➡ The ultra-wealthy don’t actually have wealth, but rather inflation receptacles. The value of their assets, such as real estate, stock portfolios, and farmland, will drastically decrease in the end game compared to money. Most of them are not prepared for this, and even those who have invested in gold or Bitcoin may face difficulties. The discussion also touched on the disconnect between these wealthy individuals and the rest of society, and the potential for social unrest.
➡ The text discusses the potential downfall of large companies and the return to smaller, family-run businesses, particularly in farming. It also touches on the idea that the ultra-wealthy don’t truly have wealth, but rather “inflation receptacles” like stocks, mansions, and art. The text further explores the idea of society’s over-reliance on technology and the potential problems this could cause if systems fail. Lastly, it mentions the future of silver and its potential value.
➡ The speaker discusses the potential future of gold and silver, suggesting that while silver may initially lose value compared to gold, it could eventually become one of the most valued assets. They also discuss the convenience of credit over physical money, predicting a return to a gold standard with silver coinage. The speaker doubts a full return to a silver standard due to issues with bimetallism. They also touch on Triffin’s Dilemma, questioning its relevance in a gold-backed economy.
➡ The discussion revolves around the concept of using different currencies, like silver or British pounds, to pay off debts. The speakers argue that in a world where everyone is honest, the type of currency wouldn’t matter as long as it’s trustworthy. They also discuss Triffin’s Dilemma, concluding it doesn’t apply to a gold or silver standard. Lastly, they debate whether investing in stocks or holding gold is better, suggesting that in an honest world, investing in stocks should yield higher returns over time.
➡ The text discusses the value of investing in gold versus stocks. It suggests that while the stock market may seem to be rising, in terms of gold, it’s actually declining. The text also criticizes the current investment system, where people entrust their savings to unknown entities managing hundreds of companies. Lastly, it laments the decline in quality of goods, like furniture, due to mass production and advocates for a return to local, skilled craftsmanship.
➡ The speaker is frustrated with the quality of products today, from furniture to clothing. They mention how quality furniture is expensive and often only affordable for the wealthy. They also express concern about clothes made from recycled plastic, worrying about potential health risks. Lastly, they note that these plastic clothes require special care to remove odors.

But most of the ultra wealthy, they don’t have wealth. They have inflation receptacles. Yes, that’s what they have. That’s great. Yes, they have inflation receptacles. Clothing kind of seeps into your body and who knows what it does and, you know, goes into your vesicles, your seminal vesicles, and like mutates your sperm and has you creating all these weird plastic human monsters. Foreign hey, guys, Raf here from the End Game investor with Phil on the line for this month’s edition of the Bitter End Game draft. And things are not calm. Gold is going up a hundred dollars one day, up another $150 the next day, down another $50 third day and then down another 85.

Things are crazy. Silver’s lagging, then Silver’s leading. We don’t know how long this volatility is going to last. It’s going to last until the end game, I think, or something like it. Phil, how are you doing? And what is new in the area that you live in? Well, this is all like Chinese water torture to me because it’s, you know, I can’t do anything without thinking of the end game in the back of my mind. I can’t go to an amusement park without thinking like, geez, the market Is today the day that we can’t drive home safely like the burning dumpsters of you and, and mobs rioting everywhere.

But no, it’s, it’s, you know, we’re, we’re getting along fine. Everything’s fine. Everything’s just fine. Good. You sent me a list of topics that wanted to go through. I wanted to add a fourth one that we’ll do at the beginning here. The first one you wanted to cover is Silver’s future in the aftermath of the End game and the return to healthy banking. Two is Triffin’s dilemma, and three is talking about a gold to S&P 500 chart that you say is an illusion. And I will share that chart when we get to that topic. But the first topic I really wanted to cover here is the general feeling of, let’s say, malaise, but hopelessness and ever being able to dislodge the elite from their current inflationary pedestals that they have so much wealth and so much money and they have this all planned and it’s a controlled demolition and they’re going to control the end game and they’re going to stay on top.

I was listening to America this week, which is, which is Matt Taibbies and Walter Kern’s twice weekly podcast. I think it’s once a week on Rumble and once a week on, on Substack. Walter Kern, I think is one of the political. Not, not in terms that he’s like a politician, but he, he understands broad trends in politics and how they reflect society and culture. And he can distill where a country or a society is headed based on the politics that he sees developing. I don’t think there’s anyone better than him. I haven’t heard anyone better than him.

But today they were referencing a, a New York Times article. It was one of those elite newspapers that nobody reads anymore. I don’t remember which one, but this guy, David Brooks, who they referred to as something like the king of the yuppies. And now he’s call for some kind of revolt against Trump, calling all the yuppies to arms. The ones that go on these food tours and they have all these culinary delights and travel all across the world and see all the sites and they just think they’re so awesome that, that nobody would ever dislike them because they’re just too cool for existence.

