David Morgan: How Bad Could Inflation Get How To Navigate Your Life Around It

➡ Chris Marcus and David Morgan discuss the potential impact of inflation and the future of silver and gold. They predict that inflation will continue to rise due to factors like higher deficits and increased infrastructure spending. They also discuss the possibility of hyperinflation, comparing it to situations in the Weimar Republic, Argentina, and Venezuela. However, they doubt that the US dollar will become worthless, but expect a trend of stagflation, with rising costs and high unemployment.
➡ The text discusses the potential for inflation and the impact of rising interest rates on the economy. It suggests that if inflation rates are high, interest rates must also be high to have a positive effect on the economy. The text also mentions the increasing national debt and the possibility of hyperinflation. It concludes by discussing the potential for price controls and tariffs, and their potential negative effects on the economy.
➡ In South America, the mortgage system is different and when currency is revalued, debts are reindexed, not eliminated. People often use US dollars or trade in metals, especially jewelry, instead of their local currency. It’s beneficial to build relationships with local farmers and coin dealers for potential trade. When gold becomes overvalued, it’s a good time to swap it for other assets like real estate or stocks.
➡ The text discusses the impact of inflation on the economy and how people are turning to hard assets like gold, silver, and real estate for security. It highlights the importance of having a low-interest mortgage during inflation and the potential risks of government interventions like tariffs and price controls. The text also emphasizes the value of personal property and the psychological aspects of money, suggesting that happiness doesn’t solely depend on wealth. Lastly, it touches on the potential benefits of certain careers in a changing economy.
➡ The text suggests that in times of inflation, it’s beneficial to consider careers in trades like welding and carpentry, which are always in demand. It also advises exploring less popular fields like geology, due to the increasing need for minerals. The text discourages relying on credit cards to invest in volatile markets like gold and silver. Lastly, it highlights the importance of investing wisely in mining stocks, which can outperform the metals themselves if chosen correctly.
➡ The text discusses an upcoming film called “Silver Sunrise” that explores the control of money and its impact on our lives. The film features various experts and aims to encourage viewers to take control of their financial lives, emphasizing the importance of balance and not letting money be the driving force in life. The film is in its final stages of production and is expected to be available around Christmas. The goal of the film is to inspire a more individualistic approach to money, questioning our needs versus wants, and promoting the idea that we have more control over our lives than we think.

Inflation, how bad could it get? What might people want to do? Well, hello there, my friends. Chris Marcus here with you for arcady Economics, and glad to be joined by everyone watching at home today, as well as my dear friend and one of my great mentors and certainly teachers in the silver world, who is, of course, David Morgan, the silver guru of themorganreport.com. comma, a man who is, as I think, about my adventures in the past decade and a half in the silver world, not always the easiest path. And David, you’ve been doing this for quite a while and a great job of it.

So it’s a pleasure to have you on in here today because I did get some questions recently. People watch the channel and certainly hear about silver and gold all the time, but wonder in terms of, I wouldn’t say if we get an inflationary environment. I think we’ve already gotten that, but I, you know, if that evolves deeper if we get to hyperinflation, just some thoughts about navigating life and some of the conditions that come along with that. So, David, it’s great to have you here today and dig into these things. And most importantly, how are you, my friend? Well, I’m doing well, thank you.

I’m feeling good. It’s good to see you and it’s great to be on your show. Thank you. Well, I’m excited to have you here. And I suppose real quick, before we get to inflation, how bad could it get? What might people want to do? We’ll take a quick look at the pricing on Monday morning, 26 56 in the December futures on gold, and we are up to 31.18 or down slightly as of this morning, but back above $31, which I think is certainly an encouraging sign. And David, any quick thoughts on what we’ve seen or what you might expect to see as we head towards the election and the end of the year? Well, going to the metals, I mean, we got the silver futures up, so keep it up there.

I think what’s interesting is when we hit that spike high back in last day of April 2011, we came back down, but we actually stayed above the 30 level for quite some time. On this chart. It looks like it’s pretty weak, but we’re going from 1975, present day. So we actually had about a year and a half where we were above 30 after with the spike, it held above well above 30, somewhere around 31. As you got the line there and then it dipped down, you can see if, you know, you squint a little bit for about six months.

It came back up and then it hit, I believe it was 29 50. I forget the number. I put out an alert to all my paid people and said, this is the third test on the way down. If we break down below this cell or hedge or whatever, and when it happened and I called it just in time, people took advantage of it or not. I don’t know. I mean, some said thank you, some said nothing. You could see that huge, you know, cup that we went. That took years, you know, from that point where you got all the way down and we got excited in 2016, I got excited in 2016.

We got that big run, thought it back and fill, but no, back down to another low. And then of course we got that big move in the 2000 with the illness, and then back down that 125 to one, and now we’re back up. So I said all that to say this, once we get above that 31, two, three. I say about 33. You can see there’s no overhead resistance. There’s hardly anyone ever bought any metal that high. So most people will be at an all time high and so they won’t want to sell, they’ll be holding.

