as emotional. When people can't make as emotional. When people can't make ends meet, someone will eventually meet ends meet, someone will eventually meet ends meet, someone will eventually meet their end. Now, let's zoom in on the their end. Now, let's zoom in on the their end. Now, let's zoom in on the Shea's rebellion. By 1786, roughly 3 Shea's rebellion. By 1786, roughly 3 Shea's rebellion. By 1786, roughly 3 years after the farmers and trades years after the farmers and trades years after the farmers and trades people who fought in the Revolutionary people who fought in the Revolutionary people who fought in the Revolutionary War returned home, they were losing War returned home, they were losing War returned home, they were losing everything. Not to a foreign enemy, to everything. Not to a foreign enemy, to everything. Not to a foreign enemy, to debt collectors. Massachusetts had debt collectors. Massachusetts had debt collectors. Massachusetts had slapped heavy taxes on its citizens to slapped heavy taxes on its citizens to slapped heavy taxes on its citizens to pay off its own war debts. Sound pay off its own war debts. Sound pay off its own war debts. Sound familiar? Money was scarce. Credit was familiar? Money was scarce. Credit was familiar? Money was scarce. Credit was impossible. Courts were seizing farms impossible. Courts were seizing farms impossible. Courts were seizing farms and throwing men in debtor's prison for and throwing men in debtor's prison for and throwing men in debtor's prison for falling behind. These weren't hooligans falling behind. These weren't hooligans falling behind. These weren't hooligans causing trouble. These were the men who causing trouble. These were the men who causing trouble. These were the men who had fought and bled for the principle had fought and bled for the principle had fought and bled for the principle that no government gets to crush the that no government gets to crush the that no government gets to crush the people who built the country. So Daniel people who built the country. So Daniel people who built the country. So Daniel Sheayes led his infamous armed revolt. Sheayes led his infamous armed revolt. Sheayes led his infamous armed revolt. Ultimately it was put down, but it Ultimately it was put down, but it Ultimately it was put down, but it terrified the founders. Madison wrote terrified the founders. Madison wrote terrified the founders. Madison wrote about it obsessively. Hamilton cited it about it obsessively. Hamilton cited it about it obsessively. Hamilton cited it by name. Both of them pointed to Shea's by name. Both of them pointed to Shea's by name. Both of them pointed to Shea's rebellion as proof that the first rebellion as proof that the first rebellion as proof that the first framework for the American government, framework for the American government, framework for the American government, the Federalist Papers, wasn't strong the Federalist Papers, wasn't strong the Federalist Papers, wasn't strong enough to handle the reality of economic enough to handle the reality of economic enough to handle the reality of economic despair. It couldn't stop the rage. It despair. It couldn't stop the rage. It despair. It couldn't stop the rage. It couldn't channel it anywhere productive. couldn't channel it anywhere productive. couldn't channel it anywhere productive. The revolt was a direct catalyst for the The revolt was a direct catalyst for the The revolt was a direct catalyst for the Constitutional Convention of 1787. Constitutional Convention of 1787. Constitutional Convention of 1787. the very thing that gave birth to our the very thing that gave birth to our the very thing that gave birth to our Constitution, which believe it or not, Constitution, which believe it or not, Constitution, which believe it or not, most people don't know this, it didn't most people don't know this, it didn't most people don't know this, it didn't get written and ratified until 12 years get written and ratified until 12 years get written and ratified until 12 years after the Declaration of Independence after the Declaration of Independence after the Declaration of Independence was signed. The Constitution was was signed. The Constitution was was signed. The Constitution was literally partly America's structural literally partly America's structural literally partly America's structural answer to what happens when the economy answer to what happens when the economy answer to what happens when the economy breaks. A deeper look at what happened breaks. A deeper look at what happened breaks. A deeper look at what happened in Chile proves that this is not a thing in Chile proves that this is not a thing in Chile proves that this is not a thing of the past, nor something unique to of the past, nor something unique to of the past, nor something unique to America. This is an artifact of the America. This is an artifact of the America. This is an artifact of the human mind and the societies that we human mind and the societies that we human mind and the societies that we create. Chile wasn't a failing state. In create. Chile wasn't a failing state. In create. Chile wasn't a failing state. In fact, it was one of the most fact, it was one of the most fact, it was one of the most economically successful countries in economically successful countries in economically successful countries in Latin America. The protesters who took Latin America. The protesters who took Latin America. The protesters who took to the streets due to a 30 peso price to the streets due to a 30 peso price to the streets due to a 30 peso price increase. Again, it's about 4 cents in increase. Again, it's about 4 cents in increase. Again, it's about 4 cents in US dollars, had a phrase that said US dollars, had a phrase that said US dollars, had a phrase that said everything. No son, 30 pesos, son 30 everything. No son, 30 pesos, son 30 everything. No son, 30 pesos, son 30 anos. It's not 30 pesos, it's 30 years. anos. It's not 30 pesos, it's 30 years. anos. It's not 30 pesos, it's 30 years. Meaning this most recent raise is just Meaning this most recent raise is just Meaning this most recent raise is just the straw that broke the camel's back. the straw that broke the camel's back. the straw that broke the camel's back. The middle class had been getting The middle class had been getting The middle class had been getting squeezed for decades and people will squeezed for decades and people will squeezed for decades and people will only put up with so much. The four cents only put up with so much. The four cents only put up with so much. The four cents was just the moment that the last bit of was just the moment that the last bit of was just the moment that the last bit of margin disappeared and people simply margin disappeared and people simply margin disappeared and people simply weren't going to put up with it anymore. weren't going to put up with it anymore. weren't going to put up with it anymore. Now the important thing for all of us in Now the important thing for all of us in Now the important thing for all of us in this moment is to understand that the this moment is to understand that the this moment is to understand that the baseline inequality is now colliding baseline inequality is now colliding baseline inequality is now colliding with a baseline unaffordability crisis. with a baseline unaffordability crisis. with a baseline unaffordability crisis. And the trap is set. It's going to snap And the trap is set. It's going to snap And the trap is set. It's going to snap closed when a fresh shock hits this closed when a fresh shock hits this closed when a fresh shock hits this already taught system. Now, with that in already taught system. Now, with that in already taught system. Now, with that in mind, look at where we are right now. mind, look at where we are right now. mind, look at where we are right now. The bottom 80% of American earners have The bottom 80% of American earners have The bottom 80% of American earners have been getting hammered by inflation for been getting hammered by inflation for been getting hammered by inflation for years. The ends officially no longer years. The ends officially no longer years. The ends officially no longer meet. Personal debt is drowning most meet. Personal debt is drowning most meet. Personal debt is drowning most people and they see no way out. And people and they see no way out. And people and they see no way out. And right at that moment, the United States right at that moment, the United States right at that moment, the United States and Israel launched Operation Epic Fury and Israel launched Operation Epic Fury and Israel launched Operation Epic Fury against Iran. Iran responded by closing against Iran. Iran responded by closing against Iran. Iran responded by closing the straight of Hormuz. The narrow the straight of Hormuz. The narrow the straight of Hormuz. The narrow waterway, which sees roughly 20% of the waterway, which sees roughly 20% of the waterway, which sees roughly 20% of the world's oil supply, passed through it. world's oil supply, passed through it. world's oil supply, passed through it. Oil ended up going from $70 a barrel to Oil ended up going from $70 a barrel to Oil ended up going from $70 a barrel to over 120 at one point. It's all over the over 120 at one point. It's all over the over 120 at one point. It's all over the map all the time. Gas went from under $3 map all the time. Gas went from under $3 map all the time. Gas went from under $3 a gallon to over $4 nationally, over $5 a gallon to over $4 nationally, over $5 a gallon to over $4 nationally, over $5 here in California. The IMF has a here in California. The IMF has a here in California. The IMF has a specific formula for oil created specific formula for oil created specific formula for oil created inflation. Every 10% rise in oil prices inflation. Every 10% rise in oil prices inflation. Every 10% rise in oil prices produces a point4% rise in inflation. produces a point4% rise in inflation. produces a point4% rise in inflation. Oil is up more than 70% since the war Oil is up more than 70% since the war Oil is up more than 70% since the war began. That's 