And all the, all the slaves and our class of people. I wouldn’t, not that we’re slaves, but we don’t really identify with the yuppies. And even though we’re not poor, we, like Trump isn’t poor either, but he doesn’t identify with the yuppies either. David Brooks’s column was so tone deaf. The fact that he could even possibly think that he could call for a revolution in a Marxian style. Let’s stir up the masses and get everyone, you know, really upset about their humongous 401ks and their multibillion dollar hedge fund management and you know, get to the streets because Trump is shutting off the inflationary spigots for them and, you know, attacking Harvard.

And they’re in their, their nest, their, their nest of their nurseries for the power elite. It’s, it’s so tone deafness. He has, he has no idea that he sounds like an idiot to like, like 98 of the country. So that got me thinking, what situation are these yuppie leaders really in? Do they understand anything? Do they understand the humongous pieces of inflationary capital that they control? Even why they bestow upon them the obscene amounts of wealth that they do? I don’t think they get it. And then that, that leads to the basic question of do these people have any money? I’m not talking about assets, I’m not talking about real estate, farmland, whatever.

They may own huge stock portfolios bond portfolios, exotic assets, private equity. I’m talking about money. Do they have any gold bars in a safe somewhere? And maybe they have, maybe they have, like a little bit. Okay. But when it comes to it, I think your average stacker of even my stature and I’m, I’m, you know, lower middle class on American standards. And I think you are too, or maybe middle. I don’t know exactly where you are. Somewhere in the middle class. I think that we have more money than they do. I think I, I think so.

Well, didn’t one of the, didn’t one of the Waltons from Walmart, didn’t she buy like $50 million of silver from Andy Shekman a few months ago? Could be. No, it could, it could be that, that there’s someone way high up there that understands what we’re saying and they have a whole bunch of gold and silver. And that’s good because if they understand what we’re saying, then they’re not part of the yuppies. Yeah. Do you, do you remember that? I remember Shechtman went on a bunch of videos. I think he went on Dunnigan, Kaiser and a few others.

And he was talking about, like, this was a gigantic silver purchase, biggest he ever did by far. Could be. And he had to, like, he had to like, call in all his favors from everybody because it’s one of those people who’s like, you know, get me $50 million of silver tomorrow. You know, he’s one of those people like, I don’t care how you do it, just do it. You know, don’t tell, don’t tell me what the price is. Just get me the silver. And it’s like, I think Peter shifts it. I think Peter Shif says something similar.

Like he was delivering this humongous order of junk silver to one of his neighbors who ordered through him in Puerto Rico. And so he just like loaded his trunk, his car’s trunk up with like bags and bags of junk silver. And it like, was weighing down the bottom of his car. He was like, really? He was personally driving it to his client and like unloading his trunk. I don’t know how much it was, but like the point I wanted to make and I want to hear your response to this or you know, how you can reflect off of it is, you know, the, the ultra wealthy, the billionaires, they have a bunch of assets, but in the end game, the value of their assets, it’s not going to be worthless.

It’s not going to be that real estate is worthless. It’s not going to be that their stock portfolios are worthless and it’s not going to be that their farmland is worthless, but they’re going to lose value drastically compared to money, which is going to be the, the highest commodity in demand versus anything else. Even food and water, because you can’t distribute food and water without money. That’s what people don’t understand. So what I’m saying is they are not prepared for the end game. I don’t think most of them are. Some of them might be. And the ones that are, if they’re prepared for it now, then they’re probably the good guys.

Like, like Elon Musk, I would say, is like a pseudo good guy. I can’t exactly tell where he is though. But some probably do. There’s got to be some who are like, even, even just looking at the numbers saying, wow, gold’s really going up. And you know, for the, the capitalist, even capitalists who understand what gold is can see, oh, this is going to go up at an exponential rate. So I might as well get on the train now. So, yeah, there’s some, but there’s others who are like, oh, yeah, Bitcoin. I, you know, I have my life savings in Bitcoin and that’s going to carry me through forever and make my children quad zillionaires and, you know, I don’t need to.

And those people are going to be, you know, having a really hard time. Yeah. As far as assets. Yes. You’re going to have to. Even, even people like Bill Gates who’ve bought like all the farmland, you know, they have enormous farmland, they’re going to have to sell it because they don’t have the capital to. When credit breaks down, you don’t have the capital to manage, like in a hierarchical structure, manage giant companies. And you need to manage all that farmland. You would need a giant company. So what do you do? You break it up into a million different small farms and people, people manage it in a much smaller scale.

You know, you just run family farms. Like, like, like we’re supposed to. Yeah. So. And you know, I’m not a farmer. I’m not interested in farming. But you know, there are a lot of people who would probably be, who would probably do farming if it was more, you know, if they weren’t getting turfed out by giant agribusiness, that the giant agribusiness is going to go away. I promise everybody. Like the, one of the functions of inflation is companies grow to enormous scales based on credit that they can get and no one else can get. When that credit goes away, they have no choice but to break into a billion tiny pieces.

