I don't know when this video is going to Air but there there's rumor going around That the jobs numbers the BLS numbers Are going to be downwardly revised by Somewhere from 600,000 to a million on Wednesday this week I don't know if That's going to play out or not all hell Is about to break loose with Unemployment as consumers are Desperately looking for part-time jobs Just to afford to live now this is an Absolute catastrophe for our economy as Our economy needs roughly 70% well or rather 70% of GDP is from Consumer spending 70% of consumers Living paycheck to paycheck so we got a Lot going on with the labor market I Have our Channel friend and colleague Jack with nobody special Finance with us Today here to help us break this down Now before I give him the mic make sure You stop by his YouTube channel nobody Special Finance give him a like give him A comment let him know that we sent you This is a great guy again I consider him A friend and don't forget you guys Monday through Friday Jack does live in The morning at Jack 900 am Eastern there You go nailed 8 AM Central took me a long time to get that Right brains cross-wired man how you Doing brother I'm doing great Travis Thanks for having me on again yeah Course of course man so I'm going to get
Uh started right away for the viewers The first thing I want to do is I want To talk about why unemployment is such a Big deal and how essentially Jack you Know it's Unstoppable for a period of Time once it starts and and really how The FED is reactionary and really can't Stop it now take a look at this when you Ask the question what impact Unemployment has on the economy this is What comes up General economic impact of High unemployment I thought this was a Decent breakdown Jack increased Unemployment has considerable adverse Effects on the economy primarily Reducing consumer spending which is a Critical component of economic growth so Employment is obviously very important With more individuals out of work there Is a decline in disposable income Leading to lower demand for goods and Services further exacerbating the Economic downturns now this last part Right here specific economic costs high Unemployment incurs several economic Costs including lost output as a labor Force diminishes decrease consumer Expenditure due to reduced incomes Diminish tax revenues from fewer Individuals paying taxes and increased This is crazy to think about but Increased government spending on social Welfare programs Jack um before we even Go into
The more government printing and we'll Talk about you know reactionary we'll Talk about all that type of stuff but Can you tell the viewers and I and I Really respect your opinion your Insights here why is Unemployment such an issue uh for the Economy and obviously not when it's Going down right and 3% like it's been But that trajectory upward why is is That so damaging to the economy Sir so that article that you were just Referencing touched on it very briefly There and it mentioned the slowdown in Consumer spending and that's going to be Your biggest immediate impact from a Rise in unemployment the United States In particular we are a very Consumer-driven economy the statistic is Somewhere around 70% of our gross Domestic product comes from consumption And so higher unemployment you can't Consume if you don't have a paycheck Right it makes it harder to buy food it Makes it harder to go on vacation harder To go out to the movies eat at Restaurants anything and it's important To point out that after the last few Years of inflation which has Dramatically outpaced wage gains we're Already at a point where consumption is Struggling here right the average Consumer he's got no discretionary Income left he's spending his the
Entirety of his paycheck the average Middle- class person is going to either Rent or mortgage and then food and Utilities and there's very little left Over and I saw statistic today that Shows searches for things like flights Cruises and hotels are in Decline just The number of people that are Googling Hotel rooms and cruises and flights is Down dramatically so you can already see How just the rise in unemployment that We've had so far combined with the Increase in inflation people aren't Taking vacations this year it's hurting Travel and so that consumption is Already slowing if you add increased Unemployment on top of that it's going To really accelerate that decline in Consumption so that's the biggest hit Right there is consumption being 70% of The economy that's your most direct Output right there you know it's Interesting Jack because we don't have To guess anymore we actually we have Data by the way that's probably fraud Manipulated data but we have that data That's now suggesting that there Actually are problems and I want to Direct uh you you know your attention And the viewers attention to this this Came out August 19th and I want to read This because again this is an insight to Consumers and you know like you hit the Nail on the head consumers are getting
