The Charlie Kirk Show - A Stimulus Disaster

00:00:00.000 Hey everybody, today on the Charlie Kirk Show, the stimulus is a disaster.

00:00:03.000 We're unafraid to dive into this topic and explain to you economically why this stimulus is such a bad idea and why it's quite honestly unnecessary.

00:00:12.000 That and so much more is made possible thanks to all of your generous support at charliekirk.com/slash support.

00:00:19.000 And I also want to say the Charlie Kirk Show is brought to you by ExpressVPN.

00:00:23.000 Fight back against having your voice censored by both big tech and big government.

00:00:27.000 Go to expressvpn.com/slash Charlie.

00:00:31.000 The stimulus has been passed.

00:00:33.000 It's bad for you.

00:00:34.000 It's bad for our country.

00:00:36.000 It's bad for anyone that cares about the future of America.

00:00:39.000 Buckle up.

00:00:40.000 Here we go.

00:00:42.000 Charlie, what you've done is incredible here.

00:00:44.000 Maybe Charlie Kirk is on the college campus.

00:00:46.000 I want you to know we are lucky to have Charlie Kirk.

00:00:49.000 Charlie Kirk's running the White House, folks.

00:00:52.000 I want to thank Charlie.

00:00:53.000 He's an incredible guy.

00:00:54.000 His spirit, his love of this country, he's done an amazing job building one of the most powerful youth organizations ever created.

00:01:01.000 Turning point, USA.

00:01:03.000 We will not embrace the ideas that have destroyed countries, destroyed lives, and we are going to fight for freedom on campuses across the country.

00:01:12.000 That's why we are here.

00:01:15.000 Hey, everybody, welcome to the episode today.

00:01:17.000 Today we're going to be talking all about stimulus.

00:01:19.000 President Donald Trump has just signed into law a major Chinese coronavirus stimulus package along with an annual spending bill.

00:01:28.000 A lot of you are emailing us, freedom at charliekirk.com, asking, what are we supposed to make of this?

00:01:34.000 Is this a good thing?

00:01:35.000 Is this a bad thing?

00:01:36.000 Should we support stimulus?

00:01:38.000 What is the thought process behind all of this?

00:01:41.000 This is something that really interests me, and I've done a considerable amount of research and thinking on this topic.

00:01:47.000 I want to dive right into it because I think that everyone's premise in general when it comes to government-backed taxpayer-funded stimulus is wrong.

00:01:57.000 There is a belief right now amongst both Republicans and Democrats that we must do something.

00:02:06.000 The prevailing Washington, D.C. narrative, which is usually something that is wrong and designed to benefit the few and the well-connected, is that a massive multi-trillion dollar spending bill is needed and it was needed months ago.

00:02:25.000 People are suffering, we are told.

00:02:27.000 People are hurting.

00:02:29.000 All that is true.

00:02:31.000 People are hurting.

00:02:32.000 But let's take a step back and ask ourselves the question: why are people hurting?

00:02:37.000 The easy answer is because of the virus.

00:02:39.000 That is true, in a sense.

00:02:42.000 People are dying from this virus.

00:02:44.000 Far less people than what the models would show, far less people than what Dr. Anthony Fauci predicted.

00:02:50.000 But yes, people are dying and hurting from the virus.

00:02:53.000 However, more people are hurting because of the lockdowns than because of the virus. 0.84

00:02:59.000 Our reaction to the virus, shutting down the entire American economy, preventing business transactions from happening, restricting commerce, that is having far greater damage than the epidemiological Pearl Harbor that China sent us, and they should be forced to pay for every single American death. 0.67

00:03:20.000 So it's because of the lockdowns that we have tens of millions of people out of work. 0.90

00:03:24.000 It's because of the lockdowns that restaurants are not able to pay their rent.

00:03:28.000 It's because of the lockdowns that people have had the hardest year financially and economically of their entire life.

00:03:37.000 But despite this, Congress met and passed, and President Donald Trump signed into law a $900 billion Chinese coronavirus relief bill, alongside a $1.4 trillion government funding bill.

00:03:55.000 Within the Chinese coronavirus relief bill omnibus package, and they were passed side by side.

00:04:01.000 So I'm going to basically describe them as one giant bill.

00:04:05.000 Here's some of the spending that is within this bill.

00:04:08.000 $8 billion for the overseas contingency operations and the global war on terrorism.

00:04:13.000 $1.7 billion on USAID operations abroad.

00:04:18.000 $26.5 billion for bilateral economic assistance abroad.

00:04:22.000 So we're sending $26 billion around the world.

00:04:26.000 Where's the $26 billion to go help inner-city families that are struggling to be able to get their children educated?

00:04:34.000 Nowhere to be seen.

00:04:36.000 $3.3 billion for global health programs.

00:04:39.000 $4.4 billion for international disaster assistance.

00:04:43.000 $3.4 billion for refugee assistance.

00:04:46.000 $2.4 billion for democracy programs.

00:04:49.000 $1.7 billion, strangely, for just the country of Jordan.

00:04:53.000 $1.9 billion for international food aid.

00:04:56.000 $35 billion in new clean energy initiatives to fight climate change.

00:05:00.000 $9 billion for international security assistance.

00:05:04.000 $5.9 billion for the President's Emergency Plan for AIDS Relief.

