it invested over $5000000000.00 to assist ukraine in these and other goals that will ensure a secure and prosperous and democratic. russian president calls out the power wielding tech giants during a wide ranging video address at this year's world economic forum. the vaccine supply dispute between britain and the e.u. as brussels threatens to get tougher on exports bollock using drug company astra zeneca not keeping its end of the bargain also. on storage have to tell you the number of deaths recorded from in the u.k. and supposed 100000. british prime minister is under pressure to explain the country's dire situation as grieving families demand a public inquiry into the government's failings. plus iran approves and plans to

make russia's covert vaccine the countries of foreign minister exclusively tells our team why tehran is supporting sputnik the. russian the russian reconstruction in a very bad experience with another country that i do not want to name. those are your headlines this hour the kaiser report is next on our show international and the u.k. and ireland prepare for. hi i'm max tazz or this is the kaiser report so much going on let's check in with stacy right max you know how history rhymes might not necessarily repeat exactly but it certainly rhymes and we're seeing flash back to the seventy's these days so

the most important question for me is should i get a feather haircut or a perm staying alive staying alive the old saying are you much of it because copyright is certainly much stronger since the seventy's but what do you feel about oh yeah my wife sudha i got them colored tiles of my basement practice in the house all the way raw it was practicing the hustle google that but i think i'll do the feather haircut unless people in the audience out there if you say no she should get a perm and said well then i'll get a perm but in the meantime i want to say you know inflation is back if you lived through the seventy's you remember the inflation you remember the long lines and you remember the disco well inflation is spreading broadly into the economy amid surging costs companies raise prices and customers pay them despite weak economy 10000000 missing jobs the signs of inflation building up in the economy are now everywhere i h s markets in this release of the flash p.m.i.

with data from companies in the services and manufacturing sectors added to that pile of evidence and increasingly max companies are able to pass higher input prices on to their customers meaning their customers are not totally balking at paying higher prices and they're not switching to other sources to dodge those price increases that's a mindset that nurtures inflation that's right that's what we've been talking about for a while now because ali. talk about deflation by the central planners was trying to hide the fact that they were involved in this grand global switch a roo where they made the chinese economy very rich at the expense of the american economy and they kept making the chinese economy very rich by sending them chileans and trillions and trillions of dollars and claiming that there was deflation in

america but now that china is rich there is no place to hide the money printing anymore really that was the grand money printing sinkhole of the past 20 years but there it's filled up right that china's filled up get can't any more free cash without causing inflation over there they don't want that so it's going to ricochet back so now we've got the same money printing which you can't stop because the debt service is astronomical so they can't stop the money printing you can only increase the money printing sonera going to see real prices go up for stuff and there's no turning back because to turn it back would mean raising interest rates and that would mean an immediate 1971 like us default on its sovereign debt as they did in 1901 and no one's going to do that so the inflation jamie is popping out of the bottle well i think part of the thing that you see is back 9 $171.00 we did have huge amount of inflation and the inflation and the increasing debt load forced the

government to abandon the gold standard gold went from $97.00 he was worth $35.00 an ounce by 1980 it was $850.00 an ounce so it went up $24.00 x. in that time extreme amount but at the same time what we've had for since 2000 really in the us since the collapse of the dot com bubble 2001 where you're seeing is increasing credit to the top one percent to the bankers to the elites so it's just credit it's not money printing we. seen in of the magnitude that we had to see back when we were on the gold standard in the late sixty's because of the war leading into the seventy's and the unrest then so what you've seen is yes i mean you could argue it's been deflation because they keep on creating trillions upon trillions of debt for the same size economy and so that was always unstable but all those wealthy people used it to buy huge amounts of assets agricultural land properties all the cities of the world essentially them buying up the madrid leon