2.4% inflation. Now, in began. That's 2.4% inflation. Now, in began. That's 2.4% inflation. Now, in fairness, the price has gone up and come fairness, the price has gone up and come fairness, the price has gone up and come back down, gone up and come back down back down, gone up and come back down back down, gone up and come back down again. So, who knows where it will be by again. So, who knows where it will be by again. So, who knows where it will be by the time you hear this? But know this, the time you hear this? But know this, the time you hear this? But know this, if inflation doesn't come back down and if inflation doesn't come back down and if inflation doesn't come back down and stay down, there's likely to be a real stay down, there's likely to be a real stay down, there's likely to be a real problem. The US is already in the grips problem. The US is already in the grips problem. The US is already in the grips of an unaffordability crisis. And we of an unaffordability crisis. And we of an unaffordability crisis. And we will not be able to tolerate an increase will not be able to tolerate an increase will not be able to tolerate an increase in prices via inflation. Whether it in prices via inflation. Whether it in prices via inflation. Whether it comes from oil or good old-fashioned comes from oil or good old-fashioned comes from oil or good old-fashioned money printing to cover deficit money printing to cover deficit money printing to cover deficit spending, this will become our version spending, this will become our version spending, this will become our version of Chile's 4 cents. Different country, of Chile's 4 cents. Different country, of Chile's 4 cents. Different country, but it's the same mechanism. but it's the same mechanism. but it's the same mechanism. We'll get back to the show in a second, We'll get back to the show in a second, We'll get back to the show in a second, but first let me brag about someone on but first let me brag about someone on but first let me brag about someone on my team. G, one of our guys here at my team. G, one of our guys here at my team. G, one of our guys here at Impact Theory, just ran his first Impact Theory, just ran his first Impact Theory, just ran his first marathon. Was very impressive. He marathon. Was very impressive. He marathon. Was very impressive. He finished in 3 hours and 31 minutes. G, finished in 3 hours and 31 minutes. G, finished in 3 hours and 31 minutes. G, if you're listening, I am super proud of if you're listening, I am super proud of if you're listening, I am super proud of you, man. And ketone IQ is what fueled you, man. And ketone IQ is what fueled you, man. And ketone IQ is what fueled him through all of his training and the him through all of his training and the him through all of his training and the race itself. Now, think about that. A race itself. Now, think about that. A race itself. Now, think about that. A marathon is 26.2 miles of sustained marathon is 26.2 miles of sustained marathon is 26.2 miles of sustained output. Your brain does a version of output. Your brain does a version of output. Your brain does a version of that every single day. That's where that every single day. That's where that every single day. That's where ketone IQ comes in. It was originally ketone IQ comes in. It was originally ketone IQ comes in. It was originally developed through a $6 million developed through a $6 million developed through a $6 million Department of Defense contract to Department of Defense contract to Department of Defense contract to support elite cognitive performance. support elite cognitive performance. support elite cognitive performance. Ketones deliver clean, stimulant-free Ketones deliver clean, stimulant-free Ketones deliver clean, stimulant-free energy directly to your brain. They energy directly to your brain. They energy directly to your brain. They cross the bloodb brain barrier and fuel cross the bloodb brain barrier and fuel cross the bloodb brain barrier and fuel your neurons at the cellular level. No your neurons at the cellular level. No your neurons at the cellular level. No sugar, no crash, just calm, sustained sugar, no crash, just calm, sustained sugar, no crash, just calm, sustained mental clarity. I take half a shot when mental clarity. I take half a shot when mental clarity. I take half a shot when the afternoon slump hits or I have the afternoon slump hits or I have the afternoon slump hits or I have something important coming up and I need something important coming up and I need something important coming up and I need to power through. And I'm telling you, to power through. And I'm telling you, to power through. And I'm telling you, this stuff works. If you're ready to this stuff works. If you're ready to this stuff works. If you're ready to fuel your brain properly, visit fuel your brain properly, visit fuel your brain properly, visit ketone.com/impact ketone.com/impact ketone.com/impact for 30% off your subscription or visit for 30% off your subscription or visit for 30% off your subscription or visit your local Target to get your first shot your local Target to get your first shot your local Target to get your first shot for free. And now, let's get back to the for free. And now, let's get back to the for free. And now, let's get back to the show. We'll be right back to the show in show. We'll be right back to the show in show. We'll be right back to the show in just a second, but right now, let's talk just a second, but right now, let's talk just a second, but right now, let's talk about the most powerful force in wealth about the most powerful force in wealth about the most powerful force in wealth building, compounding. There is a reason building, compounding. There is a reason building, compounding. There is a reason that people have talked about this that people have talked about this that people have talked about this forever. You put an asset to work, it forever. You put an asset to work, it forever. You put an asset to work, it generates more of itself. Over time, the generates more of itself. Over time, the generates more of itself. Over time, the curve bends way in your favor. Every curve bends way in your favor. Every curve bends way in your favor. Every serious wealth builder knows how serious wealth builder knows how serious wealth builder knows how compounding works. Most gold owners, compounding works. Most gold owners, compounding works. Most gold owners, though, have completely opted out of it. though, have completely opted out of it. though, have completely opted out of it. Monetary Metals changes that equation. Monetary Metals changes that equation. Monetary Metals changes that equation. They've built a way for your gold to They've built a way for your gold to They've built a way for your gold to earn yield paid not in dollars, but in earn yield paid not in dollars, but in earn yield paid not in dollars, but in more physical gold, up to 4% per year, more physical gold, up to 4% per year, more physical gold, up to 4% per year, more ounces stacking every single month, more ounces stacking every single month, more ounces stacking every single month, compounding. and one of the only assets compounding. and one of the only assets compounding. and one of the only assets that can't be printed, inflated, or that can't be printed, inflated, or that can't be printed, inflated, or debased. And storage and insurance are debased. And storage and insurance are debased. And storage and insurance are included, by the way, so hidden fees included, by the way, so hidden fees included, by the way, so hidden fees don't eat your yield. The average person don't eat your yield. The average person don't eat your yield. The average person is passively absorbing inflation. This is passively absorbing inflation. This is passively absorbing inflation. This is how you compound your way out of it. is how you compound your way out of it. is how you compound your way out of it. Click the link in the show notes or Click the link in the show notes or Click the link in the show notes or visit monetary-metals.com/impact to learn more. This is a paid to learn more. This is a paid advertisement. And now, let's get back advertisement. And now, let's get back advertisement. And now, let's get back to the show. to the show. to the show. So, welcome to part three. Balance the So, welcome to part three. Balance the So, welcome to part three. Balance the budget or there will be blood. Every budget or there will be blood. Every budget or there will be blood. Every major period of sustained economic major period of sustained economic major period of sustained economic inequality in recorded history has ended inequality in recorded history has ended inequality in recorded history has ended one of two ways. Structural reform or one of two ways. Structural reform or one of two ways. Structural reform or mass violence. History says that there's mass violence. History says that there's mass violence. History says that there's no third option. The guilded age, no third option. The guilded age, no third option. The guilded age, pre-revolutionary France, Romanov pre-revolutionary France, Romanov pre-revolutionary France, Romanov Russia, Weimar Germany. Every time you Russia, Weimar Germany. Every time you Russia, Weimar Germany. Every time you combine extreme inequality with an combine extreme inequality with an combine extreme inequality with an unaffordability crisis long enough, one unaffordability crisis long enough, one unaffordability crisis long enough, one of those two things happens. the of those two things happens. the of those two things happens. the structure gets fixed or the structure structure gets fixed or the structure structure gets fixed or the structure gets destroyed. This is why the gets destroyed. This is why the gets destroyed. This is why the Democrats will rightly run on a platform Democrats will rightly run on a platform Democrats will rightly run on a platform of affordability during the midterms, of affordability during the midterms, of affordability during the midterms, but watch the policies they put forward. but watch the policies they put forward. but watch the policies they put forward. If they