And, you know, it goes back to almost all the way back to cottage industry. So, yeah, even, even the big landholders like Bill Gates, they’re going to have to sell off all that farmland. And if he has no, if he has no gold and silver, like you said, he’s going to have to sell off almost all his farmland. Right. So here’s, here’s a, here’s a quick way to look at it. Is that the ultra wealthy, I’m talking about the bad ultra wealthy. And though there’s some good stackers out there and some good ones on our side and we’ll need.

But most of the ultra wealthy, they don’t have wealth. They have inflation receptacles. Yes, that’s what they have. That’s great. Yes, they have inflation receptacles. A receptacle. This is $180. It is our most modestly priced receptacle. That is our most modestly priced receptacle. That’s a great way to put it, Rafi. Yeah, I agree with, I agree with that assessment. 100. They have stock and they have stock in high tech companies. They have, you, you know, they have mansions that nobody will want to own on the end game, you know, they have all this stuff, they have yachts, you know, and, and they have works of art, right? People think, oh, works of art are great investment because the dollar value goes up.

What? It’s not even scratch and sniff. But if rich people think it’s good, I’ll buy it. One art, please. Well, you know, when people are scrounging around, you know, you end up burning your, you end up burning your Picasso to stay warm at night. You know, how much is that placemat actually worth, Brannigan? Exactly $1 billion. Which is exactly why I’m not a fan of numismatics. Because though I like gold and silver, I’m not a big fan of gold and silver art. Right? Yeah. Because people, people are going to take their coins and they’re just going to trade them for bullion.

It’s not going to have any numismatic value. If you, if you, if you have, if you have plenty of bullion and you have a few numismatic coins because you love them. Like if you have. And, and, but let’s say you have a luxury car just because you love the thing and you love driving it. Great. Have your toy. Just make sure that you can hold on to it. I have A couple of Arthurian legend rounds. You know, they were like, you know, five bucks extra or something, you know, but they got cool designs. I like, you know, the.

I think that’s Sir Gawain. But, you know, they got. They got cool Arthurian legend stuff. I have a couple of them. I didn’t even buy the whole set. I just bought a couple because I thought they were cool. Will I complete the set? Maybe. But I didn’t. I didn’t make that my entire. I didn’t buy hundreds and hundreds of them. Mostly I bought, you know, stuff for melt value, you know, whatever the milk, whatever the cheap is going to be. Also, I wanted. I wanted to. To tell you about. I’ve had a few. A few experiences of endgame flickering or brownouts or some previews of what the end game is going to look like in the past few.

Okay, so it started a few days before Passover, and I ordered my matzah a few days before. I ordered, like, soft matzah that needs to be fruit, that needs to be refrigerated, not the cracker kind. And they botched my order. I ordered one oat and one spelt and oat for my wife, who is gluten intolerant or whatever it is, and one spelled for me, because the. The mitzvah of matzah is not in oat, according to most rabbis. It’s in wheat or spelt or rye or barley. So they. They gave me two oat matzos, and then I didn’t have matzah for.

For Passover, so we were gonna go make matzos with my friend anyway, which we did, and it was fine. Like, like everything went okay. We. And then we. We had ordered a bunk bed for my two dog, for my two daughters to save space in their room, because we have, you know, pretty small house again, you know, I’m not rich. I’m lower middle class. So we ordered a bunk bed, and then we. We cut like it didn’t come. And we were. We called the company and they’re like, we have no record of this order. So they had to.

Like. Like companies can’t keep track of anything anymore, it seems. And another. The other bed that we ordered because my son’s bed broke just came in today, but we had ordered a mattress. And then they said, well, we didn’t bring the mattress, but we’ll steal. But we’ll steal this other mattress from this other customer, and we’ll give you the mattress because you live way up north and this guy lives, you know, near Tel Aviv. So we’d have to come here again to, to give you another mattress. We’ll just take it from him and he’ll get it later.

So it’s like a fractional reserve mat. They messed up the order. And, and my, my wife had a doctor’s appointment this morning and the Internet was down. This, this is like, really, this is kind of scary. The, the Internet, nothing, emergency. But she had a routine doctor’s appointment and the Internet happened to be down today at the, at the doctor’s office. And, and so like, everyone was standing around just there doing nothing because they couldn’t, they can’t, they can’t, they can’t do any flow without the Internet because everything is run on computers and checking barcodes and what that.

Nobody could do anything. The doctors couldn’t treat anyone. And so, so, so my wife is like, well, can you make me an appointment for next week when the Internet’s back up? And then she’s like, no, we can’t do that because the Internet’s down. So she’s like, she, she takes out her phone, goes on the, on the phone, like, makes herself an appointment, and they’re completely empty because nobody thought of making an appointment on the phone with the wireless Internet because the Internet in the office is down there. So they’re so like, dull that they, they couldn’t even pick up the, they couldn’t operate.

