On this Flashback Friday episode, Jason Hartman interviews a host of “The Oracle with Max Keiser” and author of the Keiser Report Max Keiser. They share their thoughts on the length of time that world governments can put off the inevitable collapse of fiat money. Jason and Max also talk about the debt ceiling, debt loads, and currency collapse. Max also discusses the countries that are losing their sovereignty and the edging toward a global tax.
Announcer 0:00
This show is produced by the Hartman media company. For more information and links to all our great podcasts, visit Hartman media.com.
Jason Hartman 0:10
Hey, this is Jason Hartman, thank you so much for joining me. Do you know what day it is? Yes, it is flashback Friday, or you hear the best of the creating wealth show and you hear some good prior episodes, some good review. Remember, we’ve got almost 500 episodes out. And you know what? iTunes doesn’t even hold them all if you’re an iTunes listener, if you are listening on Stitcher thank you for joining us. So we want to bring you some good review stuff now. What’s interesting about flashback Friday it’s a little scary for me I gotta I gotta be very very candid with you on that. Because you the listener, you get the chance to hold my feet to the fire. Did I make any predictions? Was I right? Was I wrong? I’ve been I’ve been right about a lot of things, but I’ve been wrong about a few. But it’s flashback Friday and we will give you the uncensored Best of the creating wealth show with a prior episode. So let’s dive in. Here we go. Remember, this is not current, it’s flashback Friday.
Announcer 1:20
Welcome to the creating wealth show with Jason Hartman. You’re about to learn a new slant on investing some exciting techniques and fresh new approaches to the world’s most historically proven asset class that will enable you to create more wealth and freedom than you ever thought possible. Jason is a genuine self made multi millionaire who’s actually been there and done it. He’s a successful investor, lender, developer and entrepreneur who’s owned properties in 11 states had hundreds of tenants and been involved in thousands of real estate transactions. This program will help you follow in Jason’s footsteps on the road to your financial industry. In day, you really can do it on Now, here’s your host, Jason Hartman with the complete solution for real estate investors.
Jason Hartman 2:09
Welcome to the creating wealth show. This is your host Jason Hartman and this is episode number 289. And you know what that means 290 is next and that will be a 10th show and on 10th shows we go off topic and talk about something of general life interest and for show number 290. We will have Sonia Arison, who is the author of 100 Plus we’re going to talk about the search for the fountain of youth and longevity and how we’re all living longer and longer. And you know, I think that has huge impacts on our investment choices, very positive ones, actually. And I think that’s another thing that bodes well for owning income property. But the downside of living so long is that we will, we will outlive our money. And so we had better be planning for ourselves and, and be doing all the right things to make sure that we can stay solvent through a new nice, long, happy, successful and prosperous life. So that’ll be show number 290. But today on number 289, we have max Kaiser, and Max was actually recommended as a guest by one of the couples on our Atlanta property tour a couple of months ago. So again, thank you for that recommendation. And we will be here with Max Keiser is our guest today in just a few moments. And then on number 291, we have the ever so interesting G. Edward Griffin back on the show. This is his second appearance on the creating wealth show. And of course, you all know him. He is the author of the seminal work on the Federal Reserve and monetary policy entitled The creature from Jekyll Island. So that will be show number 291. And we’ve got a whole bunch of great guests coming up after that, and you’ll just have to stay tuned to hear about the rest of them. But we’re going to talk about the landlord Chronicles on future shows. We’re going to talk about economics with Logan, who is a very interesting economics buff and mortgage representative and just wow a whole bunch of great shows in the camp. already recorded a lot of great callers we have to get to as well. So we’ll be back with those on future episodes. And for those of you who are attending, meet the Masters event our meet the Masters totally sold out. I would highly recommend that you book your hotel if you haven’t done it yet. I think the vast majority of you have, but again, we’ve got over 100 people attending and we don’t have 100 rooms booked in our room block. And I know some of you are coming as couples and of course doubling up and you don’t need two rooms. But I just want to make that one reminder to you that if you don’t have your hotel room booked at the Hyatt Regency Irvine, be sure to do that. And be sure to get in on our room block just mentioned Jason Hartman and the meet the Masters event and you should be good to go for our discounted prices on the room block. And as I recall that price is $119 per night at the Hyatt Regency Irvine. So we’ll look forward to seeing you there and if you cannot attend, be sure to get a copy of our meet the Masters homes Study Course, at Jason hartman.com in this in the product section, and that, again is a sort of Best of meet the Masters where we’ve got 22 different speakers, more than we have for any live masters event. And I think you’ll really, really like that it’s a great course 500 pages of PDF download, which has all the slides from all the presenters. And by the way, this is stuff you don’t get when you actually attend the live event. So be sure to check that out at Jason Hartman comm under the Products section and take advantage of that. So we will be back with Max Kaiser here in just a moment.