00:05:08.000 $950 million for basic education programs in foreign countries.

00:05:13.000 $740 million for educational and cultural exchange programs in foreign countries.

00:05:18.000 $1.5 billion for contributions to international organizations.

00:05:22.000 $224 million for tax breaks for motorsports venues.

00:05:27.000 $16 billion in tax credit for businesses that hire individuals facing, quote, significant barriers to employment.

00:05:33.000 $1 billion tax credit for special expensing rules for entertainment productions.

00:05:38.000 $13 billion in tax breaks for clean energy initiatives.

00:05:42.000 $9 billion in tax credits for beer, wine, and distilled spirits producers.

00:05:47.000 $2 billion to enable scientific information about the earth and its changing climate.

00:05:53.000 $16.2 billion in excess funding for transportation, housing, and urban development.

00:05:58.000 $19.2 billion in excess funding for Department of Labor and Department of Education and Health and Human Services.

00:06:04.000 $6.9 billion in excess funding for energy and water development.

00:06:08.000 And $12.3 billion in excess funding for Federal Emergency Management Agency.

00:06:14.000 Just out of that list, over $203 billion.

00:06:20.000 That's just the major pieces of waste.

00:06:23.000 That does not include some of the crony corporate handouts that are within this bill, some of the massive corporatist funding within this bill.

00:06:32.000 That's just the most outstanding pieces of what is called pork.

00:06:37.000 In addition, there is a $600 provision for Americans that are just checks for people under a certain income threshold.

00:06:46.000 Now, this is all under the guise that the economy is suffering, people are suffering, we must do something.

00:06:52.000 But does stimulus actually help people?

00:06:53.000 Is this the proper role of government?

00:06:55.000 The answer is definitively no.

00:06:58.000 We are not going to do what other media, podcasts, radio shows, and television programs are doing, which is people are hurting.

00:07:06.000 We're going to turn a blind eye.

00:07:08.000 This stimulus is a disaster.

00:07:10.000 The stimulus should not have been signed into law.

00:07:12.000 Stimulus does not work.

00:07:14.000 It's because people don't want to have an honest conversation over what stimulus actually is.

00:07:20.000 In the Declaration of Independence, it says clearly that the laws of nature and nature's God should guide us.

00:07:28.000 The laws of nature, of Newtonian physics, and object at rest will stay at rest.

00:07:33.000 Understanding force equals mass times acceleration, the laws of nature, such as gravity, the laws of thermodynamics.

00:07:40.000 These are things that we do not debate.

00:07:42.000 We do not argue.

00:07:43.000 We don't pass multi-trillion dollars of stimulus fighting laws of nature.

00:07:50.000 Now, the left, Democrats in general, they've never believed in the laws of nature. 0.93

00:07:54.000 They think that any gender can give birth.

00:07:59.000 That is the newest quasi-scientific breakthrough that Harvard University has says.

00:08:04.000 The left has said there is no such thing as biological gender.

00:08:08.000 I don't expect them to follow the laws of nature, but we should.

00:08:14.000 Just as force equals mass times acceleration, there are laws of economics.

00:08:20.000 There's laws of supply and demand, there's laws of inflation.

00:08:23.000 We don't like to talk about it.

00:08:24.000 Instead, we play partisan politics, hide behind good intentions, and good intentions do not result in good public policy.

00:08:33.000 And we act as if this one is different, it's just okay.

00:08:36.000 No, it's not.

00:08:38.000 In this episode, I'm going to dive into great detail of what stimulus actually is, what inflation is, what is money, and why Congress, and yes, the president should have done nothing except reopen our country.

00:08:51.000 You want a stimulus package?

00:08:53.000 Reopen the country fully and totally and reward good behavior, not bad behavior.

00:08:59.000 So let's just take a step back and talk about what stimulus actually is.

00:09:03.000 Why are they doing this?

00:09:04.000 Well, usually stimulus happens because of widespread suffering and economic depression.

00:09:11.000 I have lived through two of the largest pieces of stimulus in American history after the Great Recession of 2008 and, of course, the Chinese coronavirus.

00:09:22.000 Let us not forget earlier this year, Congress passed a multi-trillion dollar stimulus package that included $70 million for PBS, $85 million for national public radio, $300 million for refugee resettlement, hundreds of billions of dollars for crony corporate interests.

00:09:43.000 The other major stimulus bill was back in 2008.

00:09:47.000 President George W. Bush signed the Economic Stimulus Act to try to alleviate the effects and stave off the recession.

00:09:55.000 That was $152 billion in a $600 tax rebate, followed, of course, by President Barack Obama's stimulus package, $1 trillion, back in 2009, which was around having green jobs, infrastructure, education, health, which provided zero stimulus to economic growth.

00:10:14.000 Stimulus has never worked in the history of our country.

00:10:18.000 Now, I'm sure a lot of you were educated incorrectly about the Great Depression.

00:10:23.000 Many of you probably were taught that the New Deal was a successful government intrusion into the economy.

00:10:31.000 This is a flat-out lie.

00:10:33.000 The first New Deal was passed in 1933 and 1944, which handled, of course, the Emergency Banking Act and the Banking Act of 1933.

00:10:41.000 Unemployment persisted.