So any new buying will put a lot of buying pressure on there. It’s like a stock. It’s. Think of it like a stock. Stock has got a very tight float and it’s making a new high. Doesn’t take a lot of volume to move the price higher because no one’s selling. So the floats is tight, no one’s selling, so it’ll be the same thing in the silver market. I’d love to see it, you know, above 33. I’d like to see it at 40 by the end of the year. Will we get there? I don’t know. Could we get there? I would say yeah, we could.

Especially with gold continuing to make these nominal new highs. Yeah, it certainly will be interesting. And whether we see that this year or at some point in the future, obviously, as we’ll dig into, we had not only a rate cut, pretty darn aggressive rate cut. One last note on the chart here we see the times that it’s gotten above that 30 level has not been often one, two had three briefly in 2021, but now here we are, which that alone is not saying that we’re headed to 50, but last couple of times it broke above that.

So at least some optimism in the pricing. Although what is less optimistic, David, is obviously the conditions we’re facing. Like I mentioned, you’ve been doing this for seventies, I believe, was your start studying silver. You were. Is that correct? Yeah, I was working, you know, in the air compass, but I was always looking at the markets futures and, you know, all the markets are trading stocks when I was 16 and just fascinated, especially the honest money and the sound money. You know, there’s really, in the early days when I was young, I mean, we talked about the honest money or sound money campaigns and, you know, there was a lot more alliance to silver bean money in those days because, you know, I’d been in circulation not, you know, that long ago.

For example, you know, 71, you know, in 64 we’re circulating silver and then 65, there are a lot of people still circulating silver. It disappeared pretty quick, but they didn’t know any better. You know, they would believe what the government said, that the Johnson slugs were just as valuable as the silver money. And of course it’s not. So it did disappear. Anyway, back to you. Well, I mean, that was a lot of the foundation that was laid and that things that people were talking about in terms of debt, inflation, that I guess for a while it felt like we were talking about it.

Now we’re experiencing it. And here again, everyone’s favorite JP Morgan CEO Jamie Dimon, yet obviously a mainstream establishment voice. And this was about two weeks ago now. And here was the article. And he was worried at a raft of inflationary forces such as higher deficits and increased infrastructure spending. Hard to see many scenarios in which that does not continue to be the case. So we’ve had the inflation, the things he cites sure seems like we have a lot more of those going forward. Also saw a chart from the National Bureau of Economic Research that says if we had been using the 1983 CPI methodology, that in 2022, their calculation said inflation would have been calculated at 18%.

Even using the CPI numbers we can see from March of 2020, prices are up according to CPI, over 20%. So long intro to the question there. First of all, I guess, do you expect this to get to a point of hyperinflation or when people are thinking about how to plan and figure out how to navigate the next couple of decades of life? Maybe we could start there. What you expect? And does this get to some of the things we’ve seen historically? Trey, great question. I’ve taken a deep breath because first of all, no one wants a hyperinflation.

A hyperinflationary depression is the worst of all worlds because currency isn’t trusted. I mean, a true hyperinflation is the Weimar Republic, what happened in Argentina and Venezuela. I mean, there’s pictures on the Internet. If you’ve probably seen them, maybe some of our viewers haven’t, but you can google it pretty quick. And you know, there are literally currencies in the gutters that people won’t bother to pick up because it’s that worthless now. Will that happen in the us dollar? I really doubt it. But the trend is, as you point out, stagflation, where you have higher and higher costs and you have less of a, you have uncertainty, you have a lot of things that are similar to a debt liquidating impression.

High unemployment, high uncertainty, costs go up, unaffordability of basics, food going up, whatever, 30, 40%. As Mike Maloney says, it’s not the CPi, it’s a CP lie. I mean they take out food and energy, the two things humans need the most. I mean what kind of a, what kind of a scam is the government running here? So I do think the trend of higher inflation is pretty much built into now, even though they use all kinds of metrics as hedonic indexing and all this crap they come up with and they are lowering interest rates. And that’s very good for the bond vigilantes, the people that trade in the bond market.

Does it really help real estate? Slightly, but not a whole lot at this point unless it goes far lower, which could and probably they’ll force it. But I’m a bit of a contrarians contrarian. I think that they are not going to get away with this lower end of interest rates for a very long time. I don’t think they could do it for the next two years. They might do it for the next few quarters, I’m not sure. But I do believe with the shortages that are built in the market, with the problem with the foodstuffs for the war efforts throughout different parts of the world and the problems with the illness a few years ago and governments saying taking on their farmers and what you could grow and can’t grow and why you can and how you have to, what energy source you can use and all this nonsense that’s going on with the technocratic bureaucrats at the top of the pyramid, with their aih derived ideas of how to make the planet more green when it’s.

