missions are forced. to the finish line of the marathon. i'm asked as well for the kaiser report you know wall street is like

a world wrestling entertainment or two minute stage for souness and meet each other in a choreographed scripted and overacted fight in the ring and they call it professional wrestling and wall street they call it professional money management and yet the outcomes are just as great to just a script to just as a barrister only overacted and the suggestion of competition is also purely for entertainment value. in one corner the wall street superhero germy the. crowd goes wild. and in the other corners the evil no good refused to ho bellow long-term capital management always dick. buddha. here to mediate this fight is hank paulson will he rescue this stage rumble in the wall street jungle with a seven hundred billion tarp ouch the audience shrinks yes the game is rigged we all know it's wrong and yet we continue placing bets and losing our hard earned

money on an outcome as if it were not pre-determined holo stacy writes that audience when food bank the hammer paulson was out there they didn't shout out. the speaking of scripted now that i find this very first headline very interesting regarding world wrestling entertainment people are making tons of money betting on fake pro wrestling so from january to april of every year it's called the road to wrestle mania these are the big bouts in april were all the money is made and all the bets place several online sports books including five dimes and bodog have been accepting bets on progress one for years and lately progress slowing insiders have begun to notice an unsettling trend you see oh my boxing or m.m.a. the odds for a pro wrestling match is free of it's versus underdogs flip in such

a manner that progress journalists dave meltzer who has been covering the business for nearly thirty years is convinced insiders are pulling the strings if you're smart you know people says meltzer you can make money because you'll know what the results are yeah that's right and people are betting on a rigged outcomes as if they're not reg yes people are actually laying bets and something they clearly know i stay. just well it would be like going into the theater watching like. betting that in some way the outcome will not be what we already know the script a big and those are people making these bets are making bets on scripted outcomes now there's a user called dolphins nine hundred twenty five on reddit and for the past year he has predicted every single outcome to a tee the exact way this person would win because he's has an insider at the w w who has been giving them the scripts they actually write scripts for each of the

matches who is going to win who's going to lose but recently during the w w e's tables ladders and chairs pay per view last december just hours before the main event between johnson and randy orton something unusual happened john son of the w w e's biggest star in the good guy was a clear favorite going into the show but just hours before the match randy or in the bad guy shifted into a seven hundred fifty point favorite and the real world this sort of movement on the lines would never happen without one of the competitors breaking a leg literally so smart money was betting with insider knowledge on this they knew with this that the script have been changed and you see this across the financial markets and also the belo market so when the fed makes a statement a fraction of a second before hand we see movement in gold markets or or you know other bond markets and this is with high frequency trading algorithms that are able to trade at six nanosecond timeframes and they're also being given the script ahead of time in this rig market well that's

a good point the connection between entertainment and wall street is also interesting connection people bet on wall street outcomes as their form of entertainment and there is no underlying economic reality to support these prices i direct your attention to some recent phenomenon where you've seen for example when barack obama mentioned my are a which is his new version of an ira there's a symbol and. on the stock symbol of am y. are a have nothing to do with that speech however it increased in value by hundreds of percentage point thousands of percentage points folks just speculating the algo bots kicked in and they read the text of his speech they saw that it was repeated millions of times and they went ahead and bought that that that that symbol on the exchange because there's no underlying economic fundamentals same thing with twitter twitter before it went public there was a stock that had a similar symbol the algo bots saw that symbol and they released hundreds of millions of dollars worth of free money trading on what they believed to be inside

information and booking hundreds of percentage points gains that there was never any attempt to rectify this fraud or this incredible miscarriage of economics well the people who bought my ra ok post barack obama's speech are like the audience at the w w e pro wrestling matches they know it's rigged and they're sitting there shouting and they're just the sort that just presses a button bye bye bye i see something called myra somebody mentioned that recently it's in my head but the thing about that myra is a penny stock. somebody bought nine or seven or nine days ahead of barack obama's speech somebody bought millions of options on it. and none had been traded for years beforehand so somebody knew and place gas that people would be dumb enough to piet because they heard barack obama say this is a form of insider trading because they knew that those letters and why are

a would be repeated in the press millions and billions of times they way that the algo bots work these days they're just computers that scan twitter they scan the news and they look for these recurring patterns and then they just place bets accordingly no human set down to say wow barack obama made a speech or a reference something that had the same symbol as a stock with no connection i think i'll buy it now it's done purely by computers for computers and the profits are booked in people's accounts they're trying to get his arm for measure their trading in high frequency trading which is a which is a fraud they're training on seeding the public discourse with fraudulent stocks and bills which is also a fraud look people knew for years that bernie madoff was committing a fraud but they still bet jamie diamond and j.p. morgan memos said this guy's a fraud but we need the business it's like the old woody allen joke you know the guy goes the doctor says doctor my brother thinks he's

