The Charlie Kirk Show - May 04, 2023


Banking Crisis—The Tip of a Financial Iceberg? With E.J. Antoni and Michael Seifert


Episode Stats

Length

31 minutes

Words per Minute

175.02657

Word Count

5,490

Sentence Count

426


Summary

Summaries generated with gmurro/bart-large-finetuned-filtered-spotify-podcast-summ .

Transcript

Transcripts from "The Charlie Kirk Show" are sourced from the Knowledge Fight Interactive Search Tool. Explore them interactively here.
00:00:00.000 Hey everybody, Jan the Charlie Kirk Show.
00:00:01.000 Michael Seifert from Public Square.
00:00:03.000 Make sure you download that app.
00:00:06.000 Did Ukraine attack Russia?
00:00:08.000 Did we attack Russia?
00:00:09.000 Boy, I hope we are not.
00:00:10.000 Heading to war.
00:00:12.000 It's not looking good.
00:00:14.000 Nope, not looking good.
00:00:15.000 And finally, an economist walked us through the banking collapse.
00:00:18.000 If you have any economic anxiety, you're going to want to listen to this episode.
00:00:22.000 I want to thank Jamie from California for supporting us.
00:00:24.000 I want to thank Roseanne, charliekirk.com slash support.
00:00:27.000 I want to thank Mary Ann from Michigan.
00:00:29.000 I want to thank Yolanda from Kentucky.
00:00:33.000 I want to thank Kai from Indiana.
00:00:36.000 I want to thank Isaac from New Hampshire, charliekirk.com slash support, and David from Missouri.
00:00:42.000 Email me as always, freedom at charliekirk.com.
00:00:44.000 Buckle up, everybody.
00:00:45.000 Here we go.
00:00:46.000 Charlie, what you've done is incredible here.
00:00:48.000 Maybe Charlie Kirk is on the college campus.
00:00:50.000 I want you to know we are lucky to have Charlie Kirk.
00:00:54.000 Charlie Kirk's running the White House, folks.
00:00:57.000 I want to thank Charlie.
00:00:58.000 He's an incredible guy.
00:00:59.000 His spirit, his love of this country, he's done an amazing job building one of the most powerful youth organizations ever created.
00:01:06.000 Turning point USA.
00:01:07.000 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.
00:01:16.000 That's why we are here.
00:01:19.000 Brought to you by the Loan Experts I Trust, Andrew and Todd at Sierra Pacific Mortgage at andrewandTodd.com.
00:01:29.000 I mean, there is a lot of news when it comes to ratings going down, sales going down.
00:01:38.000 We're seeing a change in the economy.
00:01:41.000 And a company that is dedicated towards leading the way for the Patriot parallel economy is Public Square.
00:01:49.000 You guys should check out their website, publicsq.com.
00:01:51.000 More importantly, download the app.
00:01:52.000 And joining us now is the man behind Public Square.
00:01:56.000 Michael, you know, I was in Idaho Falls last week and I was in Florida before that.
00:02:00.000 You know what I did, Michael?
00:02:01.000 I opened up my Public Square app and I said, I'm only going to get coffee.
00:02:05.000 I'm only going to get, because when I'm traveling, I don't want to go support some LGBT trans thing.
00:02:10.000 And so we get our coffee, get our food from Patriots.
00:02:13.000 Michael, how are things going at Public Square HQ?
00:02:17.000 Charlie, things are amazing because of stories like you just shared.
00:02:20.000 So the last few weeks in corporate America have been absurd with Anheuser-Busch and with a lot of the banks prioritizing woke nonsense over financial stewardship.
00:02:30.000 Silicon Valley Bank donating $70 million to Black Lives Matter.
00:02:33.000 People don't trust our institutions anymore.
00:02:35.000 And rightfully so.
00:02:36.000 They've done nothing to deserve our trust.
00:02:38.000 Corporate America has abused the values that tens of millions of Americans hold dear for the last decade.