It’s my pleasure to welcome max Kaiser to the show. He’s coming to us today from London, England. And he is a very astute commentator on the various situations going on in the global economy nowadays, and was actually recommended by a client of ours so it’s a pleasure to have him on max welcome. How are you?
Max Keiser 5:58
Hey, Jason. Great to
Jason Hartman 6:00
Yeah, well, likewise, it’s good to have you. So what is going on in the world nowadays? Maybe I’ll just start with a very broad general question. And then I want to talk to you more specifically, about on your last episode, how you talk about the how the bankers go around pillaging country to country. I thought that was a very interesting, and I hadn’t heard it expressed that way before. But what’s your take on things nowadays? It’s a crazy world.
Max Keiser 6:22
Well, it’s the continuation now what we’ve been seeing for the last 10 years.
Jason Hartman 6:28
Remember, you’re listening to flashback Friday. Our new episodes are published every Monday and Wednesday.
Max Keiser 6:37
And you got to look at really in the context of post World War Two and post going off the gold standard 1971. You know, governments have been increasing debts. The central banks have been printing lots of money. And the return on all of this has been demand has been a case of diminishing returns. So 10 years ago, 15 years ago, forever. dollar of debt or stimulus you created, you might get $1 or $2 in GDP growth now 2007 2008 when this peaked, it would require 789 dollars to be created to get the same dollar of GDP growth. So the situation became saturated with debt. And now it’s collapsing. It’s been collapsing for five years. And you can see there’s a great chart that was posted on the web by a couple of different sites that tracks the price of gold versus the expansion of the debt ceiling. And over the past 10 years, as the debt ceiling has gone up, over 16 trillion now, price of gold is tracking that quite nicely heading back up to 1800. And of course, the debt ceiling and the debt loads are going to continue to go up sharply. And so to the price of gold. So for 10 years, we’ve been saying, really gold and silver are the only shelter in the storm. And that’s worked out pretty well.
Jason Hartman 7:55
Right, right. And you know what’s interesting, it’s like, you know, a drug addict and You know in the beginning it doesn’t take much to for the drug addict to get their fix but after a while they become so tolerant to it maybe that’s really the same thing that’s happened to these economies around the world with more fiat money creation. It just takes more and more and more to get the same high or the same you know, result of stimulus, doesn’t it?
Max Keiser 8:22
Yeah, But sir, that’s a perfect analogy and, and it’s diminishing returns and now we have nations that are facing outright currency collapse. So in Iran, you have a currency collapse hyperinflation. You have gold making all time new highs against the Euro, the Swiss franc, other currencies, the Indian rupee. soon it’ll be making new all time highs against the dollar and the pound. So currency currency is the paper currencies are now in serious trouble. They’re all in retreat, and the response is to either expand both the kingdom In artificial demand programs and the money printing, so they’re trying to do both at record amounts in either one is working, there’s still the GDP is still contracting. So none of those are working. None of those tools are working and currency collapse hyperinflation is now baked into the cake.
