Wall Street gets stoned, as Reddit takes down the GameStop stock, San Francisco decides to crack down on schools named after Abraham Lincoln and George Washington, and John Kerry is reporting for climate duty. This is The Ben Shapiro Show, where Ben gives you the news you need to know to make sure you don t miss out on all the latest in world politics, economics, entertainment, and pop culture. Subscribe today using our podcast s promo code POWER10 for 10% off your first pack! Want to sponsor the show? Subscribe here: bit.ly/support-the-show and help spread the word about Ben Shapiro's new podcast, Power10? If you like the show and want to support it, consider becoming a patron patron. It helps keep us all on the airwaves and on the road spreading the word of the show. Thanks to our sponsor, ExpressVPN. They re a VPN company that encrypts your data and reroutes it through a secure server that means you can use the internet anonymously without having your activity tracked by your ISP tracking your every online activity. I trust ExpressVPN to protect my online data. I trust them to do so, and they re a good friend of mine. I m using Express VPN to protect me, not only from tracking my data, but also from being tracked by my ISP. You can get 3 extra months for free, on a 1 year plan. at Express VPN. Ben Shapiro Get 3 more months of ExpressVPN for free on one year of the one year plan, and get access to all of the latest news you ve ever heard of the best in the world's best VPNs, plus a discount on the best deals in the best deal on the place you ve heard of. . at expressvpn.com slash Ben Shapiro is here to help you get the most out of all of that and everything else you need for the best of what you need, the most powerful guy on the world s best, the Ben Shapiro show on the podcast, the realest podcast on the internet, the best podcast . Ben Shapiro, the truth you can t live up to it all, the full of it. and much more! - Ben Shapiro on the inside scoop you ve got it all on it all! (linktr.ee/theBen Shapiro Show ) (cited in the show)
00:00:00.000Wall Street gets stonked as Reddit Games the Games stop stock, San Francisco decides to crack down on schools named after Abraham Lincoln and George Washington, and John Kerry is reporting for climate duty.
00:02:12.000Then I'm going to explain exactly how all of this works.
00:02:15.000And I'm also going to explain what a stock market is for, because I think there is a fundamental disconnect between what people think the stock market is there to do, and therefore what people do when they trade in the stock market, and what the stock market actually accomplishes and why it provides a social good.
00:02:30.000That a lot of people seem to be carrying forth today is that people who trade in the stock market, people who are day traders, hedge fund guys, the investment bankers, right?
00:02:40.000They are bad people because they are quote-unquote speculators.
00:02:43.000They're not adding value to the system.
00:02:45.000This seems to be the idea that undergirds all of the animus that is leading people to cheer wildly for what all of these Reddit folks are now doing with regard to the GameStop stock.
00:02:55.000Here's what you need to keep in mind when it comes to the stock market.
00:02:59.000Just like any other market, people who work in a market do so to make money, but because free markets also provide social value in that transactions generally provide a value to both sides and also provide other information to the more general society.
00:03:12.000Okay, that is what folks in the stock market are doing.
00:03:15.000Every time you go to the supermarket and you buy an apple, a couple of things are happening.
00:03:29.000So if a lot of people rush to the apple store or to the supermarket and they all buy apples at the same time, the price of apples is going to skyrocket.
00:03:37.000Because you are now conveying that there's an extraordinarily high demand for the apples and there's not enough supply for the apples.
00:04:22.000You get to own the stock, which is great.
00:04:24.000They get to sell their stock and they get to take your money and then invest it in growth of the company, or if they are badly run, in bonuses for the executives that are undeserved, right?
00:04:33.000And then if you don't like how they are handling that money, well then, how do you reprice that?
00:04:36.000Well, the way that people reprice that when a company is badly run is by doing something called short selling.
00:04:41.000Because again, there's a third aspect to the market.
00:04:43.000Just like the grocery store, there's a third aspect to the stock market.
00:04:46.000And that is, all of the interactions in the stock market are supposed to provide information to the general public about whether a company is being well run or poorly run.
00:04:55.000About what the proper pricing of the company is.
00:04:58.000about what the company is worth, about what others should be paying for the stock of the particular company.
00:05:06.000People tend to think of the stock market like a casino because they buy a stock and then it goes up, or they buy a stock and then it goes down.
00:05:11.000Okay, but that does not convey the fact that there are a bunch of actual things that are happening in the stock market that are quite good for society.
00:05:18.000One, again, is the ability of companies to sell their stocks so they can then use that money to invest in their workers.
00:05:23.000And if you work for a publicly traded company, The reason that they have the money to do that is because originally somebody IPO'd and then took that money and poured it into the company.
00:05:50.000Okay, and then third, the stock market exists through all of these transactions.
00:05:54.000It exists in order to provide a proper pricing mechanism.
00:05:57.000Because if you just tabula rasa said, okay, how much is it going to cost me for one share of the hundred million shares of Apple stock that are out there?
00:06:05.000How much is it going to cost me for that?
00:06:08.000In the same way that you really have no idea, if you walked into a store right now with no other information about planet Earth, and somebody offered you an Apple, you would have no idea what the Apple cost.
00:06:16.000The way that you know what the apple costs, and the way that the grocery store knows what the apple costs, is because they are competing with other competitors in the market to sell you apples, and because all of those competitors are attempting to balance out how much it costs to bring that apple to market, and more importantly, what the demand level for the apples is.
00:06:32.000Okay, the same thing is true of stock.