aren't about balancing the If they aren't about balancing the If they aren't about balancing the budget, it will all be for not. Same budget, it will all be for not. Same budget, it will all be for not. Same with the Republicans. Independent voters with the Republicans. Independent voters with the Republicans. Independent voters will swing from one side to the other will swing from one side to the other will swing from one side to the other and back again, hoping one of them is and back again, hoping one of them is and back again, hoping one of them is finally going to fix it. But you can't finally going to fix it. But you can't finally going to fix it. But you can't fix it with words. The budget must be fix it with words. The budget must be fix it with words. The budget must be balanced. The great news is the way out balanced. The great news is the way out balanced. The great news is the way out of our problems is relatively simple. of our problems is relatively simple. of our problems is relatively simple. But if it doesn't begin with a balanced But if it doesn't begin with a balanced But if it doesn't begin with a balanced budget, you can know every word out of budget, you can know every word out of budget, you can know every word out of their mouths after that is completely their mouths after that is completely their mouths after that is completely illogical and is not going to save you. illogical and is not going to save you. illogical and is not going to save you. Even the historical violence didn't Even the historical violence didn't Even the historical violence didn't solve the problem. And that's one of the solve the problem. And that's one of the solve the problem. And that's one of the most important things I want to get most important things I want to get most important things I want to get across today. I understand why someone across today. I understand why someone across today. I understand why someone wants to burn a warehouse. I understand wants to burn a warehouse. I understand wants to burn a warehouse. I understand why people feel violently towards those why people feel violently towards those why people feel violently towards those that they think are holding them back. that they think are holding them back. that they think are holding them back. But the reality of how violence impacts But the reality of how violence impacts But the reality of how violence impacts the actual change is that it simply the actual change is that it simply the actual change is that it simply makes things so painful that everyone makes things so painful that everyone makes things so painful that everyone will finally be willing to accept will finally be willing to accept will finally be willing to accept austerity and balance the budget. But austerity and balance the budget. But austerity and balance the budget. But there's no way around needing to balance there's no way around needing to balance there's no way around needing to balance the budget. And here's the part the the budget. And here's the part the the budget. And here's the part the people cheering on Kamal Abdul Kareem people cheering on Kamal Abdul Kareem people cheering on Kamal Abdul Kareem and Luigi Manion have to contend with. and Luigi Manion have to contend with. and Luigi Manion have to contend with. When the structure gets destroyed, when When the structure gets destroyed, when When the structure gets destroyed, when mass violence is the path that people mass violence is the path that people mass violence is the path that people choose, the people who suffer the most choose, the people who suffer the most choose, the people who suffer the most are never the people at the top. at are never the people at the top. at are never the people at the top. at least not the bulk of them. They have least not the bulk of them. They have least not the bulk of them. They have lawyers, security, insurance, continuity lawyers, security, insurance, continuity lawyers, security, insurance, continuity plans, and extreme mobility. You'll plans, and extreme mobility. You'll plans, and extreme mobility. You'll catch a few of them, but overall, catch a few of them, but overall, catch a few of them, but overall, they're going to be fine. Kimberly they're going to be fine. Kimberly they're going to be fine. Kimberly Clark's supply chain was already routing Clark's supply chain was already routing Clark's supply chain was already routing around the fire as it was still burning, around the fire as it was still burning, around the fire as it was still burning, and ultimately they didn't miss a beat. and ultimately they didn't miss a beat. and ultimately they didn't miss a beat. The people who will suffer from that The people who will suffer from that The people who will suffer from that fire are the people who were already fire are the people who were already fire are the people who were already struggling to make ends meet. namely the struggling to make ends meet. namely the struggling to make ends meet. namely the 20 co-workers of Abdul Karim who lost 20 co-workers of Abdul Karim who lost 20 co-workers of Abdul Karim who lost their job when he burned the place down. their job when he burned the place down. their job when he burned the place down. They had nothing to do with the wage They had nothing to do with the wage They had nothing to do with the wage structure, the inflation rate, or the structure, the inflation rate, or the structure, the inflation rate, or the balance sheet of NFI industries that balance sheet of NFI industries that balance sheet of NFI industries that owned the warehouse. They were just owned the warehouse. They were just owned the warehouse. They were just working a night shift trying to put food working a night shift trying to put food working a night shift trying to put food on the table. The fire does not help on the table. The fire does not help on the table. The fire does not help them at all. Only a balanced federal them at all. Only a balanced federal them at all. Only a balanced federal budget and a strong economy will help. budget and a strong economy will help. budget and a strong economy will help. Now, let me show you something about how Now, let me show you something about how Now, let me show you something about how the anger as solution path actually the anger as solution path actually the anger as solution path actually works. Take one of the most famous works. Take one of the most famous works. Take one of the most famous examples of a violent uprising bringing examples of a violent uprising bringing examples of a violent uprising bringing about change, the French Revolution. The about change, the French Revolution. The about change, the French Revolution. The whole idea of let them eat cake. It was whole idea of let them eat cake. It was whole idea of let them eat cake. It was so out of touch. Kill the morons and let so out of touch. Kill the morons and let so out of touch. Kill the morons and let peace reign, right? That's how people peace reign, right? That's how people peace reign, right? That's how people think about it. But Marie Antuinette think about it. But Marie Antuinette think about it. But Marie Antuinette never actually said the line that never actually said the line that never actually said the line that supposedly justified killing her and the supposedly justified killing her and the supposedly justified killing her and the other aristocrats. The whole let them other aristocrats. The whole let them other aristocrats. The whole let them eat cake thing was written by Jean Jacqu eat cake thing was written by Jean Jacqu eat cake thing was written by Jean Jacqu Rouso in 1765 when Marie Antuinette was Rouso in 1765 when Marie Antuinette was Rouso in 1765 when Marie Antuinette was only 9 years old living in Austria and only 9 years old living in Austria and only 9 years old living in Austria and had never even been to France. Rouso had never even been to France. Rouso had never even been to France. Rouso attributed the line to someone else that attributed the line to someone else that attributed the line to someone else that he called a great princess. It wasn't he called a great princess. It wasn't he called a great princess. It wasn't her. Not one newspaper from the actual her. Not one newspaper from the actual her. Not one newspaper from the actual French Revolution ever cited that quote. French Revolution ever cited that quote. French Revolution ever cited that quote. The people who guillotined her never The people who guillotined her never The people who guillotined her never used it as evidence against her. It used it as evidence against her. It used it as evidence against her. It wasn't attached to her name in print wasn't attached to her name in print wasn't attached to her name in print until 1843, until 1843, until 1843, 50 years after her execution, as people 50 years after her execution, as people 50 years after her execution, as people were trying to whitewash and sanitize were trying to whitewash and sanitize were trying to whitewash and sanitize what had actually happened. And we all what had actually happened. And we all what had actually happened. And we all risk losing the actual lesson of the risk losing the actual lesson of the risk losing the actual lesson of the catastrophe of the French Revolution. catastrophe of the French Revolution. catastrophe of the French Revolution. The French Revolution did not produce The French Revolution did not produce The French Revolution did not produce equality. It produced the reign of equality. It produced the reign of equality. It produced the reign of terror. 17,000 executions. The majority terror. 17,000 executions. The majority terror. 