Everything green is almost the opposite. I could go on that tangent. I’ll stay off of it. So I do think that you’re going to see more and more inflationary pressures and that they might have to be forced to turn around and raise interest rates some more. The problem is you cannot raise interest rates high enough to do any real good in the real economy, unless the inflation rate is, excuse me, the interest rate is above the true inflation. So if the true inflation rate is 18, let’s just make it ten. For talking purposes, the government says it’s down to four.

But if it’s really ten, you really are not going to take that inflation away until you put real interest rates above the ten. And that happened under Volcker way back in 1980. It couldn’t happen again because the interest payment on the national debt would be beyond belief and really couldn’t even service the interest, which we’re getting close to over time anyway. I mean, we are adding, you know, a trillion dollars to the deficit every hundred days. So, you know, it’s 360 days a year. So in less than a year, every year we’re adding another $3 trillion to the debt.

And then it’s something that very few people talk about. But I will occasionally. And that is, you know, Professor Sizemore and Kathryn Austin Fitts reported on that. There’s really $20 trillion that was in the black budgets that’s never been put on the national debt. So really we’re more like a 55 trillion rather than 35 trillion. And that’s the current deficit. That’s what you owe on your credit card that you got to make a monthly payment. It’s the off budget items that are unfunded liabilities for Social Security, Medicare and military pensions that gets into over 100 trillion.

So, I mean, youre really in a situation where we could go into hyperinflation. Will we get there? I dont know, but its really a psychological event as much as a math problem. And thats where the doesnt have to be the majority of people. It only has to be a few percent. But those few percent move enough money rapidly enough, its called velocity, to money where theyre spending it faster, as fast as they can because theyre worried about its value being worth less a month from now, a week, a week, a month from now, two months from now, six months from now.

So you don’t care if t bill rates go up to 10% if you think that the cost of food is going to be 25% in that same timeframe, you rather buy the food and store it than you would to get interest of 10%. And we’re not there yet. Will we ever get there, you ask me? I don’t know, but the trend is that direction. That’s what I’ll tell you. Yeah, I know what you mean. And I guess thats the part that concerns me the most sometimes because especially in the election cycle, ive heard different views of hey, we could raise more revenue doing this.

Yet if ultimately the thing is run by someone and no matter how much revenue you have, theyre going to spend more and if they havent figured out, theyll find a new way to spend money. And similar dynamic with the Fed where here even with the economy were told its strong even 25 basis points wasnt enough. So certainly what happens when we do have an overt recession. And David, by the way, I like that, the illness of 2020, well leave that aside. And although since you did mention Volcker, I had to pull this one up, ive been rereading this for the past week.

This was in my fantastic Joe Bannister book discusses why the IR’s mentions the word voluntary repeatedly in their tax code, which probably is just a mistake. Most likely. But we had a Paul Volcker quote where he mentions if the overriding objective is price stability, we did better with the 19th century gold standard and passive central banks with currency boards or even with free banking. I thought that’s interesting, where here’s almost the king of the central bankers and even he’s acknowledging that we’re in a system that isn’t doing so well. And I know I said we’re not going to stay too focused on gold today, but one other thing I’d like to pull up before we get back to that is something I was thinking about today where here you have gold down near $250, 2000 and 2001.

So we’ve seen gold more than ten x in the past 23 years. And as you have already been describing, we have. The conditions that we faced back in 2000 are exacerbated. Beyond that, you mentioned the missing money. I’ve heard Doctor Skidmore and Katherine Austin Fitz, they had an updated number even past the 21 trillion, I think it was in the hundreds. Seems like they have been actually emailed Doctor Skidmore a while back. Seems this is my own impression that he’s not been encouraged to talk more about it by the government. Of course, that would include the missing 2.3 trillion from September 10, 2001.

Yet nonetheless, obviously gold. I think especially after where we are this year, you can see what’s happened in the last 20 years under similar conditions that now are exacerbated. So nice. We’re at a point where at least I think it’s a little easier to see gold filling its role. But what outside of gold, you talked a little bit about food, which especially hearing Kamala Harris talk about price controls at the supermarket. I think for anyone who studied what happened in the seventies. And you’ve talked about during the Great Depression as well. That’s a bit disconcerting. But we’ll step away from the gold and silver part a little bit.

Now, anything in terms of food or other areas, and I know you talk quite a bit about some of these. So what could you share there? Well, we talked for the interview. I mean, the smooth Hartley act was done during the Great Depression. It was to protect american farmers. So they put price controls on, or tariffs, excuse me. And all it did is make the world depression worse. So price controls don’t work. Tariffs really don’t work. A free market is what works. And yet this is a well known fact, but it’s part of the historical record.