00:06:33.000If you say, I want a share of apple stock with no other information, you have no idea what that could be worth.
00:06:37.000I don't have any idea what that can be worth.
00:06:39.000There are people who spend every day, all day, simply analyzing What Apple is doing internally, what the demand for Apple stock is like, what the surrounding market conditions are like, and therefore you are able to, with a certain level of certitude, buy an Apple stock knowing that it is not wildly mispriced.
00:06:55.000Now, what the best traders will do is they will look for mispricings in the market and then they will exploit those mispricings in the market to bring themselves money.
00:07:03.000If they see that a stock is wildly overpriced, then what they will do is they will short sell.
00:07:08.000And now, that seems like predatory, right?
00:07:10.000Oh my god, they're short selling a stock.
00:07:11.000That's terrible, they're short selling a stock.
00:07:12.000Okay, what they are doing is they're looking to make money, they're not altruists, but what that ends up doing is conveying to the market that the stock price is too high.
00:07:20.000When you have a bunch of people who are short-selling a stock, that conveys to the market that the stock is overpriced and that too many people are invested in the stock.
00:07:28.000And so the stock price starts to re-price, it starts to revalue to the point where it's an accurate assessment of the value.
00:07:35.000In the same way where if you said, okay, listen, I think that six months from now, there is going to be a glut of apples on the market.
00:07:43.000So what I'm going to do today is I'm going to buy the right to essentially buy apples today.
00:07:50.000And I'm going to let me explain short selling.
00:07:52.000OK, in order to do this, I sort of have to explain short selling because this is what we are talking about today in terms of GameStop.
00:08:06.000If you want to make money off your assessment that a company is overvalued, you can participate in what is called a short sale.
00:08:13.000What a short sale is, is you borrow a share from somebody else, and then you sell it on the market today, and you promise the person that you borrowed that you're going to give them back the stock in a month with a little bit of interest.
00:08:24.000Okay, so let's say that I think that the GameStop stock is overvalued today.
00:08:28.000And I know that producer Mathis has a share of GameStop stock.
00:08:33.000So I go to Mathis and I say, listen Mathis, I'm gonna give you 10 bucks in order so that you can give me your GameStop stock.
00:09:40.000Or is that me looking at the market and realizing that this stock is overpriced?
00:09:44.000And not only that, isn't it conveying to the market something that is true, which is that the stock is overpriced, right?
00:09:49.000That the stock does cost too much money, that the company is not run as well as some people are saying that the company is run.
00:09:55.000Okay, so that is what a short sale is.
00:09:58.000Okay, so what happened here is that there are a bunch of people in the hedge fund industry who looked at the company GameStop, and they said, this company's overvalued.
00:10:09.000We think that right now the stock for GameStop is just excessively expensive, and so we are going to short-sell, right?
00:10:15.000We're going to borrow a bunch of shares today, we are going to sell them on the open market, and then a month from now, we are going to buy back the GameStop stock, and then we are going to return it back to the brokerages.
00:10:25.000So what is now happening is that a bunch of people don't like the hedge fund managers, right?
00:10:29.000They don't like, they think the hedge funds...
00:10:32.000For both, maybe a couple good reasons and mostly bad reasons.
00:10:35.000There are a couple reasons why people don't like the hedge fund managers.
00:10:37.000One is, there's a broad overall feeling that motivated both the Tea Party and Occupy Wall Street back in the early 2010s.
00:10:43.000That feeling is, these guys bear no real risk.
00:10:46.000That if things go bad, somebody will step in to protect them.
00:10:49.000That if things go bad, if they make a bet and the bet goes wrong, the federal government is going to step in and pay them off.
00:10:54.000And you don't get that and I don't get that, but they get it.
00:10:56.000Now, I think that that is a justified rage.
00:11:00.000Hey, there's something else that is happening, too.
00:11:01.000People are looking at the current economy, and they're looking at the stock market, and they're saying, I don't understand why a bunch of people are making money off the stock market even though the economy is in doldrums.
00:11:10.000And right now, they're Billion, you know, bajillion people out of work, but these hedge fund guys are just making a fortune in the stock market.
00:11:18.000So some of this is just pure jealousy.
00:11:20.000Some of this is, why are these guys so disconnected from the real economy?
00:11:23.000And the answer is, they are not disconnected from the real economy.
00:11:26.000And if they were to bear their risk, which is what they should do, if they were to bear their risk, then they are bearing the risk that the economy will downturn.
00:11:33.000But the reason the stock market has remained high throughout this entire pandemic is because of the correct assumption that these stock traders are making, which is that eventually we are going to come out of the pandemic and the stocks are gonna be worth a lot more than they are today, because we have pumped money into the system, because people are gonna go back to work, because this is an artificial recession.
00:11:50.000Because what we are watching right now, thanks to the lockdowns and thanks to the pandemic, is an easily foreseeable artificial recession.
00:11:56.000And so they are pricing the future into the present value of stocks.
00:11:59.000Okay, so if you're just angry at the hedge fund guys because they're doing a job that actually provides some social value, but also makes them rich, Then, I don't have a lot of sympathy for you.
00:12:08.000If you're angry at the hedge fund guys because you believe they don't bear any downside risk and the government's gonna bail them out, the truth is, you shouldn't be angry at them as much as you should be angry at the government for bailing them out.
00:12:16.000The government shouldn't be bailing anybody out.