Strapped right now you can't really pay Attention to these mainstream narratives And the fact is is if you've been Listening to us you've been buckling Down and you're probably a lot more you Know what's the word I'm looking for Hedged Jack is that the word I'm looking For there uh maybe prepared hedged um You know anticipating trouble on the Horizon I think most people can see that Coming now this is from the Federal Reserve Bank of New York here's the Headline right here scce labor market Survey shows sharp increase in job Seekers with current job Satisfaction Deteriorates okay now right here it says The proportion of individuals who Reported searching for a job in the past Four weeks Rose to 28.4% what from 19.4% year-over-year so July 2023 19.4 That goes up sharply again the people's In the past this is crazy to me I'm Going to read this again the proportion Of individual reported searching for a Job in the past four weeks was 28.4% of people my gosh Jack and that's The highest reading since March of 2014 Also look at this average reservation Wage is going down when we compare March To July Jack when you look at things like That when you look at the consumer
Sentiment in in these things you know What do you think we can see there what Can we learn from that data So you know job Seekers on the rise from 19.4% to 28.4% that's by the way that's a 46% Increase from where we were a year ago Um that's pretty that's a pretty Substantial increase so the number of Job Seekers Rising that is the demand For jobs Rising right the the demand is On the rise so labor like anything else Is beholding to supply and demand the Supply of labor is Growing we've got people coming into the Country right we millions of people are Coming in the demand for labor is Actually slowing somewhat or at the very Least it's stagnant so supply and demand Are somewhat out of bance balance you've Got more people looking for jobs than There are jobs available and so what Happens when there's more people Competing for the same job people start To accept they're willing to accept a Lower price the the price comes down and Supply and demand works that way and you Could see that on that page that you Were showing just a minute ago what did They call it reservation wage the the The price that these job Seekers there It is in red and blue um in March of This year it was 81822 the average reservation wage
That's the average wage a person is Willing to accept to either change jobs Or take a job being offered that is down $700 from where we were just a few Months ago so the when it comes to labor It's a buyer's market the price is Dropping because there's more job Seekers than there are jobs available so We're seeing in these numbers here the Reduced tightness in the labor market as Jerome Powell likes to tell us during His Federal Reserve press conferences It's just not that strong a job market Anymore so you know it it's pretty Alarming to see that reservation wage Coming down when we're still in a pretty Inflationary environment right inflation Still 2.9% according to the most recent CPI and when it comes to wages and cost Of living for the last several years Cost of living has far far outpaced wage Growth and so to see that reservation Wage coming down now that's pretty Alarming that means people are getting More desperate than I think is being Advertised in the financial press well Let's look at the household survey and Double check those numbers the most Recent household survey which by the way You introduced this to the channel big Shout out to you I don't know if people Realize that absolutely love your work Man but I wanted to bring your attention First to the top here what says job
Losers and persons who completed Temporary jobs now month over month we Had essentially 314,000 people that completed temporary Jobs which means it wasn't really you Know it wasn't a real job or lost their Job right that's the other thing that Either they they got laid off fired or It was their temp work and they just Their contract ran out and I'm I'm Willing to bet most of that is probably People who lost their job not temps Finishing work and when we look at the Year-over-year comparison I mean it's It's not even comparable I mean before That was two I mean look at right here 2.7 uh now 3.4 but I also want to come Down here Jack where it says part-time For economic reasons so this not is not Necessarily you know second job but Part-time job for economic Reasons substantial uh month-over-month Increase going from 4.22 million to 4.56 million which means in one month 346,000 People look for a part-time job for Economic reasons and not only that it's It's very interesting when you look down Here it's say part-time jobs for Non-economic reasons that's actually Down see this 305,000 so in my eyes you Know this has proed positive that the Labor market is getting destroyed right Now and literally any day now the whole