00:02:44.000 And so you're seeing patriot after patriot stand up and say, we're done with this.
00:02:48.000 We're going to go shop with businesses that love our country, love the Constitution, love our values.
00:02:52.000 They're pro-life, pro-family, pro-freedom.
00:02:55.000 And in the process, we're seeing the economy literally shift.
00:02:59.000 The right types of businesses are prospering.
00:03:01.000 They're seeing their profits surge.
00:03:02.000 We had a business yesterday that just said, I moved all of my Facebook and Google advertising spend away.
00:03:08.000 And I'm just prioritizing Public Square because I'm seeing better returns there.
00:03:10.000 And the people that are joining us from Public Square platform are actually friendly.
00:03:15.000 They love the country.
00:03:16.000 They're hopeful.
00:03:17.000 They're excited.
00:03:17.000 They're passionate.
00:03:18.000 And it's a win.
00:03:20.000 The alternate economy is a real thing, and it's emerging.
00:03:24.000 And thanks to people like you, it's becoming more and more of a reality every day.
00:03:24.000 Yes, it is.
00:03:29.000 Now, there's a story in Rolling Stone.
00:03:31.000 Companies that get woke aren't going broke.
00:03:33.000 They're more profitable than ever.
00:03:34.000 This is half true.
00:03:36.000 They cherry pick.
00:03:37.000 But what they are saying is legit, Michael, is that we as conservatives are not doing the boycott thing nearly as well as we should.
00:03:44.000 That's why alternatives are necessary.
00:03:46.000 There are some companies that are definitely feeling the heat, right?
00:03:48.000 Budweiser definitely feeling the heat.
00:03:50.000 I mean, but there's other companies like Jack Daniels, which is pro-drag.
00:03:54.000 If any of you guys drink Jack Daniels, I don't.
00:03:56.000 I don't know why anyone would do such a thing, but it's pro-drag.
00:03:59.000 And Carhartt, right?
00:04:01.000 Total pro-LGBT.
00:04:03.000 But like, you know, here's another example, right?
00:04:05.000 How many in the audience right now use Campbell's Soup?
00:04:09.000 Anybody or have Campbell's Soup, right?
00:04:11.000 So Campbell's Soup is telling you we hate the traditional nuclear family.
00:04:17.000 So watch this Campbell Soup advertisement where it's a boy being raised by two dudes.
00:04:22.000 Play Cut 100.
00:04:25.000 Dun, Cooper, I am your father.
00:04:37.000 No, no, no.
00:04:38.000 I am your father.
00:04:44.000 That's got to be the worst fader ever.
00:04:46.000 Campbell's Star Wars Soups.
00:04:48.000 Now, some people might find nothing wrong with that, but it's just part of a theme where they're a lot of salt on the nuclear family, and we're seeing more and more advertisements like this.
00:04:59.000 So, Michael, the argument you're making at Public Square, we're going to have an example after example about this, is stop sending your money voluntarily to people who hate you.
00:05:08.000 That's exactly right.
00:05:09.000 And actually, it's interesting you just showed that Campbell's ad, Charlie, because there is a campaign as we head into Mother's Day right now for multiple corporate entities that have said you can opt out, quote unquote, of Mother's Day this year.
00:05:22.000 And they're claiming that it's because Mother's Day can be a painful time for many.
00:05:26.000 And so, corporate entity after corporate entity is saying, We're actually just not going to celebrate Mother's Day this year.
00:05:31.000 It's subtle, but it is an absolute assault on the nuclear family.
00:05:34.000 It's very timely and relevant.
00:05:36.000 They want to decimate everything that has made this country pure and wonderful.
00:05:41.000 And so, when you have Campbell Soup and all these other corporate entities saying, you know what, we're just going to kind of distort your view of what a family should be.
00:05:49.000 You naturally feel like a family should be a mother and a father, and they're trying to distort that.
00:05:54.000 You add that on top of some of the really blatant examples of the last few years.
