You Might Also Like: The Financial Quarterback® Podcast: Your Game Plan to Protect Your Money and Retirement
54:14 Share

Tired of losing money in the stock market roller coaster? Frustrated with the government taxing you into oblivion? Worried about inflation? How do you prepare for so many financial uncertainties? Welcome to the show that will help you develop your game plan. The Financial Quarterback with Josh Jelinski. Josh is a noted financial advisor and president of the Jelinski Advisory Group.

And he's here to answer your questions. Call into the show at 800-321-0710. 800-321-0710. Now let's kick off your financial future. Here's Josh Jelinski.

Hi, everybody. This is Josh Jelinski, the financial quarterback, and we're being joined by legendary economist, financial broker, dealer, author, frequent guest on national news, and the host of the Peter Schiff Show podcast. Hi, Peter. How you doing? Good. How are you? Great. Now, you...

You're a frequent commentator on Alex Jones, and I always love catching you on InfoWars because that's a little counter-conventional. What was the last time you were on Alex Jones? It's always a trip. I haven't actually been on in a while. I haven't been on since several months before the election. I can't remember. Actually, yeah, so I was going on quite a bit for a while, but just haven't been on for a long time.

Yeah, they got to get you back on. It's always funny where you're more the calm one in that interview exchange. It's always exciting. Now, your warning of a debt bomb that will explode under President Donald Trump. Do you want to tell our listeners why that's the case? Why what's the case? Oh, the debt bomb? The debt bomb. Okay.

Yeah, well, I mean, look, we've got $20 trillion of debt. That's the national debt. I mean, that's just the funded liabilities. It doesn't count the larger unfunded liabilities like government's commitments to pay Social Security or Medicare or guarantees of mortgages or student loans. I mean, so the government has all sorts of debt that far exceed the national

the treasury debt that's outstanding. But, you know, the national debt doubled under Bush, then it doubled again under Obama. And, you know, I don't see how it could possibly double again under Trump without a crisis intervening along the way. But we have to keep growing the debt in order to keep inflating this bubble economy. I mean, that's how the GDP grows is by borrowing money and spending it. But this whole thing is false because

Meanwhile, the only reason that we can afford to service this mountain of debt is because interest rates are at historic lows. But if interest rates move up, not even to a high level, but just a level that would be closer to normal, it's impossible to pay the interest on the debt, let alone have to repay the principal if the lenders want their money back, which they

they can do because most of the bonds are very short term and they mature. And we, we, you know, count on our creditors every time the bonds mature, they just loan us the money there, you know, to pay them back so that they keep rolling it over. But, you know, if, if our creditors decide that, you know, they want their money back, I mean, we obviously can't even come close to paying them their money back. I'm not in any real purchasing power. I mean, yeah, we can run the presses and,

and destroy the value of the dollar, but we can't pay them back without destroying the value of the dollar. And so all we can do is pay the interest, but we can only pay the interest because the rates are so low. Rates go up to normal and we can't even afford that.

We're with Peter Schiff, legendary economist and commentator on all things financial. If you're just joining us, I'm Josh Jelinski, the financial quarterback. You can find out more about Schiff Radio on schiffradio.com. That's S-C-H-I-F-F radio.com. And Peter's talking about how the debt bomb could explode under President-elect Donald Trump. Now,

You're the president now. He's not president elect. He's been the president. Yeah, I was. You know, we were used to saying that for a while there. So as it relates to President Trump.

Are you more hopeful now that he's in more bullish? And we had you on a year ago. You were you're quite bearish. Are you still there? Well, I mean, I'm like, I'm I'm more optimistic that when things collapse, that Donald Trump is a better man to have at the helm than Hillary Clinton would have been or then Barack Obama would have been. The only the scary part about Trump is that.

Potentially, Trump gets blamed for the collapse, even though the collapse was inevitable. And to the extent that Trump gets blamed and maybe some of the things that he stands for, less government deregulation. I mean, maybe that gets the blame. So that's the scary part is that the establishment and the left are able to somehow scapegoat Donald Trump.

And and claim that the reason that things fell apart was because we, you know, we didn't have a Democrat in the White House and that we undid some of the great things that Barack Obama did and that, you know, he handed over this pristine economy to Trump and that Trump screwed it up when Obama.

All Obama has handed Trump is the biggest bubble in history. And that bubble is going to burst. It's almost seems that it's stretching the realm of possibility that the bubble doesn't burst sometime in the next few years.

Now, when do you think that bubble will burst? What will be the catalyst for the burst? Could it be the Frexit? Well, you know, it's rising interest rates or it could be a recession in the U.S. where the Fed has to go back to QE or cut rates, or it could be just a breakout of inflation that

The Federal Reserve is powerless to contain. And so it doesn't raise rates because it can't. I mean, there's so many things that could go wrong. I mean, you know, but this is a big bubble and it will. There's a lot of pins out there and it's going to find one of them. Now, as we talk, let's move on to the Frexit. What do you think is going to happen with the French election? It looks like Marine Le Pen is now the frontrunner.