Jason Hartman 9:18
Yeah, I and I agree with you. The only real question though, Max is, when it comes to the United States, it really seems like it is different because for the time being, we’ve got the reserve currency, we’ve got the big military to bully the rest of the world around to play our game to make the make China and Japan and other countries buy our debt and, and force countries to trade in the dollar and keep it as the reserve currency. There’s a lot of mutiny against this for sure. But the question really becomes how For how long? Can they just keep putting off the inevitable? Maybe they can put off the inevitable for five years? 10 years? 50 years? I don’t know. I mean, who knows? This has never happened before.
Max Keiser 9:59
Yeah, I agree with you that The US and the UK are probably going to be the last to to collapse the US as the world reserve currency status. The UK is the global epicenter for global bank fraud. So AIG went through London, Lehman Brothers, the London whale from P, Morgan, Bernie Madoff, all these things go through London, so they have a tremendous franchise and global bank fraud, and that’s going to insulate them to some degree. I think, as now Spain is going under and losing its sovereignty and Italy is now on the radar as being a country that’s set to collapse and it will lose its sovereignty as well. We know what’s happening in the euro zone. But the really the the big wildcard in the next 12 to 24 months is probably going to be Japan, Japan, world’s number two biggest economy set to go through a currency collapse and implode like a Greece. They’ve got absolutely horrible economic conditions there. And I think that will be really the set the stage for this global currency collapse then Yeah, it’s true you might have dollars and you might have a British pounds, but the turbulence and the volatility is going to be so outrageous at that point that people are not going to be making that relative judgment anymore with any degree of you know, a surety, you’re going to see some very powerful social unrest I believe,
Jason Hartman 11:21
and we’re Where do you think that social unrest will be? Or will it just be widespread? Will it be everywhere?
Max Keiser 11:26
Well, I call this the global insurrection against banker occupation. I love it. I love and as a matter of fact, I’ve minted up some one ounce silver rounds that have that printed on it. It says global insurrection against banker occupation on one side, and then we this is a new silver round that’s 100% made from recycled silver. So it’s trying to mop up the kind of the recycled silver that’s out there.
Jason Hartman 11:49
What’s interesting about that max By the way, I love the sort of dark humor in that by the way, but what’s interesting about it is it reminds me of I think it was post civil war in the US. They had these coins and I got forgive me I just don’t remember the name but where people were so angry that they they minted their own coins and they were like these complaint or protest coins maybe you know what that was but
Max Keiser 12:13
I just thought I mean I you know I have a few if you’re if you’re a reader of Friedrich Hayek of course you know his he called for people to create their own currencies and the currency should compete and what’s happening now you’ve got in the UK several towns are creating their own currency principally in Bristol has its own currency Bristol pound which is you can pay your taxes in it. It’s what they printed in Bristol, it’s good in Bristol, it’s becoming a major currency. People are of course I’ve got the the silver Kaiser which is recycle the silver round you’ve also got Bitcoin, which is a coin that’s on the web back by otology. It’s a cryptocurrency which is competing with all these other currencies. So this is really the response people have to the collapse in the in the fiat money. That’s put forward by these various central banks and the central bank simply can’t control the system anymore. They, they, they just have no control. So the people are taking matters into their own hands. Now in terms of Europe, what he’s taught, spoke at the top of the show the collapse of these various European countries, if you look at it, you’ll notice that it happened in the order of their vulnerability in size. So first, you had, you know, putting Iceland aside for a second, because that’s kind of a special case. But on the continental Europe, first, you know, Ireland, which had a GDP of $400 billion, it’s almost, you know, not even as roughly the size of Exxon Corporation at that time. I mean, that was a, that was a country in Greece, also with a three to 150 to $400 billion market cap, you could call or GDP. These countries effectively have been exposed to a leveraged buyout. So you have all these hedge funds. JOHN Paulson was in Athens with Lloyd Blankfein from Goldman Sachs with poppin Dre Oh, the head of Greece and they were talking about the collapse of Greece. They made billions On the collapse of Greece, they use the profits from the collapse of Greece to then go after these other countries like Portugal. Now, Spain, they’re building this war chest to go after these huge countries, they collapse the countries the countries lose their sovereignty, they they give their way their cyber sovereignty to like the IMF. And the Troika was called the Troika, IMF, eu ECB, the European Central Bank, and they’re making out like bandits, a Germany’s quite happy, they’re running everything out of Frankfurt. So they’re getting a play on all this. So they’re managing the the federalization of Europe, they’re quite happy with what’s happening and everyone else is losing their sovereignty. France is now really starting to get nervous or under attack. But I think, you know, Spain is definitely gonna lose its sovereignty and then Italy and of course, Italy has 2400 tons of gold. It’s got one of the top five biggest gold positions in the world. And just like Greece had to give away their 111 ounces of gold away to the IMF. They’ve lost it now. It’s time to tons. I believe you meant to say
Jason Hartman 15:01
Just a reminder, you’re listening to flashback Friday. Our new episodes are published every Monday and every Wednesday.