00:05:58.000 Pampers, actually, which is one of the most popular diaper companies in the country, Pampers, a few years ago, stated that the new face of Pampers would be a gay couple, two dads.
00:06:08.000 Those are not the people having babies.
00:06:10.000 They're not able to have babies.
00:06:11.000 I mean, yeah, they benefit from people that are not in that lifestyle by definition.
00:06:17.000 Exactly.
00:06:18.000 Christian conservative moms from the Midwest, those are the ones that are having the most babies per household.
00:06:23.000 And so, why would Pampers decide to put a British gay couple as the face of their brand when they could have their actual brand consumers represented?
00:06:32.000 It's because they want to throw a wrench in the value system that has established this country and has led to success and prosperity for years.
00:06:40.000 That's right.
00:06:41.000 And look, none of us are guiltless here.
00:06:42.000 I'm an offender of this.
00:06:44.000 You know, when I'm traveling, sometimes it's just, it's kind of like, hey, Google it or whatever.
00:06:48.000 Just go get a Starbucks, right?
00:06:49.000 I got to be better about this.
00:06:51.000 And I've tried my best.
00:06:52.000 Michael, I imagine that right-wing coffee shops is one of the fastest-growing parts of the public square community.
00:06:58.000 Am I right?
00:06:59.000 We have over a thousand on the platform, just coffee alone.
00:07:03.000 There are so many alternatives, Charlie.
00:07:04.000 And I hear often people say, you know what?
00:07:07.000 What's the point?
00:07:08.000 Why would we even try to shop our values?
00:07:09.000 Because look, they own Apple, they own our computers, they own our cars.
00:07:12.000 Like, we just can't detach.
00:07:13.000 And my simple rebuttal is: we will never be able to conquer those giants, those behemoths and monoliths of industry, unless we start somewhere.
00:07:22.000 And one of the easiest places to start is with a cup of coffee.
00:07:26.000 Starbucks, not only are they pushing this trans agenda, a few years ago they announced that they would actually fund their employees' abortions and like a 401k match, like many employers do for their employees, where they actually match your 401k contribution.
00:07:41.000 They will do the same for donations to Planned Parenthood.
00:07:43.000 So if an employee donates 3% of their salary to Planned Parenthood, Starbucks will actually match that.
00:07:48.000 They've been on this ideological terror for the last decade, and it's so easy and simple to say, you know what?
00:07:54.000 I'm actually unsubscribing from that corrupt system.
00:07:57.000 There are literally over a thousand coffee shops and coffee alternatives on Public Square.
00:08:01.000 You can go there.
00:08:01.000 What's great too, Charlie, is many of the alternatives on our platform, A, are way better because Starbucks burns their coffee and it's gross.
00:08:07.000 And B, they'll give you discounts to shop there.
00:08:10.000 And so you can actually receive incentive for spending money in your alignment with your values.
00:08:13.000 So it's as easy as starting with a cup of coffee, and we encourage every single person that loves the truth in our country to just start there.
00:08:19.000 You know, I feel like sending out one of those nauseating tweets that those Hollywood people send out when they apologize for doing nothing wrong.
00:08:27.000 I was caught on an open mic saying something I shouldn't have said.
00:08:30.000 I'm very offending, offended.
00:08:32.000 You know, I'm very sorry for doing the audience, you know, offending the audience.
00:08:35.000 That's how I feel when I go to Starbucks.
00:08:36.000 I got to be better.
00:08:37.000 I will be better and do better.
00:08:39.000 And it's like, okay, great.
00:08:40.000 So I'll be honest, the Starbucks thing, I got to do better at.
00:08:43.000 But Public Square is helping me with that.
00:08:45.000 So everybody, take out your phone, Apple App Store, download Public Square.
00:08:49.000 And you might say, oh, Charlie, you know, it doesn't make a difference.
00:08:52.000 It does.
00:08:52.000 You're wrong.
00:08:53.000 There's so many options out there.
