The One Thing: 10/28

" Hello America. I have to tell you, -- we've talked about a lot of spooky things on this program and I'm hoping a lot of these things are wrong but I think we need to think out of the box. -- -- We're in an age of the unthinkable. Yesterday I asked you the question does it matter. Does it matter any of that stuff that I talk about does it matter if it's true or not? Does it matter that these people are Marxists? Does it matter that the guy who is rebuilding our automotive industry has no expereince in the automotive business? He is 31 year old Brian Deese. He slept in his car in a GM parking lot, thats about it. Does it matter that the manufacturing czar has said that the free market is non sense and he's not alone in his love of redistributing wealth. -- -- -- -- --"

" We get the joke. We know that the free market is nonsense. In Venezuelo, with Chavez, a really incredible revolution- a democratic revolution."

" --"

" And I think when you spread the wealth around, its good for everybody. Give them the wealth! Give them the wealth! --"

" Mao Tse Tung and Mother Teresa, the two people that I turned to most. Okay. Does that matter? We have Marxist and radicals serving in the administration and advising the President of the United States. Does it matter? Well, yes it does if if, you believe that what makes America, America is not the government. But government, the individual the builders, the doers. Not the collective, but the individuals. The dreamers dreamers and the inventors. The inventors that brought us moving pictures, it was in this country. How about the assembly line? The lightbulb, the elevator, the, dare I say it, the Chia Pet. Ch Ch Ch Chia. Those are the individuals that made us great. Now maybe we can leave off the Chia Pet people, but that's a different story. That's being stifled. Now the government is gonna tell you what that Chia Pet better look like that like. How it create it, and what with it, after it created. They created it. They are gonna control your everything. All your financing, control your education. They're have you build beautiful like that. They're gonna -- control health health, control what you watch health, on television, control everything now because television, they own a lot of the banks. And many more of the many companies. now not only does the inventor have to invent the things things, not the people want want, things, not what that says want, its looking -- also They'll sure that you They'll go cant on your own and try to create something better if they don't like it it it, total and complete it; America. control."

" Now. I've told you on this program before about Cloward and Piven. It is a 1960's strategy."

" That actually taught people the best way to stop the republic, the best way to stop America, the best way to subvert the constitution and replace it with Communism, Marxism, Socialism, whatever, is to financially collapse it. Not to fight in the streets but financially fight. Well, just a year ago I will tell you that this stuff sounded absolutely crazy it's still sound sounds... there are times at night I lay in bed and I'm like this cannot be true, how can this be true. Well it is, these people, these people are now the ruling class. We've worried about the debt, you and I I, weve worried about it for years. worried about it under George Bush, it wasn't sustainable. That was one of the big things about George W. Bush, Hello? Stop spending money. But tonight I not only want to show I you how the debt is but I also want to show it to you becuase I think if you're armed with information, look, you're neither stupid nor are you panicky. You just need somebody to tell you the truth and to tell you what to do about it. Well, I can't tell you what to do about it esactly, but I can tell you the truth. -- At least the truth as I understand it. And then if you have that truth truth, you have truth, that information, a crisis information, comes not going to accept their answer because you'll understand what the problem is is. You accept. accept the solution accept I think coming. And what is coming is a system that doesn't really look a lot like America as you know it because this system is unsustainable for the way the people in Washington have built it. It Washington is a that is going to financially collapse at some point a system point. A point. A a lot that looks just happened in Iceland. In Iceland could just Iceland, they has released this released has this of attention, attention, all three forced McDonald's close in Iceland now. That may Iceland. Now, that Now, that emergency -- like a National again to does but then but then the reason flu. And down the McDonald's in Iceland is the currency. It's called krona. It has been the Krona. It has been devalued McDonald's the point where no franchise owners where even import afford to the meat -- the -- for the meat or the chesse to run a McDonald's. Just four years ago Iceland -- said booming, -- at it and said this is a great economy, this is great country. It was growing at 5% and boasting the first Icelander to makes the Forbes wealthiest list. Well, in October of last year, a year ago, Iceland stocks dropped 77% in a single day. They went from being in a position workers from Poland. To -- 10% Poland, to"

" Like that. Massive debt, coupled with currency and banking crisis has caused Iceland's once thriving economy to hit the skids. Now they're GDP is around twenty billion and their foreign debt alone was 120 billion, 6 times their GDP. Would you like a hot apple-pie with that debt Reykjavik? If that was just their biggest problem to find their next BigMac, it wouldn't be so bad. If it was just about our next Mac BigMac wouldn't be our biggest problem. Our GDP now, what we make as a country is fifteen trillion dollars. Our actual debt as you've seen many times on this show, show it here is 105 trillion. this is This national debt that the but debt. Is debt Thai 105"