a chicken the doctor says here give these pills and he says no no we need the eggs it's the same thing with fraud in america. if they took the fraud away they'd all start. well you know they all are kind of starving because here we get to the next headline how central banks cause income inequality so we know everybody's talking in fact barack obama in his state of the union address talked about inequality is rising rising rising now if you look at the charts of course since nine hundred seventy one since we went off the gold standard of course and since we all accepted this rigged game we're all sitting in the audience cheering for financialization which is actually just the house is always winning the guys behind the scenes know who's going to win know which way the markets are going to go that day we have pledged protection team we have the treasury department with their own trading desks there in the treasury department who are they trading on behalf of the people who still participate and listen don't rise up and don't overthrow the system and this article here and sarah had just positing that one

thing that's come about is the central banking system this brings us to the second undesirable and unjustified source of income inequalities i.e. the creation of money out of thin air or illegal counterfeiting by central banks every dollar the central bank creates benefits the early recipients of the money the government and the banking sector at the expense of the late recipients of the money and wage earners and the poor so since the invention of these currencies and the central banking system post nine hundred seventy one the banking sector went from four percent of g.d.p. to over ten percent. that is absolutely correct the income inequality is exacerbated by the social bunks who print money without any connection to any underlying economic fundamentals and the script was written before and when they wrote the script when nixon and all his people and government wrote the script in one thousand seventy one let's go off the gold standard they wrote the script they knew what this outcome was going to be here

today in two thousand and fourteen they knew this was the regular. nine hundred seventy one america was better. because of the vietnam war and they cannot honor their debts which were tied to gold so they severed the connection to gold and said look from now on they defaulted america defaulted in one nine hundred seventy one on its debts and they went on the sphere of currency charade now forty years and here we are petro dollar which was a substitute for the gold dollar is now cracking open because for various reasons we no longer have that connection and the replacement for the petro dollar is the fraud dollar so america is backed by fraud which is funded by money printing by the central banks who are unconstrained by accounting or law so here you have a rig system and into this big system must be thrown some underdogs to lose to the heroes that you know the banking wrestling federation sets up nearly half of

america lives paycheck to paycheck but the important thing here we have a ring system where you need to rely on the financial system the plight of these folks is compounded by the fact that the recession ravaged many americans credit scores to the point that now fifty six percent of us have subprime credit so fifty six percent of americans go into the ring with those bankers with a subprime credit rating right but even though forty percent of americans are living paycheck to paycheck the poorest of americans live better than eighty percent of the world's population it's really a ghetto paradise because you can still for five bucks you can bum on the street get yourself a tallboy a schlitz and a twinkie and you're living large compared to somebody living on dirt burgers in haiti and that's the american dream and that's still workin that day when it don't work no mo and then you're going to have. the lights out shows over everybody go

home then the promoters of the show the p.t. barnum of the twenty first century. jamie diamond will say how do you never hear from again so sixty nine point one percent in mississippi or subprime so what this means is of course here we have this wrestling match inside the financial system that is our economy especially in the united states in the u.k. and here you have jamie diamond jamie the tapering diamond can borrow money at zero percent you have to go into that debt arena with borrowing at up to thirty six percent or even higher in some of these states because you're sub prime so they already kneecap you before they throw you in the ring to be thrown against the floor of the ropes by jamie diamond yes but again i would posit that the average american slow doesn't care all they want is beer and donuts and i want to play some but i'm not on the outcome that they're going to be thrown out of there. well we'll see how that all turns out i'm not predicting

a positive outcome but we must meander forward so thank you go place your bets on this professional money manager that's. all right well state over this i don't have a lot more. money. or a. very hard. to. get back with her to bring her.