00:08:54.000 Just in my local neighborhood, I found new coffee shops, new title companies, new mortgage companies, new wealth managers, new restaurants.
00:09:01.000 I mean, restaurants are the easy one, right?
00:09:02.000 There's so much competition in restaurants.
00:09:04.000 In fact, I found out that there was this amazingly good restaurant near where I live, and they are more right-wing than I am.
00:09:10.000 I mean, holy, moly.
00:09:12.000 And we made friends and I met them on Public Square.
00:09:14.000 It's good stuff.
00:09:15.000 Everyone, download Public Square.
00:09:16.000 We don't.
00:09:17.000 Michael, we'll talk to you soon.
00:09:18.000 Thanks so much.
00:09:19.000 Thanks, Charlie.
00:09:19.000 Sounds great.
00:09:20.000 You bet.
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00:10:36.000 Here's what we know: two unmanned drones looked like they attacked the Kremlin in Moscow yesterday.
00:10:42.000 According to Russia, the strike, which seems to have caused a fire inside the building, was an attempted assassination of Vladimir Putin.
00:10:50.000 They say the attack was terrorism and will justify with retaliatory action.
00:10:54.000 In theory, this could justify their own attempts to kill Zelensky, or for that matter, other Western leaders.
00:11:00.000 Now, I just, I don't think this is Ukraine.
00:11:05.000 I just don't.
00:11:06.000 I think the most likely outcome is this is a false flag by the Kremlin.
00:11:12.000 But we'll see.
00:11:13.000 Maybe I'm wrong.
00:11:14.000 The U.S. and Ukraine both deny any involvement in this strike.
00:11:17.000 Basically, they're accusing Russia of launching a false flag attack on itself.
00:11:21.000 Elon Musk endorsed that theory himself on Twitter the other day.
00:11:24.000 We don't know for sure what happened.
00:11:25.000 Everything related to the Ukraine war is a whirlwind of lies on top of more lies, and then that's funding and underwriting the lies.
00:11:32.000 But we have three possibilities.
00:11:33.000 First, maybe Ukraine or the Biden administration or both are lying and they did try to assassinate Vladimir Putin.
00:11:39.000 If so, that's such a reckless escalation.
00:11:41.000 I wouldn't put it past them.
00:11:42.000 Maybe they did it.
00:11:43.000 Putting us once again in danger of nuclear war, of this proxy war that we should not be involved in.
00:11:48.000 Alternatively, maybe this really was a Russian false flag.
00:11:52.000 That's terrible news, regardless, because it shows that Russia is itself laying the groundwork for more aggressive action and escalation, despite our leaders assuring us that this war is contained.
00:12:03.000 And finally, maybe there is some unknown third-party action here, Poland or the UK or internal elements or the Russian military.
00:12:13.000 Or fourth, it could just be a vigilante roughly or loosely associated with Ukraine.
00:12:20.000 That doesn't seem as likely.
00:12:21.000 But in that case, it doesn't matter because both sides are going to blame each other.
00:12:25.000 I mean, Murky is an understatement as a way to describe this.
00:12:32.000 But was our own CIA involved?
00:12:34.000 Was this done by the Ukrainian government?
00:12:34.000 I don't know.
00:12:40.000 And the United States and Ukraine are disavowing.
00:12:43.000 So maybe they were.
00:12:43.000 I don't trust them.
00:12:45.000 By the way, I don't trust their own government when it comes to the Nord Stream 2 pipeline, Nord Stream pipeline bombing.
00:12:53.000 But they also said Putin wasn't even there.
00:12:57.000 And so if it was a false flag, wouldn't they do it if Putin was nearby?
00:13:02.000 The whole thing is very strange and very suspicious.
00:13:07.000 And so let's play some tape on Ukraine because this war is ongoing and we're funding it.
00:13:14.000 We're underwriting the entire thing.
00:13:17.000 And again, we are not receiving answers as to what success looks like.
00:13:24.000 When can this thing be over with?
00:13:26.000 When can we wind this down?