But as Santiana said, the greatest lesson of history is that people do not learn the lessons of history. So they’ll keep making the same mistakes. I fully expect. You know, Trump’s for tariffs, Harris is for, you know, price controls. Neither one are good for anyone. But the masses don’t know that because they’re not taught. They don’t think and they don’t read and they don’t study, and they don’t understand. And I get it. I mean, I’m not trying to put anyone down. It’s just, you know, most people out there working two jobs now, I mean, I don’t most people, but many people, and they’re just too busy making a living, they’re too tired to, you know, look at what you and I discuss.

You know, it’s people that have saved a little bit and are concerned about what their savings is going to evaporate to in the future that are taking measures to try and educate themselves. And many have become quite educated and realized that an ounce of gold didn’t change from 2000 to 2024. That ounce is the same. How come it’s ten times more fiat now than it was 25 years ago? Well, because it destroyed the currency or destroying the currency. So I think we want to talk a little bit to kind of circle back, not lead this, but I think we want to talk a little bit more about the hyperinflation.

I mean, I think he had some questions for me on, you know, what happens to mortgages. What most people don’t know that don’t live outside the US or US centric is many places in the world there are no mortgages. Most of Europe, you have to buy the property outright. That’s why so many middle class or upper middle class rent in Europe, because there is no mortgage. In most cases, there might be exceptions with a private party, but there’s no mortgage brokers or anything close to that in many places in the world. South America is pretty much that way.

In Mexico, you got to pay for lap Argentina. The same people ask what happens to your mortgage in Argentina? Nothing doesn’t exist on a credit card, excuse me, on a short term loan like signature loan or credit card debt. When they revalue, they just revalue the new currency. So you basically pay your debt doesnt go away, it just gets re indexed. So I think thats something that you had for me earlier on. Yeah. And anything, I think you mentioned how they dont have the same mortgage system down in South America. We did have a question someone asked particularly about Argentina and Venezuela, how some of those things look before and after.

Anything that you could share on that? Well, what happens is, you know, good money chases out bad. When I think a lot, most of our viewers would know, but many, you know, never look at this subject matter. I mean, the black market, free market in a lot of these countries use physical pieces of paper that are printed by the Federal Reserve. They’re called Federal Reserve notes and they’re green with pictures of president. That’s the true economy. So there are, there’s the bank rate that you could take your pesos in and get dollars, and then there’s the street rate where you can change your pesos and get dollars.

So a lot of it goes to us dollars instead of their currency. And when it gets really bad, they’ll trade in metals. And most of metals, I learned this not the hard way, just not knowing because I hadn’t gone through it. But having been Argentina and these other places and talking to people in the know, a lot of it’s jewelry. They’ll take a ring and weigh it, you know, see if it’s sterling or ring, bracelet, necklace, earrings, anything that’s silver or gold, they will take in exchange for, you know, another product or service or whatever. So you have the us dollar greenbacks trading with alongside physical metal.

And it’s not always, you know, shiny, round, government stamped 1oz pure silver. You know, there’s, in fact, there’s a lot less of that now. In this country, if we went into that kind of situation, you’d see a lot more, you know, coinage because there’s a fair amount of stackers and that kind of thing. But in these foreign countries, a lot of it just is jewelry. David, in terms of food. Again, touched on this a little bit, but I know there’s a lot of prepping channels out there and people have their varying degrees of to what extent they go.

But I know you and I have talked about this before. Certainly the idea of not being entirely dependent on the local supermarket chain, but perhaps becoming aware of local farmers building relationships similar to what you were saying with gold and silver, perhaps down in South America, maybe going and meeting someone in a local coin shop so that if you do have to sell at some point, you’re not ending up in a situation where you don’t know the person and you end up getting a bad deal. But some of these things I think are also things that at least people can consider and you don’t have to jump all in and have ten years of food supplied right away.

But any thoughts on those types of steps? Yeah, I think it’s really good to make acquaintance no matter where you are with, you know, any farmers markets, if they’re in your area, if you can drive to reasonably, you know, half hour drive, hour drive even, and then make a, you know, some relationships, we have them here and I always offer them silver and most, let’s say 80% say yes, some don’t want it, but a lot will, you know, in fact they know me by on site when I come in there. Oh that’s a guy that pays us in silver.

Hey, you know what? So I think it’s a very good idea and I like what you said, you know, and just for the education part, if you are in a situation where you need to hawk some jewelry or whatever, you might be better off just going through a third party. You know, go into a coin dealer. They can, let’s say you’re going to accept some silver jewelry or gold jewelry. You don’t know if it’s 14 karat, 18 karat, if it’s really just plated. So you could tell the other party, hey, I’ll do the deal, but I want to make sure this is real.

Let’s go into a, you know, this coin shop and find out. In fact, if you let me digress for a minute, I had a friend of mine on a real estate deal and he wanted to buy me out and I said okay, I agreed to the deal and I wont say the amount of money, it wasnt a huge amount, but it was a fairly good chunk of a change anyone had paid me in gold, but it was mine gold, gold dust. And so I talked to my dealer here and he said is it from Idaho? I said I think so, but I dont know for sure.