Thing could blow over with a small gust Of wind I mean honestly when we take out The government deficit and the Government spend and all the things that Are propping this up and the fraud and All that it's already going to come Crashing down but unfortunately we have To equate stimulus we have to equate you Know these types of things and so when When you look at that when you look at The state when you're looking at under The hood I Mean can you explain Jack how when the FED does print because they probably Will that's more of a reaction to Already skyrocketing unemployment in Other words Do you think the FED can stop these Trends from happening outside of some Type of universal income no the FED is Notoriously late to the party every time Right they they wait too long to stop Printing they wait too long to start Raising rates they wait too long to stop Raising rates they wait too long to Start cutting rates but they're always Looking in the rearview mirror and and Making decisions about where they're Going to go next based on what's already Behind them so the FED is notoriously Late to the party and there is a growing Consensus right now that the FED has Waited too long to cut interest rates Now I don't necessarily buy into that
Logic because I don't really think the FED waited too long to cut you could Argue that they hyped too long I mean When Banks started failing last March The FED continued raising interest rates When it was high interest rates that Were causing the banks to fail um so you Know I'm more of the camp that they they Waited too long to stop printing the Money or maybe they never should have Printed to begin with but that's water Under the bridge then they they wait too Long to start cutting and so we're Already seeing unemployment start to Rise here and within those statistics And you hinted at it a little bit there With the household survey those Part-time numbers I think are masking a Much bigger weakness in the labor market Because those people who working Part-time for economic reasons can't get Full-time work so they're a barista at Starbucks in of a middle manager at some Button pushing Factory or you know a Widget assembly line uh that person from The unemployment rate perspective looks The same somebody working parttime at Starbucks looks the same as the President of the factory it's a person With a job but when it comes down to What's the take-home pay look like what Is the economic activity generated from That job what is that person out in the Economy spending apples and oranges so
We've seen a big jump in part-time work In this these last year and a half two Years or so and it's been masking a big Decline in full-time work and we've also Seen a lot of people getting second and Third jobs again it makes job creation Numbers look better oh look at all the Jobs that were added but you know hey Maybe 30,000 of that 100,000 jobs that Were added is people getting second jobs Because their job that used to pay the Bills no longer does that's not a sign Of prosperity now there's a little bit Of a positive spin to that at least that Person who wants a second job can find One or at least that was the case last Year I don't think that's going to be The case for much longer though yeah and Can I ask you jack do you think that a Large reason why we're in this situation Again just taking outside the fact of The Decades of Fraud and Corruption too much stimulus right Because the FED is reactionary uh we had Too much stimulus in other words those Low interest rates were designed to keep Us out of depression I mean with amount Of money my God right recession is what They told us but uh the reality is is They may be keeping us out of the 2008 Depression I mean do you think that you Know they just kicked the do you think We still have a price to pay for the 2008 recession um and I asked that
Because if that if you do think that Then we are potentially in store for Double digigit unemployment do you Disagree with that no I think 10% on Unemployment is feasible here I I think We could very easily see that number um Once unemployment starts Rising it tends To accelerate to the upside we're Already seeing that that that 0.2% Increase that we got two weeks ago on Friday I think it was three weeks ago Now um when we went from 4.1 to 4.3 Unexpectedly that caught a lot of people Off guard once that unemployment rate Starts ticking up it accelerates to the Upside um now you mentioned stimulus Before it's important to point out that Stimulus Imus isn't just the helicopter Money that we got in 2020 and 2021 Stimulus is also unrealistically low Interest rates and when you mentioned we Still have the price to pay for 2008 if You look at what interest rates did Following the GFC interest rates went Down to zero and they stayed there until When was the first rate hike at the end Of 2015 there was one rate hike and then They waited like another year before They started hiking again eight years of Of like zero% Now when interest rates are that low You've got companies that don't make Money that should be going out of Business because this is bad investment