" our GDP. Now I wanna make this clear. Ours, the actual debt, what happened in Iceland is their foreign debt, apples and oranges I understand that. But did you just -- see the number that I just showed you. It said eleven trillion didn't it say eleven trillion? That's the games we play. Our government is playing accounting games right now. Do you realize we have four separate accounting books. Yeah, you try that with the IRS. We have accounting processes, -- not according to me but according to David Walker former comptroller, independent comptroller, of the United States of America. That left in disgust because nobody would pay attention anymore. He said that it would put everybody involved in jail. If the people doing it didn't also control the prison systems. -- Liberal blogs are having fun at my expense about saying that I think we get more truth right now from Pravda -- than the American press. And it's true I stand by it if only because they have perspective. They're not so close to it then they don't have the well were America will never have these hard times. They've gone through it. Let me give you a quote I found in Pravda just last week. It can be safely said, that the last time a great nation destroyed itself through its own hubris and economic folly was the early Soviet Union (though in the end the late Soviet Union -- still died by the economic hand). We now get the opportunity to watch the Americans do the same exact same thing to themselves. The most amazing thing of course is that they're just repeating the failed mistakes of the past. Boy are we ever and remember the Soviet Union didn't collapse it was transform. transformed. Overnight, transformed. -- it up. It's to understand possibly our future."

" Now. How is all of his -- happening. Well let me first explain before I get to where I think they're gonna take -- let me explain how this works. A year ago we had the problem with -- banks because people took out too many bad loans and -- this -- little Chinese it goes the opposite direction but. Yummy Chinese today copy may practically on -- anyway. Here's where we start here's the home that you and I could afford -- there one car little house maybe we could afford that. But this is the home in the car that we couldn't afford that we were promised by the people in Washington the -- could. Don't worry you can have it all you could have this -- in this crappy house used to live here with utilities cars would that be great. Well. Who told us that. These people and the acorn people. They pressured banks to make loans to people who could not afford them. And then the whole thing -- melted down because the bank said to these people that update these people cannot afford this home. These people just so they could get your vote and you into this home they pressured the banks -- said you know what. Then if you're gonna do that you're not gonna be able to expand we're gonna we're gonna -- you -- gonna smear you every step of the way. And that's what they did and -- the banks loaned money to these people to buy this home again. Because of special interest and politicians. So now a year ago this system melted down the big -- we can't do it and I said you have do well it melted down so well. We had -- come in and what TARP was is we went to the treasury. And we borrowed and we printed more money and we just gave the banks enough money so they had when this person actually loses their home. They're gonna be able to coverage here at the bank that's what TARP was about but we borrowed as much as we could the rest we have to print. Hop hop. Printing money didn't I learn from the vine -- republic that printing money is a bad thing because doesn't lead to massive inflation. -- wait a -- glad we don't have an inflation problem right now you're right you're right we don't. Come over here let me show you something. First of all -- show you this is a this is a chart of our money supply this is -- are expected to turn of the century and you see that our money supply was pretty good. Until -- then nineteen 90s. And then blow. Lehman Brothers bloom spikes up which is printing money like crazy. Well -- why -- we have inflation. Two reasons. One it usually takes about two years before inflation -- up when you do that. When inflation kicks up takes about two years to kick into the system. But where is the money because remember inflation is too many dollars chasing too few goods there's too many dollars. All right where is it can -- the next chart please. This is our monetary base this is our big printing. This is excess reverse reserves this is the bank. Whoa look look. The banks if you're ever heard anybody -- the banks aren't loaning the money that's a good thing. The banks are holding the money because we -- through this yet they're holding the money. When the banks start to loan this money that's what bankers call velocity it's taking this money and pushing it out. Pushing -- out velocity. That's what's missing right now there is zero velocity on these dollars so they're sitting there. Now let me give you some perspective. Back in the 1970s -- Jimmy Carter remember we printed money we had inflation we added too much money. We added -- whopping 13%. More money. To our money supply we printed 13% for three for two years to remember how bad things work. We started down a socialist utopia would Jimmy Carter all we can have everything in to stop it what it we have to do. Well the Fed Chairman Paul Volcker came in and an effort to suck all the money back in. Back to the Fed in out of the system we had to raise interest rates remember. The banks have all of this money this is why interest rates go up because once there's velocity and this goes out into the system. It's inflation -- have to do something to get this money back down here so the Fed can take it out and destroy it how do they do that. They charge you more to borrow money. You going to borrow hundred dollars -- 20% interest you're gonna pay them twenty extra dollars and those twenty extra dollars that you get to the bank. Actually go to the Federal Reserve where they destroy it back sucking the money back in. Laughter printing 13%. More money for two years in the 1970s we had run -- inflation of 12% that's a lot here in the United States. -- Volcker had to raise the interest rate to pull that 13%. You remember when he raised that interest rate up to he -- that interest rate up to. 20%. Now let me ask you this America. 20%. 40% interest -- And that's that was to bring in 13%. Increase money supply. Deep -- do you have any idea how. How much we've increased the money supply."