Like, how could you not figure out to pick up the phone and do it on. Okay, but like this, these are the people that I live amongst. And when things are down, they are not going to be able to function at all. Yeah. Yeah, it’s kind of scary, especially if you haven’t prepped at all. I mean, you know, if you’ve prepped a little bit, you know, you can, you can say, okay, well, now I need to do this, you know, Now I need to, you know, if you have a water purifier, you can go down to the creek and get some water if the water goes bad or, you know, doesn’t.

Isn’t coming out of the tap or whatever. But yeah, if you have nothing. Yeah. You just have to sit there and wait for things to come back on, which is kind of scary. Yeah. Now I do want to say the, the, the large natural monopolies that make up our utility stuff, those will be. Because the marginal cost is so low, they’ll be the, they’ll be the last to go down and the first to go back up on the end game. So I don’t want people to freak out that the Internet, that the. Sorry. That the electricity and the water is going to stay down for a long time.

That, that probably won’t happen. And unless you blow, unless people blow up the, the water facilities. I mean, if things get kinetic, then yeah. But as long, as long as the pipes and the facilities are physically intact and the only issue is, you know, paying the workers to, you know, whatever, crank the crank the water purifier wheel, I don’t know, then it will get falling again very quickly. Yeah. Anyway, we want to talk about the future of Silver. Okay, go for it. Okay, so I just did an episode on this and people are, a lot of people are wondering why Silver is languishing behind and I think even market sniper with it.

We’ve, we’ve had run ins with. But I do, as far as triangulating the end game, I think he is one of the best in, in, in this sphere, even if I don’t, you know, personally care for him very much. But you know, you, you, you recognize talent, you follow it. He’s calling, he’s calling for the gold silver ratio to spike briefly up to something like 170. That’s what his technical analysis says, is that, you know, and that’s not the dollar. Silver’s going to go down in dollar to go up to 50 bucks, whereas gold is going to, you know, explode up to 8,000, $9,000.

So the gold silver ratio is going to spike up to about 170 to 1 and then collapse down to 15 to 1. And so that’s, so the, the people are asking, especially the silver bugs, especially the silver bugs who are either new to it or aren’t paying that much attention, are wondering like when silver, you know, I have all this investment in silver, why isn’t it going anywhere? Why do I feel like a fool all the time? Why do people call me a fool? And I just want to, I want to say like it’s, you have to have absolute strategic patience with Silver because it’s going to go from one of the most, one of the least valued assets in the world to possibly the most valued asset in the world and on a percent basis in a very short order.

And then what happens? You agree with this assessment, by the way? I don’t know. I don’t know if he’s right about 170. I mean, okay, I certainly, I certainly agree that it’s not impossible and it wouldn’t shock, shock me if that happened. Yeah. And this is actually, this is one of the reasons that I own Gold and Not just silver. Even though I prefer silver, I own gold. Because I knew something like this is going to happen. And if it did, I didn’t want to be in a position where I’m like, oh, my God, I have to be right about this, or I’m going to lose everything.

You know, I want to, like, just be able to take it calmly. And if gold goes crazy and silver doesn’t, I’m still okay. And if eventually, when silver goes crazy and gold doesn’t, I’ll be okay too. I just keep myself balanced. So when. When silver goes back to its monetary ratio, you and I both agree, we think it’s not going to stay there for very long. And people say, why not? Why aren’t we staying at the 15 to 1 ratio? And the answer to that is credit. Because credit and silver are credit of gold. I should say credit of gold and silver are in direct competition with each other.

So when you go to buy something, right, and someone says, I, you know, that’ll be a dollar, that’ll be $10, you can either pay with silver dollars, you can pull silver coins out of your pocket and hand them over, or you can pay with a credit card. And as. As long as the credit is trusted, credit will be money. Any. Every time. Every single time in a transaction, it’s preferred. Because if you think about it, right, if you have to carry, let’s say it’s a hundred dollars. If you have to carry a hundred dollars worth of silver, that’s, you know, that’s a heavy bag of silver with you.

Or you can carry your credit card or even, you know, modern days, you can just show your hand that it’s connected to your bank account, right? They have, like, palm readers. I haven’t used those. I’m too scared of it. I don’t think you want to do that. Put your tattoo in that shit. Where’s your tattoo? Tattoo. Where’s your tattoo? Oh, my God. Why come you don’t have a tattoo? Oh, my God. You’re not unscannable, are you? They have, like, palm readers, so you can just scan your hand. Unscannable. Oh, no. So when you’re carrying the silver, right, it’s bulky, it’s uncomfortable, it’s dangerous because you’re carrying a large bag of silver, right? If Peter.

If Peter Schiff had gotten robbed or if the police had pulled him over and he had a giant bag of silver, they do a civil asset forfeiture on them, you know, 15. 15 to 1. Silver is not some utopia where we’re all Just prancing around, you know, happy as can be. There’s a lot of problems with money directly and so credit when trusted is preferable to money. The problem is the makers of the credit like to also skim off the top and so you have theft in that venue as well. So what I think is going to, my prediction is we’re going to go back to an 1873-1913 style of monetary system where we’re on a gold standard and everything is gold, but then silver, silver coinage will probably stick around because people will not trust the credit system like we are doing right now, where we don’t, where people don’t even understand what money is and they’re just like, oh yeah, this credit is money.