00:10:43.000 We don't talk about that, but there was no major structural changes in unemployment, so they passed the Second New Deal of 1935 to 1936.

00:10:50.000 It was a series of programs referred to as the Alphabet Soup.

00:10:54.000 Of course, it was the Security Exchange Commission, the Federal Housing Authority, the Tennessee Valley Authority, but we don't talk about what happened a couple years later.

00:11:03.000 In fact, one year later, the Great Recession of 1937.

00:11:09.000 It was such a major recession that unemployment went to negative 18%.

00:11:15.000 We never talk about this.

00:11:17.000 The only thing that got us out of the Great Depression was World War II.

00:11:21.000 You know, it helps when your greatest economic competitors get bombed to smithereens.

00:11:27.000 Really, no one else to compete against because of all the pent-up demand and the years of government-forced sacrifice in the years of 1940, 41, 42, and 43.

00:11:38.000 What followed in the years to come was one of the greatest economic booms in American history, not because of the war, but the pent-up demand and the celebratory spending that came in years to come.

00:11:52.000 In fact, despite what your history teachers might tell you, we actually cut government spending in the years after World War II.

00:12:00.000 We dramatically cut military spending, and because of that, we saw massive economic investment in our country.

00:12:09.000 Look, you guys have heard me talk about Good Ranchers before.

00:12:12.000 Good Ranchers began with the standard of bringing top-quality, 100% American-born, raised, and harvested meat to families across America.

00:12:20.000 This vision was instilled into them from their grandparents that owned community grocery stores and believed in trust, charity, and family values.

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00:12:50.000 And as always, Good Ranchers is 100% American beef and chicken and now pork.

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00:13:13.000 If the New Deal actually got us out of the Great Depression, why was there a recession in 1937?

00:13:21.000 What about other countries that have tried to do stimulus?

00:13:25.000 In the 1980s, there was a growing fear that Japan was going to take over the world.

00:13:30.000 Japan was purchasing U.S. assets.

00:13:34.000 They were actually at one time they owned Rockefeller Plaza and Center.

00:13:39.000 The Imperial Palace in Japan was the most valuable piece of real estate on the planet.

00:13:45.000 And then because of inflated asset prices and bad and malinvestment, Japan went through a massive economic recession and eventually a depression.

00:13:55.000 And what is now known as the lost 30 years, Japan is still living through this, where Japan's debt to GDP ratio is 263.99%.

00:14:06.000 They owe more money than they are actually worth.

00:14:08.000 And what does Japan do in response to the Chinese coronavirus?

00:14:12.000 They double down to deliver the world's biggest stimulus package.

00:14:16.000 I suppose once you're so far into debt and you've already devalued your currency to such a great extent, what's another couple trillion dollars between friends?

00:14:28.000 Japan is a perfect test case of what happens when a country starts to really find itself addicted to bad government spending and inflationary practices.

00:14:39.000 Japan has lost the last 30 years of becoming an economic superpower because it decided to borrow against its own value in the 1990s, early 2000s, and even to today.

00:14:54.000 Japan is a perfect example of what happens when you start to engage in over-the-top deficit spending and create money out of thin air.

00:15:06.000 So this stimulus package, signed by President Trump and passed by a Republican Senate, inexcusably passed by a Republican Senate and by House Democrats, is at direct odds with the laws of nature.

00:15:19.000 We don't fight the laws of nature, but for whatever reason, because of political expediency, because of the fear of getting called bad names by the Washington Post or the New York Times, we decide to fight the laws of economics.

00:15:35.000 Here's a question that I'm sure that someone has not asked you recently: What is money?

00:15:43.000 We talk about $900 billion, $1.3 trillion, $3 trillion.

00:15:48.000 What is money?

00:15:50.000 Let's go back to the history of money.

00:15:53.000 Before money, the way that we used to trade was through barter.

00:15:58.000 I have a chicken, you have a wheel, I will trade you a chicken for a wheel.

00:16:03.000 You both have an idea of what a chicken is worth or what a basket of oranges would be worth, and you enact a trade.

00:16:12.000 Hopefully, both parties are happy.

00:16:15.000 The problem, though, is what economists call a double incidence of wants problem.

00:16:22.000 Basically, you have to find a producer for that demand.

00:16:27.000 There's a great series of videos called Learn Liberty.

00:16:30.000 I think they decommissioned them.

00:16:31.000 But I encourage every single member of Congress to sit down and actually watch these videos.

00:16:36.000 Understand what money really is.

00:16:38.000 The double incidence of wants problem is that what if I don't want a wheel, but I want your oranges, and the only thing you want in exchange for your oranges is a wheel.

00:16:49.000 Well, then I have to go find someone that has a wheel, find something they want, trade for that wheel to go find someone so I can get the basket of oranges.

00:16:58.000 Money solves all of these problems.

00:17:00.000 Money, being a representation of value, allows not that I have to go find a wheel or a specific thing that someone is searching for.

00:17:09.000 I can find the money that represents that, and all of a sudden the marketplace opens up beautifully.

00:17:14.000 I then can buy a home.

00:17:15.000 I then can buy education.

00:17:17.000 I then can save a little bit of money.

00:17:19.000 And this is how money came to be.

00:17:21.000 It also saved the retention of value problem, especially in agrarian economies when you had a certain harvest or a certain crop or a certain produce or a certain livestock, things die.