Max Keiser 15:10
Yeah, sounds I’m sorry, 100 times, they’ve had to give that away. Now as part of the deal that they signed with, with the IMF, you needs to be so
Jason Hartman 15:19
sure. Ya know, it’s really scary to see that these countries are basically being held hostage by the banksters. But when you say lose their sovereignty, I mean, be more specific about what you mean. To whom are they losing their sovereignty? Are they just being in debt?
Max Keiser 15:32
When you say in other words in Greece, they, they the Troika, they came in, they signed off what’s called the memorandum. The Troika being IMF, ECB and EU. And Palma draya, the former leader of the country, what went to the public and said we’re going to have a referendum on whether or not we agree to the latest terms from the Troika. The strikers canceled the referendum, and said, I’m sorry, you’re the leader of the country. You’re we don’t allow you to To have that referendum. So that’s a country that’s lost its sovereignty is being managed from outside of the country. That’s what it means when you lose your sovereignty you have in Ireland, Anglo Irish bank ran up GDP, the debt of 10 times country’s GDP. They went bust. The country took that trillion euro debt, and they gave it to the citizens to have. And when it came time to pay nangal Irish debt of a billion euros, it’s an unsecured debt. But the government which is in place now working with Anglo Irish creditors, have forced the public to pay this unsecured debt, no referendum, no vote, no talk about it. So well, it’s not even a secured debt. It’s completely unsecured debt. That’s a they say themselves, they know if anyone in Ireland, they say we no longer have economic sovereignty, which to me is the same thing as having not having sovereignty at all. So those two have lost their sovereignty. Spain will soon lose its sovereignty. They’ll perish. In a technocrat, they’ll get rid of the current administration current leadership, they’ll answer to the to eat to Brussels ECB, these other institutions from other from from a centralized federalized Europe. So they they no longer have their self determination, they no longer run their countries run from outside. That’s what it means. That’s what’s happening.
Jason Hartman 17:18
Yeah. Unbelievable. It really is unbelievable. Max, it sort of begs the question, as to, you know, is this a conspiratorial thing? I mean, is this just some private companies? Well, they’re not private. They’re public many times. But are they just bankers? In other words and business people who are just looking to exploit situations? Or is there some sort of a concerted effort here? I mean, it almost seems methodical and systematic the way they’re going about this.
Max Keiser 17:46
Well, I’ve worked in Wall Street for many years, and I can tell exactly what’s going on the the bondholders of these banks, and these sovereign bondholders, they’re not getting paid. So what they’re doing is they’re rolling up their bonds. into new issues, they’re re securitizing and they’re using new lending facilities that are European wide to pull up the bad debt to re securitize to expand to extend the maturity and to put a new coupon rate on these new bonds. So it’s just a roll up. The fact that the people are losing their sovereignty, it’s never it’s never a consideration. None of that the bankers who who are who are managing this paper these offerings would ever take that on board as a consideration. They don’t factor in those types of things in their in their calculations, but there’s no growth to support paying off the coupons on these bonds. So in response, there’s these it’s just basically a roll up now when when you grow as a whole when they when they are incapable of paying the debt on the new the new trash of debt that’s being issued to replace the current trash. Then we’re going to see something very interesting. We’re going to start to see some talks. With UK central bank, European Central Bank, American central bank about creating a new global central bank. And they already talked about that at Davos a couple years ago, they they said we needed lending facility of $100 trillion to create a new global central bank to all up all this bad debt.