he's in the picasso as they've been buying up all that art now in the past year as bank of america just came out with a report saying that the u.s. economy is going to go crazy overheating in 2021 because there's so much cash that was given to the population a large part of it has been saved because it there was nothing to spend it on and it went to a lot of people in just a spray hose fashion because a lot of people they didn't actually need it so it's just sitting in their savings and there's about 3 more so here you're seeing that you're seeing that people have a lot of cash because companies are easily able they say according to these recent data survey that's done for decades you know they're they're saying that they're actually able to pass it on consumers aren't paf and they're not stopping purchasing whatever these goods are like lumber lumber is there's actually a shortage of it now they're saying they're having difficulty finding lumber because everybody's fleeing the cities and building homes out in the rest of

america because credits easy to come by so the prices are going up but there are builder and you want to go buy some lumber you just put it on credit and the interest on that credit is factored into the equation of your business model where you can borrow against the eventual sale pay down the debt now and you've got a positive cost to carry and all that's great and so we have a night 2008 type credit freeze as we did in 2008 and that's a guaranteed going to happen prior. 2021 credit comes to an absolute halt and forcing a cardiac arrest in the banking system what you'll be followed by the to figure later of money apply directly to the chest helicopter money trillions piped into people's homes instantaneously at the click of a mouse and that will be yet another chapter and dimaio of empire oh all right and in the 1970 s.

we had a supply crisis with oil because we had the oil embargo from the arab nations that cut off oil to the west now we have that similar you say lumber in the credit but the fact is there is a genuine supply crunch if you talk to builders and this that market survey did interview dozens of companies and hundreds of companies across america and builders are having an actual physical problem getting physical supply of lumber they can't get their hands on any so therefore you have to delay the house building projects you have to delay if you try to find at whatever cost that cost has to go up in order to shake out some new supply of lumber so we're seeing similar supply problems partly perhaps caused by the pen demick but also because of just the shoot rush sudden rush not you know plant 4 years ago about what we're seeing now in america but again you know in terms of the comparison to the seventy's back in the

seventy's there were a lot of things that were super cheap right like you could live in an apartment very easily could hitch hike across america i think which i can still eagle probably all across america at this point but you know there were a lot of things that you could do that were super cheap and food was real like it was before the whole process food sort of explosion of innovation and that sector of giving you flavored goopy stuff so you know you still got your nutrients relative. cheap compared to what you're getting now and the unemployment rate member we had stagflation back then because inflation and product and goods and services were going up but jobs were the recession was hitting hard and there were a lot of unemployed people 'd new york city was bankrupt new york city could be going bankrupt again by the way 300000 people left. manhattan and the last year so inflation pressures despite a weak economy and $10000000.00 missing jobs it is interesting that these price

pressures are happening even as the overall economy is not exactly blooming with g.d.p. down 2.8 percent in q 3 compared to a year earlier while 10000000 jobs have disappeared according to the b.l.s. jobs report for december amid a suddenly weakening employment and scenario since late last year you can see that in this chart but of course back in the seventy's we didn't have the printing press we didn't because we had just gone off the gold standard so they central bank couldn't print money like you can today but paul volcker was not gonna write that was a difference at a central banker who knew what the role the central bank was but you know the stagflation is exactly i'm going back to lumber right people who want to pay the price for escalating lumber cost if they could find it but they can't because then are lying economy is being destroyed due to mal investment due to years and years of all that money printing going into pockets of the economy not being distributed

based on supply and demand we had a command of control economy sense greenspan and so you have mal investment and you have kind of a soviet era mishap in the u.s. economy this protracted be papered over with money printing resulting in the current stagflation which is reminiscent of the 1907 days except as you point out there are a few more moving parts here that we have to watch carefully because they could accelerate or as they say in the arse and business an accelerant to burn down the house a great talking head song by the way burning down the house i suggest you play that while we're talking and it matches up perfectly just like if you watch the wizard of oz without the sound on but play the pink floyd album very famous pain floyd they match up perfectly. interesting and yes thing 1970 s. trivia therefore you yell and says you. must act big on next coronavirus relief package neither the president elect nor i propose this relief package without an