00:13:28.000 No, instead, we're getting the opposite.
00:13:30.000 We are getting increased escalation.
00:13:33.000 And so it's probably unlikely that Ukraine would do this.
00:13:37.000 But I wouldn't put it past it at all.
00:13:41.000 Whose personal national interest is it in to bomb the Kremlin with a drone?
00:13:48.000 Kui bono is qui bono is the Latin phrase.
00:13:51.000 Who benefits from this?
00:13:53.000 Well, quite honestly, Russia benefits the most.
00:13:56.000 We're really supposed to believe that Ukraine or the United States would send kind of this like makeshift drone to the Kremlin.
00:14:04.000 Now, in all fairness, maybe this is a working theory.
00:14:10.000 Maybe Lady Graham took over the drone control operator in the suburbs of DC and just started to go full Rambo and was like, I'm a senator and you're not.
00:14:24.000 Lady Graham was basically pseudo-playing a video game with a drone and redirected it.
00:14:30.000 That's a working theory.
00:14:33.000 Lady Graham has wanted, he called for Putin's assassination.
00:14:41.000 Lady Graham has gone on television and has called for regime change.
00:14:44.000 So maybe it's Lady Graham playing with the joystick.
00:14:51.000 Who knows?
00:14:53.000 It's a mystery.
00:14:54.000 That's a working theory.
00:14:59.000 But it remains to be unclear to me of who benefits the most.
00:15:03.000 Who benefits the most is the Kremlin.
00:15:09.000 Because nobody died and it was kind of like an amateur thing.
00:15:12.000 And then if they want to continue to build domestic support for their war, it's probably the most likely scenario.
00:15:20.000 And look, I am not a military logistics expert by any means.
00:15:26.000 I find it hard to believe that an errant drone can go hundreds of miles from Ukraine untouched, undetected, all the way to the Kremlin and bomb the parliament.
00:15:36.000 Again, I'm not a military logistics guy.
00:15:38.000 I just find that really hard to believe.
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00:16:48.000 Joining us now is Dr. Antoni, economist from the Heritage Foundation and fellow for the Committee to Unleash Prosperity.
00:16:55.000 Dr. Antonio, welcome back to the program.
00:16:58.000 Walk our audience through the historical significance of the bank collapses that we've seen so far this year, and it's probably not over.
00:17:06.000 Your thoughts?
00:17:07.000 No, not by a long shot, Charlie.
00:17:09.000 And listening to that live read you just did, I kept reminding myself of the line from JP Morgan where he said, gold is money.
00:17:17.000 Everything else is just debt.
00:17:19.000 And we're seeing that.
00:17:21.000 We're seeing that in real time today.
00:17:23.000 All of these promises that have been made, whether it's to an investor, to a consumer, to a financial institution, whatever the case may be, people are realizing that these things are not as guaranteed as we thought they were, whether that's the dollar or an investment, you name it.
00:17:40.000 In terms of context, though, one of the things people have to remember is that when you look at all of the banks that failed in, let's say, 2008, and you add up those deposits, and then you compare that to the failures we've seen thus far in just the last few weeks, we've already surpassed that level.
00:17:57.000 So the fact that we've had three of the four largest bank failures ever happen relatively recently, right?
00:18:05.000 It's literally just been a few weeks.
00:18:07.000 It's been this rapid crisis.
00:18:08.000 That's right.
00:18:09.000 Exactly.
00:18:10.000 I mean, this is really, really bad, and it is going to get worse before it gets better.
00:18:15.000 Absolutely.
00:18:17.000 So what does worse look like?
00:18:19.000 I mean, because we have a fractional reserve banking system, worse could be the collapse of the American banking system as we know it.
00:18:28.000 That's apocalyptic and catastrophic, but is that out of the equation?
00:18:35.000 Probably.
00:18:36.000 And the reason for that is not because things are fundamentally sound.
00:18:40.000 They're really not.