Jason Hartman 19:16
Again, we believe that is so scary to me. Let me take a brief pause. We’ll be back in just a minute.
Announcer 19:23
Have you listened to the creating wealth series? I mean from the beginning? If not, you can go ahead and get booked one that shows one through 20 in digital download, these are advanced strategies for wealth creation. For more information go to Jason hartman.com.
Jason Hartman 19:44
I mean, Max, are we looking at a future of a global fiat currency if you ask me that’s checkmate. If you Institute if they Institute I should say, a global central bank, a global fiat currency and legal tender laws that apply everywhere on the planet to where someone can be arrested for trading in another currency, even if it’s gold or silver, for example, that’s just a inflationary checkmate, isn’t it? they can, they can debase and rob the population of the planet anytime they want by just debasing the currency.
Max Keiser 20:19
Well, don’t don’t forget that, you know, in 1913, when the Federal Reserve Bank came around in the US was also the beginning of income tax in America. Yeah, so to pay for this global to pay for this global Reserve Bank, we’re gonna have a new global tax. So you’re gonna pay in America, state, local, federal, and global tax. And we already saw something last week that heralds this globalization. We saw the this suggestion by World Health Organization for a global tax on cigarettes, administered by a global organization, the World Health Organization. So now this is the first time that we’re saying a global institution. So you know, that’s answers, only two itself not to any of the countries around the world is gonna instituted a tax on everyone around the world. Okay, they’ll say Oh, it’s for cigarettes and cigarettes are bad. It’s just as you’re having have to take care of your health. But this sets a dangerous precedent because after that will become the global carbon tax and then after that will come the global income tax to pay for the new global central bank which was created to absorb all the bad debts from Europe, which just went bankrupt again for the 20th time in the last two years. And by the way, the US is also bankrupt. We need to roll up all that debt in this new debt. Same thing for Japan Same thing for Britain. So you know, but all these things are happening in real time I don’t see this not I mean, it’s not a it’s not a theory. I mean, it’s not a theory. Oh, this might happen. I mean, this is happening. What am I missing here? Gold and Silver hitting new all time highs are telling us staring us in the face the truth what what what do we mean? I don’t I don’t see any any, any disconnect here. This is what’s going on right now.
Jason Hartman 21:57
Right? Right. But and you’re absolutely right. I mean, this is not some far out crazy theory it is really happening in real time. And then it also begs the question Max, will there be a global confiscation of metals of gold and silver? I mean, FDR did it, would it? Would it be a turning your gold? You can’t own it? You can have some jewelry maybe, but you can’t have bullion? I mean, I mean, is that in the wings? Because gold and silver are the competition for the banksters they’re the competition for the central banks. They don’t want people to collect it. They don’t want people to use it in trade. It is it is their nemesis.