17,000 executions. The majority of them not aristocrats, but instead the of them not aristocrats, but instead the of them not aristocrats, but instead the middle class, lawyers, merchants, middle class, lawyers, merchants, middle class, lawyers, merchants, journalists, farmers, and eventually the journalists, farmers, and eventually the journalists, farmers, and eventually the very revolutionaries themselves. Robes very revolutionaries themselves. Robes very revolutionaries themselves. Robes Pierre, the man who built the guillotine Pierre, the man who built the guillotine Pierre, the man who built the guillotine murder machine, was himself fed into it. murder machine, was himself fed into it. murder machine, was himself fed into it. And into all of that chaos, stepped And into all of that chaos, stepped And into all of that chaos, stepped Napoleon. Not somebody who ushered Napoleon. Not somebody who ushered Napoleon. Not somebody who ushered inequality. Instead, it was somebody who inequality. Instead, it was somebody who inequality. Instead, it was somebody who took all of that revolutionary energy took all of that revolutionary energy took all of that revolutionary energy and pointed it outward and created 20 and pointed it outward and created 20 and pointed it outward and created 20 years of war all across Europe. Three to years of war all across Europe. Three to years of war all across Europe. Three to six million people dead. The six million people dead. The six million people dead. The workingclass men who had stormed the workingclass men who had stormed the workingclass men who had stormed the Bastile dreaming of bread and dignity Bastile dreaming of bread and dignity Bastile dreaming of bread and dignity ended up dying in Russian snowfields. ended up dying in Russian snowfields. ended up dying in Russian snowfields. Again, the rage is justified. It was Again, the rage is justified. It was Again, the rage is justified. It was justified then. It's justified now. justified then. It's justified now. justified then. It's justified now. Reform was necessary then. Reform is Reform was necessary then. Reform is Reform was necessary then. Reform is necessary now. But we've got to get the necessary now. But we've got to get the necessary now. But we've got to get the policy right because when policy is policy right because when policy is policy right because when policy is dictated by blood lust and raw emotion dictated by blood lust and raw emotion dictated by blood lust and raw emotion rather than the physics of money, the rather than the physics of money, the rather than the physics of money, the outcome is guaranteed to be terrible. outcome is guaranteed to be terrible. outcome is guaranteed to be terrible. And there's a knowable reason why. And there's a knowable reason why. And there's a knowable reason why. Because it doesn't address the Because it doesn't address the Because it doesn't address the underlying economic policy decisions underlying economic policy decisions underlying economic policy decisions that caused the problem in the first that caused the problem in the first that caused the problem in the first place. And that brings me to a brutal place. And that brings me to a brutal place. And that brings me to a brutal truth. This moment in history is going truth. This moment in history is going truth. This moment in history is going to be more difficult to unwind than the to be more difficult to unwind than the to be more difficult to unwind than the Gilded Age. to turn the ship around. Gilded Age. to turn the ship around. Gilded Age. to turn the ship around. During the Gilded Age, Teddy Roosevelt, During the Gilded Age, Teddy Roosevelt, During the Gilded Age, Teddy Roosevelt, one of the four people on Mount one of the four people on Mount one of the four people on Mount Rushmore, what he focused on was Rushmore, what he focused on was Rushmore, what he focused on was breaking the monopolies. Always a good breaking the monopolies. Always a good breaking the monopolies. Always a good idea. Labor laws got passed. Absolutely idea. Labor laws got passed. Absolutely idea. Labor laws got passed. Absolutely fantastic. Progressive taxation came in. fantastic. Progressive taxation came in. fantastic. Progressive taxation came in. Wonderful. That was sufficient to change Wonderful. That was sufficient to change Wonderful. That was sufficient to change the underlying math. And it gave birth the underlying math. And it gave birth the underlying math. And it gave birth to the longest sustained run of middle to the longest sustained run of middle to the longest sustained run of middle class wealth growth in American history. class wealth growth in American history. class wealth growth in American history. But the guilded age reformers didn't But the guilded age reformers didn't But the guilded age reformers didn't have to crawl out from under crushing have to crawl out from under crushing have to crawl out from under crushing debt and the devastating effects of debt and the devastating effects of debt and the devastating effects of money printing. When Teddy Roosevelt money printing. When Teddy Roosevelt money printing. When Teddy Roosevelt went after standard oil and US steel, went after standard oil and US steel, went after standard oil and US steel, the government wasn't already running a the government wasn't already running a the government wasn't already running a $2 trillion annual deficit. Wages $2 trillion annual deficit. Wages $2 trillion annual deficit. Wages weren't being eroded every year by the weren't being eroded every year by the weren't being eroded every year by the money printing that those deficits that money printing that those deficits that money printing that those deficits that we now have require. the structural we now have require. the structural we now have require. the structural reforms they put in place had room to reforms they put in place had room to reforms they put in place had room to work because the fiscal foundation work because the fiscal foundation work because the fiscal foundation wasn't actively rotting beneath their wasn't actively rotting beneath their wasn't actively rotting beneath their feet. But our foundation is rotten. feet. But our foundation is rotten. feet. But our foundation is rotten. Right now, the inequality that we're Right now, the inequality that we're Right now, the inequality that we're suffering from is being driven by suffering from is being driven by suffering from is being driven by deficit spending and money printing, not deficit spending and money printing, not deficit spending and money printing, not monopolies and undertaxation of the monopolies and undertaxation of the monopolies and undertaxation of the wealthy. I know that is a very popular wealthy. I know that is a very popular wealthy. I know that is a very popular mantra. The US already spends the same mantra. The US already spends the same mantra. The US already spends the same amount per citizen as Sweden, France, amount per citizen as Sweden, France, amount per citizen as Sweden, France, Germany, and the Netherlands. And we Germany, and the Netherlands. And we Germany, and the Netherlands. And we massively outspend places like Canada massively outspend places like Canada massively outspend places like Canada and the UK. And the countries that spend and the UK. And the countries that spend and the UK. And the countries that spend more than us while still sticking to more than us while still sticking to more than us while still sticking to something closer to a balanced budget do something closer to a balanced budget do something closer to a balanced budget do so by taxing everyone. And they do it so by taxing everyone. And they do it so by taxing everyone. And they do it through taxes like VAT. Now, a lot of through taxes like VAT. Now, a lot of through taxes like VAT. Now, a lot of people don't understand what VAT is, but people don't understand what VAT is, but people don't understand what VAT is, but a VAT is a value added tax, meaning it's a VAT is a value added tax, meaning it's a VAT is a value added tax, meaning it's a consumption tax. Everybody's going to a consumption tax. Everybody's going to a consumption tax. Everybody's going to pay it if they buy something. So, the pay it if they buy something. So, the pay it if they buy something. So, the poorest of the poor are going to be poorest of the poor are going to be poorest of the poor are going to be paying that tax when they buy. And this paying that tax when they buy. And this paying that tax when they buy. And this is why people say consumption taxes hurt is why people say consumption taxes hurt is why people say consumption taxes hurt the poorest the most. So, if you're a the poorest the most. So, if you're a the poorest the most. So, if you're a Trump fan and you support massively Trump fan and you support massively Trump fan and you support massively expanding tariffs and other consumption expanding tariffs and other consumption expanding tariffs and other consumption taxes, then you can at least partially taxes, then you can at least partially taxes, then you can at least partially tax your way out of this hole. that tax your way out of this hole. that tax your way out of this hole. that would alleviate a small part of the would alleviate a small part of the would alleviate a small part of the burden if you didn't increase your burden if you didn't increase your burden if you didn't increase your spending, but you will still usher in spending, but you will still usher in spending, but you will still usher in austerity. You'll just do it via tax austerity. You'll just do it via tax austerity. You'll just do it via tax instead of spending cuts and taxes on instead of spending cuts and taxes on instead of spending cuts and taxes on the people who can least afford the the people who can least afford the the people who can least afford the taxes. Given the level of fiscal taxes. Given the level of fiscal taxes. Given the level of fiscal mismanagement and fraud, you will have mismanagement and fraud, you will have mismanagement and fraud, you will have all of the pain and only a very small all of the pain and only a very small all of the pain and only a very small fraction of the gain if you try to do fraction of the gain if you try to do fraction of the gain if you try to do this via income tax. That's why this via income tax. That's why this via income tax. That's why increased taxation is not the sensible increased taxation is not the sensible increased taxation is not the sensible solution to this problem. You'll have to solution to this problem. You'll have to solution to this problem. You'll have to tax the very