The Charlie Kirk Show - A Stimulus Disaster
Aired: 2020-12-29
Duration: 45:55

[00:00:00]  Hey everybody, today on the Charlie Kirk Show, the stimulus is a disaster.
[00:00:03]  We're unafraid to dive into this topic and explain to you economically why this stimulus is such a bad idea and why it's quite honestly unnecessary.
[00:00:12]  That and so much more is made possible thanks to all of your generous support at charliekirk.com/slash support.
[00:00:19]  And I also want to say the Charlie Kirk Show is brought to you by ExpressVPN.
[00:00:23]  Fight back against having your voice censored by both big tech and big government.
[00:00:27]  Go to expressvpn.com/slash Charlie.
[00:00:31]  The stimulus has been passed.
[00:00:33]  It's bad for you.
[00:00:34]  It's bad for our country.
[00:00:36]  It's bad for anyone that cares about the future of America.
[00:00:39]  Buckle up.
[00:00:40]  Here we go.
[00:00:42]  Charlie, what you've done is incredible here.
[00:00:44]  Maybe Charlie Kirk is on the college campus.
[00:00:46]  I want you to know we are lucky to have Charlie Kirk.
[00:00:49]  Charlie Kirk's running the White House, folks.
[00:00:52]  I want to thank Charlie.
[00:00:53]  He's an incredible guy.
[00:00:54]  His spirit, his love of this country, he's done an amazing job building one of the most powerful youth organizations ever created.
[00:01:01]  Turning point, USA.
[00:01:03]  We will not embrace the ideas that have destroyed countries, destroyed lives, and we are going to fight for freedom on campuses across the country.
[00:01:12]  That's why we are here.
[00:01:15]  Hey, everybody, welcome to the episode today.
[00:01:17]  Today we're going to be talking all about stimulus.
[00:01:19]  President Donald Trump has just signed into law a major Chinese coronavirus stimulus package along with an annual spending bill.
[00:01:28]  A lot of you are emailing us, freedom at charliekirk.com, asking, what are we supposed to make of this?
[00:01:34]  Is this a good thing?
[00:01:35]  Is this a bad thing?
[00:01:36]  Should we support stimulus?
[00:01:38]  What is the thought process behind all of this?
[00:01:41]  This is something that really interests me, and I've done a considerable amount of research and thinking on this topic.
[00:01:47]  I want to dive right into it because I think that everyone's premise in general when it comes to government-backed taxpayer-funded stimulus is wrong.
[00:01:57]  There is a belief right now amongst both Republicans and Democrats that we must do something.
[00:02:06]  The prevailing Washington, D.C. narrative, which is usually something that is wrong and designed to benefit the few and the well-connected, is that a massive multi-trillion dollar spending bill is needed and it was needed months ago.
[00:02:25]  People are suffering, we are told.
[00:02:27]  People are hurting.
[00:02:29]  All that is true.
[00:02:31]  People are hurting.
[00:02:32]  But let's take a step back and ask ourselves the question: why are people hurting?
[00:02:37]  The easy answer is because of the virus.
[00:02:39]  That is true, in a sense.
[00:02:42]  People are dying from this virus.
[00:02:44]  Far less people than what the models would show, far less people than what Dr. Anthony Fauci predicted.
[00:02:50]  But yes, people are dying and hurting from the virus.
[00:02:53]  However, more people are hurting because of the lockdowns than because of the virus.
[00:02:59]  Our reaction to the virus, shutting down the entire American economy, preventing business transactions from happening, restricting commerce, that is having far greater damage than the epidemiological Pearl Harbor that China sent us, and they should be forced to pay for every single American death.
[00:03:20]  So it's because of the lockdowns that we have tens of millions of people out of work.
[00:03:24]  It's because of the lockdowns that restaurants are not able to pay their rent.
[00:03:28]  It's because of the lockdowns that people have had the hardest year financially and economically of their entire life.
[00:03:37]  But despite this, Congress met and passed, and President Donald Trump signed into law a $900 billion Chinese coronavirus relief bill, alongside a $1.4 trillion government funding bill.
[00:03:55]  Within the Chinese coronavirus relief bill omnibus package, and they were passed side by side.
[00:04:01]  So I'm going to basically describe them as one giant bill.
[00:04:05]  Here's some of the spending that is within this bill.
[00:04:08]  $8 billion for the overseas contingency operations and the global war on terrorism.
[00:04:13]  $1.7 billion on USAID operations abroad.
[00:04:18]  $26.5 billion for bilateral economic assistance abroad.
[00:04:22]  So we're sending $26 billion around the world.
[00:04:26]  Where's the $26 billion to go help inner-city families that are struggling to be able to get their children educated?
[00:04:34]  Nowhere to be seen.
[00:04:36]  $3.3 billion for global health programs.
[00:04:39]  $4.4 billion for international disaster assistance.
[00:04:43]  $3.4 billion for refugee assistance.
[00:04:46]  $2.4 billion for democracy programs.
[00:04:49]  $1.7 billion, strangely, for just the country of Jordan.
[00:04:53]  $1.9 billion for international food aid.
[00:04:56]  $35 billion in new clean energy initiatives to fight climate change.
[00:05:00]  $9 billion for international security assistance.
[00:05:04]  $5.9 billion for the President's Emergency Plan for AIDS Relief.
[00:05:08]  $950 million for basic education programs in foreign countries.
[00:05:13]  $740 million for educational and cultural exchange programs in foreign countries.