00:18:41.000 The systemic interest rate risk that the Federal Reserve has created over the last three years is quite literally unprecedented, not just in American history, but possibly in human history.
00:18:52.000 But the real reason why the just total collapse of the banking system probably is impossible is that the Federal Reserve, with the exception of literally only one time in its history, never fails on the side of deflation.
00:19:05.000 They always fail on the side of inflation.
00:19:08.000 So as these banks continue to get into trouble, what will we see?
00:19:12.000 More bailouts, which means more liquidity infusions, which is just a fancy way of saying printing money, which is inflationary.
00:19:19.000 Yeah, so that's the question, right?
00:19:20.000 So the Fed actually did the opposite yesterday.
00:19:22.000 They raise interest rates modestly.
00:19:26.000 So is your prediction that maybe this summer or going into the winter, they're going to reverse course and they're going to say, just kidding, you're going to have 7% to 10% inflation for the rest of your life.
00:19:39.000 It's better than collapsing the system.
00:19:43.000 I mean, at some point, there's only so many levers that they can pull, and the cheap money seems to be the only one they want to.
00:19:51.000 What is your reaction to Jerome Powell's decision yesterday?
00:19:54.000 Oh, my reaction to his decision is the same it has been for all of his rate hikes.
00:19:59.000 Too little, too late.
00:20:00.000 The Fed kept rates way too low for way too long.
00:20:03.000 And in terms of forecasting, though, I mean, this Fed has proven to be nothing if not unpredictable.
00:20:09.000 Powell is the same guy who told us that a 75 basis point hike was off the table and then delivered four in a row.
00:20:16.000 So, you know, the idea that we can somehow guess what he's going to do next, I think unfortunately, is just kind of a fiction at this point.
00:20:24.000 We know what they should do.
00:20:25.000 What they should do is they should normalize interest rates.
00:20:27.000 They should normalize the balance sheet.
00:20:29.000 But you're absolutely right that yesterday raising rates was the reverse of quantitative easing.
00:20:35.000 It was quantitative tightening.
00:20:36.000 But the Fed has been trying to have its cake and eat it too.
00:20:40.000 What I mean by that is they are, with the one hand, doing quantitative easing, but then with the other hand, doing quantitative tightening.
00:20:47.000 And the whole goal of that is to basically still create money for the government to spend, but to limit how much that money can actually get out into the banking system and multiply through fractional reserve banking.
00:21:00.000 And so if you can do that, if you can square that circle, then you create all the money the government needs, but you minimize the inflationary impact.
00:21:07.000 There's a key problem with that, though.
00:21:09.000 They are literally paying banks and hedge funds and other financial institutions like money market accounts to they're paying them to keep their money parked at the Fed so that it can't be lent out to consumers.
00:21:21.000 But you're looking at regional banks right now that can't compete with the Fed in terms of interest rates.
00:21:27.000 And so people are pulling all of their money out of those banks in a deposit flight and parking it at the Fed.
00:21:33.000 The Fed is literally helping to kill all of these regional banks right now and therefore consolidate the banking sector into just into just a few big banks.
00:21:42.000 Yeah, so I made the argument earlier this week, JP Morgan, Wells Fargo, and BOA, the big three basically, they're not worried.
00:21:52.000 In fact, this is going to be easy pickings for them, right?
00:21:55.000 Now, why would those three banks be immune from the same sort of deposit flight?
00:22:03.000 What is JP?
00:22:04.000 Is it just volume?
00:22:05.000 Is it size?
00:22:06.000 Is it that JP Morgan and BOA have corporate accounts as well, not just mom and pops that might engage in deposit flight?
00:22:14.000 Why would BOA, Wells Fargo, and JP Morgan somehow be exempt from such action and panic?
00:22:23.000 Well, we can throw Citi in there too, right?
00:22:26.000 But the other problem is that these very large banks have been identified as SIBs or systemically important banks, which is, again, basically just a fancy way of saying if you do anything wrong, if you guys get into trouble, we, the federal government, will come bail you out.