00:17:34.000 They wither.

00:17:35.000 They perish.

00:17:37.000 And so instead of having to sell all of your crops at once or sell them for a fire sale, money allowed you to be able to sell your oranges to someone that's willing to pay a big price to them.

00:17:50.000 And then you can save that value.

00:17:52.000 Your value is just not in the perishing window of oranges or cucumbers or strawberries or whatever you might be growing.

00:18:00.000 Money actually helped us break out of an agrarian economy and into a more industrial economy.

00:18:07.000 It allowed you to have a couple very good years of harvest and then use that harvest not just for trading something for perishable good, for perishable good, but solving the retention of value problem.

00:18:21.000 You were then able to use that money to maybe then buy a factory, to maybe then buy transportation so you can move your family or progress up the economic ladder.

00:18:31.000 Money solved that problem.

00:18:34.000 Money, put very bluntly, allows trade to occur.

00:18:38.000 Money is a representation of value.

00:18:41.000 Money is valuable because goals and services are represented in the money.

00:18:48.000 So why don't we just print more money?

00:18:50.000 Why don't we just do exactly what Congress has done?

00:18:54.000 We're suffering quite a lot.

00:18:56.000 We are under a lot of pressure because of these lockdowns.

00:18:59.000 Now is a perfect time to open up the spigot a little bit.

00:19:02.000 Come on, Charlie, live a little bit.

00:19:04.000 Let's print that money.

00:19:05.000 Let's get the Federal Reserve working for us.

00:19:08.000 Printing more money doesn't make more stuff appear.

00:19:16.000 I wish a politician would have the courage to say this.

00:19:19.000 I wish a politician, one of the many members of the House of Representatives and U.S. Senate that asked for our help throughout the last couple of years, would have the courage to go on the House floor and say, you do know that creating all of this money, printing all of this money, it doesn't make more stuff actually magically reappear.

00:19:41.000 What it does do is it spreads the value of the goods and services among a larger number of dollars.

00:19:51.000 And then you get something called inflation.

00:19:54.000 Do you want to calculate inflation?

00:19:57.000 Take out a piece of paper, take out a pen, and write number of dollars, and then a line underneath it, and underneath that line, write goods and services.

00:20:07.000 Here's how you calculate inflation, the number of dollars that are out there and goods and services that are being provided.

00:20:16.000 What has happened because of the greatest government intrusion in American history through these lockdowns, we have more dollars than ever before, thanks to the stimulus and the foolish war against the laws of economics that our leaders have decided to wage over the number of goods and services, which is decreasing by definition.

00:20:37.000 Over 200,000 small businesses have gone under since the beginning of the draconian lockdowns.

00:20:44.000 But the number of dollars have increased.

00:20:47.000 Now, to play devil's advocate against myself, the Keynesian economists, John Maynard Keynes, who of course wrote the general theory of employment, interest, and money, basically started something that is called the Keynesian revolution.

00:21:02.000 He had the famous quote in the long run, We Are All Dead.

00:21:05.000 He was a huge proponent of deficit spending.

00:21:07.000 He helped flag the term liquidity trap, which is a bunch of nonsense.

00:21:12.000 Happy to dive into that more.

00:21:15.000 However, John Maynard Keynes would be the significant influence behind the economic school of thinking for the Democrat Party.

00:21:24.000 And so John Maynard Keynes would argue that in a time of economic depression, economic stagnation, which we are living through, the solution would be, let's go inject trillions of new dollars.

00:21:36.000 People will spend with those trillions of new dollars.

00:21:39.000 Therefore, it will result in more economic activity.

00:21:42.000 The opposite is actually true.

00:21:45.000 Instead, people might spend with that money, but where will they spend it?

00:21:51.000 They'll spend it with a small select few of corporations, Amazon, Netflix, maybe bad credit card debt.

00:21:58.000 Spending is categorically different than investment.

00:22:03.000 Let me say that again.

00:22:04.000 Spending is completely different than investment.

00:22:08.000 Investment is the strategic placement of dollars for a long-term benefit.

00:22:15.000 It might be a factory.

00:22:16.000 It might be an office building.

00:22:18.000 It might be a subdivision. 0.87

00:22:20.000 It might be hiring a worker.

00:22:22.000 When we hire someone here on the Charlie Kirk show, we hire a researcher.

00:22:26.000 I'm not spending money to hire a researcher.

00:22:30.000 I'm investing money to hire a researcher, knowing that any dollar I put in will be delayed benefit to one day result in meaningful research.

00:22:42.000 That means that I'll be able to deliver better podcast episodes in the future.

00:22:46.000 Spending would be me just going out to have a meal, having immediate gratification, but not believing long-term there will be that much value from that meal.

00:22:59.000 Spending is different than investment.

00:23:02.000 You see, the Keynesian economists and a lot of our economically illiterate leaders in both parties, they choose to conflate the two.

00:23:11.000 They say that this Chinese coronavirus spending package will increase spending.

00:23:16.000 So what?

00:23:18.000 Spending is not what drives a sustainable and healthy economy.

00:23:24.000 Investment does.

00:23:25.000 Investment is driven by entrepreneurs.

00:23:29.000 Entrepreneurs are modern-day heroes.

00:23:32.000 Entrepreneurs are problem solvers.