And we could have another Brexit or Donald Trump style election. Yeah, I mean, look, this is another situation where everybody wants to blame, you know, the establishment. There's a lot of populism out there. And, you know, and so people are voting for change or blaming, you know, in the U.S., whatever they were blaming the establishment or in Europe, you know, the

They're blaming the European Union, which, you know, the European Union, I mean, you know, I think that was a bad idea from the start. And I was critical of it when it started. But France's problems aren't coming from Brussels. They're coming from Paris. I mean, France is a very socialist country. And, you know, it's not going to be a panacea. I mean, if France were to leave the Eurozone, it's not like – I mean, the French franc was a terrible currency.

And there were a lot of problems in France. I mean, France has probably benefited from being a part of the European Union. But yeah, I mean, the European Union does impose even additional levels of government, more regulations, more taxes, which France would be better off without. But there might be some minimal degree of fiscal discipline imposed by France.

you know, the European Union. And to the extent that France was independent, maybe it would just be running even bigger deficits and be, you know, debasing the franc a lot more than the ECB is debasing the euro. So I don't know that life would get better for the French if they were, you know, just to be independent again. We're with Peter Schiff.

One of the few non-biased investment advisors, and that's what your bio reads. And for those who don't know what that means, you want to explain what it means? It just basically means you're not committed to the short side. Well, biased towards the truth. I mean, although I think when I first started writing that stuff,

You know, it was like, you know, I wasn't, you know, representing some investment wasn't, you know, corporate interest or, you know, trying to push stocks for companies that were giving me banking deals. You know, I was able to call it like I see it and be the, you know, say the truth and not kind of be beholden to some kind of larger corporate, you know, kind of what's the word I'm looking for?

You're not beholding the special interests. And just spewing, you know, everything is great and, you know, buy America, buy the stock market, buy the bond market. I mean, it's always like rah-rah, cheerleading. And I'm just looking at things the way they really are and just basically calling them like I see them. And I know that we have a

serious problems in the U.S. economy. I've been pointing them out since the inflation of the dot-com bubble. I've been pointing out the mistakes that the Federal Reserve has been making over and over again. I warned about the financial crisis, the housing bubble before they hit. And I'm warning now because the problems are getting bigger and bigger and bigger. We haven't done anything to solve them. Everything that we did in the aftermath of the 2008 financial crisis just exacerbated

all of the problems that resulted in the crisis. And so, you know, I've just been out there letting people know exactly what's going on and coming up with some investment strategies that I think will do well as a lot of these problems come to a head. You're also the president of Euro Pacific since January of 2000 and the chairman of Schiff Gold. So we're going to get your takes on

on the gold market in a little bit, but anything positive you see on this rejection of globalism? I mean, I think that's a good thing. Well, it's a rejection of another layer of government, but I don't necessarily see a big populist movement away from big government. I mean, a lot of the people that want to

to vote for something like a Brexit, they're still in favor of a welfare state and labor law, like these minimum wage laws and all kinds of wealth redistribution. It's not like an American revolution against politics

Britain in 1776 where they just want freedom and they want to be left alone and they want individual liberty. They still want big government. They just want the big government to be more local. You know, they don't want it to come from another country. They want it to come from their own country. So, you know,

So it's not going to create this economic revolution like some people are. I don't think so. I mean, not yet. I mean, you know, because I don't think it's a good point. That type of that type of mentality. It's not like, you know, they want to reject government and just have pure capitalism. It's just again, they just want a more localized, socialistic economy where, you know, the government is, you know, from within as opposed to, you know, a further further removed. And.

And tell our listeners about your latest book. I know you wrote a couple of years ago, but we'll promote it. Well, yeah, I mean, I was very relevant today because it hasn't happened yet. But my my latest book is called The Real Crash. America's Coming Bankruptcy. How to save yourself and your country. And, you know, there's no question that the country is bankrupt.

It's just a question of when our creditors figure it out. And then there's a crisis because the creditors want out of the bonds. And there are people that say, oh, we can never be bankrupt because we print the money. Well, sure, we print the money. And if we print the money to pay our bills, it won't be worth anything. And so that's the same thing as being bankrupt. When the money you're printing has no value, well, then you're broke. Right?

And just because you borrow in your own currency doesn't mean that you have to get a jail-free card when it comes to debt. You have to be able to pay your creditors off legitimately, not through a printing press. And America just can't do that. I mean, the US government can't extract enough tax revenue.

from its citizens to repay this debt or even service the debt once interest rates rise. And even if interest rates don't rise, at some point, even with 1% interest rates, we can't afford it because 1% of an enormous number could still be an enormous number.

Sure. So The Real Crash by Peter Schiff, our special guest of the hour. If you call our office at 888-988-JOSH during the break, I will give that to you at no charge when you schedule and keep your no obligation review. We'll take a short break and we'll be back right away with Peter Schiff, author of The Real Crash, America's Coming Bankruptcy, How to Save Yourself.

and your country. Up next, this is Josh Jelinski, the financial quarterback. Don't touch that dial. Tax-deferred vehicles such as 401ks and IRAs sound good up front, but did you realize that when you retire, you'll have to pay taxes on all your earnings? You can legally minimize your taxes when you withdraw retirement funds with tax-free IRAs and other tax-favored accounts.