This is money being invested in cash Burning operations companies that should Not exist they're able to go to the bond Market at near zero interest and borrow Money to stay alive and so unemployment That should have hit years ago years ago These companies should have gone Belly Up in 2010 11 12 13 14 15 16 all the way Up to this year these companies that Should gone bankrupt a long time ago Have stayed Alive by just taking on Bigger and bigger piles of debt and Every time that debt comes due interest Rates are even lower now so yeah we can Refinance that debt make the debt pile Even bigger The Debt Service cost goes Down we can keep this cash burning Business alive even longer and that Worked right up until 2022 when interest Rates started to rise and when interest Rates started to rise now that pain as That debt matures these companies need To refund finance that debt they can't Because they're refinancing into higher Interest rates and The Debt Service cost Is not sustainable because these Companies don't make any money so they Go out of business and so we've got Arguably a decade and a half maybe even Two decades worth of companies that Should have failed for whatever reason Businesses fail all the time but these Artificially low interest rates created By the FED kept those businesses alive
And much the same way those low interest Rates made the collective payment the Commercial real estate market that we're Experiencing now it made that worse Because a lot of these buildings should Have defaulted on their debt years ago a Lot of these multifamilies and malls my God why are malls still running I was at A mall today my I took my daughter to a A cooking school at at this place that's Running in a mall right now there was Nobody there nobody the music was Playing all the lights are on and Everything but there's just nobody there Shopping I was one of like maybe 10 People and this is a giant mall in King Of Prussia Pennsylvania like Peak Consumer retail space but it's still There because of those low interest Rates because as these malls continue Losing money they just borrow more at Lower rates to stay alive and well now Rates are higher and I think we're Probably entering a long-term period of Consistently higher interest rates even Though we're talking about cutting Pretty soon I think interest rates for The next 40 years could be heading Higher these companies are all going to Fail and it's pain that we should have Already fell High interest rates are a sign of a Thriving economy um or uh if you look at The 70s and 80s a sign of horrible
Inflation uh battle but you know Jack Let's be realistic here I mean we know What's been going on I mean you even Enhanced it when you were talking about The 70s and how that wage Gap really Exploded you know we what we see here Beyond a shadow of Doubt especially Teaming up with you and other colleagues You know this has been very clear we see A something called can Economics it's social type socialism Type of Economics where the government Comes to save the day and then there's Other type of Economics called Austrian Economics where it says if you do that If the government comes in manipulates Currency there's just eventually going To be a bigger price to pay but some Also say Jack that a little bit of Government intervention is necessary and That could have potentially prevented Long and deep Depressions do you think that there is a Balance between Keynesian and Austrian Economics or do you think that there is Absolutely no place for any type of you Know government intervention I do think There's a balance between Keynesian and Austrian economics Keynesian economics Needs to go and Austrian economics needs To be in charge I think that's the Balance that we need need to find uh Look Austrian economics the the main Principle behind Austrian economics is
That there's a natural boom and bust Cycle to economic growth you get periods Of credit expansion that leads to Economic boom but as that credit expands You tend to get bad investment because Money is plentiful bad investment leads To malinvestment leads to waste Businesses start to contract and then You get the credit bust and some of Those businesses fail they need to be Allowed to fail and then eventually that Bust creates hard times that business Conditions you know leaner businesses Survive they come out of it healthier And then eventually we Swip we change Back to the Boom And Austrian economics pretty closely Resembles how things work in nature Right like whenever you've got a species That begins to thrive say say the deer Are doing really well all right the deer Start to thrive they're having more Babies now you've got more deer but the Deer start to exhaust the food supply They've grown too much and now the deer Are starting to get less healthy and They start to get this wasting disease Or things that happen they're emaciated And now the Predators are moving back in Because there's so many of the deer and They're weaker because they're Malnourished and then the deer start to Die off Nature has this natural boom Bust cycle and look our economy like we