people you're trying to tax the very people you're trying to tax the very people you're trying to help. The only way to capture an help. The only way to capture an help. The only way to capture an additional $2 trillion via tax without additional $2 trillion via tax without additional $2 trillion via tax without destroying the economy is to somehow destroying the economy is to somehow destroying the economy is to somehow someway usher in an absolutely someway usher in an absolutely someway usher in an absolutely unprecedented amount of economic growth. unprecedented amount of economic growth. unprecedented amount of economic growth. But given that our GDP right now is But given that our GDP right now is But given that our GDP right now is currently growing at a slower than currently growing at a slower than currently growing at a slower than expected rate, I would absolutely not expected rate, I would absolutely not expected rate, I would absolutely not count on that. The reality is without count on that. The reality is without count on that. The reality is without dramatic change to how we think about dramatic change to how we think about dramatic change to how we think about government spending, inflation will keep government spending, inflation will keep government spending, inflation will keep destroying the middle class. As long as destroying the middle class. As long as destroying the middle class. As long as we run grotesque deficits, everything is we run grotesque deficits, everything is we run grotesque deficits, everything is a band-aid on a severed artery. The a band-aid on a severed artery. The a band-aid on a severed artery. The government is currently collecting a government is currently collecting a government is currently collecting a staggering $5 trillion in tax. That's staggering $5 trillion in tax. That's staggering $5 trillion in tax. That's about twice what China collects and they about twice what China collects and they about twice what China collects and they have four times the population. The US have four times the population. The US have four times the population. The US does not have a tax revenue problem. does not have a tax revenue problem. does not have a tax revenue problem. America has a spending problem. Despite America has a spending problem. Despite America has a spending problem. Despite our insane $5 trillion tax raise, we our insane $5 trillion tax raise, we our insane $5 trillion tax raise, we come up $2 trillion short because of our come up $2 trillion short because of our come up $2 trillion short because of our ridiculous $7 trillion a year budget. ridiculous $7 trillion a year budget. ridiculous $7 trillion a year budget. And that gap has to be funded somehow. And that gap has to be funded somehow. And that gap has to be funded somehow. And the way it gets funded is by using And the way it gets funded is by using And the way it gets funded is by using inflation to steal from everyone who inflation to steal from everyone who inflation to steal from everyone who holds dollars. Again, it hurts the holds dollars. Again, it hurts the holds dollars. Again, it hurts the working and middle class the most. And working and middle class the most. And working and middle class the most. And that means the reform this moment that means the reform this moment that means the reform this moment demands is harder than what the guilded demands is harder than what the guilded demands is harder than what the guilded age required. You have to fix the age required. You have to fix the age required. You have to fix the inequality precisely inequality precisely inequality precisely by fixing the mechanism that keeps by fixing the mechanism that keeps by fixing the mechanism that keeps making affordability worse. If you don't making affordability worse. If you don't making affordability worse. If you don't do that, nothing will solve the do that, nothing will solve the do that, nothing will solve the affordability crisis. You could tax the affordability crisis. You could tax the affordability crisis. You could tax the wealthy at 100%. And even if in some wealthy at 100%. And even if in some wealthy at 100%. And even if in some magical fairyland where that actually magical fairyland where that actually magical fairyland where that actually increase your tax revenue, spoiler increase your tax revenue, spoiler increase your tax revenue, spoiler alert, in the real world it never does. alert, in the real world it never does. alert, in the real world it never does. Look up the laugher curve. But even if Look up the laugher curve. But even if Look up the laugher curve. But even if it did, you would still only buy it did, you would still only buy it did, you would still only buy yourself an extra handful of years yourself an extra handful of years yourself an extra handful of years before you were right back in this before you were right back in this before you were right back in this position. But you would be much, much position. But you would be much, much position. But you would be much, much worse off because you would have worse off because you would have worse off because you would have decimated the economy by destroying the decimated the economy by destroying the decimated the economy by destroying the only machine that has ever created only machine that has ever created only machine that has ever created prosperity, namely the free markets. And prosperity, namely the free markets. And prosperity, namely the free markets. And you have to somehow get people to vote you have to somehow get people to vote you have to somehow get people to vote for austerity at the exact moment that for austerity at the exact moment that for austerity at the exact moment that they're angry enough to burn buildings. they're angry enough to burn buildings. they're angry enough to burn buildings. So, welcome to part four, moving So, welcome to part four, moving So, welcome to part four, moving forward. Well, regardless of lunatic forward. Well, regardless of lunatic forward. Well, regardless of lunatic politicians, the last time America grew politicians, the last time America grew politicians, the last time America grew its way out of a debt crisis of this its way out of a debt crisis of this its way out of a debt crisis of this magnitude was right after World War II. magnitude was right after World War II. magnitude was right after World War II. Americans were happy, optimistic, and Americans were happy, optimistic, and Americans were happy, optimistic, and they were helping much of the world they were helping much of the world they were helping much of the world rebuild. GDP grew at over 4% annually rebuild. GDP grew at over 4% annually rebuild. GDP grew at over 4% annually for nearly three decades. We're for nearly three decades. We're for nearly three decades. We're currently growing at roughly 0.5%. currently growing at roughly 0.5%. currently growing at roughly 0.5%. And for everyone marching in the streets And for everyone marching in the streets And for everyone marching in the streets and campaigning on more tax, you have to and campaigning on more tax, you have to and campaigning on more tax, you have to contend with this reality. For every contend with this reality. For every contend with this reality. For every dollar of new tax revenue collected dollar of new tax revenue collected dollar of new tax revenue collected since 2019, the federal government has since 2019, the federal government has since 2019, the federal government has added $158 added $158 added $158 in new spending. You can't fill a in new spending. You can't fill a in new spending. You can't fill a bathtub with the drain open. Every bathtub with the drain open. Every bathtub with the drain open. Every country except Japan that has spent any country except Japan that has spent any country except Japan that has spent any meaningful time above 130% debt to GDP meaningful time above 130% debt to GDP meaningful time above 130% debt to GDP has ended in internal conflict, has ended in internal conflict, has ended in internal conflict, revolution, or outright economic revolution, or outright economic revolution, or outright economic collapse. The United States is currently collapse. The United States is currently collapse. The United States is currently at roughly 123% and climbing. For those at roughly 123% and climbing. For those at roughly 123% and climbing. For those reasons and more, right now, America is reasons and more, right now, America is reasons and more, right now, America is on a one-way collision course with mass on a one-way collision course with mass on a one-way collision course with mass violence. Now, let's talk about the violence. Now, let's talk about the violence. Now, let's talk about the solution and what's standing in the way solution and what's standing in the way solution and what's standing in the way of it. Then, I'll map out how I'm of it. Then, I'll map out how I'm of it. Then, I'll map out how I'm thinking about positioning myself in thinking about positioning myself in thinking about positioning myself in case the political machine continues its case the political machine continues its case the political machine continues its insane dysfunction. Remember Shea's insane dysfunction. Remember Shea's insane dysfunction. Remember Shea's rebellion? Farmers who fought for rebellion? Farmers who fought for rebellion? Farmers who fought for liberty because they were losing their liberty because they were losing their liberty because they were losing their farms to debt collectors. The founders farms to debt collectors. The founders farms to debt collectors. The founders looked at that rage and didn't just looked at that rage and didn't just looked at that rage and didn't just dismiss it. They asked what structural dismiss it. They asked what structural dismiss it. They asked what structural failure produced it and built the United failure produced it and built the United failure produced it and built the United States Constitution as an answer. States Constitution as an answer. States Constitution as an answer. Remember Homestead workers who bled for Remember Homestead workers who bled for Remember Homestead