Call the Jelinski Advisory Group now at 888-988-JOSH. That's 888-988-JOSH to learn how you could enjoy a higher standard of living with these tax-favored accounts.

Make sure you don't get blindsided by taxes on your retirement plans. Call Josh Jelinski, the financial quarterback, now for a complimentary one-hour consultation to empower your financial decisions. Leave your checkbook at home. They will not sell anything at this meeting, but they'll educate you on your many options in retirement.

In fact, if you call right now for one of the complimentary no-fee tax-fighting reviews, they will give you a copy of the book Tax-Free Retirement as a free gift if you call within the next three minutes. Call 888-988-JOSH. That's 888-988-JOSH. Now let's get back in the huddle with the financial quarterback. Peter, you're mentioning the debt bubble will get worse. Do you see any...

inkling that Congress or the president, I mean, he's talked about he wanted to lower the debt by a trillion dollars. You know, he's renegotiating planes. Do you see any hope there at all or not really? Well, not really, because I mean, Trump does talk about some cuts to federal hiring, you know, just, you know, discretionary spending. But we know that

He's already put all their entitlements off limits. So there's going to be no cuts to Social Security or Medicare, Medicaid. And that's the big money. And so that's going to continue to grow on autopilot. He wants to increase spending on the military. He wants to

to spend new money on infrastructure. He wants to spend new money on the border. So the things that he wants to increase spending on seem to outweigh where the cuts are going to be. So no, I don't see any serious effort yet on the part of Trump to do anything about reducing the size of the debt or even reducing the growth of the debt. And I do hear him talking about

substantial tax cuts for the middle class that he wants to put through. Well, I mean, if spending is going up and taxes are going down, what does that mean about the deficits? I mean, they're going through the roof. So, you know, if we actually get what Donald Trump has been promising, we're going to get much, much larger annual deficits and a even faster increase in the national debt under Trump than what we were experiencing under Obama.

Potentially. I do think if a businessman like President Trump took, you know, he cut $600 million off the cost of F-35 pilots, you know, planes, fighter planes, $600 million. That's not bad, but it's really like the boy with his finger in the dike trying to, you know, stop a massive flood. It's not going to happen.

Maybe it could. But, you know, I mean, look, I mean, to the extent that he can, you know, save a little money by negotiating better with some of the government contractors. Yeah, that's great. I mean, you know, that's fine. But, you know, these these expenditures are small in comparison to the overall budget. And if you're just going to say, well, we're not going to do anything about Social Security and we're just going to keep letting that grow on autopilot.

You know, it's going to undo any benefits that you might get from, you know, the smaller deals where you're saving some money. Yeah, explain that because a lot of people don't get that the real big costs are the entitlement programs themselves.

And that when you hear about the waste, fraud, and abuse. You've got the baby boom. And every year, more baby boomers are becoming eligible to draw on Social Security and Medicare. And as they get older, a lot of people also stop working. And so they're no longer paying taxes. They're not paying the Social Security tax or the Medicare tax. They're just drawing down benefits.

And so, I mean, this is just growing, you know, dramatically. And it's just going to get worse and worse as we get further into the baby boom retirement. I mean, we're just on the tail, you know, the cusp of it now. Because I'm a member of the baby boom myself, but I'm only 53. I'm, you know, a young baby boomer. But the oldest baby boomers are just now, you know, really starting to retire. And it's just going to get worse every year.

And, you know, the amount of money that they've been promised is enormous relative to the capacity of today's working young to afford. Remember, so many people that should be working don't have jobs. I mean, they're living in their parents' basements and they're not working. The labor force participation rate is at a 60 year low. Younger people aren't getting jobs. I mean, they're.

They're buried with student loans. And so people aren't working paying Social Security taxes to help support the people who are retiring, hoping to draw the Social Security benefits. So we're up against this Ponzi scheme dynamic. So what do we do?

I mean, there's no hope. Well, look, you know, look, we're going to have a massive collapse. There's no question about it. You know, we're going to have a economic crisis, a dollar crisis. The bills have to, you know, become due here and there's going to be a monetary implosion. And then hopefully in the aftermath of that crisis, we can, you know,

do some soul searching and understand the real cause of the problem and try to change things. I mean, try to dramatically shrink government and lower taxes and repeal regulations and allow the free market to rebuild what the government and the Federal Reserve destroyed.

We built up a vibrant free market economy, a wealthy economy when we had sound money and limited government. And inflation and big government destroyed what capitalism created. But we can do it again. I mean people are amazing what they can do if left alone and –

The free market is a miraculous system for increasing living standards. And the technology today is much better than it was 100 years ago, 200 years ago. So if capitalism could work back then, it could work even better now. So we just have to re-embrace it. But we're going to have to go through a painful restructuring, just like somebody is...

a drug addict and, you know, they want to be healthy. I mean, there's a period of rehab, you know, you go through withdrawal, detox. So, you know, it's not, it's not a smooth transition and we're going to have to go through a monetary detox and

And, you know, people are going to lose money and assets are going to lose value. And Americans are going to have to stop consuming and, you know, stop this whole idea of just buying stuff that you can't afford and using credit cards to buy things. I mean, Americans are going to have to start saving up for things. You know, you want to buy something, have the money.