Like to think we're not part of nature Anymore like we exist outside of nature But we don't we're animals and we're Dependent on resources that are scarce And limited and so our economics is the Same way it's managed the same way Nature manages economics with this Natural boom bus cycle the austrians Recognize that they don't try to Interfere it they try to adapt to it the Keynesians think the government can come In and make that Obsolete and every time The bust starts we can just print money Pump it into the economy and then that Decline never happens and well what do You think happens if we don't let the Predators come in and you know eat the Struggling deer or we don't anything to Control the population of the deer and We just let them continue to expand out Of control they're going to get weaker And slower and eventually they're going To go extinct because the ecosystem Hasn't been managed so yeah the balance Is the balance between keynesianism in Austrian economics is get rid of Keynesian and let the austrians have a Turn that's the balance I mean and if And if we were built on kind of an Austrian economics like the US was and And these people are you would you know That they know these things right they Know that it's natural boom bust is Natural Jack why are they not allowing
Us to bust because what it seems like is Is right when we need that bust where That relief would actually transition Eventually eventually to the cons Consumers I I would think eventually Right it's just seems like they bail out The financing institutions that debt is Thrown on us and our children from from My grandparents I Mean why don't they just let it bust Jack I don't you know why why not just Get this over with it's natural bust Doesn't uh perform so well in focus Groups bust doesn't pull so well in Election season bust doesn't go over so Well with a populace that on average I Think has the mentality of a spoiled Child right you know try to explain the Boom bus cycle to a kid on a sugar high And try to explain to that kid on the Sugar high it's time to take away the Sugar because you're turning into a Little a-hole right now and you're Bouncing off the walls and you're Breaking my stuff and making a mess no More sugar for you that kid's gonna Throw a tantrum and hey go guess what That's how politics in the United States Operates and that's why the keynesians Come in right as the austrians take away The sugar here comes the keyy in and Says oh you can have more sugar here you Go that bad man wants to take away your Sugar you shouldn't pay any attention to
That bad man that's that's why kyan's Rule right Now I mean so they've got the co they Got the they have Main Street addicted At least that's what they tell us but You know what I think Jack I don't think That's true I think they've got people Brainwashed I think Main Street like we Just want like you point out all the Time we want to be left alone but Certainly people are struggling and for The viewers I want you guys to remember Something called U6 okay so U6 is Something called underemployment you Could still get a job and back when I Lost everything I couldn't even get a Job so Jack's right at least you can get A part-time job second job still very Hard out there not saying it's not but It's so the Dynamics are still different Right and so take a look at this U6 okay Again underemployment now right now this Is very interesting uh because it's Relatively High when we look at the last Uh great financial Crisis okay the GFC we're at 88.2% so 88.2% minimum guys minimum 8.2% And Jack will correct me if I'm wrong Americans feel like they're under Underemployed I don't know why it's not 100% quite frankly but whatever you know What's very interesting is again the Month before the recession November of 2007 the unemployment underemployment
Was 8.1 and guys come on don't you think They're going to revise the 8.2 they're Going to revise this higher they're Probably going to revise this higher so What I'm saying is is we have a worse Underemployment problem than we did Going into the great financial crisis And then just real quick here's the you Know vanilla u3 this is called the u3 This is the normal under I'm sorry Unemployment rate okay historically 4.3 Is low uh but what's really important to Understand is number one this data is Fraud and you can't lean on it but Regardless it's what we have and the Other thing is is that when the Trajectory goes up we go into recession You see it here in this recession you See it here in this recession here in This recession this recession this Recession this recession this recession And all of these recessions and now you See it right here we're just waiting on Recession you can see look at all the Prior spikes in unemployment you can see That once it starts to turn upward it's Very quickly it just goes vertical right Every time now it stops at different Levels but every time it starts to turn Upward very briefly afterward it shoots Higher so you know looking at this it's Pretty clear that we've started to turn Upward where we're at right now and that That vertical is any time any day now