He goes that’d be about 75%, you know, we’ll figure it out. And my friend was telling me it’s like 99%, you know, and I kept my mouth shut. And sometimes I speak up, but it’s always good to kind of, if you don’t really know, just keep your mouth shut, you know. And we went in there to do the deal. He brought in, you know, these baggies of gold, and he laid them out and put them in the pan, and they shot it with a gun. That was 99%. It was damn near 100% pure. So he poured out enough to pay off the debt.

And then I made a deal with the dealer to take that because, you know, they deal with the wholesalers and the refiners all the time. I mean, I’ve, you know, gone in to see people in the line before me, and they would take rounds and throw them in the, in the scrap bucket. Sometimes jewelry, mostly silverware, that kind of thing. But sometimes just the coin is beat up to throw it in the scrap pile. So I asked him if I could exchange the dust for, you know, Pam bars. I think I did, because it was the lowest premium, and he did.

And he only charged me, like, I don’t want to lie because these guys know me for years. So he used to give me kind of the family deal, but I think I only paid like 2% to convert it into what would be usable for me because I’m not going to take a back, a gold dust around to pay off another debt. Right. But anyway, I, but I think it’s important for people to know that, that, you know, in the real world of gold, there are those kinds of transactions. They don’t happen every day, but they do.

Everyone thinks, well, do I have to have a Krugerrand or do I have to have a Us eagle? You know, well, you can have gold dust, you can have gold nuggets, you can have gold chain, you have gold ring. I mean, gold is gold when you break it down. Yep. Yeah. And certainly think it’s good to get out. You don’t have to go contact every dealer in the nation, but certainly going, I mean, there’s local coin stores and I think most parts of the country, and even stopping by and getting to know someone so that if at some point you do need to sell gold or silver, you’re not starting from the beginning.

David, next one on here. He asked, when do we go into real estate and when do we rotate out? Yeah, I think Mike Maloney’s answer that as well as anybody. Do you do the Dow Jones in terms of gold? We do the Dow in terms of gold that peaked in the year 2000, even though it’s making new highs. How does that work? Well, because you’ve got a constant, you got a standard, you’ve got a gold standard to measure it by. So when you measure real estate in terms of gold, when it becomes cheap in those terms, that’s when you, you switch out and you know, maybe not all your gold, but you move from the metals into real estate or into stocks or into a business or, you know, whatever it is.

So you have to price it in terms of, you know, what’s the historic standard for an ounce of gold for a barrel of oil, what’s the historic standard for ounce of gold in a min suit, what’s the historic standard for? And if it’s a below average, you know, it’s, it’s undervalued or fair valued or overvalued. When gold becomes overvalued, that’s when you would want to swap it for something else, but it’s still undervalued. In fact, on the, you know, printing press amount of paper versus an ounce of gold, that factor of ten x that we have talked about is really just keeping gold constant because the x factor I’ll call, it’s about Eightfold.

So the money supply on the base money has gone up about Eightfold with gold’s gone up ten. So it’s slightly ahead of the base money supply, not talking m two or m three. So we’re in a typical inflationary blow off, but we’re not in the blow off phase yet. And if we get there, it goes back to the beginning of our conversation where people quit trusting the currency, start trusting, you know, foodstuffs, cars. I mean, anything. I mean, when I went through it in the seventies, I was still pretty young, but I mean, people would circulate these flyers.

We didn’t have the Internet, we didn’t have cell phones, old school. But you’d see in certain parts of the city where the people pass out these eight and a half by eleven flyers to buy ammunition, guns, cars, gold, silver, you know, anything but stocks, bonds, or any paper asset you want, a hard asset of some type. And it’s not just gold and silver, you know, ammunition, cars again, guns, you know, stuff like that. And a lot of people caught on at the end, you know, I mean, we had that kind of psychological move where people started to fear what would happen to dollar going into January of 1980.

I mean, silver was on the move, goal on the move, and it was very, you could call it temporary. I mean, it made that last big rocket ship up on a parabolic move, and then Volcker came in and squelched the whole thing. We had a 20 year bear market and, and that’s just the way it is. Even though the, you know, inflation, they kept adding to the money supply. So price of gold wasn’t commensurate with the, um, amount of paper being printed for the 20 years following the 1980 high. Uh, the psychology had been broken. It was when the psychology was this, this is going to fail.

And then the final icing on the cake was a war in Afghanistan. I mean, when I was kind of like, oh, my God, the world’s falling apart. And so that kind of gave the last oomph to the gold market. Yeah. And I, I think you touched on something important there, especially with the environment we’re in, where I would imagine, especially if someone has a manufacturing business where you can get parts. Now that at least with what we see on the horizon, where Trump’s talking about 100% tariffs on countries that are de dollarizing. The same time, Putin recently had a comment about possibly restricting exports of a handful of various minerals and resources.