00:23:34.000 People say all the time, they say, Charlie, how do I get rich?

00:23:37.000 Go find a problem and solve that problem.

00:23:40.000 People will pay you to solve that problem.

00:23:42.000 That's what entrepreneurs do.

00:23:44.000 They find a problem, they solve the problem, and they charge for it.

00:23:47.000 That's it.

00:23:48.000 That's an entrepreneur.

00:23:49.000 And we willingly, happily pay people for that.

00:23:53.000 Sometimes those people game the system.

00:23:55.000 They use crony corporate handouts to benefit themselves.

00:23:59.000 Sometimes they buy out the competition.

00:24:01.000 Sometimes they act in an overly corporatist mindset.

00:24:05.000 We are heavily critical of those corporations here on this program.

00:24:08.000 But generally, entrepreneurs in the small, medium, and sometimes on the bigger scale, they want to solve problems for you so that they can get personally and monetarily rewarded.

00:24:21.000 I think it's a great thing when I see a new restaurant open up in Scottsdale.

00:24:21.000 Good for them.

00:24:25.000 They think that they can solve a problem of people's hunger and they're investing in themselves.

00:24:29.000 They're betting on themselves.

00:24:31.000 The stimulus does nothing for that.

00:24:34.000 Nothing.

00:24:34.000 It doesn't reopen the country.

00:24:36.000 It doesn't reward states that have decided to encounter this virus and the lockdowns of bravery and wisdom.

00:24:43.000 Instead, it subsidizes inactivity.

00:24:47.000 Doubling dollar bills simply doubles prices, especially when you don't have economic activity to correlate alongside the creation of that money.

00:25:01.000 Wealth does not come from money.

00:25:03.000 Instead, wealth comes from the goods and services that money represents.

00:25:09.000 That's called an economic truth.

00:25:12.000 It's a hard thing to talk about because passing a big stimulus like this feels good, doesn't it?

00:25:18.000 Yeah, people are going to be helped.

00:25:19.000 And maybe there will be small businesses that will be richly rewarded and saved thanks to the PPP money.

00:25:28.000 I know some of those people, and God bless them.

00:25:30.000 They are not the brunt of my criticism.

00:25:35.000 However, you want to really help them?

00:25:38.000 Open up the country.

00:25:39.000 Subsidize good behavior.

00:25:41.000 You want to really help people?

00:25:43.000 Don't deficit spend our country into a long-term debt cycle, which I'll get to in just one second.

00:25:52.000 Instead, we should be talking about restricting the money supply, not inflating the money supply.

00:26:01.000 You want to open up the country?

00:26:03.000 You want to stimulate the country?

00:26:05.000 Well, then why don't you go subsidize entrepreneurs, subsidize family creation? 0.85

00:26:11.000 That's the ultimate stimulus.

00:26:14.000 Is more American-born human beings and citizens.

00:26:18.000 That's a true stimulus.

00:26:20.000 Not checks for sitting around, which will make the money worthless and meaningless.

00:26:29.000 Look, it's not often you get a gift for yourself, but I need to tell you about something that you got to buy.

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00:26:57.000 Who knows what the next administration will do or what's going to happen.

00:27:01.000 So look, we don't know what's coming next.

00:27:03.000 And you have to have a hedge.

00:27:05.000 They're creating money.

00:27:06.000 Austrian School of Economics is completely under attack.

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00:27:31.000 In 1929 to 1932, we all know the Great Depression, which was a byproduct largely from a debt crisis.

00:27:39.000 In the 1920s, we were addicted to debt and we paid a big price for that.

00:27:42.000 What did we do in return?

00:27:44.000 The New Deal programs by FDR, which did nothing to end the Great Depression.

00:27:50.000 Nothing.

00:27:51.000 In 1932, we went to 0% interest rates to a place where we had no more stimulus left to give.

00:27:58.000 Only the war and the massive disruption that that represented got us out of the Great Depression.

00:28:08.000 Now, some economists will be going on television.

00:28:10.000 They'll be saying, inflation is not coming because of technology.

00:28:15.000 There is some truth to this.

00:28:17.000 Like all big lies that are told by our politicians and our corporate elite, there's probably a nugget of truth.

00:28:24.000 Because we are able to shop around quicker than ever before and compare prices without ever actually having to get in a car, you are able to save more money than ever before.

00:28:35.000 But the way that we actually calculate inflation is very deceiving.

00:28:41.000 And before we get into actually how we calculate inflation, the question should be, who benefits from this stimulus?

00:28:47.000 Answer, the wealthiest Americans among us.

00:28:50.000 Normal people are going to get crushed by this stimulus.

00:28:53.000 I'm going to tell you why.

00:28:54.000 Inflation is coming.

00:28:55.000 It's not coming a little bit.

00:28:56.000 It's already here.

00:28:58.000 The dollar bills that you have in your bank account actually don't even exist in real form.

00:29:03.000 We don't have the physical capacity or capability to print the amount of money that is necessary to justify the digital currencies that are out there.

00:29:16.000 It's all digitized.

00:29:18.000 So who's going to benefit from this?

00:29:20.000 Jeff Bezos, Sergey Brin.

00:29:22.000 The wealthiest people in our country will benefit from this stimulus.

00:29:27.000 That's why the stock market goes up as soon as they see a massive stimulus bill passed.