workers who bled for wages that couldn't cover their bills. wages that couldn't cover their bills. wages that couldn't cover their bills. The violence didn't fix the math. What The violence didn't fix the math. What The violence didn't fix the math. What fixed it was a generation that looked at fixed it was a generation that looked at fixed it was a generation that looked at the carnage and demanded specific the carnage and demanded specific the carnage and demanded specific structural reform. Antitrust law, labor structural reform. Antitrust law, labor structural reform. Antitrust law, labor protections, progressive taxation until protections, progressive taxation until protections, progressive taxation until the math actually changed. Both times the math actually changed. Both times the math actually changed. Both times the people who solved the problem the people who solved the problem the people who solved the problem understood one thing the angry people understood one thing the angry people understood one thing the angry people didn't. The target isn't a group of didn't. The target isn't a group of didn't. The target isn't a group of people. The target is the mechanism, the people. The target is the mechanism, the people. The target is the mechanism, the way that the economy actually works. way that the economy actually works. way that the economy actually works. What specific part of the economy is What specific part of the economy is What specific part of the economy is broken? And then address that. And it's broken? And then address that. And it's broken? And then address that. And it's going to be different every time. If we going to be different every time. If we going to be different every time. If we try to run the anti- monopoly playbook try to run the anti- monopoly playbook try to run the anti- monopoly playbook when monopolies aren't our problem, or when monopolies aren't our problem, or when monopolies aren't our problem, or we try to tax people more when we're we try to tax people more when we're we try to tax people more when we're already nearing the top of the laughter already nearing the top of the laughter already nearing the top of the laughter curve, it's not going to work. The curve, it's not going to work. The curve, it's not going to work. The politicians and central bankers didn't politicians and central bankers didn't politicians and central bankers didn't wave a magic wand and break the economy. wave a magic wand and break the economy. wave a magic wand and break the economy. They enacted specific policies that had They enacted specific policies that had They enacted specific policies that had negative consequences. We have to fix negative consequences. We have to fix negative consequences. We have to fix those policies and change the mechanism those policies and change the mechanism those policies and change the mechanism if we want to solve the problem. Taxing if we want to solve the problem. Taxing if we want to solve the problem. Taxing billionaires more doesn't actually billionaires more doesn't actually billionaires more doesn't actually generate more revenue, at least not generate more revenue, at least not generate more revenue, at least not enough to deal with the problems that we enough to deal with the problems that we enough to deal with the problems that we have. And even if it did, it wouldn't have. And even if it did, it wouldn't have. And even if it did, it wouldn't solve the problem of a chronically solve the problem of a chronically solve the problem of a chronically unbalanced budget. The only thing that unbalanced budget. The only thing that unbalanced budget. The only thing that actually stops the middle class actually stops the middle class actually stops the middle class destruction machine is a balanced budget destruction machine is a balanced budget destruction machine is a balanced budget and a delobalized world. Could do a and a delobalized world. Could do a and a delobalized world. Could do a whole deep dive on that. Now, I know whole deep dive on that. Now, I know whole deep dive on that. Now, I know that sounds like fantasy right now, and that sounds like fantasy right now, and that sounds like fantasy right now, and honestly, politically, it probably is. honestly, politically, it probably is. honestly, politically, it probably is. No one's going to get elected on No one's going to get elected on No one's going to get elected on austerity right now. Certainly not austerity right now. Certainly not austerity right now. Certainly not during a populist moment like this one. during a populist moment like this one. during a populist moment like this one. But crazier things have happened. And I But crazier things have happened. And I But crazier things have happened. And I think we all have to try and make sure think we all have to try and make sure think we all have to try and make sure that this message gets heard. So, as a that this message gets heard. So, as a that this message gets heard. So, as a quick aside from our economics, ask quick aside from our economics, ask quick aside from our economics, ask every candidate in the midterms one every candidate in the midterms one every candidate in the midterms one question, regardless of party. What are question, regardless of party. What are question, regardless of party. What are you going to stop spending money on so you going to stop spending money on so you going to stop spending money on so we can balance the budget? Okay, let's we can balance the budget? Okay, let's we can balance the budget? Okay, let's talk about the go forward plan. First, talk about the go forward plan. First, talk about the go forward plan. First, we need to understand how Trump's we need to understand how Trump's we need to understand how Trump's radical and so far reckless radical and so far reckless radical and so far reckless restructuring of the world order is restructuring of the world order is restructuring of the world order is likely to play out. Trump's dated plan likely to play out. Trump's dated plan likely to play out. Trump's dated plan was growth. Tariffs to bring was growth. Tariffs to bring was growth. Tariffs to bring manufacturing home, deregulation to manufacturing home, deregulation to manufacturing home, deregulation to unleash the private sector, onshoring unleash the private sector, onshoring unleash the private sector, onshoring critical industries to bring investments critical industries to bring investments critical industries to bring investments and jobs. The theory being that if you and jobs. The theory being that if you and jobs. The theory being that if you can generate enough economic growth, you can generate enough economic growth, you can generate enough economic growth, you can outrun the debt math. It's not a can outrun the debt math. It's not a can outrun the debt math. It's not a crazy idea on paper. The problem is the crazy idea on paper. The problem is the crazy idea on paper. The problem is the scale of what's required. Now the debt scale of what's required. Now the debt scale of what's required. Now the debt is soulc crushing. The annual deficit is is soulc crushing. The annual deficit is is soulc crushing. The annual deficit is staggering. The growth rate needed is staggering. The growth rate needed is staggering. The growth rate needed is historically unprecedented. And our historically unprecedented. And our historically unprecedented. And our current trajectory is terrible. We have current trajectory is terrible. We have current trajectory is terrible. We have slower than expected GDP growth, layoffs slower than expected GDP growth, layoffs slower than expected GDP growth, layoffs up dramatically over 2025 and a wildly up dramatically over 2025 and a wildly up dramatically over 2025 and a wildly K-shaped consumer economy running on a K-shaped consumer economy running on a K-shaped consumer economy running on a shrinking cohort of wealthy spenders. shrinking cohort of wealthy spenders. shrinking cohort of wealthy spenders. None of that supports the bet that we're None of that supports the bet that we're None of that supports the bet that we're going to grow our way out of this. So, going to grow our way out of this. So, going to grow our way out of this. So, as I think through how to invest, how to as I think through how to invest, how to as I think through how to invest, how to position myself, I know that I've got to position myself, I know that I've got to position myself, I know that I've got to think through the global chaos that we think through the global chaos that we think through the global chaos that we are going through right now because of are going through right now because of are going through right now because of what's happening in Iran. We are in an what's happening in Iran. We are in an what's happening in Iran. We are in an incredibly precarious situation. So, I incredibly precarious situation. So, I incredibly precarious situation. So, I am trying to build a mental map of what am trying to build a mental map of what am trying to build a mental map of what Trump is doing, what will happen, Trump is doing, what will happen, Trump is doing, what will happen, whether he succeeds or fails, and from whether he succeeds or fails, and from whether he succeeds or fails, and from that I'll be able to think my way that I'll be able to think my way that I'll be able to think my way through the problem. Now, I think through the problem. Now, I think through the problem. Now, I think Trump's original plan went something Trump's original plan went something Trump's original plan went something like this. accept the multipolar world, like this. accept the multipolar world, like this. accept the multipolar world, but do everything we can to stop China but do everything we can to stop China but do everything we can to stop China from taking the number one spot and from taking the number one spot and from taking the number one spot and replacing the dollar as the world's replacing the dollar as the world's replacing the dollar as the world's reserve currency. Exit the world stage reserve currency. Exit the world stage reserve currency. Exit the world stage and focus on