So that’s one thing that when appropriate, certainly people could keep in mind of things that I need going forward, let alone the price impact, but the availability, especially in today’s environment. And, oh, also with the housing, I feel it’s worth mentioning. Obviously, if someone’s looking to buy a house now, there’s a whole handful of factors that go into that. Yet the degree to which, if someone has a mortgage at a good interest rate, what would you suggest? Obviously, there is the degree to which, if the dollars are being devalued and you’re paying them off later, can be beneficial.

Balancing that, of course, with the degree to which someone wants to be in debt. But anything you could say about the concept of paying a mortgage back in cheaper dollars? Yeah, I think, yeah, you have to look at it kind of a case by case basis, but I think you’ve got a two and a half, 3% mortgage. I would hold on to that. The only problem is that at the end of these great inflations, governments can do some really interesting things like tariffs and price controls. Maybe you got a rental property and you’re making good rent now, but then they put a rent control on, you can’t up the rent, but you get, you get taxed higher.

So all of a sudden you got a really positive cash flow, and then a year later you don’t, because you couldn’t raise the rent and your taxes tripled I know it sounds extreme. And do they triple? Well, they do in some countries. I’m not saying that they would in the United States. I’m just saying to be aware of those things. But no, generally speaking, if you got a low interest rate under the true inflation rate, you’re pretty smart to hold it. Another thing, on a real estate, I didn’t ask, but, you know, I get this question fairly often, and somebody that’s got pretty good savings that they never bought a house or they’re moving and they, you know, know, they want my opinion on, you know, should they buy a house or not.

They got all this silver or something. And I always tell them, you know, buying your individual property, if you can afford it, do it because it’s a priceless item. Yeah, it costs x amount. It’s, you know, 500,000, 800,000, whatever the price is, put the price out of your mind. If you can afford it, you know, you can afford it because you’ve saved the not, maybe not buy it outright, but it’s, you know, it’s within your budget, you’re safe to buy it because it’s prices from the standpoint of that’s your castle, that’s your home, that’s your nest, that’s your sanctuary.

I use that word because, and what’s that worth? And that’s worth peace of mind and can’t put a price on that. Now, if you’re talking about investment real estate, then I think you want to think about it differently, but thinking about your own place to live. There was a gal over on the other side of the state. She found a house and she really wanted to buy it, but wanted me to tell her, you know, what the future held for the metals and interest rates and everything else. And I just told her, just put it all aside.

If you really love the house, buy it, make yourself happy. And we don’t, you know, hoarding money, I mean, real money, someone gold isn’t going to make you happy. You know, it’s. It’s really a hedge. It’s being balanced in your, your head, your heart about money, to understand it, you know, that’s why I did kind of the, the documentary, you know, on the silver sunrise, because we’re so controlled by the money powers, because most people can control others with money, but we have to have our own self control about money, you know, and that’s kind of what I get into in this film because, you know, it’s, it’s distorted for a lot of people.

At least that’s what my experience has been, you know, where I can never get enough? Well, if you’re a billionaire and you can’t get enough, kind of sick, you know, and there’s people that have enough and it isn’t very much and let’s say relative standards, but they’re happy. So anyway, I digress a lot, but I think it’s important because, um, because I’ve run into it fairly often and, you know, people value my opinion, or they don’t, but when they ask, I tell them how I feel about it. She was so grateful, you know, so I gave her, she needed my permission, she could do whatever I want.

It was her money, but she just felt so much better. Yeah. You know? Yeah. Like she had this bit of an epiphany. Why am I saving all this silver if I can’t use it for something that I want? It’s going to make me happy, it’s going to make my life better, it’s going to give me more fulfillment and all that stuff. So I had to throw that out there. Chris, you didn’t ask, but it just was kind of laying on. No, well, it’s an important thing that I think probably doesn’t get talked about enough, especially all of the kind conditioning around money.

And certainly when you hear about things like MkUltra and the different ways that various forces have spent a lot of time, energy and resources on trying to shape the way people think. I’m glad that you’re doing that project, and we will come back to that at the end here and tell people a little more about it. Although two last ones before we wrap up. The first would be, any thoughts you have on the occupation career choice? Certainly it’s something I remember before when I was making the decision to leave the trading floor, which was 2012, there was part of me that wondered, is there still going to be a New York stock exchange and people flipping options around back and forth? And along with that, I mention often that I’m a big fan of Luke Groman and listening to his podcast and newsletter, and he talks a lot about how the reasons he thinks that we’re not only being forced into some sort of adjustment in the currency system sooner than later, but that while thats going to happen, maybe you have ten or 15% inflation, but if the US decides to or is forced to bring a lot of manufacturing back home, that if youre a welder or a carpenter or an electrician, you might actually be beating inflation just because of the demand for your services.