People will instinctually distrust credit for probably quite some time. However, the utopian idea that we’re going back to a silver standard, while I would love to see it, I don’t think it’s going to happen. There’s a legitimate, there’s a legitimate problem in the bimetallism with the silver standard and that is that the gold and silver ratios must float. You know this, and we’ve discussed this before, I think on these, on these chats. But the gold and silver ratio must float against each other. So you can’t have both things named dollars because when you peg it, one of them is going to drive out the other.

And that was a real problem they were having in 1873. Now as it turns out, the bankers also wanted to get silver out of the system so they could print a bunch of credit for gold and not have to, not have to show the gold. So there’s a, there’s like a, there’s a real reason and there’s a scam reason as well for, for, for getting, for getting off the silver standard. Would I love to see a silver standard? Absolutely. Do I think we’re going back to a full pre1873 silver standard? No, no, I don’t. I think we’re going to go back to a gold standard with silver coinage that is breaking down gold foreign.

We’ll see. I don’t think any of us, I don’t think any of us will, any of us know what is going to happen. I think we’re going to be surprised. I don’t know exactly how but, but it’s something I really, I’m really curious to see what’s going to happen here. Yeah, it’s getting kind of exciting. So the, the next topic you wanted to cover is Triffin’s Dilemma. Please explain what that is and why people are talking about it and why they’re wrong. Sure. So Triffin’s Dilemma is a concept that the reserve currency must bear a trade deficit.

So whoever is the reserve currency must hold a trade deficit because everyone else is using those dollars. So they need dollars on their accounts for their economies to function. Right now it’s dollars. They need dollars on their balance sheets for their currencies to function, so their economies to function. So they constantly send us stuff and we send out dollars. And the problem is, is this, is, this is supposedly you know, a curse of whoever has. Whoever is the reserve currency of the world. Now it’s completely artificial to me, but yeah, yeah, that’s what I think too, because I did this.

My question is, do we know if this happened like to Dutch Gilders or Spanish doubloons or British pounds back when they were all gold backed? Or is this a function only of the post war, post World War II, you know, US monetary system? I think it’s just post World War II, the idea of a reserve currency. People try, people take monetary concepts of the modern era and they anachronistically transpose them onto economic realities of the past and the like. People want to, people want to take this idea, this concept of reserve currency as, you know, something brought down, you know, Torah Missinai from heaven, that this is a thing and it’s just like gold is a thing and it’s a natural thing.

So is a reserve currency which, you know, is exploded by supernovas at a ratio whatever. No, the whole idea of a reserve currency is itself a fake, artificial construction. Right. It’s like, it’s basically that there’s money and if people trust one currency over another as representative of that money better, they’ll use it more. And so whoever is most trustworthy. But it’s like, it’s like any kind of competition, any industry, the, the, the, the company that has the best product will be used most and it will be most well known, will make the most money. But the minute it’s not, they’ll switch it for another.

And then like, how about you don’t have a reserve currency, you just have gold. And then people holding gold in accounts and not lying about it, that’s all you need. So if I, So let’s say, let’s say the world’s using the British pound, right? So I owe an IOU a debt in British pounds which is a unit of, was it, I guess it was a unit of silver and then became un. Say It’s a unit of silver. Right. So I owe you a debt of British pounds, let’s say 100 British pounds in pound, in actual pound sterling.

And I want to pay you with silver dollars. There should be no problem. There should be no problem. You can. You can either pay directly or if you really want the. If the contract is, like, hard in British currency, I’m sure the British would be happy to station little mints around their empire and charge seniorage for stamping dollars into pounds. And then, you know, charge a little fee and then. Okay, then you can fill your contract for. You have to pay in this shape going on that shape, and what the hell’s the difference? Yeah, okay, okay, okay.

So there’s not. There’s not going to be a situation where, like, on a silver standard in this, in this scenario where we’re like, everyone’s sending England stuff just to get their hands on British pounds. Because you can just pay. You can just say, all right, fine, pay me in dollar, pay me in gilders, whatever. Yeah, as long as it’s gold or silver and it’s trustworthy. If you have. If everyone in a. In a world where, let’s imagine we’re like in this post messianic, you know, utopia where nobody lies and steals, okay. And ever, and everybody’s just trading and totally honest.

So then why would anyone care if it’s one currency or the next? If they’re equally trustworthy? It doesn’t matter. And so there is no reserve currency. There’s just money and diff and different and different minters of. Of notes and coins and digits, and they’re all fine. And it doesn’t really matter. All it is is like, you know, like, there’s a whole bunch of, like, food stands or water stands, and it’s all. All the food in the water is fine. So you’ll go to the one that’s nearest you so you don’t have to walk so much. Yeah, there’s no reserve water currency.