[00:05:18]  $1.5 billion for contributions to international organizations.
[00:05:22]  $224 million for tax breaks for motorsports venues.
[00:05:27]  $16 billion in tax credit for businesses that hire individuals facing, quote, significant barriers to employment.
[00:05:33]  $1 billion tax credit for special expensing rules for entertainment productions.
[00:05:38]  $13 billion in tax breaks for clean energy initiatives.
[00:05:42]  $9 billion in tax credits for beer, wine, and distilled spirits producers.
[00:05:47]  $2 billion to enable scientific information about the earth and its changing climate.
[00:05:53]  $16.2 billion in excess funding for transportation, housing, and urban development.
[00:05:58]  $19.2 billion in excess funding for Department of Labor and Department of Education and Health and Human Services.
[00:06:04]  $6.9 billion in excess funding for energy and water development.
[00:06:08]  And $12.3 billion in excess funding for Federal Emergency Management Agency.
[00:06:14]  Just out of that list, over $203 billion.
[00:06:20]  That's just the major pieces of waste.
[00:06:23]  That does not include some of the crony corporate handouts that are within this bill, some of the massive corporatist funding within this bill.
[00:06:32]  That's just the most outstanding pieces of what is called pork.
[00:06:37]  In addition, there is a $600 provision for Americans that are just checks for people under a certain income threshold.
[00:06:46]  Now, this is all under the guise that the economy is suffering, people are suffering, we must do something.
[00:06:52]  But does stimulus actually help people?
[00:06:53]  Is this the proper role of government?
[00:06:55]  The answer is definitively no.
[00:06:58]  We are not going to do what other media, podcasts, radio shows, and television programs are doing, which is people are hurting.
[00:07:06]  We're going to turn a blind eye.
[00:07:08]  This stimulus is a disaster.
[00:07:10]  The stimulus should not have been signed into law.
[00:07:12]  Stimulus does not work.
[00:07:14]  It's because people don't want to have an honest conversation over what stimulus actually is.
[00:07:20]  In the Declaration of Independence, it says clearly that the laws of nature and nature's God should guide us.
[00:07:28]  The laws of nature, of Newtonian physics, and object at rest will stay at rest.
[00:07:33]  Understanding force equals mass times acceleration, the laws of nature, such as gravity, the laws of thermodynamics.
[00:07:40]  These are things that we do not debate.
[00:07:42]  We do not argue.
[00:07:43]  We don't pass multi-trillion dollars of stimulus fighting laws of nature.
[00:07:50]  Now, the left, Democrats in general, they've never believed in the laws of nature.
[00:07:54]  They think that any gender can give birth.
[00:07:59]  That is the newest quasi-scientific breakthrough that Harvard University has says.
[00:08:04]  The left has said there is no such thing as biological gender.
[00:08:08]  I don't expect them to follow the laws of nature, but we should.
[00:08:14]  Just as force equals mass times acceleration, there are laws of economics.
[00:08:20]  There's laws of supply and demand, there's laws of inflation.
[00:08:23]  We don't like to talk about it.
[00:08:24]  Instead, we play partisan politics, hide behind good intentions, and good intentions do not result in good public policy.
[00:08:33]  And we act as if this one is different, it's just okay.
[00:08:36]  No, it's not.
[00:08:38]  In this episode, I'm going to dive into great detail of what stimulus actually is, what inflation is, what is money, and why Congress, and yes, the president should have done nothing except reopen our country.
[00:08:51]  You want a stimulus package?
[00:08:53]  Reopen the country fully and totally and reward good behavior, not bad behavior.
[00:08:59]  So let's just take a step back and talk about what stimulus actually is.
[00:09:03]  Why are they doing this?
[00:09:04]  Well, usually stimulus happens because of widespread suffering and economic depression.
[00:09:11]  I have lived through two of the largest pieces of stimulus in American history after the Great Recession of 2008 and, of course, the Chinese coronavirus.
[00:09:22]  Let us not forget earlier this year, Congress passed a multi-trillion dollar stimulus package that included $70 million for PBS, $85 million for national public radio, $300 million for refugee resettlement, hundreds of billions of dollars for crony corporate interests.
[00:09:43]  The other major stimulus bill was back in 2008.
[00:09:47]  President George W. Bush signed the Economic Stimulus Act to try to alleviate the effects and stave off the recession.
[00:09:55]  That was $152 billion in a $600 tax rebate, followed, of course, by President Barack Obama's stimulus package, $1 trillion, back in 2009, which was around having green jobs, infrastructure, education, health, which provided zero stimulus to economic growth.
[00:10:14]  Stimulus has never worked in the history of our country.
[00:10:18]  Now, I'm sure a lot of you were educated incorrectly about the Great Depression.
[00:10:23]  Many of you probably were taught that the New Deal was a successful government intrusion into the economy.
[00:10:31]  This is a flat-out lie.
[00:10:33]  The first New Deal was passed in 1933 and 1944, which handled, of course, the Emergency Banking Act and the Banking Act of 1933.
[00:10:41]  Unemployment persisted.
[00:10:43]  We don't talk about that, but there was no major structural changes in unemployment, so they passed the Second New Deal of 1935 to 1936.
[00:10:50]  It was a series of programs referred to as the Alphabet Soup.
[00:10:54]  Of course, it was the Security Exchange Commission, the Federal Housing Authority, the Tennessee Valley Authority, but we don't talk about what happened a couple years later.
[00:11:03]  In fact, one year later, the Great Recession of 1937.