We're going to start going vertical and I you know they're they're going to try To blame whatever politician whoever Wins the election or whoever was Prior Or whatever there's going to be all this Finger pointing I I think it's happening No matter what happens in in the next Election uh could you bring the chart up Again for a second it's there's another Important visual I want to point out When I talked about that pain def heard From the GFC and how those years of low Interest rates look at that Spike at Covid and look at where we're at right Now if you take away the whole vid just Get rid of it like right like we're Gonna Photoshop this this puppy take out The spike in the immediate aftermath Look at how that curve it's almost like Co co never happened because this higher Unemployment it's not so much a function Of the stimulus and everything that we Just had in 2021 and 22 which in my Opinion make the eventual Fallout worse But I do think this rise in unemployment Is long overdue we should have seen it In the teens and we didn't see it yet But you can kind of tell if you cut out Covid there I mean that that chart lines Up perfectly doesn't it it either way But also what lines up perfectly is you Know operation twist and the whole Quantitative easing that happened in 2012 and the low of interest rates I
Mean look at that's what it took not Only to have uh homes reverse the Negative equity if you look at homes Reversing Nega negative equity it took That Bell out in 2012 that was unnatural That's what I'm saying dude that the Housing markets of foundation of cars That's not this video but look it it Also dropped Unemployment it made it it put more Liquidity in the market dropped Unemployment and you're right man even With the trillions of dollars Jack we we Should be thriving brother we should be Doing well it's trending freaking upward So maybe that is you know our our past The of our fathers man you know isn't That so so you know look interest rates Travis interest rates is the price of Money all right and and supply and Demand the laws of Economics are no Different than the laws of physics they Don't care about your feelings they Don't care about your idealistic view of A perfect world they just are right Gravity just pulls down towards the Largest mass right that's that's just How it is and when we block free market Signals the price of money interest Rates Should be dependent by the supply of Money and the demand for money and when We have a Federal Reserve comes in and They artificially lower the price of
Money they make money more plentiful Than it should be you're interfering With the natural order of things in the Economy and you create problems just Like the explosion of the deer Population back to that metaphor you Can't mess with an ecosystem and expect There not to be unintended consequences And those unintended consequences are The higher employment that's coming here And I think it's going to go a lot Higher than it otherwise would have if They had just left everything alone just Let the ship write itself after the GFC Maybe the short-term pain in 2009 and 10 Would have been a lot worse but we'd be A hell of a lot better off now than we Are having said that how long do you Think that we'll even need to stay in Recession Jack for to get some type of Bust that is enough Buster we don't have To keep going through this crazy natural I mean as you say natural cycle I mean Is there a way to put a stop to This Ferocious Cycle you know you're talking a lot of Variables there right I mean for all we Know World War II is next week um so It's hard to plan what the economic Cycle and the boom bus cycle is going to Do if you might have you know this Thousand-Year geopolitical bloodbath on The horizon um you've you've also got Things like derivatives and you know
Gross exposure at Banks I there's so Much going on that we can't even see in The banking system that it's hard to Really even Define the size and scope of The problem to be able to say how bad It's going to be coming out of that or You know maybe we even go through Another two or three iterations of this Easy money and lowering interest rates To try to avoid that before it ever does Come to a head I mean for all we know we Could be sitting here in 2027 having the Same conversation after two or three More rounds of stimulus do you think That there's a a capacity to do that Jack capacity well let me explain a Capacity to do it while at the same time Defaults don't explode you know to Heaven through the scows into the next Galactic Universe because defaults are Just that trajectory and now no one can Pay for Nothing so yes there is Capacity um it can happen but the Intervention would have to be bigger and Bigger it would take Stimulus that would be that would even Make covid stimulus look small right the Stimulus made the GFC stimulus look Small the co stimulus was that big and The GFC stimulus made the dotc stimulus Look small so with each cycle it gets Bigger and bigger and bigger so you know Let's we kind of had this out on DNN