00:22:40.000 And so you have nothing to worry about because we have socialized your losses, but privatized your gains.
00:22:46.000 And as a result of that, these banks are largely immune from runs because depositors and investors alike know that things really can't go south because the federal government is there to backstop it.
00:22:59.000 Contrast that with the messaging we have seen, particularly from Janet Yellen, on regional banks.
00:23:04.000 And there, what she has said is basically just her rhetoric has waffled back and forth.
00:23:09.000 It has gone from saying we will guarantee all deposits to no, we're sticking to that 250 cap and then back and forth.
00:23:16.000 And so that has exacerbated the deposit flight because people don't really know how the federal government is going to react here.
00:23:24.000 But I will say, of those big ones, I'm actually getting very concerned about Bank of America because they seem to have much more of the systemic interest rate exposure that the regional banks have.
00:23:35.000 And then the one last point why these larger banks are largely immune from these runs is they have so many more depositors with small accounts who are guaranteed by the FDIC.
00:23:47.000 And so they're not looking at a large percentage of their customer base pulling deposits out of fear of a lack of FDIC coverage.
00:23:55.000 So that's such an important, interesting analysis.
00:23:59.000 I mean, the way I see it is we could see dozens of regional banks collapse before the end of this year with really no end in sight.
00:24:05.000 Is that a fair prediction?
00:24:07.000 Oh, absolutely.
00:24:08.000 I mean, it could very well become a weekly routine that every Friday, essentially, the FDIC is swooping in to take into receivership another bank.
00:24:17.000 And then at the 11th hour before stocks open on Monday, one of the big banks agrees to take on that bank's balance sheet, like what we just saw happen with JP Morgan.
00:24:26.000 Yeah, but it depends on how healthy that, I mean, no one wanted to buy Silicon Valley Bank, right?
00:24:31.000 And so that took the federal government to come in.
00:24:34.000 And you're exactly right.
00:24:36.000 I mean, what is SCIB is the, I mean, that's just another word for fascism.
00:24:40.000 I'm sorry.
00:24:40.000 It just is.
00:24:41.000 I mean, that's what this is.
00:24:42.000 This is the government choosing winners and saying that there's no moral hazard whatsoever to the downside of your, you make a mistake, it's fine.
00:24:52.000 Taxpayers will catch you.
00:24:56.000 Hey, everybody, Charlie Kirk here.
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00:25:57.000 So, Dr., I think Senator Lankford made a great point.
00:26:00.000 We don't have the tape here, but basically said to Janet Yellen, we're not going to, he says they're worried that the federal government is encouraging behavior by basically people are now going to remove their deposits from regional banks because they don't see the same sort of federal government backing automatically of every regional bank.
00:26:22.000 Is that a fair concern?
00:26:24.000 Absolutely.
00:26:25.000 100%.
00:26:26.000 I really think that's spot on.
00:26:29.000 Again, if you're somebody who's got less than that $250,000 threshold, then your deposits are guaranteed everywhere anyway, so it's irrelevant.
00:26:36.000 But if you're a business, if you have a large cash balance, which a lot of these regional banks, that's how they sustain themselves on those small business accounts, then you're getting the rug pulled out from under you, both as a depositor and as a regional bank.
00:26:52.000 Yeah, and so this could get out of control wildly.
00:26:56.000 And I suppose one of the questions people have then is, where should I keep my money?
00:27:02.000 And I guess there's no really good answer to that.
00:27:04.000 I mean, you can feel free to offer investment advice if you want, but what are the principles?
00:27:10.000 What does economics teach us of where your dollar bills should land in a time like this?
00:27:16.000 Sure.
00:27:16.000 Well, so I have to say, counsel always tells me, they always yell at me like, yeah, I can't give investment advice.
00:27:22.000 So we're not going to do that.
00:27:23.000 But what I will say is, if you have under, again, under 250, which is 90-something percent of depositors, you're fine.
00:27:30.000 There's no worry.
00:27:31.000 It doesn't matter where your money is.