[00:11:09]  It was such a major recession that unemployment went to negative 18%.
[00:11:15]  We never talk about this.
[00:11:17]  The only thing that got us out of the Great Depression was World War II.
[00:11:21]  You know, it helps when your greatest economic competitors get bombed to smithereens.
[00:11:27]  Really, no one else to compete against because of all the pent-up demand and the years of government-forced sacrifice in the years of 1940, 41, 42, and 43.
[00:11:38]  What followed in the years to come was one of the greatest economic booms in American history, not because of the war, but the pent-up demand and the celebratory spending that came in years to come.
[00:11:52]  In fact, despite what your history teachers might tell you, we actually cut government spending in the years after World War II.
[00:12:00]  We dramatically cut military spending, and because of that, we saw massive economic investment in our country.
[00:12:09]  Look, you guys have heard me talk about Good Ranchers before.
[00:12:12]  Good Ranchers began with the standard of bringing top-quality, 100% American-born, raised, and harvested meat to families across America.
[00:12:20]  This vision was instilled into them from their grandparents that owned community grocery stores and believed in trust, charity, and family values.
[00:12:26]  Goodranchers.com partners directly with only American ranches from across the United States to bring the highest quality meat straight to your door.
[00:12:34]  Look, if you guys want to sign up for Good Ranchers, I highly recommend it.
[00:12:37]  It's beefed the way it used to be.
[00:12:39]  Every new subscription gets a Berkshire Hickory honey smoked ham for free.
[00:12:43]  Our Berkshire hams are 100% no antibiotics ever, 100% hormone free, 100% born and raised in America.
[00:12:50]  And as always, Good Ranchers is 100% American beef and chicken and now pork.
[00:12:54]  Stakes are always USADA choice and higher.
[00:12:58]  Support local farmers and families.
[00:13:00]  Don't waste your money on cheap cuts or overseas beef.
[00:13:03]  Buy American at goodranchers.com.
[00:13:05]  That's goodranchers.com, promo code Charlie.
[00:13:08]  Goodranchers.com, promo code Charlie.
[00:13:13]  If the New Deal actually got us out of the Great Depression, why was there a recession in 1937?
[00:13:21]  What about other countries that have tried to do stimulus?
[00:13:25]  In the 1980s, there was a growing fear that Japan was going to take over the world.
[00:13:30]  Japan was purchasing U.S. assets.
[00:13:34]  They were actually at one time they owned Rockefeller Plaza and Center.
[00:13:39]  The Imperial Palace in Japan was the most valuable piece of real estate on the planet.
[00:13:45]  And then because of inflated asset prices and bad and malinvestment, Japan went through a massive economic recession and eventually a depression.
[00:13:55]  And what is now known as the lost 30 years, Japan is still living through this, where Japan's debt to GDP ratio is 263.99%.
[00:14:06]  They owe more money than they are actually worth.
[00:14:08]  And what does Japan do in response to the Chinese coronavirus?
[00:14:12]  They double down to deliver the world's biggest stimulus package.
[00:14:16]  I suppose once you're so far into debt and you've already devalued your currency to such a great extent, what's another couple trillion dollars between friends?
[00:14:28]  Japan is a perfect test case of what happens when a country starts to really find itself addicted to bad government spending and inflationary practices.
[00:14:39]  Japan has lost the last 30 years of becoming an economic superpower because it decided to borrow against its own value in the 1990s, early 2000s, and even to today.
[00:14:54]  Japan is a perfect example of what happens when you start to engage in over-the-top deficit spending and create money out of thin air.
[00:15:06]  So this stimulus package, signed by President Trump and passed by a Republican Senate, inexcusably passed by a Republican Senate and by House Democrats, is at direct odds with the laws of nature.
[00:15:19]  We don't fight the laws of nature, but for whatever reason, because of political expediency, because of the fear of getting called bad names by the Washington Post or the New York Times, we decide to fight the laws of economics.
[00:15:35]  Here's a question that I'm sure that someone has not asked you recently: What is money?
[00:15:43]  We talk about $900 billion, $1.3 trillion, $3 trillion.
[00:15:48]  What is money?
[00:15:50]  Let's go back to the history of money.
[00:15:53]  Before money, the way that we used to trade was through barter.
[00:15:58]  I have a chicken, you have a wheel, I will trade you a chicken for a wheel.
[00:16:03]  You both have an idea of what a chicken is worth or what a basket of oranges would be worth, and you enact a trade.
[00:16:12]  Hopefully, both parties are happy.
[00:16:15]  The problem, though, is what economists call a double incidence of wants problem.
[00:16:22]  Basically, you have to find a producer for that demand.
[00:16:27]  There's a great series of videos called Learn Liberty.
[00:16:30]  I think they decommissioned them.
[00:16:31]  But I encourage every single member of Congress to sit down and actually watch these videos.
[00:16:36]  Understand what money really is.
[00:16:38]  The double incidence of wants problem is that what if I don't want a wheel, but I want your oranges, and the only thing you want in exchange for your oranges is a wheel.
[00:16:49]  Well, then I have to go find someone that has a wheel, find something they want, trade for that wheel to go find someone so I can get the basket of oranges.
[00:16:58]  Money solves all of these problems.
[00:17:00]  Money, being a representation of value, allows not that I have to go find a wheel or a specific thing that someone is searching for.
[00:17:09]  I can find the money that represents that, and all of a sudden the marketplace opens up beautifully.