You can't buy it on credit. You've got to have the cash. So, I mean, we're going to go towards that economy again. But, you know, in the meantime, there is a lot of money that people can make in investing if they understand how this is going to play out. And, you know, so they can avoid losing a lot of money. But more importantly, too, they can make a lot of money. And there are ways to do that. And that's what I'm trying to position my clients for. But on that note, I mean, don't you see –

Elizabeth Warren and the Bernie Sanders type sort of decrying President Trump released. He didn't even change the fiduciary rule, but he's talking about changing it. And they're all in arms. Hopefully they won't even implement it. It's a bad it was a bad idea. I mean, the whole thing is just, you know.

government overreach. It's just going to cause a lot of unnecessary regulation and unnecessary costs, which is going to harm investors, particularly investors who are smaller and wish to have help with their retirement accounts. You know, it's not what it sounds like, right? The sound of it is,

oh, it's going to force brokers to act in the best interest of their clients. Yes. Well, who could be against brokers acting in the best interest of their clients? Well, nobody. But the thing is, most brokers already act within the best interest of their clients. And this law would change that. The government law would actually force people to act in ways that are contrary to the interests of their clients and would simply be to mitigate their own legal liability.

So we're going to pause right there. The Real Crash by Peter Schiff. We mentioned, you know, if people are being brainwashed with bad economic theory, what's a good antidote to that? Well, a good antidote to that would be good reading. So pick up The Real Crash, still timeless, written back in 20, originally published in 2012, but it's still timeless. It's

Give it to your kids, your grandkids to read or pick it up for yourself. Or we'll give it away at 888-988-JOSH if you schedule and keep your no obligation review. Again, this is Josh Jelinski, the financial quarterback with Peter Schiff, author of The Real Crash, America's Coming Bankruptcy, How to Save Yourself and Your Country. Up next, we'll talk about

A critique common among bearish types like Peter. Why are they always bearish? What do you know? How do you, you know, you know, answer answer sort of that, you know, kind of the you're always you're a perma bear. And where is their opportunity in today's markets? Up next, this is Josh Jelinski, the financial quarterback there.

Don't touch that dial. Tax-deferred vehicles such as 401ks and IRAs sound good up front, but did you realize that when you retire, you'll have to pay taxes on all your earnings? You can legally minimize your taxes when you withdraw retirement funds with tax-free IRAs and other tax-favored accounts. Call the Jelinski Advisory Group now at 888-988-JOSH. That's

Thank you.

Leave your checkbook at home. They will not sell anything at this meeting, but educate you on your many options in retirement. In fact, if you call right now for one of the complimentary no-fee tax-fighting reviews, they will give you a copy of the book Tax-Free Retirement as a free gift. If you call within the next three minutes, call 888-988-JOSH. That's 888-988-JOSH.

Now, let's get back in the huddle with a financial quarterback. So, you know, occasionally I'm sure you get hate mail that you're I mean, you're a bestselling author, a world renowned economist. And, you know, you get these people predicting the end of the world, nothing but negativity, right?

What do you, how do you answer people like that? Sort of, people don't want to hear the negative news. Yeah, well, I've been negative for a long time, and I've been right. I mean, the U.S. economy, and I speak mainly about the U.S., I'm not necessarily, you know, saying that the world's coming to an end. In fact, I'm not saying that at all, because I'm actually far more optimistic on other countries, which is why my investment thesis focuses on the countries where I am bullish. So I've been

bullish for a long time on certain countries. So I'm bearish on some and bullish on others. So I don't know, am I a perma bear or a perma bull? It depends on, you know, which country, you know, I'm talking about. But also, you know, when people say, oh, Peter's a perma bear and he's been wrong, they generally are talking about the U.S. stock market and they just, as

assume that I've been bearish on the stock market and I'm wrong because the stock market is going up. I'm not bearish on the stock market. I'm not short the stock market. I don't advise people to short the stock market. In fact, I tell people that even though I believe the U.S. stock market is overvalued, it's probably going to keep going up, right? So I'm

I haven't been wrong on the stock market. What I've been bearish on for all these years is the US economy, and the US economy has been getting worse. Now, yes, if you want to believe the government statistics regarding GDP or unemployment or all this nonsense or inflation, then maybe the economy has been getting better. But if you look at the fact that Donald Trump won this election, what does that tell you?

People were fed up. People were voting for change. Well, if everything was so great, why did so many people want change? I think that my bearish attitude on the economy over these past 10, 15 years has been dead on. I think the U.S. economy has not been growing. I think that the problems for Americans have been getting worse. I think real wages have been falling. I think people's

household net worth of a declining i think the disparity between the rich and the poor has been growing i think americans are working harder they have less to show for uh... people have left savings they can't retire uh... you know i i think the real u_s_ economy have been weakening

for a long time and I've been completely accurate in my forecasting this. And I've also been accurate as to why it's been happening. I mean, there are people that think, well, there's some kind of new normal going on. Something is different now. And so we're not getting the kind of economic growth we used to get.