00:29:32.000 It actually doesn't help long-term investment.

00:29:35.000 It doesn't help the next generation of entrepreneurs.

00:29:37.000 It doesn't help the welder, the plumber.

00:29:41.000 What would help is actually getting government out of the way and saying, our country is open.

00:29:45.000 We know how this virus operates.

00:29:47.000 Go back to work.

00:29:49.000 And the rich will get richer because they'll be able to have hedges against inflation.

00:29:54.000 Remember, inflation occurs when the number of dollars exceeds the goods and services being provided.

00:30:02.000 New businesses are not getting started at the rate to replace the closure of old businesses.

00:30:07.000 It's not happening.

00:30:08.000 Money is a representation of value.

00:30:10.000 Money is only valuable because goods and services are represented in it.

00:30:14.000 And printing more money does not make more stuff appear.

00:30:17.000 I know it's a hard truth for some politicians to understand and swallow.

00:30:21.000 You know what printing more money does do?

00:30:23.000 It makes wealthier people permanently wealthy.

00:30:26.000 Maybe that's why Congress is so eager to pass this bill.

00:30:30.000 Get people their $600 checks.

00:30:32.000 That $600 is not going to be worth the $600 you think it's worth because the currency day by day is becoming more and more worthless.

00:30:40.000 But it's not worthless for rich people.

00:30:42.000 Why?

00:30:42.000 They have hedges against inflation.

00:30:44.000 They'll buy land.

00:30:45.000 They'll buy silver.

00:30:46.000 They'll buy hard assets.

00:30:48.000 They'll buy Bitcoin.

00:30:50.000 They'll buy things that are finite, not infinite, like our current fraud of a fiat monetary currency system.

00:31:00.000 And here's how inflation is actually measured.

00:31:03.000 You have the price index, which is allegedly a basket of goods and services, which is a moving average of the CPI, which is the consumer price index.

00:31:11.000 The inflation rate is a percentage change in the index.

00:31:15.000 And so, for example, Venezuela year over year will have a 500% change in prices.

00:31:22.000 Last 33 years, prices have about doubled.

00:31:24.000 It's really more than that, because the way that we calculate inflation is incredibly deceptive.

00:31:28.000 We don't take into account education, marginally take into account transportation.

00:31:33.000 Housing is an outlier in a lot of sense.

00:31:35.000 And so, because of that, we're told there's no inflation, there's no inflation.

00:31:38.000 Meanwhile, working people see that the dollars that are represented in their wages are actually worth less than it was two years ago.

00:31:46.000 And that's only going to get worse.

00:31:48.000 So, why are so few people speaking out against this fraud of a stimulus?

00:31:55.000 Why are so few people talking about what the actual stimulus should be, which is reopening the country and incentivizing investment and saving, not reckless spending?

00:32:08.000 The economy is not going to magically turn around.

00:32:10.000 You get your $600 and all of a sudden you go take your family out to a big steak dinner.

00:32:15.000 Now, that might immediately help a couple waiters and waitresses in the supply chain, but that's not long-term investment.

00:32:22.000 How do you get investment?

00:32:24.000 Answer number one: you don't demolish your currency.

00:32:28.000 A country's currency represents the combined needs, wants, interests, goals, ambitions of its working class.

00:32:39.000 If a worker does not feel as if the currency they are slaving over every single day to earn is worth anything, they will disengage and support Bolshevik Marxist socialist ideas overnight.

00:32:55.000 The number one goal of any stimulus or any sort of relief package should be protect the currency at all costs.

00:33:03.000 Our leaders have done the opposite.

00:33:06.000 Our leaders have decided to betray plumbers, veterans, teachers, pipe fitters, and truck drivers.

00:33:16.000 Instead, they're giving a wink and a nod to the caviar-eating champagne, sipping, private jet-flying ruling class from Malibu, Menlo Park, and Martha's Vineyard.

00:33:30.000 They love stimulus.

00:33:32.000 If you're wealthy and you're listening to this right now, you're going to be just fine.

00:33:36.000 I think you know that.

00:33:37.000 But for the millions of young people that we touch every single month here on this program, you're going to get screwed by this.

00:33:45.000 So, the first stimulus should be: we're going to protect our currency.

00:33:48.000 While the rest of the world is going to engage in another long-term quantitative easing, central bank-subsidized creating money out of thin-air cycle, we're going to do the opposite.

00:34:00.000 We're actually going to protect our workers.

00:34:03.000 We are actually going to stimulate our economy by opening our economy.

00:34:08.000 Our leaders don't have that kind of courage, so instead, we fight the laws of nature, not dissimilar than how the left does, where they decide to wage war on gender norms, biology.

00:34:21.000 A human universal is when you subsidize bad behavior, you're going to get more of that behavior.

00:34:26.000 We are subsidizing the lockdown states and taxing the free states.

00:34:32.000 Another law of human nature, thanks to economics, is when you create something that is meaningless, you're not going to get something meaningful out of that.

00:34:42.000 Every country and civilization that has decided to experiment with fiat currency crumbles.

00:34:54.000 Now, I'm sure you're asking, well, Charlie, how's China dealing with all of this?

00:34:57.000 Before China passed any sort of massive central bank quantitative easing Bank of China fraudulent scheme, whatever the Chinese Communist Party would bake up, they've opened their country.