[00:17:14]  I then can buy a home.
[00:17:15]  I then can buy education.
[00:17:17]  I then can save a little bit of money.
[00:17:19]  And this is how money came to be.
[00:17:21]  It also saved the retention of value problem, especially in agrarian economies when you had a certain harvest or a certain crop or a certain produce or a certain livestock, things die.
[00:17:34]  They wither.
[00:17:35]  They perish.
[00:17:37]  And so instead of having to sell all of your crops at once or sell them for a fire sale, money allowed you to be able to sell your oranges to someone that's willing to pay a big price to them.
[00:17:50]  And then you can save that value.
[00:17:52]  Your value is just not in the perishing window of oranges or cucumbers or strawberries or whatever you might be growing.
[00:18:00]  Money actually helped us break out of an agrarian economy and into a more industrial economy.
[00:18:07]  It allowed you to have a couple very good years of harvest and then use that harvest not just for trading something for perishable good, for perishable good, but solving the retention of value problem.
[00:18:21]  You were then able to use that money to maybe then buy a factory, to maybe then buy transportation so you can move your family or progress up the economic ladder.
[00:18:31]  Money solved that problem.
[00:18:34]  Money, put very bluntly, allows trade to occur.
[00:18:38]  Money is a representation of value.
[00:18:41]  Money is valuable because goals and services are represented in the money.
[00:18:48]  So why don't we just print more money?
[00:18:50]  Why don't we just do exactly what Congress has done?
[00:18:54]  We're suffering quite a lot.
[00:18:56]  We are under a lot of pressure because of these lockdowns.
[00:18:59]  Now is a perfect time to open up the spigot a little bit.
[00:19:02]  Come on, Charlie, live a little bit.
[00:19:04]  Let's print that money.
[00:19:05]  Let's get the Federal Reserve working for us.
[00:19:08]  Printing more money doesn't make more stuff appear.
[00:19:16]  I wish a politician would have the courage to say this.
[00:19:19]  I wish a politician, one of the many members of the House of Representatives and U.S. Senate that asked for our help throughout the last couple of years, would have the courage to go on the House floor and say, you do know that creating all of this money, printing all of this money, it doesn't make more stuff actually magically reappear.
[00:19:41]  What it does do is it spreads the value of the goods and services among a larger number of dollars.
[00:19:51]  And then you get something called inflation.
[00:19:54]  Do you want to calculate inflation?
[00:19:57]  Take out a piece of paper, take out a pen, and write number of dollars, and then a line underneath it, and underneath that line, write goods and services.
[00:20:07]  Here's how you calculate inflation, the number of dollars that are out there and goods and services that are being provided.
[00:20:16]  What has happened because of the greatest government intrusion in American history through these lockdowns, we have more dollars than ever before, thanks to the stimulus and the foolish war against the laws of economics that our leaders have decided to wage over the number of goods and services, which is decreasing by definition.
[00:20:37]  Over 200,000 small businesses have gone under since the beginning of the draconian lockdowns.
[00:20:44]  But the number of dollars have increased.
[00:20:47]  Now, to play devil's advocate against myself, the Keynesian economists, John Maynard Keynes, who of course wrote the general theory of employment, interest, and money, basically started something that is called the Keynesian revolution.
[00:21:02]  He had the famous quote in the long run, We Are All Dead.
[00:21:05]  He was a huge proponent of deficit spending.
[00:21:07]  He helped flag the term liquidity trap, which is a bunch of nonsense.
[00:21:12]  Happy to dive into that more.
[00:21:15]  However, John Maynard Keynes would be the significant influence behind the economic school of thinking for the Democrat Party.
[00:21:24]  And so John Maynard Keynes would argue that in a time of economic depression, economic stagnation, which we are living through, the solution would be, let's go inject trillions of new dollars.
[00:21:36]  People will spend with those trillions of new dollars.
[00:21:39]  Therefore, it will result in more economic activity.
[00:21:42]  The opposite is actually true.
[00:21:45]  Instead, people might spend with that money, but where will they spend it?
[00:21:51]  They'll spend it with a small select few of corporations, Amazon, Netflix, maybe bad credit card debt.
[00:21:58]  Spending is categorically different than investment.
[00:22:03]  Let me say that again.
[00:22:04]  Spending is completely different than investment.
[00:22:08]  Investment is the strategic placement of dollars for a long-term benefit.
[00:22:15]  It might be a factory.
[00:22:16]  It might be an office building.
[00:22:18]  It might be a subdivision.
[00:22:20]  It might be hiring a worker.
[00:22:22]  When we hire someone here on the Charlie Kirk show, we hire a researcher.
[00:22:26]  I'm not spending money to hire a researcher.
[00:22:30]  I'm investing money to hire a researcher, knowing that any dollar I put in will be delayed benefit to one day result in meaningful research.
[00:22:42]  That means that I'll be able to deliver better podcast episodes in the future.
[00:22:46]  Spending would be me just going out to have a meal, having immediate gratification, but not believing long-term there will be that much value from that meal.
[00:22:59]  Spending is different than investment.
[00:23:02]  You see, the Keynesian economists and a lot of our economically illiterate leaders in both parties, they choose to conflate the two.
[00:23:11]  They say that this Chinese coronavirus spending package will increase spending.
[00:23:16]  So what?
[00:23:18]  Spending is not what drives a sustainable and healthy economy.
[00:23:24]  Investment does.
[00:23:25]  Investment is driven by entrepreneurs.