00:12:18.000The government should not be bailing people out when they make a bad stock pick.
00:12:21.000And that's true of hedge fund guys, it's true of Lehman Brothers, it's true of everybody.
00:12:23.000You make a bad investment in subprime mortgages, you should bear the risk of that.
00:12:28.000Okay, so in a second, I'm gonna explain what the GameStop Reddit guys did.
00:12:33.000Because again, it is both hilarious and also it cuts directly against the social value of the stock market.
00:12:38.000Because remember, the stock market is there for three things, to provide liquidity for companies, to allow you to invest, and three, to properly price stocks, right?
00:12:46.000I'm gonna explain what happened with GameStop and why it undercuts a lot of the fundamental purposes of the market, even if it happens to be really, really, really funny.
00:12:54.000Okay, so I'm gonna get to that in just one second.
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00:14:06.000Okay, so here's what the GameStop Reddit guys are doing, the meme makers, okay?
00:14:11.000And again, hilarious, also not great for the markets.
00:14:15.000And not great for people who invest in the markets, typically.
00:14:19.000Is there a bunch of guys who are not big institutional investors, although as we'll see, some institutional investors have jumped in on the action.
00:14:26.000And what they are doing is they're doing what is called a short squeeze.
00:14:29.000Okay, so go back to our short sale example.
00:16:46.000According to the Wall Street Journal, here's how they report this.
00:16:49.000The power dynamics are shifting on Wall Street.
00:16:51.000Individual investors are winning big, at least for now, and relishing it.
00:16:54.000An eye-popping rally in shares of companies that were once left for dead, including GameStop, AMC Entertainment, and BlackBerry Ltd., has upended the natural order between hedge fund investors and those trying their hand at trading from their sofas.
00:17:05.000While individuals are rejoicing at newfound riches, the pros are reeling from their losses.
00:17:09.000And so people are saying this is like a David versus Goliath sort of thing, although it's a little simplistic, as we'll explain in a moment.
00:17:15.000Long-held strategies, such as evaluating company fundamentals, have gone out the window in favor of momentum, right?
00:17:20.000This is what I was saying about this undermines the actual function of the market, which is to properly value companies.
00:17:25.000If you just have a bunch of people who decide today they're gonna buy stock in Blockbuster, which is exactly what's happening, right?
00:17:36.000And so if you decide that you're gonna randomly drive up the price of the stock, then you're not actually doing anybody a favor except yourself.
00:17:44.000In fact, in certain circumstances, this is illegal.
00:17:48.000If you engage in what is called a pump and dump, that's clear illegality.
00:17:52.000So think back to the movie Wall Street.
00:17:54.000If you ever saw the movie Wall Street with Michael Douglas, There's a scene where Bud Fox, who's played by Charlie Sheen, you'll remember this, he is calling everybody on earth that he knows, and he's saying, and he's saying, uh, Blue, what is it?
00:18:09.000It's, uh, Blue Horseshoe loves Anacott Steel.
00:18:11.000He's saying Blue Horseshoe loves Anacott Steel.
00:18:12.000What he means by that is that institutional investors, they love Anacott Steel, they think Anacott Steel is really undervalued, you should all buy.
00:18:19.000Okay, so he pumps up the price of the stock, and he gets in early.
00:18:23.000So if you go to some, so let's say that now I want to pump up Anacostile, right?
00:19:02.000Because all of my friends, if they were one of the first investors and they got in at five and now it's up to a hundred, You don't wanna be the one who is left holding the bag.
00:19:08.000Okay, now, if you falsely advertise this, if you say, Anaconda Steel is undervalued, that's why you should buy it, that's illegal.
00:19:16.000If, however, you don't do that, and this is what the Reddit guys were doing, they weren't saying GameStop was undervalued when they did this, when they artificially drove up the price of the stock.
00:19:26.000They didn't say GameStop is undervalued.
00:19:28.000They said, we know that it is properly valued, we just want to screw with the hedge fund guys.
00:19:37.000It's a very damaging prank for those hedge fund guys because now they're caught in that short squeeze I was talking about where they have to pay back stock that they don't own.
00:19:44.000So they have to go into the market, they have to buy the stock.
00:19:46.000The need to buy the stock continues to drive the price up.
00:19:49.000And they're now buying stock options, right?
00:19:51.000They're now buying options to sell later or to buy later on.
00:19:56.000They're buying, they're short selling.
00:19:58.000They're continuing to short sell and buy into the market at the same time.
00:20:01.000Because they know that eventually the stock price is gonna drop again.
00:20:52.000Okay, so this is, again, this is what happens when you undermine the value proposition of the stock market by completely ignoring what the stock market is supposed to do, which is properly value companies.
00:21:02.000And all of it is based on pure animus for the hedge fund guys.
00:21:05.000Some of it justified, as I explained, a lot of it unjustified, and simple jealousy of the fact that there are people who make money in the stock market, and maybe you are not one of them.
00:21:13.000And so, we'll get to more of this in just one second.
00:21:17.000First, we need to talk about the fact that you need, you need to give your business the messaging tools to turn your website into a thriving storefront.
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00:22:40.000Okay, so the Wall Street Journal says, Long-held strategies such as evaluating company fundamentals have gone out the window in favor of momentum.
00:22:47.000War has broken out between professionals losing billions and individual investors jeering at them on social media.
00:22:53.000Meanwhile, the frenzy of activity is stirring regulatory and legal concerns, as well as the attention of the Biden administration.