Max Keiser 22:34
Well, I think you’re right that this is not now we’re talking I mean, now let’s have a serious conversation. Gold is their Nemesis gold is going to we’re going to go back to some kind of gold standard at some point it’ll have to be valued upwards, north of $10,000 an ounce if it’s going to try to make a dent into this global one quadrillion derivatives, you know, mass, so they’re gonna want everyone wants it. You Good, they’re gonna want our goal, they’re gonna want to confiscate our gold, the US has already done it. So as a strategy, you know, you have to think strategically. Number one, you wouldn’t want gold held and more than one territory more than one country, you would want to hold gold. It also gold and silver are not the same, really at all. Silver is an industrial metal. And it’s used also not only monetary, metal, but it’s also used in solar applications, industrial applications, there’s 700 million ounces of silver mined a year, and more than what half of that goes into industrial use. The other half goes into people buying it for monetary reasons. So to confiscate silver, that means you’d have to shut down the electronics industry, you’d have to shut down Apple, you have to shut down Google you have to shut down Facebook, you have to shut down the internet, you have to shut down television. In other words, you can’t really confiscate silver because right
Jason Hartman 23:51
I agree but they could save from private citizens who don’t have an industrial use for it. They passed a law in the US in a couple of different states, I believe now because people were stealing air conditioners so often for the commodity value of the copper, and they’re also stealing catalytic converters from cars. So they could say, you know, I mean, look, governments can do anything they want. That’s the scary part, right? They can do whatever they want, ultimately, and now they’ve made this this law against trading, you have to have like an industrial license. If you want. Copper, you know,
Max Keiser 24:28
you’re in the United States, right, then you’re in the US. Okay, so if the government is confiscating silver, would that qualify as tyranny?
Jason Hartman 24:40
Yes, absolutely. Okay. If that
Max Keiser 24:42
qualifies as tyranny, then I would point your direction to the Second Amendment. Yes, which was created solely for the purpose of defending oneself against tyranny
Jason Hartman 24:52
good memory.
Max Keiser 24:53
It’s not there they have a you know, hi conceal and carry go to your local Wendy’s to terrorise some hamburger flipper. It’s there for a very specific reason. You know, and if you’ve got tight tyrants in running the show, then you have a constitutional obligation to do something about it. Okay, that’s the answer. I mean, it’s right there in black and white again, what am I missing? It’s right there. You can’t miss it or a lesson. Can you read English?
Jason Hartman 25:23
Max? You’re not telling me anything I disagree with I couldn’t agree more. I just hope it never comes to that. Of course,
Max Keiser 25:28
it’s gonna come to that Thomas Jefferson said the water and liberty. Well, I’m gonna paraphrase here. But he said he thought that the Liberty needed to be reinvented every 50 years. You know, it’s been over 200 years. We’re overdue.
Jason Hartman 25:42
Yeah. Well, yeah, we are overdue. We’re living on borrowed time, aren’t we? Well, very interesting stuff. Max. give out your website. If you would tell people where they can listen to your show and learn more.
Max Keiser 25:51
Just follow me on Twitter. Everything goes through Twitter now. Okay. Twitter, Twitter’s slash max Kaiser. All right, follow me on Twitter and you will you will be set free from the drudgery of your existence.
Jason Hartman 26:07
Awesome. Any any closing thoughts, Max, I know you don’t have much time and I appreciate the time you’ve spent with us. Any any final thoughts? No.
Max Keiser 26:17
No. Final thoughts, Jason.
Max Keiser 26:20
Your show must be a good show. So that’s all I can say. Equally, your audience are very gonna be very happy. They’re like, Oh, Jason, Jason, Jason harmons. a smart man. He’s a wise man.
Jason Hartman 26:30
He has Max Keiser on his show. And and Max Kaiser is to Yeah, we’ve got several of our clients following you. So hey, Max, thanks for joining us and keep getting the word out. Like you’re you’re doing a great thing for people. So appreciate it. Thanks. Bye.
Announcer 26:43
Jason provides an extremely unique service deal evaluator. Are you interested in a property outside of our network? Need a second opinion? No problem. Let our experts evaluate the deal. Find out more about it at Jason hartman.com The price is only $50. This show is produced by the Hartman media company All rights reserved for distribution or publication rights and media interviews, please visit www dot Hartman media.com or email media at Hartman media.com. Nothing on this show should be considered specific personal or professional advice. Please consult an appropriate tax legal real estate or business professional for individualized advice. opinions of guests are their own and the host is acting on behalf of Platinum properties, investor network, Inc. exclusively.