That's not true. It's not like what's changed is the impact of government and Fed policy. It's the government that is responsible for the lack of economic growth, for the failure of productivity to rise or real wages to rise. But I've been out in front of this for years and years warning about these problems and offering solutions.

that have been completely ignored. But along the way, I have been preparing investors, and my investment advice has not been to invest in U.S. stocks, but to invest globally in those economies and those markets where I feel that the long-term fundamentals are more favorable to better returns. And you could say, oh, well, over the last few years...

you know, well, not 2016, because we beat the U.S. stock market last year, and we're beating it so far this year. But we did go through about a three, four-year period where the U.S. stock market was doing better than the markets that we were invested in. But I think that was just a temporary fluke. I think the U.S. market is way overpriced relative to the markets I'm in. I think it is going to decline in value relative to the markets that we're in. And I think that ultimately, you know, we're going to be substantially ahead of

of the U.S. market by investing the way we are. But I'm not a perma-bear in that I'm constantly saying the U.S. stock market is going to go down, and I'm constantly wrong because I've generally been saying the U.S. stock market was going to go up. But it's not going up for the right reasons. It's not going up because U.S. companies are becoming more valuable, that they're growing their earnings legitimately. It's going up because of a bubble, because artificially low interest rates and share buybacks. I mean, that's what's driving the market. It's not earnings growth. It's

It's just all this cheap money and the ability of corporations to access that cheap money and use it to buy back their stock. Yeah, financial engineering at its best. Yeah, I mean, it's not a healthy – we don't have a healthy stock market. We have a bubble. Exactly. Now, when do you think the bubble in the U.S. will end?

Two years? There's no way to know. But I think that they can keep propping it up until the dollar crashes. I think as long as people want dollars, they can keep printing them. But I think we're going to have a currency crisis first, and that's going to bring this party to an end.

Here's another point on the idea that the stock market's going up. If you look at the composition, I don't have the numbers exactly in front of me, but Mark Yusko brought this up a couple of weeks ago on the broadcast. The composition of the Dow in 2006. So the Dow 30 is 30 big companies. They reshuffle the deck. So if you had those same companies in 2006 that were composed in the Dow,

It wouldn't be 20,000. It would be like 12,000. Yeah. I mean, that's also, yeah, they, you know, the Dow constantly changes. They kick out the stocks that aren't doing good and they put new ones in that are. So the index is, yeah, it's not the same. In fact, in fact, the Dow, the, I think there's only one stock IBM that was an original Dow 30 stock. All the other 29 are completely different from where we started.

And a lot of the original Dow 30 stocks went bankrupt. So they're not even here anymore. It's not like they just got kicked out of the Dow. They just got kicked out of existence. So, yeah. But then, of course, if you put everything in perspective and you actually price it, in 1929, which obviously was an expensive point for the Dow, but in 1929, before the market crashed, the Dow was worth 20 ounces of gold.

Today, the Dow Jones is worth about 16 ounces of gold. So, you know, the Dow is 20% cheaper priced in gold today than it was in 1929.

So, you know, has the Dow gone up? Doesn't sound like it. But of course, if you are keeping track in dollars, which have lost 95% of their value during that period of time, sure, the Dow is up in terms of dollars, but so is everything. I mean, everything is more expensive in terms of dollars.

But the fact that you can buy more shares of the Dow with an ounce of gold today than you could in 1929 shows you that, you know,

during that period of time, the Dow has actually gone down. Now, of course, if you own the stock market for those 80 years or 90 years, you would have got dividends, right? If you just kept gold in a drawer, you wouldn't have got anything. So the stock market still delivered a return as far as dividends, but actual price value, the price of the Dow Jones has not gone up. All that's happened is the value of our money has gone down. Right.

Wow. So after the next segment, after the next pause, we're going to talk about the opportunities that Peter Schiff sees in the market. You can check out his work on SchiffRadio.com. He does a very entertaining podcast, very informative as well. SchiffRadio.com. That's S-C-H-I-F-F radio.com.

And for those of you who call and schedule and keep your no obligation review, you can call my office at 888-988-JOSH, 888-988-JOSH. And you get the copy of Peter Schiff's latest book at no charge when you schedule and keep your no obligation review available.

We'll be back after these messages.

Call the Jelinski Advisory Group now at 888-988-JOSH. That's 888-988-JOSH to learn how you could enjoy a higher standard of living with these tax-favored accounts.

Make sure you don't get blindsided by taxes on your retirement plans. Call Josh Jelinski, the financial quarterback, now for a complimentary one-hour consultation to empower your financial decisions. Leave your checkbook at home. They will not sell anything at this meeting, but they'll educate you on your many options in retirement.

In fact, if you call right now for one of the complimentary no fee tax fighting reviews, they will give you a copy of the book Tax Free Retirement as a free gift. If you call within the next three minutes, call 888-988-JOSH. That's 888-988-JOSH. Now let's get back in the huddle with the financial quarterback. Now we talked about the debt bomb. We talked about

I think you gave a wonderful explanation of why you aren't a perma bear. And I think in some cases, you are bullish and bearish. And I thought that was a great answer. Sometimes when I ask people that, they just divert. Like I ask Harry Dent that whenever we have him on. And there's always some change in the numbers or, you know, the government's to blame. And there's some truth to that. I mean, they're engineering the numbers and they're just inflating away the debt. But I thought that was great.