00:22:59.000Newbie investors are gathering on platforms like Reddit, Discord, Facebook, and Twitter.
00:23:02.000They're encouraging each other to pile into stocks, bragging about their gains, and at times, intentionally banding together to intensify losses among professional traders who protest that social media hordes are conspiring to move stock prices.
00:23:13.000I didn't realize it was this cult-like, said short-seller Andrew Left of Citron Research, who has become a particular target of some investors on social media.
00:23:22.000GameStop, AMC, BlackBerry have received hundreds of thousands of mentions across social media since early January, have vaulted into the ranks of the most traded stocks in the U.S.
00:23:31.000The mammoth gains have forced money managers to dump bets that the stocks would fall, magnifying the rally.
00:23:36.000Right, so that means that they have to buy the stock in order to pay back the short selling they were doing.
00:23:41.000Bearish investors who took short positions have lost $23.6 billion this year through the close of trading Wednesday on GameStop alone, according to S3 partners, including $14.3 billion on Wednesday, when the stock price jumped 135%, that was the largest percentage increase in history, to a record of $347.51.
00:23:59.000On Wednesday, GameStop shares hit a high of $380, briefly giving the video game retailer a market value of 26.5 billion, more than that of Delta.
00:24:14.000The question is whether this is, you know, the people who are striking back at the bad guys, or whether they're actually just sort of gaming the market for fun and giggles and to make a little bit of extra money.
00:24:25.000So the line that I've seen is they're just doing what the hedge fund guys are doing.
00:24:28.000Well, first of all, if the hedge fund guys banded together to pump end up a stock, Kind of illegal.
00:24:48.000Everybody is caveat emptor buyer beware.
00:24:51.000Okay, but the sort of enthusiasm that we're seeing for this, I think a lot of this is just a certain class-based enthusiasm, which is the hedge fund guys are jerks, and I know a lot of hedge fund guys.
00:25:27.000That guy's an institutional investor, as AMC Entertainment spikes.
00:25:31.000Soaring shares have added $185 million worth to the CEO of Tootsie Roll's fortune.
00:25:36.000People have been buying up the stock of Tootsie Roll.
00:25:39.000Okay, so it is not merely the little guy who's making a bunch of money, and by the way, it's gonna be the little guy who gets screwed.
00:25:44.000Yes, there are a bunch of hedge fund billionaires who are gonna get screwed, and okay, they took a risk, and then they got jacked by a bunch of people who are basically pranking them for money, but that's, you know, risk-reward calculations don't always go right.
00:25:58.000It's not illegal what these folks are doing, and it can be kind of funny.
00:26:03.000With that said, the people who are going to get left holding the bag in the main are going to be unsophisticated, non-institutional investors who end up holding the stock too long and then ending up eating the loss, is basically what's going to end up happening here.
00:26:15.000Wang, the founder of closely held conglomerate, Adelian Wanda Group, now owns a stake worth about $1 billion in AMC, which climbs almost 20 bucks in New York trading the most since October of 2018.
00:26:26.000And so there are a lot of people who are big players who are making a lot of money off of this.
00:26:30.000Okay, but again, the underlying idea here is that the stock market is kind of bad, or that hedge fund guys are doing something deeply immoral and they short sell.
00:27:04.000He's the social capital CEO, and he was going off on CNBC saying that, you know, anybody who's upset about this in the Wall Street world is basically just crapping on the little guy.
00:27:14.000Well, no, I think that what the little guy is doing here is perfectly legal.
00:27:17.000I don't think that it is particularly good for the broader social implications of the market, right?
00:27:21.000It just reinforces the idea that the market is a casino, which the market is not and should not be.
00:27:25.000But here he is defending what is going on with GameStop right now.
00:27:30.000I'm not saying they shouldn't be able to participate.
00:27:32.000You want to say, you're saying they should participate on your terms, on Wall Street's terms, in a way where they get the, when Wall Street can have the best of it, they can maybe participate on the side, but then when Wall Street gets the worst of it, they, their parents, their relatives, will just come and bail them out.
00:27:47.000So if you want to fix it, I think you've got to go and ask for the same transparency, because you can't all of a sudden have your cake and eat it too.
00:27:54.000Let's have hedge funds operate in the shadows, but let's then basically land-bast Wall Street bets because they actually have the courage to write their stuff down publicly where anybody can see it.
00:28:02.000Okay, so his call is for the hedge fund guys to be transparent about why they are investing the way they're investing.
00:28:07.000And honestly, I don't think that that's a bad idea.
00:28:10.000But I will note that typically the market is not, I mean, this is a perfect example of a stock just being wildly overpriced, and they're now doing it stock by stock.
00:28:18.000They're just going to every stock that is being short sold because these stocks are overvalued, because the companies are not doing well, and they're now pumping those up and then dumping them.
00:28:25.000I mean, that's essentially what they are doing.
00:28:27.000Okay, so the response is also bad, because everything is bad.
00:28:30.000So the response has been to ban the Reddit WallStreetBets server for at least a little while.
00:28:36.000Discord banned the Reddit WallStreetBets server.
00:28:41.000Reddit's WallStreetBets subreddit is the driver of an unprecedented rally of GameStop stock and has received a great deal of attention in the press as the stock continues to soar.
00:28:49.000Now, Discord says it didn't ban the server for financial fraud.