" 120%. Let me ask you this. In the last year or so 120%. How high will our interest rate have to be to pull all of this money back down here. How do you do that without complete completely shutting down the entire economy. Can you afford a house with a thirty year interest of 35 or 40%. From -- car payment with 2530%. Interest can you do it. How many business loans will be taken out the 25% interest rates. In a fragile economy you can't do it. 40%. 30% I don't know an economist that will actually give you a number 'cause it's crazy town. But I will tell you this it'll be over 20%. So how do you do it because everything else. How do you keep an economy based on buying not building on buying. You can't. EE got to borrow money what what if people lend -- money. This is the real reason that Chris Dodd wanted to cap. Credit card interest rates today they must have your credit cards working they must have -- spending. So what do you do how do you get out of this system because you're gonna have inflation how do you do it."

" How well. Well to pay off the hundred in -- trillion dollar government debt and should take care of this whole mess and clean it up. Here's what I think they're doing look at the debt clock once again there are only saying. Almost twelve trillion at the top but the whole number is about 343000. Dollars per citizen. There's no way to pay that off. --"

" Conjecture on my part. How well we just -- enough money to pay off the debt over time. Sure I mean it'll be worthless but will be able to honor our agreement will be able to give them Chinese their money back and the rest of our debtors. That way. The people that we -- would get their money and if we sold some stuff to -- well they can come and take those assets. But then what's left because see there there's got to be somebody who is thought this through. How do you restart the country you gotta have something left you have to have something to back the currency gold -- would be a good one. There were 200 trillion dollars in invest -- assets in the world. -- only 800 billion dollars in gold that's why we went off the gold system in the first place. We need more money there's not enough gold. Well you can't go back to the gold standard for very long. And you need something to buy stuff where if you can't -- forever what are you gonna do. Well if you have to have money you got a base it on something. So let's go back in history and look at the people and what they taught us last century. When there's out of control money supply problems who do you turn to well the people who did it last time. The volume our republic in Germany. What did they do. How did they get their economy back on their feet. Well after their currency had become so worthless that they had printed two trillion mark and bank notes -- economy collapsed. They dumped the mark the government -- just printed up paid off their debts and then they switched to the -- mark. Now what -- they pack it up with not enough gold. Look here answer is right here to the answers right here. They can back it with real estate land that's what they did in Germany. And there's certainly enough land and resource is an America that we -- back our currency with -- in the government. The government I would have to own all of the land all. Oh my gosh it just does something between Fannie and Freddie the government already owns half. Half of all of the US mortgages and they're about to -- more if you couple that. With the federal land in the grabbed for parks that they're doing now and all the did you hear the the F polar bears are too crowded and endangered. So they they just gave what was it 200 square mile -- of that's great all in all the oil that we're currently not drilling for and the -- that we're not mining. -- took all of that I bet you could base a new currency off of that. On and that China could come and help because you probably wouldn't be happy with a system like that taken all the land. Because that's one of our real rights that we had and our constitution --"

" Look at America I'm hoping that I'm wrong about this."

" But I can't figure out anything else I've never seen anything else in history done. I mean what happens. -- who with the new regime responsible for this new system. Of currency would they have on their side with the federal government after they destroyed our future and your children's future. Who they have on your side. Because. You'll say."

" Because I would you don't worry about it we'll fix it together. Which I mean just Bob down the street may will will will barter for awhile we'll get back on our feet we'll fix it let the free market fix it."

" We and we already seeing those in government don't believe in the free market they don't even believe in New York too stupid. They say let the government fix it let the world six -- there's a better idea let the world six if there are already saying these things now. And when you watch Friday's show on global warming you'll see how they are laying the groundwork. For this. Don't fool yourself read American history read any history both the American revolution and the civil war we needed allies we needed people who would fight and supply money. Our government is making those allies Russia China Venezuela. But don't you think China would be willing to come over here and protect this government help this government out from its own radical people who just won't sit down and recognize the new reality. Under these circumstances for a piece of our oil coal mineral mineral reserves land. To be a part of one big happy global family you bet they will. So boils down to this what if the dollar collapses in the next 358 years. Is there anybody thinking of plan because I'd like to hear another -- this is the only -- I can come up with historically speaking it's the only when I confined to. -- or anybody making a plan. And does it matter. Everybody has specifically although she supported it -- being closed and Amnesty International in the crowded polar bears do you think Russia and China will be better protectors of the planet and we have been. Or --"