00:27:32.000 If you're over that amount, you have a couple of options.
00:27:35.000 You can literally just split up your deposits among different banks.
00:27:40.000 As long as you're under that 250 threshold at any one particular institution, you're fine.
00:27:44.000 So you can have 250 in Wells Fargo, 250 in JPMorgan, for example, and 100% of your deposits are covered.
00:27:51.000 There are also different services you can buy where these different financial firms will do that for you, where they will split up your deposits.
00:28:00.000 But most people don't fall into that category, so I wouldn't worry about it from that standpoint.
00:28:04.000 But in terms of the actual value of the dollar, if people are concerned about their dollar, look for things that have intrinsic value.
00:28:13.000 You know, a really great piece of advice, I think, is to go back to the 1970s and look at periods when we had low economic growth and high inflation, which is what we're going into right now.
00:28:25.000 And just look at the kinds of investments that did well during that time.
00:28:29.000 Let history be your guide.
00:28:32.000 And the type of investments.
00:28:33.000 Land does well almost always when there's more dollar bills than there is value.
00:28:38.000 I want to play a piece of tape here.
00:28:43.000 So we'll just talk briefly about this, but I'm sure you're an admirer of inflation.
00:28:50.000 Let's, I'm not inflation, admirer of Milton Friedman on inflation.
00:28:53.000 Play cut 39, please.
00:28:55.000 Inflation is just like alcoholism.
00:28:58.000 In both cases, when you start drinking or when you start printing too much money, the good effects come first.
00:29:05.000 The bad effects only come later.
00:29:07.000 That's why, in both cases, there's a strong temptation to overdo it, to drink too much and to print too much money.
00:29:15.000 When it comes to the cure, it's the other way around.
00:29:18.000 When you stop drinking or when you stop printing money, the bad effects come first, and the good effects only come later.
00:29:25.000 That's why it's so hard to persist with the cure.
00:29:30.000 So, Doctor, about a minute and a half remaining.
00:29:32.000 I wish more politicians understood Milton Friedman.
00:29:38.000 I agree 100%.
00:29:39.000 And, you know, Charlie, this is where, and I haven't quite worked this out entirely, so forgive me for doing it on the run here on your show.
00:29:45.000 But this is where there's almost a moral component to inflation, and not simply just the fact that it is essentially the government stealing people's savings, earnings, and wealth, but there's a moral component in the sense that the temptation to do it lies in the fact that, as Milton Friedman just said, the good effects come first and the bad effects come later, which is a pretty good explanation for why any man ever sins.
00:30:09.000 The good effects come first and the bad effects come later.
00:30:14.000 That's well said.
00:30:14.000 Dr. Antoni, thank you so much for joining us today.
00:30:17.000 Really appreciate it.
00:30:18.000 Thank you for having me.
00:30:20.000 Email us freedom at charliekirk.com and subscribe to the Charlie Kirk Show podcast.
00:30:24.000 Look, you can print money overnight, but it takes years to dig yourself out of it.
00:30:28.000 And the Uniparty in D.C., Republicans and Democrats together have done this.
00:30:32.000 It's so disappointing.
00:30:34.000 We do not have a fiscal opposition party in this country.
00:30:37.000 We should, but we don't.
00:30:39.000 And now we're going to have to go through a financial, economic, and fiscal reckoning.
00:30:45.000 My guess is the Fed is going to inch up on rates, inch up on rates, and then they're going to back off and they are just going to start lowering rates.
00:30:53.000 And basically, that will be a signal to all of you that 10 to 15% inflation is here to stay.
00:30:59.000 Just get used to it.
00:31:01.000 Every single year, you just have to get used to it.
00:31:08.000 Thanks so much for listening, everybody.
00:31:10.000 Email us your thoughts as always, freedom at charliekirk.com.
00:31:13.000 Thanks so much for listening, and God bless.
00:31:18.000 For more on many of these stories and news you can trust, go to CharlieKirk.com.