Yeah. All right. So Trippin’s Dilemma really is just. It’s purely an artifact of the fake monetary system. It has nothing to do with a gold or silver standard. Okay, we can. We can toss that out the window then. I think I agree. Yeah, I couldn’t. I was trying to think, like, if I. Why would this be happening in the. In the age of sale, you know, like, why would people be like, oh, yeah, we need Dutch gilders, and therefore we’re gonna export a bunch of stuff to Holland to get our hands on Dutch gilders? When I say if I owe you, if I owe you Dutch Gilders, which are a unit of silver, I could just go find some silver locally and just pay you in that, you take it.

I can’t think of a reason why I would be like, except for purity. Maybe there’s more counterfeit dollars than there are counterfeit Dutch Gilders, and you’re more worried about that. But then you test it or whatever. There’s nothing that’s making me think that Triffin’s Dilemma applies to, to anything on a gold and silver standard. Yeah, it’s just, you know what he is. He, this is, this guy saw the, the inflationary scam, but he didn’t understand the, the root cause was the fake money. That’s what I think’s going on. Right. The only time when the, when Trin’s Dilemma is active is when you have one money issuer who was so powerful it beat everyone else up and said, you have to take my currency and my money and trust me to give you your derivatives of gold and silver.

And if you have any complaints about it, I’m going to punch you in the face. Yeah. And then he has a bunch of trade deficits and, you know, people give him all their stuff and they take his paper and then this goes on until the paper dies and then everything reverses, which is where we are now. All right, all right, we’re good. I think we’re good on that then. So when people are complaining about Triffin’s Dilemma, you stackers out there, you can ignore it. It’s, it’s a bunch of hogwash on a gold standard. Yeah. I’m going to open your chart here.

Yes. The final, the final thing I wanted to talk about today is the illusion of the stock market since 1873. We have this chart, S and P composite in grams of gold since 1873. So if you look at this in the. Any viewer looking at this would say, well, over a long period of time, it looks like the stock market is a better investment than gold. A broad portfolio. There are periods. You can see the, you know, the, the 1929. 1971 to 1998. Yeah. 1971 to. There’s a whole decade there. 1971 to 1980. And then of course, 2000 to 2010.

It looks like, except for those periods, it looks like the stocks are better buy than, than gold. In fact, if you’re going to hold through this whole period, like say, if you’re going to live 150 years, than a broad stock and bond 60, 40 portfolio, or at least in this case, the evidence would suggest that a broad index of S and P funds would be a superior way to store your wealth than gold over a long period of time. But logic would dictate. I think I’m going to throw this to you. I think you’re going to agree with me.

If you understand what money is and you say money is just the way of breaking down, we pick a commodity, we say this commodity is going to break down goods and services, and we picked gold and silver. The market picked gold and silver. I don’t want to say it’s a constant decision, but the market picked gold and silver to break down goods and services and establish the price signal. If you look at the number of things you can buy, and that’s both investment, so stocks and bonds and consumer goods and houses and whatever else that has exploded, the number of things you can buy has exploded over the centuries, over this past 150 years.

And because money represents the potential to purchase anything else, prices and everything go down in real money terms. So when you have the units of, you know, if, if you’re on an honest gold standard, you should see the price of everything going down over time because there are more things that are competing for the money supply. And the money supply is growing. So people are digging up new gold and they are digging up new silver. However, the number of things to buy is growing much faster than the money supply itself. Additionally, the population is growing much faster than the money supply itself.

So you have more people buying, trading more and more things at rates that are going much faster than the money supply. So you should. I would expect that the prices of everything to go down, to deflate slowly over time. Now, what we see here is things in, is the price of stocks going up over time. And that means, if I am logically correct, and I think you’ll back me up, that I am, that the, this entire thing is an illusion since 1870. And when it blows, where it’s going to go back, it’s going to go down to a much lower.

It’s just going to go straight down to. I don’t know. I don’t know what the number, I don’t know what the final number is going to be, but it’s going to be a vertical drop that’s going to break this, this funnel. What do you say, Rafi? Okay, so there’s, there’s, there’s a few things here. I, I might. I’m. I’m not exactly sure totally what you’re saying. I, I Get. I get the point. But two things. First of all, one of the reasons, okay, so going back to, let’s say, Warren Buffett, who hates gold because it’s just a rock that you put in a basement and it doesn’t produce anything.

So if, assuming we’re in an honest world where nobody’s inflating, then investing in a broad basket of stocks or companies should be a better investment than gold. You know, just barring scams or fake companies, just like some. Some will fail, some will succeed. The reason that we have more goods and services multiplying faster and faster over the gold supply is because of investment, right? That taking the gold and using it to produce more stuff is riskier than just holding the gold in your backyard or at a bank and doing nothing with it. Most people should be doing nothing with it because they don’t.