00:28:51.000Instead, it was banned because it continued to allow, quote, hateful and discriminatory content after repeated warnings.
00:28:58.000Okay, so what happened here is that all these companies, these hedge funds, and the government probably, went to Discord and said, these people are manipulating stock prices.
00:29:08.000Even though it's not technically illegal, okay?
00:29:10.000So this actually looks a lot more like what the government and what the media and what institutional players have been doing with social media, right?
00:29:17.000Where they say, we don't like a particular point of view.
00:29:18.000We know that it's not illegal, but we want you to take it down.
00:29:21.000It's sort of like what all of these major institutional government players said to Amazon Web Services to have them take down Parler.
00:29:27.000That's what this sort of looks like, right?
00:29:29.000Is we don't like the WallStreetBets subreddit.
00:29:32.000So take it down because it's doing us damage.
00:29:33.000And then pretend that it's on the basis of hateful content.
00:29:54.000I think that they are undercutting one of the fundamental tenets of the market, which is that you are attempting to properly price stock.
00:29:59.000With that said, I think taking down the ability of people to talk about stock in ways that you don't like is deeply violative of basic First Amendment concepts.
00:30:12.000But a First Amendment culture does not go along with this sort of thing, and it just demonstrates where the institutions of power truly lie.
00:30:21.000And that merely reinforces the feeling that the hedge fund guys have disproportionate influence over what is happening in our financial world.
00:30:28.000It's a really, really bad move to take down the subreddit.
00:30:31.000That should not be a thing that happens.
00:30:34.000Now, with that said, if you are cheering this on mainly because you don't like hedge fund guys and because they have slick back hair and because they're rich and drive fancy cars, let me suggest to you that you actually have to find the bad thing that they have done in order to dislike them.
00:30:46.000If they're taking bailouts, that is a reason to dislike them.
00:30:49.000If they are actively engaging in misinformation campaigns directed at companies, that is a reason to dislike them.
00:30:55.000If they are gaming the market, that's a reason to dislike them.
00:30:57.000If they are just engaging in short-selling because they believe that a company is overvalued, and if their competitors are doing the same, that's not doing something wrong.
00:31:08.000I don't think that the Reddit guys are, I think the Reddit guys, the only thing they're doing wrong here is that I think that the motivations here are pretty much revenge and an open acknowledgement that they are not really interested in providing any service to the market other than a sort of pump and dump, me and my friends are gonna get rich and the Wall Street bros are gonna pay.
00:31:26.000Again, can be hilarious, just like your high school teacher getting TP'd.
00:31:29.000But that does not mean that it is providing a giant social service, or that we should all be cheering on this sort of thing as a matter of routine because the stock market is bad.
00:31:56.000And that most people who are engaged in the stock market, including institutional investors, are not playing it like a casino.
00:32:02.000I know that the popular view of the stock market, once again, is that it is a casino, and that there are winners, and there are losers, and it's just people betting.
00:32:10.000It is called the market, just like your grocery store, just like your bookstore, just like any other market, and just because people get disproportionately rich off of that does not mean that they're not providing an ancillary social value.
00:32:25.000So if hilarity is an ancillary social value, it is really funny you have people who are now controlling the stock market who are posting memes of Aragorn telling people to hold the line.
00:32:42.000It's funny until it comes time for you to invest your actual salary in the stock market, and you look around and go, can I even buy into Apple knowing that these people could jack the stock tomorrow?
00:32:52.000Like, just for the bleeps and giggles of it?
00:33:02.000None of the people on Wall Street should currently be bailed out.
00:33:05.000Even though they're getting jacked right now, they should not be bailed out.
00:33:07.000The government should not be intervening right now.
00:33:09.000The government should never have intervened with regard to bailing out the stock market.
00:33:14.000But that's ire that should be directed at the government, which is answerable to you.
00:33:18.000The sort of punishment of private industry for engaging in what it is they do is, I think, a bad precedent.
00:33:24.000And I know this is an unpopular view, but again, if you believe that a stock market should exist and that it provides social value, then you have to explain why what's going on today is providing consummate social value.
00:33:34.000Okay, now, in a second, we're going to get to the continuation of the destruction of public education in the United States.
00:33:40.000First, let us talk about the fact that if you've got a medical issue and you've got to get it solved, why would you wait around on it?
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00:34:43.000Okay, in just a second, we'll get to the continuation of the undermining of American education and also to Joe Biden and company who are We're now sounding off on the GameStop situation.
00:34:54.000And their response is just as stupid and hilarious as you would expect it would be.
00:34:57.000First, DailyWire, we are fighting in the culture.
00:34:59.000What that means is that we aren't getting involved in the entertainment industry.
00:35:02.000We released our first film, Run, Hide, Fight, exclusively for DailyWire members.
00:35:06.000You can catch it over at dailywire.com, on our mobile app, on our streaming apps at Apple TV and Roku.
00:35:10.000If you're not a DailyWire member yet, use promo code RHF to get 25% off.
00:35:13.000That is RHF, Run, Hide, Fight, for 25% off.
00:35:19.000You'll notice that there's a vast gap on Rotten Tomatoes between the critics who said that the subject matter was distasteful and our audiences who loved it.
00:35:26.000That's the kind of stuff we're probably gonna make.
00:35:27.000We're gonna make stuff that the woke don't love, but you do.
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00:35:41.000You're listening to the largest, fastest growing conservative radio show and podcast in the nation.
00:35:49.000So quick note, final sort of referendum on the GameStop thing.