[00:23:29]  Entrepreneurs are modern-day heroes.
[00:23:32]  Entrepreneurs are problem solvers.
[00:23:34]  People say all the time, they say, Charlie, how do I get rich?
[00:23:37]  Go find a problem and solve that problem.
[00:23:40]  People will pay you to solve that problem.
[00:23:42]  That's what entrepreneurs do.
[00:23:44]  They find a problem, they solve the problem, and they charge for it.
[00:23:47]  That's it.
[00:23:48]  That's an entrepreneur.
[00:23:49]  And we willingly, happily pay people for that.
[00:23:53]  Sometimes those people game the system.
[00:23:55]  They use crony corporate handouts to benefit themselves.
[00:23:59]  Sometimes they buy out the competition.
[00:24:01]  Sometimes they act in an overly corporatist mindset.
[00:24:05]  We are heavily critical of those corporations here on this program.
[00:24:08]  But generally, entrepreneurs in the small, medium, and sometimes on the bigger scale, they want to solve problems for you so that they can get personally and monetarily rewarded.
[00:24:21]  Good for them.
[00:24:21]  I think it's a great thing when I see a new restaurant open up in Scottsdale.
[00:24:25]  They think that they can solve a problem of people's hunger and they're investing in themselves.
[00:24:29]  They're betting on themselves.
[00:24:31]  The stimulus does nothing for that.
[00:24:34]  Nothing.
[00:24:34]  It doesn't reopen the country.
[00:24:36]  It doesn't reward states that have decided to encounter this virus and the lockdowns of bravery and wisdom.
[00:24:43]  Instead, it subsidizes inactivity.
[00:24:47]  Doubling dollar bills simply doubles prices, especially when you don't have economic activity to correlate alongside the creation of that money.
[00:25:01]  Wealth does not come from money.
[00:25:03]  Instead, wealth comes from the goods and services that money represents.
[00:25:09]  That's called an economic truth.
[00:25:12]  It's a hard thing to talk about because passing a big stimulus like this feels good, doesn't it?
[00:25:18]  Yeah, people are going to be helped.
[00:25:19]  And maybe there will be small businesses that will be richly rewarded and saved thanks to the PPP money.
[00:25:28]  I know some of those people, and God bless them.
[00:25:30]  They are not the brunt of my criticism.
[00:25:35]  However, you want to really help them?
[00:25:38]  Open up the country.
[00:25:39]  Subsidize good behavior.
[00:25:41]  You want to really help people?
[00:25:43]  Don't deficit spend our country into a long-term debt cycle, which I'll get to in just one second.
[00:25:52]  Instead, we should be talking about restricting the money supply, not inflating the money supply.
[00:26:01]  You want to open up the country?
[00:26:03]  You want to stimulate the country?
[00:26:05]  Well, then why don't you go subsidize entrepreneurs, subsidize family creation?
[00:26:11]  That's the ultimate stimulus.
[00:26:14]  Is more American-born human beings and citizens.
[00:26:18]  That's a true stimulus.
[00:26:20]  Not checks for sitting around, which will make the money worthless and meaningless.
[00:26:29]  Look, it's not often you get a gift for yourself, but I need to tell you about something that you got to buy.
[00:26:35]  It's called a hedge against all the craziness in the market.
[00:26:39]  It's a free 22-carat American gold eagle coin.
[00:26:42]  Not bad, right?
[00:26:43]  A free 22-carat American gold eagle coin in a special presentation box.
[00:26:49]  To qualify, you have to take out a precious metals, IRA, or 401k rollover with noble gold.
[00:26:54]  Makes a lot of sense right now to keep your savings and investment safe.
[00:26:57]  Who knows what the next administration will do or what's going to happen.
[00:27:01]  So look, we don't know what's coming next.
[00:27:03]  And you have to have a hedge.
[00:27:05]  They're creating money.
[00:27:06]  Austrian School of Economics is completely under attack.
[00:27:09]  So if you guys want to hedge against all the market volatility and we know what's coming, inflation is coming.
[00:27:14]  Call 877-646-5347 and get the special coin offer, but don't hang around.
[00:27:20]  That's 877-646-5347.
[00:27:23]  Tell them that Charlie Kirk sent you.
[00:27:24]  Again, that's Noble Gold, 877-646-5347.
[00:27:31]  In 1929 to 1932, we all know the Great Depression, which was a byproduct largely from a debt crisis.
[00:27:39]  In the 1920s, we were addicted to debt and we paid a big price for that.
[00:27:42]  What did we do in return?
[00:27:44]  The New Deal programs by FDR, which did nothing to end the Great Depression.
[00:27:50]  Nothing.
[00:27:51]  In 1932, we went to 0% interest rates to a place where we had no more stimulus left to give.
[00:27:58]  Only the war and the massive disruption that that represented got us out of the Great Depression.
[00:28:08]  Now, some economists will be going on television.
[00:28:10]  They'll be saying, inflation is not coming because of technology.
[00:28:15]  There is some truth to this.
[00:28:17]  Like all big lies that are told by our politicians and our corporate elite, there's probably a nugget of truth.
[00:28:24]  Because we are able to shop around quicker than ever before and compare prices without ever actually having to get in a car, you are able to save more money than ever before.
[00:28:35]  But the way that we actually calculate inflation is very deceiving.
[00:28:41]  And before we get into actually how we calculate inflation, the question should be, who benefits from this stimulus?
[00:28:47]  Answer, the wealthiest Americans among us.