Obviously everyone’s in a different situation. Whether it’s a job or a business they have. But if you had any thoughts or good starting points, if someone’s wondering, okay, if we do get this type of environment or if they’re expecting more inflation, anything that you might suggest for them to keep in mind and think about. Yeah, absolutely. First of all, to piggyback on what you said, the trades are underappreciated. So welding, carpentry, you know, any of those plumbing, a lot of those high, you know, blue collar, how they’re usually referred to, skill sets are extremely good because they’re always in demand during the, you know, good times and bad times.

And there’s very few people in the younger age groups that want to explore that type of a career. But even if you don’t like getting your hands dirty, you can learn how to weld for a few years. And if you have an entrepreneurial spirit, you can build a welding company where you just manage it. So there’s a lot there on that side. On the other side, it’s kind of like the Great Depression. You know, fill a need and find a need. Fill it. I think the, you know, you know, building websites, writing code, a lot of these stuff that’s, you know, AI’s taking over some of it, those type of high tech jobs, I wouldn’t really steer younger people to that.

I’d look outside the box and look at, you know, what the needs are and what people are unwilling to do. I just visited, you know, my friend that’s working with me, Ted, was here for about ten days, a little more than a week, and we went and saw sapphire mine in Montana. And I was talking to the mine manager like I always do, and, you know, just how many geology students there are and just so few, you know, so that would be one. You know, there’s. I mean, there’s actually a need for more and more and more and more and more minerals with this push for everything going electric and geez, that means you need more and more and more and more geologists, so mining engineers.

So I would look at that. I would definitely look at what the major majors are in universities and see what they are. I’d steer away from those. I’d see what the lowest ones are, and I’d gear toward those. And always the entrepreneurial spirit. I mean, if you’ve got an idea running a business on the web or out of a brick and mortar building or a truck that caters to certain individuals or whatever, and of course, following your passion, if you do that, the money always follows at least that’s been my experience. So that would be my recommendation.

I mean, you know, when you’re young, you know, at least when I was young, you know, life isn’t as short as some people will tell you. Yeah, it’s short, but there’s years and years and years. So to do something that you love makes it like you feels like you’re never working. That’s an exaggeration. There’s days when I’m pounding out the keys and I feel like I’m. But I’m so passionate still about what I do that most of the time, I don’t really think about how many hours do I put in a day or when do I punch out because I work for myself.

So that’s a good place to be, but it’s not for everybody. There’s a lot of people that are a lot more content by punching that clock and punching out on Friday and not thinking a darn thing about their work or anybody at work for, you know, Friday night, Saturday, all day, Sunday, all day, and don’t think about work till they go back on Monday. And that suits them. So I guess it comes down to find self be true. But I would look, you know, repeat where no one else is looking, you know, like the greatest Gretzky, you know, ski where.

Skate where the puck isn’t, go to where the job demand looks the weakest or unknown or not very well recognized. Yeah, I like the way you phrase that, especially if you write out what you like to do, what you’re good at or have skills in, and then match some of those with where you see need and things going forward and. Yeah, and also the thing you mentioned about the mining executives, I’ve had several miners on the show recently that have mentioned that in addition to energy costs going up for the mining companies, one of the big problems is finding labor that is qualified to do specific roles.

So well said there. And David, the last one I’ll mention, I had someone write in who was wondering if it’s a good idea to buy gold and silver on a credit card if it drops and then assume the price will go up and cover the interest. I was suggesting that that is in the bucket of things, that if everything goes perfectly, can it work out? Yes, but I was not advising him to do this by any means. And any thoughts you have on that one. Yeah, I always been consistent, too. I’m too conservative. I would say, don’t do it.

I mean, you could do it, and it does work out. Funny. Another real quick digression there was a guy I used to do a radio show with early on when I first popped on the Internet and we did it, oh I don’t know, three, four times a year kind of thing. He would buy a bag of silver at the beginning of the year. Well remember at a eleven year bull market in gold and silver was similar. So from 2000 2011, every year, year over year, gold was a higher price. Silver pretty much followed that. Anyway, the point was he buy a bag of silver and cash it out in April and pay his taxes.

And so hes buying it x and it was worth 1.5 x by the time he paid his taxes. And the next year he buy it at the previous 1.5 x, which is the new x and ITd be at two x. So im not suggesting that Im just going back to what the guy asked, but when a bull market, you didn’t try and get away with it. But the interest rates are so high on a credit card. I just don’t look at going into debt on a highly volatile, volatile market. But yeah, it can be done. I would not recommend, yes, yes, I think there are perhaps better ways to do that.