to the. you can. google. welcome back to the kaiser report imax guys are time now to go to uruguay and talk with doug casey of casey research and dot com he's out of the new book here it is. it's right on the money in which he talks about economics investing and the ways of

the real world doug welcome back to the kaiser report max it is a pleasure thank you i would say or a bit of an investing legend i would say because you are i think fall into the category of contrarian in that you can spot undervalued assets but not just stocks and bonds but you really travel the entire world looking at things like art and real estate and you're quite quite a world traveler you're in europe way right now but at least part of the time you're in argentina which looks like they're going through her nothing or one of these huge crisis what's happening when crises are nothing new for argentina i'm here in oregon why a moment simply because it's the summer down here and it's time to be at the beach but i actually prefer to be in argentina of course the government there is criminally insane and that's nothing new in the case since peron but the standard

of living is high it's an excellent place to be are enjoyed a great deal. one thing that you can rest assured about goes once again destroyed the currency the argentine peso but then again the u.s. government is in process of doing the same thing to the dollar is not right going back to the the huge crash in argentina during the two thousand two thousand and one period of course you had that period in american banking or the theory was you could never go bust lending money to a government and citibank of course lent argentina a lot of money and they went bust but they never really escaped all those debts right they never really regained complete and total sovereignty what to what degree does argentina foreign banks to their domestic problems still to this day your thoughts the problem doesn't lie with foreign banks the problem lies with the. prophecy of the argentine government and quite frankly i'm glad they defaulted on

that hundred billion dollars of debt ten years ago because if they did not it would mean the would mean making the next generations of argentinean young people indentured servants to pay off the government stets so i'd much rather see the people who are foolish enough to lend money to a bankrupt and profit but government i'd much rather see them punished and see several generations of young argentines made into servants because of the stupidity of their government and of course this is a lesson that a lot of countries could take. right now let's look at a country recently that has done something i guess you could say it's similar during the two thousand and eight financial crisis all these countries and or very accommodating and bailing out these profit banks as you call them except iceland i said of course said now we're not going to bail out these banks they took the hit

they khurana collapse the banks went under they spent two or two years or so and to an economic freefall but now they're of recovered unemployment a four percent looking go to two percent based on what you're saying here what it would it be wrong just to say that you would look at iceland as being an example of a country what they should do when when banks are behaving badly or thoughts if step in the right direction the problem that we face in the world today is that almost all in fact all go so far set off of the world's governments are actually bankrupt and the fact is that the world's banking system is bankrupt as well as because of the use of central banks and fractional reserve and so forth so there are both governments and the big banks are like a couple of drunks standing up holding each other up. they both should fall down. the the entire world has become entirely too financial ised at this point

people are concentrating not on producing real goods and services but on trading things and paper securities and so forth so this is a giant bubble that's going to burst all right you know you talk about trading things and paper paper assets one of the things about your book right on the money which i don't hold up against the camera people take a good look at it and it's interesting in that it gives a bit of a primer for folks who want to get into the right mindset and look at their investments in a in a more of a commonsense approach for example you talk about traveling around to different countries that are going through economic the rest but you're able to pick up art you know at and things that are at historic lows so but this is something that the average person who can do i mean you can look or you can travel the world and you can go to places and something investment in art for example is is just as good as

an investment as any other as long as you have the right attitude and your timing is correct it would you say that's a good description. louis true for instance. there are some things in the world i absolutely wouldn't touch now i've been a car guy my entire life i launch ferrari's cobras all these cars but at this point their use ferrari's are going for twenty two million dollars it's crazy getting into things like that this time however when a country's economy collapses you can walk into an art gallery and pick up things for ten cents of a dollar and then they recover the same thing goes for real estate and countries around the world you're in london right now i wouldn't touch a london real estate with a ten foot pole time to a but it was back in the mid eighty's when they were giving it away on the other hand during the crisis here in argentina and to espouse. one we were buying argentine real estate of streeter disagree well so you can't run

with the crowd not unfortunately that's what most people to that's why it's a crowd right well that's i think one of the lessons of this book is how to mentally give yourself some breathing room to think as in a way that the crowd is not thinking and a lot of times that's the big difference between a successful president and a non-successful but i want to look at the kind of the macro picture here because you've got the emerging markets are in freefall the currencies are collapsing the price of oil as price and these emerging markets without hitting an all time high priced in those currencies this seems like we're at a jumping off point there's something seismic going on your thoughts i've been saying for years that we are headed for something that i call the greater depression in fact from a historical point of view i think that will say that the greater depression started in two thousand and seven i call it the greater depression because i expect

it to be much worse and much different than what happened in the one nine hundred thirty s. and what we went into starting in two thousand and seven was like the leading edge of a gigantic hurricane and forests few years we've been in the eye of the storm and this is such a gigantic storm the eye is bigger than i even anticipated but i think it's a fair bet that this year twenty fourteen we're going to go into the trailing edge of her can and it's going to be very severe and different than what we had in two thousand and eight two thousand and nine as i will is that was so well hold onto your hat right so the federal reserve bank of america some consider to be the global central bank of the world they paper over a problem for decades by printing money or by manipulating interest rates or by quantitative easing it seems at the moment that with this latest round of tapering that is to say ben bernanke you now see it going from a. five billion dollars a month the seventy five billion is sixty five billion dollars of acid purchases or