[00:28:50]  Normal people are going to get crushed by this stimulus.
[00:28:53]  I'm going to tell you why.
[00:28:54]  Inflation is coming.
[00:28:55]  It's not coming a little bit.
[00:28:56]  It's already here.
[00:28:58]  The dollar bills that you have in your bank account actually don't even exist in real form.
[00:29:03]  We don't have the physical capacity or capability to print the amount of money that is necessary to justify the digital currencies that are out there.
[00:29:16]  It's all digitized.
[00:29:18]  So who's going to benefit from this?
[00:29:20]  Jeff Bezos, Sergey Brin.
[00:29:22]  The wealthiest people in our country will benefit from this stimulus.
[00:29:27]  That's why the stock market goes up as soon as they see a massive stimulus bill passed.
[00:29:32]  It actually doesn't help long-term investment.
[00:29:35]  It doesn't help the next generation of entrepreneurs.
[00:29:37]  It doesn't help the welder, the plumber.
[00:29:41]  What would help is actually getting government out of the way and saying, our country is open.
[00:29:45]  We know how this virus operates.
[00:29:47]  Go back to work.
[00:29:49]  And the rich will get richer because they'll be able to have hedges against inflation.
[00:29:54]  Remember, inflation occurs when the number of dollars exceeds the goods and services being provided.
[00:30:02]  New businesses are not getting started at the rate to replace the closure of old businesses.
[00:30:07]  It's not happening.
[00:30:08]  Money is a representation of value.
[00:30:10]  Money is only valuable because goods and services are represented in it.
[00:30:14]  And printing more money does not make more stuff appear.
[00:30:17]  I know it's a hard truth for some politicians to understand and swallow.
[00:30:21]  You know what printing more money does do?
[00:30:23]  It makes wealthier people permanently wealthy.
[00:30:26]  Maybe that's why Congress is so eager to pass this bill.
[00:30:30]  Get people their $600 checks.
[00:30:32]  That $600 is not going to be worth the $600 you think it's worth because the currency day by day is becoming more and more worthless.
[00:30:40]  But it's not worthless for rich people.
[00:30:42]  Why?
[00:30:42]  They have hedges against inflation.
[00:30:44]  They'll buy land.
[00:30:45]  They'll buy silver.
[00:30:46]  They'll buy hard assets.
[00:30:48]  They'll buy Bitcoin.
[00:30:50]  They'll buy things that are finite, not infinite, like our current fraud of a fiat monetary currency system.
[00:31:00]  And here's how inflation is actually measured.
[00:31:03]  You have the price index, which is allegedly a basket of goods and services, which is a moving average of the CPI, which is the consumer price index.
[00:31:11]  The inflation rate is a percentage change in the index.
[00:31:15]  And so, for example, Venezuela year over year will have a 500% change in prices.
[00:31:22]  Last 33 years, prices have about doubled.
[00:31:24]  It's really more than that, because the way that we calculate inflation is incredibly deceptive.
[00:31:28]  We don't take into account education, marginally take into account transportation.
[00:31:33]  Housing is an outlier in a lot of sense.
[00:31:35]  And so, because of that, we're told there's no inflation, there's no inflation.
[00:31:38]  Meanwhile, working people see that the dollars that are represented in their wages are actually worth less than it was two years ago.
[00:31:46]  And that's only going to get worse.
[00:31:48]  So, why are so few people speaking out against this fraud of a stimulus?
[00:31:55]  Why are so few people talking about what the actual stimulus should be, which is reopening the country and incentivizing investment and saving, not reckless spending?
[00:32:08]  The economy is not going to magically turn around.
[00:32:10]  You get your $600 and all of a sudden you go take your family out to a big steak dinner.
[00:32:15]  Now, that might immediately help a couple waiters and waitresses in the supply chain, but that's not long-term investment.
[00:32:22]  How do you get investment?
[00:32:24]  Answer number one: you don't demolish your currency.
[00:32:28]  A country's currency represents the combined needs, wants, interests, goals, ambitions of its working class.
[00:32:39]  If a worker does not feel as if the currency they are slaving over every single day to earn is worth anything, they will disengage and support Bolshevik Marxist socialist ideas overnight.
[00:32:55]  The number one goal of any stimulus or any sort of relief package should be protect the currency at all costs.
[00:33:03]  Our leaders have done the opposite.
[00:33:06]  Our leaders have decided to betray plumbers, veterans, teachers, pipe fitters, and truck drivers.
[00:33:16]  Instead, they're giving a wink and a nod to the caviar-eating champagne, sipping, private jet-flying ruling class from Malibu, Menlo Park, and Martha's Vineyard.
[00:33:30]  They love stimulus.
[00:33:32]  If you're wealthy and you're listening to this right now, you're going to be just fine.
[00:33:36]  I think you know that.
[00:33:37]  But for the millions of young people that we touch every single month here on this program, you're going to get screwed by this.
[00:33:45]  So, the first stimulus should be: we're going to protect our currency.
[00:33:48]  While the rest of the world is going to engage in another long-term quantitative easing, central bank-subsidized creating money out of thin-air cycle, we're going to do the opposite.
[00:34:00]  We're actually going to protect our workers.
[00:34:03]  We are actually going to stimulate our economy by opening our economy.
[00:34:08]  Our leaders don't have that kind of courage, so instead, we fight the laws of nature, not dissimilar than how the left does, where they decide to wage war on gender norms, biology.