Over the weekend too like what if they Come out with 20 trillion of stimulus Next time let's not put it past them We're talking about price controls right Now and I mean we have a presidential Candidate talking about rigging prices At the grocery store as if that hasn't Been an abject catastrophe anywhere and Everywhere it's ever been attempted Let's not rule out a 20 trillion do Stimulus package if if if president Kacan camela comes out of this with a Majority in Congress and the house That's what you're G to get so I Wouldn't rule it out it's the 2020s it Can happen it would make things worse in The long run but it's it is plausible Well let let me ask you this okay if if We know that the problem again that We're facing right now was caused by Excessive Stimulus then why would the solution Be stimulus how they spit in this Jack Just again just drug addicts here's your Drugs yeah why would a heroin addict Take a bigger fix right he's not Thinking long term he can't think longm He's being overpowered that's the Problem PE you know there's not there There there is some good people uh and Then there's innocent victims that that Are struggling but but there's Overwhelming amount of people that They're just they're not doing anything
Jack they're not getting up they're They're not changing um what's the Solution here brother for the individual American solution for the you know it What could you tell somebody in 1928 That would have prepared somebody for The Great Depression I I I I think about This all the time because you know I I've got a family and I've got kids and I want to prepare them for the worst Possible outcome I mean at some point You have to re realize some of this Stuff just isn't within your own control I keep some of my wealth outside of the Financial system I like to own a little Bit of physical gold and silver I own a Little bit of Bitcoin so if we go the Route of widespread bank failures and Everybody's wealth gets wiped out I've Still got a little bit there um at the Same time if we do get a deflationary Bust like we got in 1929 things like Gold and silver actually go down in Value in that scenario because dollars Are scarce um so it it's really hard to Plan for something because there's a Fork in the road when that when that day Comes we're going to go one of two Directions we're either going to let it Happen and the world will correct in a Very deflationary way asset prices will Go down including houses stocks Everything will go down substantially Interest rates will Skyrocket and it
Will be a very a period of extreme Austerity globally um I think that's Probably the best outcome for the future And it's also probably the least likely Outcome just given the state of our Leadership so the more plausible Scenario is the Bazooka and the fire Hose of stimulus comes back because People have short-term memory loss when Times get tough when they lose their Jobs no everybody's going to forget Transitory everybody's going to forget How the stimulus drove up the cost of Living when the politicians offer the Helicopter money they're goingon to say Yes please may I have some more so do You do you think the next you know Collapse Like official right I already Feel the collapse myself but do you Think that the next collapse Jack is Going to be A segue into a new Currency no no I don't um at least right Now I mean when you say a new currency You're talking about like a replacement For the dollar as the global Reserve yes And whether it's from the US or not so Say fine the US comes up with the Cbdc just just a different Currency you know versus the dollar Obviously the system broke it's it's Rampant with fraud it's unrepairable the Math doesn't work you got decades on Decades of fraud so we need to we need a
New system I do think thec is they'll They'll try it um I hope people resist It with all available with every ounce Of their strength and and being because The CBD is a tyrant's wet dream a Central bank digital currency and They're already pushing for this in a Lot of places programmable money you can Create demand out of thin air right you Can with programmable money with a cbdc You can go and say five % of everybody's Net worth is now only allowed to be Spent on cars and watch how the car Industry explodes watch how the price of Cars goes significantly higher because Everybody in the world is out there they Can only spend that money on cars and You could also see things like rationing You know we're already talking about Freaking price controls at grocery Stores right price controls at grocery Stores lead to shortages every time Every single time well if you've got a Cbdc then you can come and say you know What I'm programming this money Jack's Wallet is only allowed to buy one dozen Eggs a month and now I can control the Demand for eggs with my proog Programmable money so I can prevent the Shortages I can prevent the price from Rising I can block those free market Signals by just shutting off Jack's Ability to buy eggs when I determine Arbitrarily that he's had enough and so