bond purchases they are they have tripped these emerging markets into collapse so two questions number one is this a political calculation in other words why not throw these latin american countries into economic turmoil because it's a way to acquire assets on the cheap number two my second question is is this just . a failed attempt at reversing the quantitative easing and janet yellen the new fed chairman will have to quickly reverse or soften start buying those assets again more than eighty five billion much more going forward casey the fact that the reserve is cutting back the rate of currency debasement right now. a step in the right direction but they've got to go they've got to reverse that instead of buying these these assets they've got to be selling them it's impossible now they're going to have to when when when when the economy goes into the trailing

edge of the hurricane they're going to step it up they're going to go to one hundred billion dollars a month and more and the consequences of this are going to be disastrous it's going to mean that instead of piling into the dollar as a haven of safety people are going to treat it as a hot potato and pile out of it. as that's pretty much answered my question there say or set your thoughts are that this tapering will be reversed they'll quickly say that it's impossible you can't taper your way out of a ponzi scheme and they're going to go to much higher levels of money printing and i would imagine therefore that the assets like gold silver or our hard assets of course do well in that kind of hyper inflationary environment you wrote recently doug casey that quote your bonds and shares are no longer your own what i mean by that. well for one thing you can hardly trust any of the financial institutions that are holding on to them today. warren buffett pointed out

a long time how to go how dangerous derivatives are and there are a quadrillion dollars worth of derivatives today not what's the meaning of that it means that there are lots of people that oh other people things who can't pay them unless other people pay them it's a gigantic the z. chain it's a very it's a very on stable financial situation that we're in and today very few people can even take possession of their physical certificates their only computer entries of brokers and the brokers themselves are very unstable as is shown by man financial last year so there's not much you can trust today therefore i think an important part of. everybody's financial assets in a world that is unstable as a swan is you want to have some cash in your own possession but by cash i mean gold i don't mean paper currency printed up by some in some central bank when the news comes out that h.s.b.c. the biggest bank here in the u.k.

has a seventy billion dollars black hole of debt they just discovered it just they just discovered it they they just they would they didn't notice it a few months ago but suddenly somebody down in the bowels of the accounting department said oh my god we just found a seventy billion dollars black hole of debt that does that and there's a harvard professor this past week who said he's closing his account of bank of america because he doesn't trust is a million dollars he's taking it out he's closing it says he doesn't trust bank of america to make good on that deposit are these that they're talking about is this should people take this to heart and understand that these banks potentially are completely insolvent. that's exactly correct and you can't hold dollars or pounds in banks because they're on stable you can't even pile by government paper which is to say treasury bills because the dollar itself is a floating abstraction on the governments are all bankrupt so i think that as we

speak right now with gold at about twelve hundred fifty dollars an ounce it's not the bargain it wasn't two thousand and one but still the world is so much more dangerous now i suggest buying gold both because it's the only financial asset that's not simultaneously somebody else's liability but also it's an excellent upside speculation at this point right and i would posit that given the money printing from ten years ago relative to the price. the money that's been printed over the past ten years as relates to the quantity of gold in the price the price of gold could very well be cheaper today at twelve dollars an ounce it was a three hundred ten of the excess of money printing anyway i see you nodding your head that's good enough we're out of time thanks so much for being on the kaiser report doc ac thank you max ok that's going to do it for this edition of the kaiser report with may max geyser and stacey are going to like to thank our guests doug casey author of this new book right on the money if you'd like to get in touch tweet us a kaiser report until next time by. the

playing. field in big spirit travels with the flame from its place in greece. james brown for an elemental and. russian and beyond. where i.

put it on your. face i think sometimes people. pleasure to have you with us here on t.v. today i'm sure. aside. i think it kind of. i'm. all about money and i'm actually sick for a politician to write a blog right. here

in just two. days by. the the. what's going on t.v. land from abby martin and this is probably in the set so last week the state department released an environmental impact report stating that the southern leg of the keystone x.l. pipeline will have an insignificant impact on carbon emissions but even if this report gives obama the green light to move forward of one group is refusing to allow the construction of keystone native american communities including the oglala sioux just released a statement entitled no keystone x.l. pipeline will cross lakota lands. nation as well as other tribes from oklahoma to oregon have banded together to plan on how they will take direct action yes it looks like obama now has america's indigenous community to worry about if he does a.