00:35:07.000 Now, how they were able to do that so quickly is something that I hope gets thoroughly investigated.

00:35:14.000 They have to answer for.

00:35:16.000 But they knew that if they just created a bunch of money out of thin air without having correlating economic activity, then inflation would happen. 0.95

00:35:25.000 Vladimir Lenin famously said, You want to break the backs of a working class? 0.85

00:35:30.000 Do so through taxation and inflation.

00:35:33.000 So when you have all of these massive announcements that we're going to spend a trillion dollars, which most of which is wasteful, being sent all around the world, $1.7 billion to Jordan, $30 billion to climate change.

00:35:48.000 And when you do this and you expect economic activity to follow, you're intentionally deceiving people.

00:35:57.000 The only way that we get back to the economy that we enjoyed under President Donald Trump earlier this year is by embracing therapeutics, understanding how to protect yourself against the virus if you're worried about the virus, and fully reopening the country.

00:36:12.000 What Congress should have done is they should have said, here's the five things we know that work against the Chinese coronavirus.

00:36:19.000 Hydroxychloroquine, regeneron.

00:36:22.000 We are going to pay states to reopen.

00:36:27.000 What a concept.

00:36:28.000 They should have done the opposite. 1.00

00:36:29.000 Instead, our leaders, being mostly cowardly and foolish, they said, we're going to pay states to stay closed. 0.99

00:36:37.000 An inflationary bubble is what happens next. 0.99

00:36:42.000 And I think a lot of this is because our leaders are afraid to actually have tough conversations.

00:36:48.000 I think that many of our congressional leadership know these laws of economics.

00:36:53.000 If I sat down with them and I asked them about the three biggest stimulus packages ever passed, 1932, 2008, and 2020, I think they know at a very personal level how bad this is for the country.

00:37:05.000 Yet they do it anyway.

00:37:07.000 Why?

00:37:09.000 Because they don't want to be known as the person that opposes all of this relief.

00:37:13.000 And there's so many, there's different ways they could have structured this relief.

00:37:18.000 Not having it be forgivable loans, have it be zero interest, repaid loans, have some people have skin in the game, $600 to every American.

00:37:25.000 Andrew Yang may have lost the Democrat primary, but he won the universal basic income war.

00:37:30.000 It's bad economics.

00:37:31.000 It's bad morally.

00:37:32.000 It's bad sociologically.

00:37:33.000 It's bad for our country.

00:37:34.000 It's bad in every single way whatsoever.

00:37:37.000 And my guiding intention here is to protect the currency at all costs.

00:37:43.000 You devalue your currency.

00:37:46.000 You might as well invite the socialists to run our country, invite the corporatists to become endlessly wealthy instantaneously.

00:37:52.000 The second thing is that you know how many good entrepreneurs that are trying to solve problems that will soon find their lifelong savings rendered useless.

00:38:03.000 Basically, if you played by the rules your entire life and did not over-leverage yourself, did not borrow more money than you should have, you're getting penalized.

00:38:17.000 Our entire country is basically structured on debt.

00:38:21.000 From leverage buyouts from Wall Street to student loan debt to corporate debt, our whole country is built on the full faith and credit of the United States.

00:38:31.000 Basically, our entire civilization is leveraged on our military might.

00:38:36.000 That's about it.

00:38:37.000 How many aircraft carriers do we have? 0.82

00:38:39.000 Do we have a bunch of missiles?

00:38:40.000 And do we have the will to actually deploy them?

00:38:42.000 That's it.

00:38:43.000 We don't have more people, and we're surrounded by two huge bodies of water and two allies.

00:38:48.000 That helps as well.

00:38:50.000 And so our entire civilization, the last 30 years, post-1990, has been, how do we live a little bit larger and borrow on the limits even more while deteriorating our currency.

00:39:07.000 You want to know why we have a record income wealth divide in our country?

00:39:11.000 Central bank policies that have demolished your capacity to save and invest.

00:39:18.000 And what's the result been?

00:39:20.000 This year, Jeff Bezos is the wealthiest man ever to live in the history of the world.

00:39:26.000 He's laughing because he's worth $185 billion.

00:39:31.000 And he knows he's going to surpass $200 billion in net worth thanks to this stimulus.

00:39:38.000 If you're a plumber and you're a middle-class worker listening to this, you should feel betrayed by your leaders.

00:39:46.000 It's that simple.

00:39:48.000 And the place this will lead us is all of a sudden just no different than if you're listening to this and you have a pen, you have a bottle of water and you lift it and you drop it and you see that pen drop.

00:40:01.000 You know the laws of gravity.

00:40:03.000 You know that pen will stay there unless you push it.

00:40:06.000 You know the laws of Newtonian physics that an object at rest will stay at rest.

00:40:11.000 The laws of economics are going to come and hurt every single decent person in this country.

00:40:18.000 And people with malevolent aims and objectives, socialists, Bolsheviks, Marxists, and the corporatists, they will benefit from this.

00:40:27.000 The corporatists will be wealthier than ever before, and you'll have a smaller group of mega corporations that will have a form of corporate tyranny over us all.

00:40:36.000 Entrepreneurs, forget it.

00:40:38.000 The next guy in the space, get rid of it.