That's another I mean we're talking like 1984 and again it's the 2020s let's not Do I need to put this on right now do I Need to do I need to break out let's not Put it past them in the 2020s all right Travis it it could happen sorry I'm Merchandising on your channel brother I'm gonna be honest man I got my tin Foil suit you ain't even ready for my Tinf foil suit neither is the world but Can continue please you're gonna look Like a big poptart yeah um so outside of Dystopia and overreach creating a new Currency there's nothing else in the World that's anywhere near in a position To be able to supplant the dollar as a Global reserve the only thing that comes Close and a lot of people laugh when I Say this is Bitcoin Bitcoin is the only Thing that comes close and even Bitcoin Is still a long long way away from being A global Reserve currency but it is Gaining steam it's legal tender in some Countries now more and more central Banks are holding it on their books so It's it could be Bitcoin I but that Would require the powerful the ruling Elites in the west to voluntarily give Up their power without a war which they Typically don't do so again that's Pretty far-fetched and that's why I Think probably not we won't get a new Currency anytime soon next two decades Probably not no Bitcoin will be M I
Think within two two decades Bitcoin Will be much more widely adopted but Still a long ways off from replacing the Dollar for global trade and Bricks won't Do it bricks they I hear about bricks All the time a lot of people think Bricks are gonna do it the bricks Countries can't agree on what time it is What to have for dinner let alone a new Reserve currency so I mean and and they Don't trust each other right I mean no One's going to trust anyone obviously That but but but what it does show Jack Is that they are tired of the dollar uh Being a weapon of mass destruction I Mean the US is bullying other countries Around but the worst thing is and the Point of this video is it's also Bullying around their citizens and the Way the spending is going the all the Budget the dog and pony show in Congress The Senate I mean it's just it sucks man And so I just want to encourage people Another solution is to strengthen your Community love the people in your life Your relationships remember what life is About you know people that you love and Enhancing and just all of those things Guys now I want to also add don't give Up things are hard right now it's okay To temporarily lose your purchasing Power temporarily lose your savings but Again you guys don't give up uh because It's a lot easier to rebound as long as
You don't give up now again go to Jack's Channel nobody special Finance on YouTube I'm gonna get you guys out of Here Jack you want to give uh any last Words I think where we're at right now Is very similar to the 1970s And in the 1970s there was three Distinct waves of inflation and they got Worse with each level and right the Inflation of the 1970s it didn't go up And stay up for the decade and then it Came down with Paul vuler it came way up Way down then it went up even higher and Came way down and then it went up even Higher It Came In Waves we're just Coming out of the first wave right now And our government is still acting like Printing money and spending more money Is how you solve the the problems which Means inflation will come back I do Think we're probably heading to Deflation or at least lower inflation in The in the ultra short term you know Like what we had Monday morning August 5th when stocks were just crashing and You know uh period of of significant Volatility that was a very deflationary Event we could have something like that Happen but the government's response is Always to open up the fire hose and pump Money into the system so I think before We get out of this decade we're going to See higher infl again possibly two more Times so be prepared in the next six
Five and a half years potentially two More rounds honestly Jack I'll I'll make You I don't think that's fair because I'll make the argument we are we're Potentially in our second round right Now potentially I mean who who we can What what data are we using I mean if You want to go by just the Consumer Price Index understanding that's a Flawed measure of inflation yeah are we Gonna use the the fraud data or the more Fraud data I mean what are we gonna use For data it's it sucks I mean it's Really hard to understand what's going On when the data is constantly being Changed and the data is being computed By backing into information backing into Numbers and and down be revised later on Yeah and they don't talk about that they Did the celebration then the revising Downward behind our backs and they just Continue on and hope no one asks any Questions but we ask questions here I Don't know when this video is gonna air But there there's rumor going around That the jobs numbers the BLS numbers Are going to be downwardly revised by Somewhere from 600,000 to a million on Wednesday this week I don't know if That's going to play out or not it would Not surprise me though and it's just Going to be funny to watch him squirm And try to explain that away when a Million jobs that were created just
Suddenly poof oh just kidding they never Happened I'm gonna try to get this video Out by Wednesday morning and just in Case I do you guys good morning happy Wednesday you guys have a great week and Don't forget again can stop by Jax let Him know I sent you and if you're out There investing in real estate you guys Already know so we wish you luck and we Hope you win