They shouldn’t be involved in investing at all. And the only thing that’s pushing everyone to invest is the inflationary system itself. But, but really, stocks should be more productive than gold. They, they should go up in gold terms. They should become more and more expensive gradually, not in these, like, crazy waves that you see here. But. But over time it should increase. Because if you’re going to tell everyone it’s always better to hold gold than it is to invest your money, no one’s going to invest anything, and you’re not going to be able to grow the amount of goods and services nearly as quickly.

Okay, I have a rejoinder to that. Okay, so. Oh, if you. A broad. I think a broad stock portfolio will fail against gold because you’ll be better to hold. It’ll just be better to hold gold. Rather than invest in 500 different companies, however, each company is competing to be a market breaker, right? They’re trying to. They’re coming up with the next big thing. We’re gonna, you know, we’re gonna innovate. We’re gonna make the next best car. And so if you invest in the right company, that company spikes up in value and takes all the market share from everybody else.

Now, eventually that company gets stale and old and they, you know, they don’t innovate enough. And then it goes back down and hits the. Hits the flat market thing. So rather than thinking of the entire. The entire stock market going up, what I, what the way I visualize it is the entire stock market is, in gold terms, is slowly going down. But there are things that are. That will blip up. And you want to be on, you know, if you’re an investor, if You’re a capitalist. You want to be on those things as they blip up.

You want to find, you want to find the railroad stock in the 1870s that’s gonna, that’s gonna revolutionize rail. But there’s a bunch of other junk railroad stocks out there as well, if that makes sense. So, yeah, I can’t see because like I said, the number of companies is always increasing. Well, not always, but the number of companies is generally increasing that are making things and the number of things that they’re increasing. So the amount of consumption is also increasing. So. And all these things are competing for the gold. So that means that less and less and less gold is going to go to each specific thing.

So I, I think we are, as the stock market’s going to asymptotically approach zero, as golden gets more and more value. And soon, you know, in the far distant future, you know, long after we’ve, we’ve passed this mortal coil, you know, people might be bidding on atoms of gold, you know. Okay, okay, so I have, I have a rejoinder to that. So let’s, let’s imagine in, in Rothbard’s evenly rotating economy, right? In the evenly rotating economy, the. There is no stock price capital movement, right? All stocks are basically. They’re stable, yes, but, but you still get dividends because they’re still producing stuff.

So then the question becomes, would you, in an evenly rotating economy, would. Would it be better to have gold doing nothing or have gold in stocks that don’t move but produce dividends? Obviously the ones that produce dividends, which is why both you and I have accounts at Monetary Metals that loan out a certain amount of our gold and silver so that it can produce more of it, which is what a bank should be doing. So you have the pitfalls of the stock could go bank or the company could go bankrupt. But really, investing, it’s hard for us to put ourselves in a world where investing is like a profession.

Like an electrician, who is an electrician because he knows how to do it, or an architect who has to learn how to build buildings and do it well and compete with other architects, an investor. It shouldn’t be like everyone is piling all their stuff and giving it to these hedge funds that are following algorithms. It should be just people with a lot of extra money and they want to invest and grow the economy. They should take the risks. And most people should just hold on to their money and do nothing with it or invest in it.

Like if your cousins, like, I want to open a, you know, I want to open a butcher shop or something. Yeah, you invest in a direct. You invest in a direct project with somebody you’re going to maybe work directly with, you know. Yeah, but you don’t. You don’t go, yeah, I’m going to give my. I’m going to go invest in 500 companies I’ve never heard of 498 of them, and I’m going to trust a guy I’m never going to meet or speak to to manage my. My entire retirement and life savings. Yeah, this is. This is.

This is going to end. Oh, and that brings me back to the beginning about the flashes of endgame brownouts that are going on. When my son’s bed was delivered, I put it together. It was very simple, and it was advertised as etz. Male, As a full. As whole wood. Or. How would you say that in English? Hardwood. Hardwood. Hardwood. Okay, whatever. Instead of this, this seed beat this, like sawdust that’s glued together. And like, okay, so it was advertised as hardwood, and the platform was hardwood. Fine. But the frame was sawdust glued together. So as I was like, malleting it in to get the parts together, like, pieces of it were, like, flaking off, and it’s all okay.

So I hate that. I hate that stuff. And my wife was like, they got me again. They keep fooling me that this, it’s not. It’s not hardwood. This is. This is, you know, glued together sawdust. And. And then she’s like, she. She’s like, when is this going to end? I’m like, look, when. When there’s no more inflation or in. In a regular, like in a village, let’s say, in a small town, you didn’t go to Amazon and like, type in bed frame and then get it from China. And then these, these people that. That can’t even load their trucks correctly and give you someone else’s mattress, they just like, you know, plop it on your floor and leave.

Okay, you. You went to your local carpenter and you designed a bed, right? Yeah. Bespoke, because. Not because you’re rich, but because that’s the guy that builds stuff. Right. And so, like, look, I was like, if you want a good bed, we have to go to the carpenter, and then he will draw up design plans for us and then we’ll have a really nice bed. That’s. That’s what everyone is going to have to do. And most people are not going to be able to afford it because they don’t have any money, but we’re going to go back to that we’re going to go back to.