Now on to positive things that you see in the economy. What sectors do you like? Do you still like gold? Yeah, I mean, look, gold's going a lot higher. It's around $1,235 an ounce now. You know, it made its high a few years back when it got up around $1,900. But, you know, the run was big. We ran from under $300, right? We went from $270 to $1,900.

And now we've pulled back, we got back down to about 1,050. Now we're trending back up. I mean, I think we're gonna take out 1,900 and we're gonna keep going up and we're gonna have a huge move up. People should own gold.

In fact, everybody that's listening to this, they should go right now. As soon as you finish listening to this broadcast, go on the internet and go to a website, goldmoney.com, and open up an account. And this is what goldmoney does.

When you go to gold money, you can buy some gold. You open up an account for yourself, and you can buy some gold. You can pay with your credit card, right? And they don't even charge you. You can buy your gold for one-half a percent over spot. So let's say you want to buy $500 worth of gold or $1,000, or you can buy $25 worth, however much you want, right? You buy it. You pay a half a percent over spot. Now you own some gold. It's your own account. The gold is stored for you by BRINX.

You can actually order it out and you can have it delivered to you in as small as 10 gram cubes if you actually want the physical gold, you know, like in your hands. But you don't need that. Right. You want to keep this gold in your gold money account. And they'll send you a debit card for free, a MasterCard. And basically what you can do is you can use that MasterCard.

to spend your gold so that you can use your gold in commerce. But what's even more important about this is that it's really like a PayPal for gold in that merchants are now beginning to accept. And it's a small number now, but it's going to grow because it's cheaper for merchants to be paid in gold than to be paid with a Visa or a MasterCard. But merchants can sign up

And they can accept payment directly in gold, where you can use your gold to buy anything you want. I mean, you could go – if Starbucks accepted it, you can use your gold to buy a cup of coffee. Or if GM accepted it, you can use your gold and buy Cadillac, right? I mean, you can buy something small. You can buy something large.

And you can transfer your gold instantaneously online to the seller. Or if you want to buy something online, you want to buy something that's being sold in Germany on a website, you can pay instantly with your gold. Gold is gold in Germany, the same it is here. It's got the same price all around the world. You can gift it. If I wanted to give you some gold, I can text it to you right now. I can email it to you. I can Skype it to you. It can go right from my account to your account. It costs nothing.

And I think that this is going to revolutionize commerce, particularly e-commerce, because gold is universal money. And this program, this gold money platform, enables gold to function as money online so that anybody anywhere in the world can pay in gold, be paid in gold. I mean, if you sell something, you could just accept payment in gold.

If I'm a landlord, I can let my tenants pay their rent in gold. I can pay my employees in gold. Or employers can – employees can ask to be paid their salary in gold. I mean it's very easy to do. And I think that over time, this is going to revolutionize money. I think that people are going to stop using dollars and euros and yen, and everybody is going to use gold. I mean why not? I mean people –

People began to use paper money because it was more convenient than lugging around your gold. But if I don't have to lug around my gold, if I can have my gold stored in a vault and I can spend it using the Internet, and if I can spend my gold more easily and for less transaction costs, then I can spend dollars in a bank. I mean, if I wanted to send $100 to somebody in Australia, how would I do that if I just had a bank account? I mean, how would I get it?

somebody in Australia a hundred, you know, especially if they wanted a hundred Australian dollars, right? And I have US dollars. I mean, it would cost me a fortune, but I can send somebody in Australia right now while I'm on doing this interview, I could send somebody a hundred Australian dollars worth of gold for my account. And now he's got it and he can go and he can go to his eight

machine with his debit card and he can withdraw the hundred Australian dollars. I mean, it costs me next to nothing. It's the most efficient way to send money across borders. You don't have any foreign currency charges, no bank wire fees. So I think people are going to, this is going to be like Uber. This is going to be like, you know, FedEx to the post office. People will just en masse reject fiat currencies in the banking system and just adopt the gold standard.

Unilaterally, everybody can be on the gold standard. I mean, because if you could get paid in gold, why would you want to be paid in anything else? Gold holds its value. Gold doesn't lose value over time. It maintains its value. And a lot of people don't even want to have their money in the banking system because the banks can collapse. You lose your money.

If you can bank your own gold, in fact, they're going to have checking accounts soon where you can write a check against your gold. So if you can get a debit card against your gold, if you can write checks against your gold, and if you can pay with gold just like paying with PayPal, then why not just have it?

And so I think, you know, this is going to be big. So people should just get started and open up one of these accounts, have some gold, encourage your friends to open up accounts. And, you know, gold's just going up, too. So it's like, you know, your savings get more and more valuable. So as you spend your gold in the future, you'll be able to buy a lot more stuff.

Now, do you like any of the gold ETFs or anything? Well, if you want to buy physical gold, you don't need to buy an ETF. Just own your own gold and gold money. Buy some physical gold from me at Shift Gold. We'll send it to you. We'll ship you some gold. You can store it yourself. But gold stocks, I think people are going to make a ton of money in gold stocks.