appreciation for the country's debt burden but right now with interest rates at historic lows the smartest thing we can do is act big of course that's totally different from what we saw in the 1970 s. when manhattan went broke what's it ford say to mannheim drop dead right now now if nobody jobs said all debts are maintained all debts are kept alive all citizens get free money so that's like very different from the 97 is this what i'm saying that at the top of the show i said history doesn't necessarily repeat but it rhymes so there aren't the exact same things we do have the unrest in the streets that we had in the late sixty's early seventy's we have different obviously it's a spun the wheel around and shook out the people who were protesting in the street in late sixty's and seventy's are now the authoritarian police state themselves they're the cointelpro they're the authoritarians they're the ones on the news parading the young people so you know there is a similarity but what yellen also went on to say in her testimony to the senate she

said even though the amount of debt relative to the economy has risen the interest burden the amount the treasury pace to service that debt has not due to low interest rates she says she will watch that measure closely as the economy recovers so yelena saying that if the economy recovers and trust race will go up. yeah exactly you know the thing about the 70s if they merican economy was still fundamentally strong and they could withstand those shocks but when yellen says we're going to go big and fine this is going to print scads of war many many chinese war chest understand that she is pouring that money into something that's structurally broken it's like a bucket what the bought of the bottom is missing it doesn't matter how many it's liquidity she pours into that bucket is structurally broken it's just going to come right at the bottom doesn't matter how much she pours and it's the stink of the economy is fundamentally broken all the distribution all the finance everything every piece of the puzzle has been decimated by the command and control money

printing psychopaths have run the economy sunscreens band and that nothing's going to change that in the seventy's we of course had manufacturing capacity you mentioned that from 2001 we started shipping all our jobs to china so we don't have the capacity to convert that those dollars into wealth creation like it just goes in to the economy so that's also radically different from the seventy's so we don't know what sort of inflation this is going to cause what could happen with what bank of america and other big banks are saying that we're going to see paul saying or it was on the news just this week so if we're going to see 70 style inflation well remember follow the yellow brick road follow the yellow brick road we're gonna take a break and we'll be back right after this.

join me every thursday on the alex simon chill and i'll be speaking to guests of the world of politics school business i'm show business.

welcome back to the kaiser report imax keyser time now to go to lawrence lepard he is an investment manager at equity management associates lawrence welcome back if you mess there is the phrase be really sell me. but a tweet from a guy about grier it's of gold switzerland dot com said recently in a tweet there can't be any clearer sign that prices sky raise a possible this totally fake paper gold market whilst fake paper gold is trading 70 trillion dollars a year annual mine production is a mere $213000000000.00 and your thoughts just go through point i mean i wanted to know that the gold market is not a real market. you know it's essentially playing tool and you can see that they bombed at certain times and you know no price discovery or no person who's interested in real price discovery sells the way they sell it or she points in time

so i completely agree with you interesting thing which i'm sure you will certain talk about a lot on your program is that you know because somebody votes you know when you know they're hyperinflation rather blatantly and you know there's nothing they can do to control it. you know they go real problem here you go crackers and they go out and i need to share the crack up boom south this was i believe postulated by hyman minsky the problem of printing too much money is that eventually a people like we saw in the 1920 s. they jacked prices up to astronomical levels 'd and they used the collateral from those jacked up prices to finance more speculation and it's a self feeding phenomenon it's an incredible bubble i've been thinking that we are in kind of a 1920 s. bubble at this point all the rules and regulations for the 920 s. that were absent that were then imposed during the cleanup phase in the thirty's

those have all been removed and you know you got rid of the uptick rule for short selling you got rid of glass steagall you got rid of. pretty much everything that was imposed after the crash of $29.00 to stop the crash it's back it's being abused much much worse so are we looking at a $929.00 ask crash at some point lawrence it certainly feels that way and the records i mean you know we're going to need a record commissioner riddle or you're right a serial being eliminated sarah will know so we go through it much more late more it's a lot more technology so you know there is aggression i mean you can see you know really work it's our lives no real crisis we're going on here and 'd you mcgregor going to so and so many ways are in syria. we wonder song and you know big dreams maybe people are you know they're smarter you know they're your money it's 3 percent to buy real asset on leverage so it's a smart move and you know it's it is very similar to the twenty's and i think it's going to go the same way it's going to try let's talk about what's happening