00:40:40.000 Restaurants will barely be able to survive, but most won't even take the PPP money.

00:40:44.000 They'll shutter their doors.

00:40:46.000 They'll say, forget it.

00:40:47.000 And you want to talk about the best possible economic circumstance for an Alexandria Ocasio-Cortez or a Bernie Sanders to all of a sudden demagogue their way to power?

00:40:58.000 You have just created it.

00:41:01.000 It's going to be hard to argue against them when all of a sudden they say, why does Bezos have $200 billion and you can't make your $200 a month rent?

00:41:12.000 Hard to argue against that.

00:41:14.000 All of a sudden, if we just start using free market euphemisms, I'm going to stop myself and say, you know what?

00:41:19.000 You're right, but you're right for the wrong reasons.

00:41:21.000 You're only right because we did the instant gratification public policy measure of passing reckless stimulus when we knew we couldn't afford it, we knew we didn't have the economic activity to correlate with it, we knew that more dollar bills would not all of a sudden create new stuff.

00:41:42.000 We knew we were subsidizing bad behavior.

00:41:43.000 We knew that the country was going to stay locked down for more and more months beyond that.

00:41:47.000 We knew that we weren't solving the retention of value problem.

00:41:49.000 We knew we weren't solving the double incidence of wants problem.

00:41:54.000 We knew that printing more money doesn't all of a sudden make all this beautiful new productivity occur or appear.

00:42:00.000 We knew the opposite actually was the case based on the last round of stimulus.

00:42:04.000 We knew that the creation of that money would only spread the value of goods and services among a larger number of dollars.

00:42:11.000 We knew all of that, and we still decided to do that.

00:42:14.000 Why?

00:42:15.000 Because it felt good.

00:42:17.000 Because we didn't want a bunch of people screaming at us.

00:42:19.000 And let me be clear, a targeted relief bill, no more than $75 to $100 billion, could have been there for every single displaced business if it correlated with a proper reopening strategy and subsidizing the reopening of our country, demanding it.

00:42:38.000 Instead, we have the opposite.

00:42:40.000 We do not have brave and wise leaders. 0.99

00:42:42.000 We have cowardly, feckless, short-sighted leaders. 0.97

00:42:46.000 And the results will be devastating for the country. 0.98

00:42:50.000 And so many other podcasts and pundits are going to tap dance around this.

00:42:55.000 I have always been a fiscal hawk.

00:42:59.000 I remain an American patriot who does want to bring back American manufacturing, limit the supply of plastics flowing into our country.

00:43:10.000 I believe that a form of tariffs and sanctions on our enemies might result in higher prices, but will help the American worker and with it, the fabric of our country.

00:43:22.000 I believe in all those things.

00:43:24.000 However, one thing that I have been fighting for since the beginning of Turning Point USA is to stop our country's addiction to a long-term debt cycle and to always look to the kingdom of Washington, D.C. to solve our problems.

00:43:40.000 And what we did here and what we continue to do will only mean we're going to have to pass another stimulus in another six months.

00:43:46.000 So buckle up, ladies and gentlemen.

00:43:48.000 Rich people are only going to get richer. 1.00

00:43:51.000 And AOC is smiling in a corner because she is planning her blame game to get her and her comrades into power.

00:43:59.000 So people say, well, Charlie, what can I do about this?

00:44:01.000 If you have any money, go buy stuff you can touch and feel.

00:44:06.000 Because more than even inflation that is coming, conflict is coming.

00:44:09.000 You can't all of a sudden create money out of thin air, subsidize bad behavior, send it all across the planet, and not act as if there will be professional politicians that will come in and place blame to go get themselves back into higher power.

00:44:24.000 The other thing you can do is speak out against it and educate people on economics.

00:44:28.000 The amount of economic illiteracy in our country stuns me.

00:44:32.000 The amount of people that actually know economics that have no courage also stuns me.

00:44:37.000 But we picked the tough fights here on the Charlie Kirk show.

00:44:40.000 We know that you guys support us at charliekirk.com slash support to give you guys the truth, not to all of a sudden hide behind these nicely worded slogans.

00:44:52.000 We know what's really happening here.

00:44:54.000 So we're going to keep on following this as it progresses.

00:44:58.000 However, I could tell you right now that this is just another example of Washington, D.C. spending money on a bunch of nonsense, sending it all around the planet, and believing this lie that we must do something when the something is right in front of you.

00:45:14.000 Open the country.

00:45:15.000 Do it responsibly, bravely, and with wisdom.

00:45:18.000 And none of this deficit spending, inflation-inducing activity would have been necessary.

00:45:25.000 That's how you stimulate the American economy.

00:45:30.000 Thank you for listening, everybody.

00:45:32.000 You guys can email us your questions, freedom at charliekirk.com.

00:45:35.000 You guys can support us at charliekirk.com/slash support.

00:45:38.000 If you want to get involved with Turning Point USA, where we play offense with a sense of urgency to win America's culture war, go to tpusa.com.

00:45:46.000 That is tpusa.com.

00:45:48.000 Thank you guys so much for listening.

00:45:50.000 More episodes coming to you soon.

00:45:52.000 God bless.

00:45:54.000 Talk to you soon.

The Charlie Kirk Show - December 29, 2020

A Stimulus Disaster

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