If you really want to go into a mutual fund, I have my own mutual fund, the Europe Pacific Gold Fund. The symbol is EPGFX. So I'm obviously on partial. In fact, my fund was, I think, the number one gold fund last year. We're not this year. We're lagging this year. But last year, we killed it. I think we were number one in the category. But for a lot of people, if you don't know how to pick your own gold stocks, buy a fund. Get diversified.

What about people say you don't want to buy a fund because of the fees and all that? Well, look, my fund, I think, outperformed the XAU or GDX by like 15% or 20% last year. I forget the exact number. So we more than earned our fees. So it depends. I mean, paying fees are worth it if you get a better return. I mean, yeah, if the manager is underperforming, then maybe you're better off not paying the fee. But if you think the manager can do a good job of picking stocks –

And, you know, rather than just mindlessly buying every stock, you just use your brain and try to figure out which ones have the best opportunity, then, you know, then have an expert manager portfolio. Sure. If you're just joining us, folks, we're with Peter Schiff.

talking about opportunities in the stock market and the gold market. Do you like Bitcoin at all? I mean, I like this gold money a lot. No, I mean, look, I'm sympathetic with what a lot of people who are really enamored by Bitcoin and are hoping to achieve with it, but I just don't see...

that Bitcoin will ultimately work as money because I just don't see it as a reliable store of value. I just don't think there's really value there to store. I think it's more of a speculative asset that people hope will one day replace gold. But I think now you have something like gold money. I mean, there's no reason to use Bitcoin when you can use real gold that's just as liquid. I mean, it's easier for me to spend gold than it is to spend a Bitcoin.

And in the meantime, the value is much more stable, much more reliable. So I'm just not encouraging people. I mean, you can speculate and trade Bitcoin the way you might trade soybeans, but it's not money. It's not going to replace. It's not going to be gold 2.0. It's not going to be some kind of universal money. I mean, right now there is a criminal element that uses it.

And that's ultimately going to be problematic because of the government crackdown that could be coming against the perceived use of a currency or money mainly for money laundering or taxing.

tax evasion or criminal enterprises, things like that, extortion. I mean, look, somebody tried to blackmail me from my website and, you know, hey, we're going to attack your website unless you pay us 10 bitcoins, you know? So that's generally if you're like an online hacker and you're trying to extort money from somebody, you want to get paid in bitcoins, you know?

Yeah. And it's a little, it has like an organized crime element to it. So, I mean, I agree. It kind of, it's an interesting thing to consider, but it really, I think the future is more into like what you're talking about with, with gold money. Now, um,

Final break of the hour. But first, folks, if you want his book, Peter Schiff's book, legendary author, bestselling author, The Real Crash, America's Coming Bankruptcy, How to Save Yourself and Your Country, call us 888-988-JOSH.

888-988-JOSH, 888-988-5674, 888-988-JOSH. We'll be back with concluding thoughts with Peter Schiff of Euro Pacific Capital up next. Tax-deferred vehicles such as 401ks and IRAs sound good up front.

But did you realize that when you retire, you'll have to pay taxes on all your earnings? You can legally minimize your taxes when you withdraw retirement funds with tax-free IRAs and other tax-favored accounts. Call the Jelinski Advisory Group now at 888-988-JOSH. That's 888-988-JOSH to learn how you could enjoy a higher standard of living with these tax-favored accounts. Make sure you don't get blindsided by taxes on your retirement plans.

Call Josh Jelinski, the financial quarterback now, for a complimentary one-hour consultation to empower your financial decisions. Leave your checkbook at home. They will not sell anything at this meeting, but educate you on your many options in retirement. In fact, if you call right now for one of the complimentary no-fee tax-fighting reviews, they will give you a copy of the book Tax-Free Retirement as a free gift if you call within the next three minutes.

Call 888-988-JOSH. That's 888-988-JOSH. Now, let's get back in the huddle with a financial quarterback. ♪

And we're back with Peter Schiff of Euro Pacific Capital. We were talking about where he believes certain opportunities are. Talk gold, talk Bitcoin. What countries do you like? What other economies? I mean, look, I've always liked countries like Switzerland and Singapore, New Zealand, Hong Kong.

You know, or Norway. I mean, there's a handful of countries and, you know, there's some countries, you know, South Korea and, you know, there's some, you know, Chile, Peru. You know, there are countries around that I think are have more freedom, you know, fewer regulations, you know, better demographics, better, you know, population.

trade in terms of trade and higher savings rates. And, you know, that I think are going to do well over time. And of course, you know, we have a lot of money in China as well. I mean, I'm very, you know, there's China's going through a little bit of a rocky period now. But, you know, this is a big growth story that I've been involved in for a long time. And I think we're still early in what is going to be achieved in that part of the world. What do you like specifically in China?

Well, I mean, I just like the whole country as far as the potential of China. I mean, for most of human history, China has dominated the global economy. I mean, there's been periods of time where the world has been dominated by the West. But for more history than not, I mean, China has been a leading economy. I mean, that's going to happen again. Yeah.

I think and I think this is just the beginning. I mean, I think this century is, you know, the 21st century is going to be the Chinese century. I mean, maybe America could catch up later in the century. I don't know. But I do think that the China is going to be the predominant economic power, you know, for the 21st century, you know.