00:35:54.000So today on Twitter, Eat the Rich is trending.
00:35:58.000It's pretty obvious what exactly a lot of this GameStop stuff is about and the sort of populists on both sides sharing it because they don't like the stock market generally.
00:36:06.000It's a weird take and I'm wondering exactly how you are adding social value.
00:36:29.000She was asked, remember, the question was, what do you guys think about the GameStop thing?
00:36:33.000And what are you going to do about the fact that people are artificially boosting the prices of particular stocks in order to pump and dump them effectively?
00:36:42.000Is the White House concerned about the stock market activity we're seeing around GameStop, and now with some other stocks as well, including the subsidiary, or whatever, the company that was Blockbuster?
00:36:56.000And have there been any conversations with the SEC about how to proceed?
00:37:01.000Well, I'm also happy to repeat that we have the first female Treasury Secretary and a team that's surrounding her, and often questions about market we'll send to them.
00:37:11.000Oh, well, I mean, now that we know that the Treasury Secretary has a vagina, I guess that that solves all the problems.
00:37:32.000People are gonna learn their lesson when they hold onto the stock too long, and the only people who got rich were the Reddit people who were manipulating the market at the very beginning.
00:37:39.000Right, when the blue horseshoe buying anaconda steel guys at the very beginning.
00:37:43.000Those are the ones who end up making all the money.
00:37:45.000Okay, meanwhile, our education system is just in tatters.
00:37:53.000The latest indicator that our public education system sucks is on Tuesday night, the San Francisco School Board voted to accept the recommendations of a renaming committee.
00:38:00.000This is according to Emily Zanotti at Daily Wire.
00:38:03.000They voted to officially rename 44 public schools in San Francisco bearing the names of controversial historical figures.
00:38:08.000These figures include Abraham Lincoln, George Washington, Theodore Roosevelt, Franklin Delano Roosevelt, Herbert Hoover, Paul Revere, Thomas Edison, and Senator Dianne Feinstein, who was once the mayor of San Francisco.
00:38:22.000San Francisco commissioned the renaming committee in October of 2019.
00:38:25.000They announced they were putting in the committee's name change recommendations to a vote in December, and they kept claiming, oh, you know, it's just a recommendation.
00:38:34.000So what is the big problem with Feinstein?
00:38:36.000So according to a 1984 copy of Worker's Vanguard, quote-unquote, Dixie Feinstein raised a Confederate flag at San Francisco's Civic Center while she was mayor of the city and later replaced the flag after it was pulled down by protesters.
00:38:48.000But it turns out that that was part of a historical flags display.
00:38:52.000And it wasn't clear that Feinstein had anything to do with it.
00:38:56.000Abraham Lincoln ran afoul of the committee because, quote, he did not demonstrate that black lives mattered to him.
00:39:02.000That's a hot take there, San Francisco.
00:39:05.000Abraham Lincoln, you know, the man who was shot to death in a theater after ending the Civil War and issuing the Emancipation Proclamation?
00:39:13.000He didn't believe that Black Lives Matter.
00:39:20.000And here's the thing, you could use that for, like, everyone, including Barack Obama, up to, like, 2011.
00:39:25.000We should just rename all of the schools, every single school, In favor, we need to find the wokest person and that person all the schools will be named after.
00:39:33.000I'm talking about we need like a one quarter black, one quarter Native American, one quarter South American, one quarter Chinese, Little person, transgender, pansexual.
00:39:49.000We'll find that person and that person we'll name all of the high schools after.
00:39:54.000We don't know who that is yet, but could be you.
00:39:56.000Could be your lucky day if you are that person.
00:39:57.000If I just described you, please send your application in to the San Francisco School Board.
00:40:02.000According to the San Francisco Chronicle, many San Francisco parents, as well as Mayor London Breed, argued the effort was ill-timed given the pandemic.
00:40:11.000By the way, the move is going to cost San Francisco's school district millions of bucks, because they actually have to go through and rename all of this.
00:40:16.000But what does money matter in schooling, after all?
00:40:18.000I mean, one thing that we definitely know When it comes to schooling, it's the teachers' unions who rule the roost.
00:40:23.000Over in Chicago, they've got disaster on the mind.
00:40:26.000Chicago Public Schools has now directed parents to keep their students home again on Thursday because the Chicago Teachers' Union is moving closer to a strike.
00:40:32.000By the way, that's illegal, as far as I'm aware.
00:40:35.000CPS said in an email to parents on Wednesday evening, quote, Chicago Teachers' Union leadership continues to direct their members who support pre-K and cluster programs to remain at home Therefore, we must ask parents to continue keeping your children home, as we are unable to guarantee adequate staffing levels to cover in-person learning.
00:40:50.000The district will continue with remote learning tomorrow, on January 28th.
00:40:55.000So, good news, they're just going to keep these teachers out forever.
00:40:57.000The teachers have decided that they don't want to work anymore.
00:41:02.000If you decide that you want to take public pay and not work, and you are 20 years old and at very little risk of COVID, and it turns out that you're teaching kindergartners who aren't transmitting it, that makes you a bad person.
00:41:12.000Hate to break it to you, and just because you're a teacher, if you're not teaching, you're no longer a teacher.
00:41:16.000If you're not doing the job of teaching, I cannot call you a teacher at this point.
00:41:19.000I can just call you a leech off the public taxpayer dollar.