If you want something, you’re gonna have to go to your local guy who has skills with his hands and he can build you stuff and it’s going to be good quality or he’s going to go bankrupt. Yeah, exactly. Exactly. Yeah. No more, no more plaster. I mean, that’s, that’s a sign of how poor we all are as the world. I mean, even, even me, you know, I, you know, I try and get furniture and it’s all like. It’s all that sawdust glued together. Even if the front is wood, it’s like. And you can’t even get to get the, like Amish furniture.

It costs like multiples, you know, many, you know, orders of magnitude more expensive than the IKEA drawer, you know, and you’re just going to be so wealthy. The Amish, they’re so rich. They’re so rich culturally, they’re so rich in skills. They’re so rich because they haven’t shot themselves up with all this medical crap. Maybe they have like extra fingers on their hands sometimes because of inbreeding, but so do Ashkenazi Jews. And we have like tay sacks and all this other stuff. But whatever. We’re getting over it. Anyway, hold on. I wanted to, I wanted to go back to the gold thing real quick.

So if. Let’s hold the gold supply completely flat. We’ve mined all the gold in the world, right? So there’s no more gold to mine. So money is now a zero sum game, Right. If you’re taking, if you’re taking money, there’s nowhere there. No. There’s no other money to get. Right. Besides what’s floating around. So in that case, it’s not possible for the stock market to go up. The stock market must be flat. I mean, over time, I should say. Yeah, or, or. But as more companies emerge, right, because as more and more people come up with more and more innovative ways to do things, there’s more stocks all competing for the same.

The exactly same amount of gold. So the stock market must slope downward as more companies are evolved and as the population increases as well. So the only thing that would slope things upward is the money supply, the physical money supply itself increasing faster than the uses for the money, which I don’t think is happening. Yeah. So if you’re talking about illusions of the stock market, even in an. Even in a perfectly gold standard silver standard world, the nut. The number that you see on the S P500, even if it’s completely honest, money doesn’t Matter. What matters is what you can buy with that, with that number.

Right. The number itself, even in a completely honest monetary system, is itself an illusion because it doesn’t mean much out of context. Yeah, right. Yeah, I agree with that, Rafi. I tell you what, I am looking forward to real furniture again. I’m tired of I, I going back to that real quick. I am so tired of, of crap. You’re like, you’re a hell of a piece of furniture. Yeah, well, we can, we can get real furniture. It’s, it’s possible that there are, there are woodworkers, you know, they, they exist. But the pro, the problem is like, they have to charge so much for any real, any real.

Yeah. Work that they do that, that they’ll automatically say, like, if you want to, if you want someone to build a bed for you. They’re like, no, it’s not worth it for me because I have to do these other bigger projects for these bigger contracts, factors and like churn out all this stuff. But then if you, if you pay him enough, he’ll do it. It’s just like, you need a lot. Yeah. So they only cater basically to the wealthy. Like this, this chest right here. That chest that’s like, that’s, that’s not real. That’s not real. That’s not a real hardwood chest.

It’s, it’s, it’s fairly flimsy. Yeah. Oh, the last thing. This is what I wanted to say. The last thing. And then we’ll call it a day, call it a month. Is that okay? So my wife also, this is another thing, another end game flicker. She ordered a bunch of, of clothes for my two younger daughters. And, and I know that they’re crap. I can’t even find a place to buy good clothing. You know, we’re talking about woodworkers or hardened supply, talking about tailors. I mean, forget that. You know where you go, what am I going to go to Savile Row to get my, to get my like 5 year old a nice dress? I’m not insane.

So, so like they show up in these box, okay, they look nice and, and I hear this saying, plastic clothing, plastic clothing. And I kind of know that it’s true. But then the marketing pitch for these, for this company was like, look what we do. And then it showed like, like plastic bottles being like churned in a machine and grist coming out and then they’re melting it down. Then you see like, you know, the weave and like they’re making clothes out of these garbage. Plastic. It’s literally true. And they’re proud of it. I understand why they’re proud of it.

It’s like, you know, environmental yuppieism infecting all this stuff. But then, you know, the, the, the. The clothing kind of seeps into your body and who knows what it does and, you know, goes into your vesicles, your seminal vesicles, and, like, mutates your sperm and has you creating all these weird plastic human monsters. Okay, wow. I’m going a little bit too far, but that sounds plausible to me. I know what you mean. I know what you mean. I. I do. The plastic clothes. I have some plastic clothes for. For exercising. And they. They. They smell worse.

Like, you have to. You have to really treat them to get the smell out. I don’t know why. Like, regular clothes you can just wash, but the classic clothes, you have to, like, soak in vinegar and all this other. All this other stuff. You haven’t noticed that? No, I have. Okay, maybe I may. Maybe it’s because my wife is always taking showers. All right, all right, that’s it.
[tr:tra].

See more of Rafi Farber on their Public Channel and the MPN Rafi Farber channel.