[00:34:21]  A human universal is when you subsidize bad behavior, you're going to get more of that behavior.
[00:34:26]  We are subsidizing the lockdown states and taxing the free states.
[00:34:32]  Another law of human nature, thanks to economics, is when you create something that is meaningless, you're not going to get something meaningful out of that.
[00:34:42]  Every country and civilization that has decided to experiment with fiat currency crumbles.
[00:34:54]  Now, I'm sure you're asking, well, Charlie, how's China dealing with all of this?
[00:34:57]  Before China passed any sort of massive central bank quantitative easing Bank of China fraudulent scheme, whatever the Chinese Communist Party would bake up, they've opened their country.
[00:35:07]  Now, how they were able to do that so quickly is something that I hope gets thoroughly investigated.
[00:35:14]  They have to answer for.
[00:35:16]  But they knew that if they just created a bunch of money out of thin air without having correlating economic activity, then inflation would happen.
[00:35:25]  Vladimir Lenin famously said, You want to break the backs of a working class?
[00:35:30]  Do so through taxation and inflation.
[00:35:33]  So when you have all of these massive announcements that we're going to spend a trillion dollars, which most of which is wasteful, being sent all around the world, $1.7 billion to Jordan, $30 billion to climate change.
[00:35:48]  And when you do this and you expect economic activity to follow, you're intentionally deceiving people.
[00:35:57]  The only way that we get back to the economy that we enjoyed under President Donald Trump earlier this year is by embracing therapeutics, understanding how to protect yourself against the virus if you're worried about the virus, and fully reopening the country.
[00:36:12]  What Congress should have done is they should have said, here's the five things we know that work against the Chinese coronavirus.
[00:36:19]  Hydroxychloroquine, regeneron.
[00:36:22]  We are going to pay states to reopen.
[00:36:27]  What a concept.
[00:36:28]  They should have done the opposite.
[00:36:29]  Instead, our leaders, being mostly cowardly and foolish, they said, we're going to pay states to stay closed.
[00:36:37]  An inflationary bubble is what happens next.
[00:36:42]  And I think a lot of this is because our leaders are afraid to actually have tough conversations.
[00:36:48]  I think that many of our congressional leadership know these laws of economics.
[00:36:53]  If I sat down with them and I asked them about the three biggest stimulus packages ever passed, 1932, 2008, and 2020, I think they know at a very personal level how bad this is for the country.
[00:37:05]  Yet they do it anyway.
[00:37:07]  Why?
[00:37:09]  Because they don't want to be known as the person that opposes all of this relief.
[00:37:13]  And there's so many, there's different ways they could have structured this relief.
[00:37:18]  Not having it be forgivable loans, have it be zero interest, repaid loans, have some people have skin in the game, $600 to every American.
[00:37:25]  Andrew Yang may have lost the Democrat primary, but he won the universal basic income war.
[00:37:30]  It's bad economics.
[00:37:31]  It's bad morally.
[00:37:32]  It's bad sociologically.
[00:37:33]  It's bad for our country.
[00:37:34]  It's bad in every single way whatsoever.
[00:37:37]  And my guiding intention here is to protect the currency at all costs.
[00:37:43]  You devalue your currency.
[00:37:46]  You might as well invite the socialists to run our country, invite the corporatists to become endlessly wealthy instantaneously.
[00:37:52]  The second thing is that you know how many good entrepreneurs that are trying to solve problems that will soon find their lifelong savings rendered useless.
[00:38:03]  Basically, if you played by the rules your entire life and did not over-leverage yourself, did not borrow more money than you should have, you're getting penalized.
[00:38:17]  Our entire country is basically structured on debt.
[00:38:21]  From leverage buyouts from Wall Street to student loan debt to corporate debt, our whole country is built on the full faith and credit of the United States.
[00:38:31]  Basically, our entire civilization is leveraged on our military might.
[00:38:36]  That's about it.
[00:38:37]  How many aircraft carriers do we have?
[00:38:39]  Do we have a bunch of missiles?
[00:38:40]  And do we have the will to actually deploy them?
[00:38:42]  That's it.
[00:38:43]  We don't have more people, and we're surrounded by two huge bodies of water and two allies.
[00:38:48]  That helps as well.
[00:38:50]  And so our entire civilization, the last 30 years, post-1990, has been, how do we live a little bit larger and borrow on the limits even more while deteriorating our currency.
[00:39:07]  You want to know why we have a record income wealth divide in our country?
[00:39:11]  Central bank policies that have demolished your capacity to save and invest.
[00:39:18]  And what's the result been?
[00:39:20]  This year, Jeff Bezos is the wealthiest man ever to live in the history of the world.
[00:39:26]  He's laughing because he's worth $185 billion.
[00:39:31]  And he knows he's going to surpass $200 billion in net worth thanks to this stimulus.
[00:39:38]  If you're a plumber and you're a middle-class worker listening to this, you should feel betrayed by your leaders.
[00:39:46]  It's that simple.
[00:39:48]  And the place this will lead us is all of a sudden just no different than if you're listening to this and you have a pen, you have a bottle of water and you lift it and you drop it and you see that pen drop.
[00:40:01]  You know the laws of gravity.
[00:40:03]  You know that pen will stay there unless you push it.
[00:40:06]  You know the laws of Newtonian physics that an object at rest will stay at rest.
[00:40:11]  The laws of economics are going to come and hurt every single decent person in this country.
[00:40:18]  And people with malevolent aims and objectives, socialists, Bolsheviks, Marxists, and the corporatists, they will benefit from this.