building up the greater and focus on building up the greater and focus on building up the greater North America. Kick China out of our North America. Kick China out of our North America. Kick China out of our hemisphere and control as much oil as he hemisphere and control as much oil as he hemisphere and control as much oil as he can. Shore up the petro dollar and can. Shore up the petro dollar and can. Shore up the petro dollar and control more oil by targeting Iran. control more oil by targeting Iran. control more oil by targeting Iran. Strengthen the US economy by betting big Strengthen the US economy by betting big Strengthen the US economy by betting big on AI and crypto. AI is the ultimate on AI and crypto. AI is the ultimate on AI and crypto. AI is the ultimate military weapon and the ultimate military weapon and the ultimate military weapon and the ultimate prosperity generator and whoever wins AI prosperity generator and whoever wins AI prosperity generator and whoever wins AI is going to win everything and crypto is going to win everything and crypto is going to win everything and crypto solidifies the US dollar's dominance by solidifies the US dollar's dominance by solidifies the US dollar's dominance by creating massive global appetite for our creating massive global appetite for our creating massive global appetite for our debt. I think he was also thinking debt. I think he was also thinking debt. I think he was also thinking secure foreign investments in the US AI secure foreign investments in the US AI secure foreign investments in the US AI infrastructure via the GCC nations as infrastructure via the GCC nations as infrastructure via the GCC nations as they have become the global home for they have become the global home for they have become the global home for capital. But as Mike Tyson says, capital. But as Mike Tyson says, capital. But as Mike Tyson says, everybody has a plan until they get everybody has a plan until they get everybody has a plan until they get punched in the face. But even if we face punched in the face. But even if we face punched in the face. But even if we face plant in Ron like it looks like we're plant in Ron like it looks like we're plant in Ron like it looks like we're going to, there's plenty of lemonade to going to, there's plenty of lemonade to going to, there's plenty of lemonade to be made from those lemons. If oil be made from those lemons. If oil be made from those lemons. If oil becomes more expensive because it has to becomes more expensive because it has to becomes more expensive because it has to travel through contested waters, people travel through contested waters, people travel through contested waters, people can start buying oil directly from the can start buying oil directly from the can start buying oil directly from the US. We start to look like a rogue US. We start to look like a rogue US. We start to look like a rogue nation. There's no doubt about that. But nation. There's no doubt about that. But nation. There's no doubt about that. But it will still boost the US economy. it will still boost the US economy. it will still boost the US economy. America is the world's largest oil America is the world's largest oil America is the world's largest oil producer. When 20% of global oil supply producer. When 20% of global oil supply producer. When 20% of global oil supply gets strangled in a choke point that we gets strangled in a choke point that we gets strangled in a choke point that we don't depend on, we will potentially don't depend on, we will potentially don't depend on, we will potentially capture some market share from every capture some market share from every capture some market share from every competitor who does depend on it. Now, I competitor who does depend on it. Now, I competitor who does depend on it. Now, I don't think that was Trump's plan when don't think that was Trump's plan when don't think that was Trump's plan when he started. This was not some brilliant he started. This was not some brilliant he started. This was not some brilliant 40 chess move. And honestly, I think 40 chess move. And honestly, I think 40 chess move. And honestly, I think he's going to keep fighting in the he's going to keep fighting in the he's going to keep fighting in the Middle East long past when he should Middle East long past when he should Middle East long past when he should have ejected out. But even if he does, have ejected out. But even if he does, have ejected out. But even if he does, there's money to be made in both victory there's money to be made in both victory there's money to be made in both victory and failure. The question is, will it be and failure. The question is, will it be and failure. The question is, will it be enough to get us out of our debt? And I enough to get us out of our debt? And I enough to get us out of our debt? And I think the answer is no. Not unless we think the answer is no. Not unless we think the answer is no. Not unless we balance the budget. AI is the only thing balance the budget. AI is the only thing balance the budget. AI is the only thing that might just be enough, but that that might just be enough, but that that might just be enough, but that still feels a little too fairy tale to still feels a little too fairy tale to still feels a little too fairy tale to count on. The growth required to count on. The growth required to count on. The growth required to actually outrun this debt math is so actually outrun this debt math is so actually outrun this debt math is so historically unusual that I would not historically unusual that I would not historically unusual that I would not bet my financial future on it happening. bet my financial future on it happening. bet my financial future on it happening. Which means you need a plan that works Which means you need a plan that works Which means you need a plan that works whether it succeeds or fails. Here's how whether it succeeds or fails. Here's how whether it succeeds or fails. Here's how I'm thinking my way through it. First, I I'm thinking my way through it. First, I I'm thinking my way through it. First, I have to understand what inflation have to understand what inflation have to understand what inflation actually is and stop trying to fight it actually is and stop trying to fight it actually is and stop trying to fight it politically before I protected myself politically before I protected myself politically before I protected myself from it financially. And I highly from it financially. And I highly from it financially. And I highly encourage you to do the same. Second, encourage you to do the same. Second, encourage you to do the same. Second, own assets always and forever. In an own assets always and forever. In an own assets always and forever. In an inflationary environment, you have to inflationary environment, you have to inflationary environment, you have to have assets. And in the current have assets. And in the current have assets. And in the current geopolitical setup, assets don't just geopolitical setup, assets don't just geopolitical setup, assets don't just protect you from inflation. They allow protect you from inflation. They allow protect you from inflation. They allow you to benefit from the GCC funneling you to benefit from the GCC funneling you to benefit from the GCC funneling their sovereign wealth into American AI their sovereign wealth into American AI their sovereign wealth into American AI infrastructure. But do keep your eyes infrastructure. But do keep your eyes infrastructure. But do keep your eyes peeled that if things go poorly for the peeled that if things go poorly for the peeled that if things go poorly for the GCC nations in the Iran conflict and GCC nations in the Iran conflict and GCC nations in the Iran conflict and they're forced to pull their investment they're forced to pull their investment they're forced to pull their investment dollars back, that should influence the dollars back, that should influence the dollars back, that should influence the way that you're thinking about way that you're thinking about way that you're thinking about investing. Third, watch the cost of investing. Third, watch the cost of investing. Third, watch the cost of energy. If oil stays elevated, the energy. If oil stays elevated, the energy. If oil stays elevated, the roughly 2.4% additional inflation is roughly 2.4% additional inflation is roughly 2.4% additional inflation is likely to bring with it an acceleration likely to bring with it an acceleration likely to bring with it an acceleration of anger in the populace. Fourth, make of anger in the populace. Fourth, make of anger in the populace. Fourth, make sure you're emotionally immune from the sure you're emotionally immune from the sure you're emotionally immune from the narrative manipulation that will be used narrative manipulation that will be used narrative manipulation that will be used to rile up both sides of the political to rile up both sides of the political to rile up both sides of the political aisle as we approach the midterms. And aisle as we approach the midterms. And aisle as we approach the midterms. And make sure you watch how those narratives make sure you watch how those narratives make sure you watch how those narratives are affecting others. And fifth, keep are affecting others. And fifth, keep are affecting others. And fifth, keep some cash on hand so that your options some cash on hand so that your options some cash on hand so that your options are open. The only guarantee I can make are open. The only guarantee I can make are open. The only guarantee I can make is that the future is going to be is that the future is going to be is that the future is going to be surprising. Also, markets tend to follow surprising. Also, markets tend to follow surprising. Also, markets tend to follow the path of maximum pain. The things the path of maximum pain. The things the path of maximum pain. The things people already understand are already people already understand are already people already understand are already priced in. The surefire bets that make priced in. The surefire bets that make priced in. The surefire bets that make the headlines will get