recently a company called game stop but it's a listed company the there's a big short position on the stock from hedge funds because they're a dying industry it's a retailer business is down so the short interest is quite high what the robida traders i figured out is that you can put pressure on the hedge funds by engaging what's called a short squeeze if they buy the stock then the short sellers have got to buy the stock also to close out their shorts and the stock was up 100 percent 150 percent then it was halted trading 5 times in a single day there was speculation on the downside speculation on the upside remember hertz was bankrupt and it was trading to new highs right so don't the regulators who are concerned about because i am and opening their pie hole and bleating nonsense and should maybe concern about their own backyard i mean there their markets are a joke it's a farce because they the regulators are in bed with the well you know they're the

problem they're completely exhausted i mean you know look look at all. saying so $1000000.00 speaking fees only illustrate that she's supposed to have been regulating units it's so great that maxim made in that particular case it's shocking to me i mean how is sure shares of her shares available i mean i knowing syria i mean really you know only one of you i was under the understanding she had i was sure to borrow in order to sell it short met me has a larger short research and then shares outstanding it's all a mystery to me and it's a function of the bubbly crazy environment you know non-working environment we live with me this is just i was around 2000 this is an order of magnitude worse than rats i have a shark more stock than there is an existence as a piece of rag shall i believe it's called where at the end of the day this must be a mark to market and an accounting of what shares are where look at the case of numbers figure out who's got what but the regulators down to that they pushed that they put there they say they're understaffed and they're they can't comply with

a lot remember eric holder and obama said bankers are above the law right so everybody rasul capable of bomb a function back in office down washington right so we're back say allows a fair for what i call financial terrorists some people just call them lloyd blankfein friends and there's going to be in the law and so this abuse by regulators will continue and getting back to gold for a 2nd so the reason why because it is being gold so badly is because it's not price discovering gold lawrence it's a better market i mean you know i mean there are there are say you are just very goldman sachs and one point you bristle just the way a reporter you know your contacts are going to go allows that exist and i suspect the loads is larger and so you know it's not really crass that our staff people like that are shift ok i understand it's a cold fan and he doesn't like decline but he never mentions the fact that gold is a captured market that doesn't have true price discovery just pass a spec going so it's a same place remarkably intellectually you know bereft of any rail analysis here

the evidence is overwhelming and the banks are pleaded guilty to manipulating the market multiple times they've paid. hundreds of millions of i'm just not billions and nothing has been the nobody's going to jail nothing changes for them it's across a big us. i mean they're doing 5 yet is the cost of doing business and the and let's talk about the national debt is now $21.00 trillion dollars which is more than the g.d.p. some economists are saying we need even more debt usually when a debt goes about of g.d.p. at that's generally a bad sign lawrence yes very much so i mean if you look at history all countries that have gotten into position you know unless they're able to quickly balance their budget which aggressive we're going the exact opposite direction. at least to some of your currency debasement of regulation and to me only question is just going to come how fast is it coming how bad is it inflation is growing or nukes are the alternatives place very collapse of the thirty's and then a recession that's entirely possible but i don't think they're going to do that

what i find most interesting though max what's going on right now is how trendiest people are of a no there it's rather they you know they're in a pickle and so you see what are coming out you know you see and never bitcoin you know say it's right there and you see yellow and you know then you see. a roast roast off i think it was or professor kurt broke off camera gaffes rolled off army yeah you see all those guys know now and you know they don't they're in trouble i mean they know they've got a failing system and you know it's i got a real sense of schadenfreude here i'm going to you know agreeing that we're basically you know well you know we know covering this for 1015 years really and calling out names and pointing fingers and it's great to see them squirm it's great to see a ravinia christine legarde the bank of england governor right now squirm squirm in their little bags of co because they know the game is up and to see them go down is so satisfying because they've done nothing but undermine the economy and cause