[00:40:27]  The corporatists will be wealthier than ever before, and you'll have a smaller group of mega corporations that will have a form of corporate tyranny over us all.
[00:40:36]  Entrepreneurs, forget it.
[00:40:38]  The next guy in the space, get rid of it.
[00:40:40]  Restaurants will barely be able to survive, but most won't even take the PPP money.
[00:40:44]  They'll shutter their doors.
[00:40:46]  They'll say, forget it.
[00:40:47]  And you want to talk about the best possible economic circumstance for an Alexandria Ocasio-Cortez or a Bernie Sanders to all of a sudden demagogue their way to power?
[00:40:58]  You have just created it.
[00:41:01]  It's going to be hard to argue against them when all of a sudden they say, why does Bezos have $200 billion and you can't make your $200 a month rent?
[00:41:12]  Hard to argue against that.
[00:41:14]  All of a sudden, if we just start using free market euphemisms, I'm going to stop myself and say, you know what?
[00:41:19]  You're right, but you're right for the wrong reasons.
[00:41:21]  You're only right because we did the instant gratification public policy measure of passing reckless stimulus when we knew we couldn't afford it, we knew we didn't have the economic activity to correlate with it, we knew that more dollar bills would not all of a sudden create new stuff.
[00:41:42]  We knew we were subsidizing bad behavior.
[00:41:43]  We knew that the country was going to stay locked down for more and more months beyond that.
[00:41:47]  We knew that we weren't solving the retention of value problem.
[00:41:49]  We knew we weren't solving the double incidence of wants problem.
[00:41:54]  We knew that printing more money doesn't all of a sudden make all this beautiful new productivity occur or appear.
[00:42:00]  We knew the opposite actually was the case based on the last round of stimulus.
[00:42:04]  We knew that the creation of that money would only spread the value of goods and services among a larger number of dollars.
[00:42:11]  We knew all of that, and we still decided to do that.
[00:42:14]  Why?
[00:42:15]  Because it felt good.
[00:42:17]  Because we didn't want a bunch of people screaming at us.
[00:42:19]  And let me be clear, a targeted relief bill, no more than $75 to $100 billion, could have been there for every single displaced business if it correlated with a proper reopening strategy and subsidizing the reopening of our country, demanding it.
[00:42:38]  Instead, we have the opposite.
[00:42:40]  We do not have brave and wise leaders.
[00:42:42]  We have cowardly, feckless, short-sighted leaders.
[00:42:46]  And the results will be devastating for the country.
[00:42:50]  And so many other podcasts and pundits are going to tap dance around this.
[00:42:55]  I have always been a fiscal hawk.
[00:42:59]  I remain an American patriot who does want to bring back American manufacturing, limit the supply of plastics flowing into our country.
[00:43:10]  I believe that a form of tariffs and sanctions on our enemies might result in higher prices, but will help the American worker and with it, the fabric of our country.
[00:43:22]  I believe in all those things.
[00:43:24]  However, one thing that I have been fighting for since the beginning of Turning Point USA is to stop our country's addiction to a long-term debt cycle and to always look to the kingdom of Washington, D.C. to solve our problems.
[00:43:40]  And what we did here and what we continue to do will only mean we're going to have to pass another stimulus in another six months.
[00:43:46]  So buckle up, ladies and gentlemen.
[00:43:48]  Rich people are only going to get richer.
[00:43:51]  And AOC is smiling in a corner because she is planning her blame game to get her and her comrades into power.
[00:43:59]  So people say, well, Charlie, what can I do about this?
[00:44:01]  If you have any money, go buy stuff you can touch and feel.
[00:44:06]  Because more than even inflation that is coming, conflict is coming.
[00:44:09]  You can't all of a sudden create money out of thin air, subsidize bad behavior, send it all across the planet, and not act as if there will be professional politicians that will come in and place blame to go get themselves back into higher power.
[00:44:24]  The other thing you can do is speak out against it and educate people on economics.
[00:44:28]  The amount of economic illiteracy in our country stuns me.
[00:44:32]  The amount of people that actually know economics that have no courage also stuns me.
[00:44:37]  But we picked the tough fights here on the Charlie Kirk show.
[00:44:40]  We know that you guys support us at charliekirk.com slash support to give you guys the truth, not to all of a sudden hide behind these nicely worded slogans.
[00:44:52]  We know what's really happening here.
[00:44:54]  So we're going to keep on following this as it progresses.
[00:44:58]  However, I could tell you right now that this is just another example of Washington, D.C. spending money on a bunch of nonsense, sending it all around the planet, and believing this lie that we must do something when the something is right in front of you.
[00:45:14]  Open the country.
[00:45:15]  Do it responsibly, bravely, and with wisdom.
[00:45:18]  And none of this deficit spending, inflation-inducing activity would have been necessary.
[00:45:25]  That's how you stimulate the American economy.
[00:45:30]  Thank you for listening, everybody.
[00:45:32]  You guys can email us your questions, freedom at charliekirk.com.
[00:45:35]  You guys can support us at charliekirk.com/slash support.
[00:45:38]  If you want to get involved with Turning Point USA, where we play offense with a sense of urgency to win America's culture war, go to tpusa.com.
[00:45:46]  That is tpusa.com.
[00:45:48]  Thank you guys so much for listening.
[00:45:50]  More episodes coming to you soon.
[00:45:52]  God bless.
[00:45:54]  Talk to you soon.