priced in almost the headlines will get priced in almost the headlines will get priced in almost instantly. The vulnerabilities almost instantly. The vulnerabilities almost instantly. The vulnerabilities almost always come from some unexpected oblique always come from some unexpected oblique always come from some unexpected oblique angle. The people who came out ahead angle. The people who came out ahead angle. The people who came out ahead after the guilded age weren't the ones after the guilded age weren't the ones after the guilded age weren't the ones who predicted the crash specifically. who predicted the crash specifically. who predicted the crash specifically. They were the ones who understood the They were the ones who understood the They were the ones who understood the structural direction of the economy, structural direction of the economy, structural direction of the economy, positioned accordingly, and held through positioned accordingly, and held through positioned accordingly, and held through the inevitable volatility that came with the inevitable volatility that came with the inevitable volatility that came with a system under that much pressure. The a system under that much pressure. The a system under that much pressure. The system that we're in is under enormous system that we're in is under enormous system that we're in is under enormous pressure. that is going to create pressure. that is going to create pressure. that is going to create opportunity and calamity in equal opportunity and calamity in equal opportunity and calamity in equal measure. So be paranoid. Do not assume measure. So be paranoid. Do not assume measure. So be paranoid. Do not assume you're on the right side of any one you're on the right side of any one you're on the right side of any one equation. Brace yourself for unrest, but equation. Brace yourself for unrest, but equation. Brace yourself for unrest, but don't crawl into a bunker. Let me leave don't crawl into a bunker. Let me leave don't crawl into a bunker. Let me leave you with this. Kamal Abdu Karim, the guy you with this. Kamal Abdu Karim, the guy you with this. Kamal Abdu Karim, the guy that burned down the toilet paper that burned down the toilet paper that burned down the toilet paper distribution center, he was right about distribution center, he was right about distribution center, he was right about one thing. People have to make enough one thing. People have to make enough one thing. People have to make enough money to live. And if they don't, they money to live. And if they don't, they money to live. And if they don't, they will burn down the system. He was right will burn down the system. He was right will burn down the system. He was right that the math doesn't work for millions that the math doesn't work for millions that the math doesn't work for millions of Americans. He was right that the of Americans. He was right that the of Americans. He was right that the people at the top of this economy have people at the top of this economy have people at the top of this economy have accumulated an obscene amount of wealth accumulated an obscene amount of wealth accumulated an obscene amount of wealth while the people at the bottom have been while the people at the bottom have been while the people at the bottom have been systematically stripped of any cushion systematically stripped of any cushion systematically stripped of any cushion whatsoever. What he gets wrong is whatsoever. What he gets wrong is whatsoever. What he gets wrong is massive. And it's the mechanism by which massive. And it's the mechanism by which massive. And it's the mechanism by which all of this is happening. The insurance all of this is happening. The insurance all of this is happening. The insurance executive and the warehouse owner, executive and the warehouse owner, executive and the warehouse owner, they're not the machine. They're inside they're not the machine. They're inside they're not the machine. They're inside the machine. The machine is a $2 the machine. The machine is a $2 the machine. The machine is a $2 trillion annual deficit that turns the trillion annual deficit that turns the trillion annual deficit that turns the gap between what you earn and what you gap between what you earn and what you gap between what you earn and what you owe into somebody else's asset owe into somebody else's asset owe into somebody else's asset appreciation. You don't fix that with a appreciation. You don't fix that with a appreciation. You don't fix that with a lighter, though. You can't burn or kill lighter, though. You can't burn or kill lighter, though. You can't burn or kill your way to a solution. You fix it by your way to a solution. You fix it by your way to a solution. You fix it by making it politically impossible for any making it politically impossible for any making it politically impossible for any candidate from any party to get elected candidate from any party to get elected candidate from any party to get elected without a credible plan to balance the without a credible plan to balance the without a credible plan to balance the budget. That's a harder ask than burning budget. That's a harder ask than burning budget. That's a harder ask than burning a building. I get it. It requires a building. I get it. It requires a building. I get it. It requires economic literacy instead of the raw economic literacy instead of the raw economic literacy instead of the raw emotion that is so easy to come by, emotion that is so easy to come by, emotion that is so easy to come by, especially right now. And it requires us especially right now. And it requires us especially right now. And it requires us all to hold the line on the standard all to hold the line on the standard all to hold the line on the standard that we will expect candidates to that we will expect candidates to that we will expect candidates to balance the budget. But it's also the balance the budget. But it's also the balance the budget. But it's also the only ask that has ever actually worked. only ask that has ever actually worked. only ask that has ever actually worked. That's what this moment demands. That's what this moment demands. That's what this moment demands. Economies have physics that can't be Economies have physics that can't be Economies have physics that can't be ignored. That doesn't mean people ignored. That doesn't mean people ignored. That doesn't mean people shouldn't be angry. Right now, they shouldn't be angry. Right now, they shouldn't be angry. Right now, they should be. But it does mean that if they should be. But it does mean that if they should be. But it does mean that if they don't aim their anger at the actual don't aim their anger at the actual don't aim their anger at the actual source of the problem, the rage will source of the problem, the rage will source of the problem, the rage will only bring more suffering, not less. The only bring more suffering, not less. The only bring more suffering, not less. The people who understand the physics of people who understand the physics of people who understand the physics of this moment have an enormous advantage this moment have an enormous advantage this moment have an enormous advantage over the people who don't. Once you over the people who don't. Once you over the people who don't. Once you understand it, you can at least use it understand it, you can at least use it understand it, you can at least use it to protect you and your loved ones. With to protect you and your loved ones. With to protect you and your loved ones. With enough will and focus, anything is enough will and focus, anything is enough will and focus, anything is possible. These problems are hard, but possible. These problems are hard, but possible. These problems are hard, but they certainly aren't new. Every they certainly aren't new. Every they certainly aren't new. Every generation that has faced the collision generation that has faced the collision generation that has faced the collision of inequality and unaffordability has of inequality and unaffordability has of inequality and unaffordability has had a choice between the rational path had a choice between the rational path had a choice between the rational path and the emotional one. Most choose and the emotional one. Most choose and the emotional one. Most choose emotion. But we certainly don't have to. emotion. But we certainly don't have to. emotion. But we certainly don't have to. We can solve this problem. All right. If We can solve this problem. All right. If We can solve this problem. All right. If you guys want to see me explore ideas you guys want to see me explore ideas you guys want to see me explore ideas like this in real time, be sure to hit like this in real time, be sure to hit like this in real time, be sure to hit that subscribe button right now and join that subscribe button right now and join that subscribe button right now and join me Monday, Wednesdays, and Fridays, 7:00 me Monday, Wednesdays, and Fridays, 7:00 me Monday, Wednesdays, and Fridays, 7:00 a.m. Pacific time, where we go live. I a.m. Pacific time, where we go live. I a.m. Pacific time, where we go live. I will see you there. Till next time, my will see you there. Till next time, my will see you there. Till next time, my friends, be legendary. Take care. Peace. friends, be legendary. Take care. Peace. friends, be legendary. Take care. Peace. >> If you like this conversation, check out >> If you like this conversation, check out >> If you like this conversation, check out this episode to learn more. AI has this episode to learn more. AI has this episode to learn more. AI has already changed the world in a way that already changed the world in a way that already changed the world in a way that most people simply do not understand most people simply do not understand most people simply do not understand yet. Last month, the chair of the yet. Last month, the chair of the yet. Last month, the chair of the Federal Reserve walked up to a podium Federal Reserve walked up to a podium Federal Reserve walked up to a podium and admitted what most people could and admitted what most people could and admitted what most people could already