massive problems so let's go on from here china. right the foreign direct investment into china has passed the us from last year when the us resumed his number one spot after the cause of it or are we saying a permanent shift lawrence you know i'm not much of a next round china to be honest with you i mean i think that. you know this gallo problems as well. you know i think all the rubble including chinese mean there's a lot of loads in china and i don't know suitable rule last we've got some i'm not a shadow there are no excitable leader and i tend to just look at the whole you don't see a rhesus own money argument and i'm absolutely convinced sound money or all right so. you know that's what i focus on well one admiral quality about china is when they find dirty bankers they execute a sad this time thing in the us i would like to say you mention that the car commission after the 929 crash during the 1930 s. many many bankers went to jail during the s. and l. crisis during the 1980 s.

many bankers went to jail then suddenly under obama as like we love terrorism we love terrorism to give them all money give all credit you know and i'm like wait a minute obama you fricken ending it you know want that to happen right but he's like no it's great you know i agree most for obama but when he saw her as a strong research area we were screwed your point about other countries 30 bankers more harshly i'm going to example iceland when i slow down the bank when i go out i mean they were you know they were taking a razor or worse and worse and. miserably guys in jail i mean people know what's going on here we're being massively screwed by the financial elite and anybody you can seduce is absolutely wind and you know the only way for them to lose and they will lose is through are able to become worthless and that's an across about as you know as i do now christine legarde over there at the c.p.a. talk to my pick as being the escape valve right so this is the way out that if anybody wants to escape the central banking nightmare and this is the air that the

u.s. dollar turns 50 no. no paper money has ever survived never an s. train without losing 99 percent of its purchasing power just going out right bust is this year the us dollar goes completely off the wall states goes bust you know it's hard to say i mean certainly alastair and egon think us the case i think it could be the case i'm not smart enough to know exactly how quickly it happens i think i think there's a chance that it happens within a 2 year window pretty quickly because as you know and as i know gresham's law is going to kick in here at some point they're in a lot of trouble right now when gold goes through 212202 the story goes to 50 or 60 which it's imminently going to do you know that and then you're going to really see the bond market started to say hey what are we doing here and they're going to look at the fed you know with younger controls i sold to you here's the whole market and so the fed balance sheets going to go from what 7 trillion to 27 trillion i mean if that's not hyperinflation i've never seen it so in my view you know it could happen

very quickly i can't guarantee that though and i course you know i thought i was going to happen in 2009 so what the hell do i know i'm an idiot now but they things do happen quickly sat with you know a member enron was what 80000000001 day were at 0 the next day you know we have many assets as a starting date 2000 and crisis that suddenly with end a 2 days there was a global credit freeze banks were not lending to each other and short term right so it skyrocketed and it all happened very very quickly because of the leverage right you have got hundreds and hundreds of percentage points of leverage versus g.d.p. you know i want to ask you about the i.m.f. called for a new brand woods what's out all about i don't know much about either i mean i saw that and i don't know what they really mean at all what it indicates to me is that they all know they've got a real problem i mean for those of us on the sound money side to think they're not game you know gaming this out is is naive i mean there they are trying to think of every possible solution because they're in deep doodoo and obviously bretton woods

in a restructuring you know they might figure out. the least painful way to make a approaches and you can be sure the financial elite want to maintain the privileges of the white fives all these guys you know the way they lose this is the crunch it becomes worthless we all lose of course that they really lose so right we got all yellow for a 2nd segment that's ok lars but thanks for being on this edition of kaiser report thank you rosemary slice to be with you all right that's going to do it for this edition of kaiser report with may backscatter and stacy herbert like to thank our guests lawrence will upper or lower part if you want to contact us placed by a. secret

prisons are not usually what comes to mind when thinking about europe however even the most prosperous can be deceived within the zeros on their work to view houses were those prison was located and the only safe people had access to the story investigators she held the uncovered the darkest dealings of the secret services

but i mean. you grated nor. thought your nonsense. p.c. maybe a sore knee it's an awful. thing for justice on o.t. . i. didn't. i. mean.