And with that said, David, I sure appreciate everything that you shared here today and I know there’s a lot of people that certainly look to you for advice. And perhaps as we wrap up first you could tell them about the Morgan report and what you’re doing there. Yeah, we’re plugging away. We’re still doing the newsletter of course, and lots of insights you wouldn’t get anywhere else. On the top tier cash rich companies, two out of the six are making all time highs right now and that’s in an environment where the mining stocks aren’t doing that well.

So that does prove to that if you pick the right stocks you can outperform the metals themselves. In both those cases, if you bought the metal at the top of the market in the year 2011, those stocks are up higher than their highs at that time. If we go to my favorite gold stock, that stock is equivalent to buying, having gold at 6000 an ounce at 2600, thats how much better. The stock has outperformed gold price from that time till now. So buying at the previous all time high in September 2011, good about that stock, instead of gold, that value would be equivalent to $6,000 gold on the silver side.

Not quite that good, but better than buying silver at 50. If you bought thats my favorite stock, the one thats making new highs, you would be like equivalent to like a $65 silver or something. So it does play in a portfolio if you know what you’re doing. Remember, in the top tier, I recommend 70% of your money. So it’s not like I picked a penny stock that’s doing that. Well, it’s substantial money. And the rest of the 30% goes into junior producers, mid tier producers, and then rank speculations as money you can afford to lose. So I do it different than a lot.

I weight the portfolio, you weight it correctly, you can do better than the metals. But not many are going to tell you that because most of our friends are bullion dealers and they’ll tell you, buy gold and buy silver and forget the miners as you do better buying the metal on aggregate. That’s true if you just average everything. But if you want to be above average, you want to go to the top of the class, you want to get be the entrepreneur and you want to make more money, then find somebody that can help you do that.

Yeah, certainly with our $2,600 gold price. Haven’t seen a big reaction in the mining sector yet. But I think it’s nice to daydream sometimes if we go in the direction things seem to be heading, that certainly there is a bull market in the mining stocks ahead. And David, I appreciate that you help navigate people through some of those choices. Easier said than done. Although fortunately you’re out there. And the link to the Morgan report in the description field below. And then just the last one, if you could tell folks a little bit talked before about Silver Sunrise, the film you have here.

But anything else you could add to that, just watch the trailers. I mean, you know the subtitle breaking free from the stress sphere and control of money. And that’s what it’s about. I’ve got foster gamble that did two thrive movies. He’s in it. G. Edward Griffin, Ron Paul, Ellen Brown, who wrote web of debt. Mark Passio does natural law. I just finished mine. Darryl Anka is probably not going to be there. We just finished Edward Viera. Pastor Baldwin is ill right now. We’ve got some stuff from Larkin Rose in there, and we’ve got two more on the table that I won’t mention that they’re going to be on board or they’re not.

We’re just about done with filming. So then the hard process of getting, you know, an hour or hour, 2 hours of film and breaking that down to these little segments and making it all fit together like a giant puzzle under the narration, which is already done, is going to be a test that the editor does. But you know, then there’s more trailers than just those. I think if you scroll back up to the top, there’s that trailers right there. If you click that, there’s a ton of them, and you can go. You can pick out maybe some people that you like to listen to.

You know, Foster, I’m in there now. I just finished. As I said, he picked out a segment for me that is fairly good. I mean, it’s all about not just the honest money, sound money and all that I stand for, but try to give people the perspective we talked about earlier, that you want a balanced life, you want a good life, you want to be your best self, so to speak. And money plays a part in it, and it isn’t, should not be the driving force, because in my view, it’s got too much control over us.

So it’s more about taking control of what you can control, being happy with what you have now when you don’t have enough. Believe me, I get that. But we have the ability to. We have more control than we think. You don’t want to turn everything over to the big brother. You know, we’re in the erade era of where, you know, if you want to work out, you get a trainer. If you want to learn how to cook, you get a chef. If you want to, you know, like everything is, you know, taught to us or done for us kind of thing, rather than being ruggedly individualistic and being able to do almost anything, you know, the Renaissance man attitude, where I can learn anything, I can do anything I need to on my own, kind of that attitude about money and, you know, what do you really need versus this condition that we all have about wanting stuff that later on, three months later, why did we buy this? I don’t really need to buy this.

And, David, when is the film expected to be available? Well, if I get the next two guys and gals in the box or in the can, as the expression goes, maybe by Christmas. I’m shooting for Christmas, but that’s on my producer, not on me. He’s the one that’s got a clip and splice and dice and put it all together, and that’s at least a four month process. So we’ve got October, November, December, and some of September. So we’re getting pretty close to that deadline. I don’t know if we can do it or not, but that’s what we’re shooting for.

Well, we’ll look forward to staying posted and whichever month it comes out, I think for the reasons we’ve been talking about, for the last almost hour, certainly a very important topic. And the link to that will be in the description field below. And David, thank you again and hope this was helpful for people. And if you’d like to see more about the silver sunrise, well, we have a video of one of the trailers that’s coming your way. You can just click on that now.
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