And what areas do you like? Like Tencent, Alibaba? I mean, I try to, you know, we try to invest in companies that are going to benefit from the growing Chinese middle class and the switching from, you know, China being there to just

export to America where China is more there to produce for domestic consumption so that the Chinese people get to enjoy the fruits of their labor rather than American consumers. And so that's what we're playing for. We're playing for the real

growth of the Chinese middle class and the rise in the standard of living. I mean, China is going to have more people with a higher net worth and higher consumption than the United States. I mean, they're going to have a middle class that will exceed the population of the United States and those people will have higher incomes than Americans on average.

And higher savings rate because they're saving. Yeah, I mean, look, they're saving. They're producing. I mean, that's – if we embrace all the free market capitalism that we've rejected over the years, then we could give China a run for its money. But there's nothing right now that lets me believe that we are about to embark on a free market revolution. Yeah.

Yeah, no, I agree with you. I mean, look, the Democrats almost nominated a socialist. I mean, they're almost all socialists, but they at least try to deny it. Bernie Sanders embraced it, and he almost won the nomination.

And so we have a very powerful socialist element in this country. And I think in 2020, we will have a socialist nominee, whether it be Bernie Sanders, Elizabeth Warren. We may have a socialist president. I mean, just like I said, you know, we're going to have a collapse under the first term of Trump and we'll see how that plays out. You know, we already might be might springboard like an Elizabeth Warren, Bernie Sanders type right into the right into the White House.

No, I could see that, you know, and that's where I worry about, you know, the reset. I think it may be about 10, 20 years. Because, you know, if things are bad, you know, some Republican is going to challenge Donald Trump in a primary. Sure. And, you know, it'll be hard to beat him, but it could wound him somewhat, you know. Yeah, like a Ted Cruz type or somebody, you know, more of a Rand Paul type.

I could certainly see that. And you already have people talking about Hooverville. They're already comparing Donald Trump to Herbert Hoover, and the collapse hasn't been encouraging. Well, I mean, only in a sense. To me, I mean, Hoover...

You know, Hoover, you know, I mean, Hoover didn't cause the crash. I mean, the Federal Reserve set that in motion. But the problem with Hoover is Hoover tried to bail people out. I mean, Hoover tried to mitigate the downturn. And, of course, that failed.

you know, led to the beginning of the depression. And then Roosevelt made the depression worse. And it took forever to get out of because of the mistakes that Roosevelt made. But what Roosevelt mainly did is expand on the mistakes of Hoover.

And the ironic part about it is that Roosevelt criticized Hoover. He ran against Hoover, criticizing his big government policies. And Roosevelt promised to cut spending and balance the budget and, of course, didn't do any of that.

But he criticized what Hoover did, and then as soon as he won, he did exactly what Hoover did only worse. So very similar to the way Barack Obama criticized Bush. I mean he criticized – and then he criticized Bush's deficits and then made them even bigger. Yeah.

Yeah, exactly. Now, people listening who say, well, my kid's being brainwashed at the local university or wherever, insert name of college. What books would you suggest they read to kind of get them out of the socialist spot? Yeah, well, first go to my website, shiftbooks.com, and read some of my books. Like even, you know, some of my dad's books, The Biggest Con, my dad's book, is a great book.

But, you know, look at books that ship books and there's a lot of libertarians out there, Austrian economists, you know, people can read, you know, Henry Hazlitt, Economics in One Lesson. They can read a lot of books by Rothbard or Marx.

Hayek and Limesis and a number of good economists that people could read. But my books are readable. It's certainly a great book that you can order on shiftbooks.com. Just an introductory book is how an economy grows and why it crashes because it's an illustrated cartoon type book, really, but it really teaches you a lot about economics. If you get the collector's edition, too, the pictures are in color. It's a really nice gift, too. But that's a good way to get started.

And that's a great way to conclude. So you can get your copy, $34, shiftbooks.com. And if you call us at 888-988-JOSH, you could get your choice of either that book, How an Economy Grows and Why it Crashes. I'm looking at it right now. It looks amazing. I'm going to read it, give it to my kids.

And America's coming bankruptcy, the real crash, how to save yourself and your country. But you got to call us at 888-988-JOSH. Thank you, Peter, for an informative interview. People should also just listen to me regularly. Listen to my podcast on SchiffRadio.com or on my YouTube channel on Peter Schiff on YouTube. I'm constantly putting out information out there to try to, you know, you get all kinds of propaganda out there from the mainstream media, just regurgitated, you know, government soundbites.

And so I cut through all the BS, and I tell it like it is. And so listen to my podcast, my video blogs. And then if you've got more money, call us up. Go to europacificcapital.com, europac.com. Open up a brokerage account, an asset management account. I manage money for people. I have mutual funds. I have separately managed accounts. There are a lot of opportunities out there around the world if you know where to look for them. And if you're patient enough, you'll be rewarded. So you can get me at europacificcapital. It's europac, E-U-R-O-P-A-C.com.

Thank you so much, Peter, for joining us. The preceding program was sponsored by the Jelinski Advisory Group, which is solely responsible for its content.