00:41:22.000Unless you are somebody who is supremely vulnerable to COVID, Again, if you're a young dance teacher who is not going in to dance away the hours of first graders because of COVID, you're just lying.
00:42:13.000You're a bunch of cowards hiding behind our children as an excuse for keeping schools closed.
00:42:18.000You think you're some sort of martyrs because of the decisions you're making when the statistics do not lie that the vast majority of the population is not at risk from this virus.
00:42:27.000The garbage workers who pick up my freaking trash risk their lives every day more than anyone in this school system!
00:42:40.000Okay, meanwhile, The focus in the Biden administration is on the most important things, not opening the schools, not really even COVID stimulus, right?
00:42:48.000What they're really, really focused in laser-like is climate change, because 100 years from now, the water level's gonna be higher.
00:42:53.000So that's really important, important stuff.
00:42:56.000And they're willing to sacrifice jobs in the right here and the right now, in the middle of a pandemic, with the jobs market, in the toilet, they're willing to sacrifice jobs.
00:43:03.000So Biden's energy secretary nominee actually admitted this yesterday.
00:43:07.000This would be the Honorable Jennifer Granholm.
00:43:22.000I think the president's plan of building back better, which would create more jobs in energy, clean energy, than the jobs that might be sacrificed.
00:43:34.000But I will say this, no job, we don't want to see any jobs sacrificed.
00:43:38.000For those states that have these jobs in abundance, this is something we're going to have to work on together to ensure that people remain employed.
00:43:49.000Oh, okay, well, you know, they're going to, they'll lose their jobs.
00:43:51.000But, you know, some jobs may have to be sacrificed.
00:43:54.000And then later, the jobs will come back around through green jobs.
00:43:57.000Ah, the dream of the ages, green jobs.
00:43:59.000You'll remember that Van Jones was Barack Obama's green jobs are.
00:44:03.000Here's a grand total number of the number of green jobs that Van Jones provided.
00:44:09.000So yeah, I'm sure all the people who are losing their jobs in the here and now are very comforted by the fact that the measures being taken by the Biden administration to lower carbon emissions will result over the course of the next century in a minute, minute degree change to the future climate.
00:44:26.000By the way, if we abided by the entire Paris Agreement in the here and now, the amount of climate change that we would avert in the United States, Just by the U.S.
00:44:53.000So, you'll remember John Kerry from such things as, I ran for president in 2004 and got shellacked by George W. Bush, and I was a garbage Secretary of State during the Obama administration.
00:45:02.000Now, he is back and starring in his greatest role, elitist, sneering at people who didn't marry wealthy.
00:45:24.000You know, you look at the consequences of black lung for a minor, for instance, and measure that against the fastest growing job in the United States before COVID was solar power technician.
00:45:36.000But the choice of doing the solar power one now is a better choice.
00:45:40.000So what President Biden wants to do is make sure those folks have better choices, that they have alternatives, that they can be the people who go to work to make the solar panels.
00:46:42.000The idea that you can take a 55-year-old dude who has been working in pipeline manufacturing and simply shift him over to making solar panels, which, by the way, are still some of the most overpriced garbage in the American energy market.
00:46:53.000And then you're going to somehow create jobs?
00:46:56.000Oh, well, we've given them more choice, like a choice to be unemployed and then to have a job they don't know how to do.
00:47:52.000Then he becomes Secretary of State where he promptly explains that no peace deal will get done in the Middle East unless Israel is forced into concessions to the Iranians and the Palestinians.
00:48:32.000What's happening to them is happening because of other market forces already taking place.
00:48:37.000And what the financiers, the big banks, the asset managers, private investors, venture capital are all discovering is there's a lot of money to be made in the creation of these new jobs in these sectors.
00:48:56.000You want to talk about why the hedge fund guys and the venture capitalists are all investing in green energy?
00:49:00.000Because they know that you, John Kerry, and this silly administration are going to be dumping buttloads of money into the green energy boondoggle that is.
00:49:07.000These energy sources are not nearly as efficient as carbon.
00:49:10.000That is just the reality of the world.
00:49:12.000The vast majority of emissions are not coming from the United States.
00:49:15.00090% of all global carbon emissions are coming from outside the United States.
00:49:18.000The United States has been lowering its carbon emissions year on year, mostly thanks to fracking.
00:49:21.000Okay, but again, you want to talk about market manipulation?
00:49:25.000The government incentivizing people to spend money on stuff that actually is not marketable is definitely market manipulation.
00:49:31.000But good news, this is where the laser-like focus of the Biden administration is going to be.
00:49:36.000On equity, meaning that we are going to look at group outcome and pervert the notion of individual justice.
00:49:42.000And climate change, so we can use the threat of deep impact, or the day after tomorrow, in order to essentially restructure the entire world economy.
00:50:29.000China was not adverse to working on this with the Obama administration.
00:50:34.000China was very key to helping to get the Paris Agreement to come together because the United States and China came together, worked together, put together an opportunity to have a working task force, and then we announced our reductions And that gave great momentum to the movement of Europe.
00:50:54.000Okay, and then China, they're gonna help.
00:50:57.000In 2018, China's carbon emissions were on track to grow at the fastest rate in six years.
00:51:01.000So yeah, we should definitely trust China.
00:51:03.000China definitely is not a competitor on the world stage, and they definitely won't take advantage of us hampering our own economy in order to just blow out their carbon emissions and take advantage of the vacuum created by our weaker markets.
00:51:26.000Today, in the order that he will sign that Gina has described to you, he makes Climate central to foreign policy planning, to diplomacy, and to national security preparedness.
00:51:40.000It creates new platforms to coordinate climate action across the federal agencies and departments sorely needed.
00:51:48.000And most importantly, it commissions a national intelligence estimate on the security implications of climate change to give all of us an even deeper understanding of the challenge.
00:52:00.000This is the first time a president has ever done that.
00:52:28.000This order takes historic strides to address environmental injustice.
00:52:32.000It creates both a White House interagency task force to address environmental justice as well as an advisory council.
00:52:42.000It directs the Department of Health and Human Services to create an Office of Climate Change and Health Equity because, after all, climate change is the most significant public health challenge of our time.
00:52:54.000Okay, now I feel like I need some dry ramen and just a picture of a COVID virus.
00:53:22.000I can't think of any other public health challenges that are on the order of the climate slightly warming year on year over the course of time.
00:53:30.000I'm so glad that we are structuring our entire government, our entire executive branch of government, around the lie that America is systemically racist and that what we ought to be pursuing is equal group outcome, and the equally stupid lie that climate change is the greatest challenge facing the United States.
00:53:44.000It is not the greatest challenge facing the United States.
00:53:46.000It is a problem that can be dealt with.
00:53:49.000By adaptation over the course of time, the solutions that are currently being proposed by the Biden administration are garbage.
00:53:56.000People who study this issue generally believe that they don't make a lot of sense unless you have a global carbon tax, which is not something that is ever going to happen.
00:54:02.000You are not going to radically curb carbon emissions globally.
00:54:06.000And the idea that you can just invest in green energy and this is going to somehow make the innovation better, that if you just dump money into investments in green energy, that this is somehow going to create massively new and wonderful variations on energy production.
00:54:20.000I'm wondering what the evidence is for that, because we've now dumped billions and billions of dollars into that.
00:54:24.000I'm not seeing tremendous return on a lot of this stuff.
00:54:41.000So Michael Mann is a scientist, most famous for the so-called hockey stick grab, very controversial.
00:54:46.000So Michael Mann, he says, the goal here is we have to stop the fossil fuel industry dead.
00:54:50.000Now, if Biden had openly campaigned on that, we're stopping fossil fuels, like stopping it dead.
00:54:55.000Which is what so much of his administration would like.
00:54:57.000Would have been a problem for him in Pennsylvania.
00:54:59.000But here is Michael Mann proposing just that.
00:55:02.000Of course we should all do those things that we can do in our everyday lives to decrease our environmental footprint.
00:55:06.000What we can't allow is for polluting interests, fossil fuel companies, and those promoting their agenda to somehow convince us that that alone is enough.
00:55:16.000Because then that takes the pressure off of the need for systemic change, for policies Like those that Biden is outlining in his plan to accelerate, again, that transition away from our reliance on fossil fuels.
00:55:30.000Okay, if you have any magical ideas on how we are going to transition the entire globe away from fossil fuels by creating an alternative energy source that is even remotely, remotely as efficient as this, love to hear them, especially from you guys in the back who keep saying that you don't want nuclear energy or fracking.
00:55:45.000Really interested to hear how windmills are gonna solve all of our problems.
00:55:51.000By the way, he knows that it's a lie, that if you reduce your environmental footprint, you, personally, reduce your environmental footprint, he knows that that's a lie, that that's gonna change the climate.
00:56:05.000Okay, so there's another agenda here, too, and that is the broader left-wing agenda, which is we are going to reorganize the entire American economy.
00:56:11.000So you may have noticed that this is always the conclusion of every statement.
00:56:14.000Climate change is a grave threat to the United States.
00:56:17.000Therefore, let us reorganize the entire American economy.
00:56:19.000Also, racial inequity, a grave threat to America.
00:56:23.000Solution, let's change over the entire American economy and remold it and remake it.
00:56:44.000So forgive me when I don't trust that you are being straight with the American people on this sort of stuff, members of the Biden administration, because I don't think you are.
00:56:52.000I've been in rooms with the John Kerry wing of the Democratic Party, and behind closed doors, they acknowledge that everything that I'm saying right now is true.
00:56:59.000That the vast majority of climate change is baked into the cake.
00:57:04.000That it is largely too late for large-scale mitigation.
00:57:07.000that adaptation is the proper solution, and that if you are going to actually take measures that are effective, they have to be directed toward developing technologies to, for example, suck climate out of the air or geoengineering, right?
00:57:19.000There's all sorts of stuff that you could do, right?
00:57:21.000Building seawalls, there's stuff you could do, but they don't wanna do that.
00:57:23.000What they actually wanna do is remake the entire American economy in a more socialistic mold, and this is just the lever of power by which they think they're gonna be able to do it.
00:57:31.000So if they scare the crap out of you and they keep citing Greta Thunberg saying that the world is on fire and all of that kind of stuff, then maybe you will allow them to completely remold the American economy in the image that they always wanted to remold it into.
00:57:58.000Is it something that we are going to be able to deal with as the world innately grows more and more prosperous, which is what's going to happen over the course of the next century, not according to me, according to William Nordhaus, who just won a Nobel Prize in Economics for his work on climate change?
00:59:05.000Internet trolls bankrupt hedge funds for the LOLs, John Kerry tells fossil fuel workers to learn solar, and most Republicans support Trump in 2024.