AMA 258: 2019 Economic Predictions by Dr David Collum

Jason Hartman talks with Dr. David Collum, Professor at Cornell University, about what all happened in 2018 and what we can expect in 2019. Jason and David discuss the skewed nature of CPI numbers, why institutional investors were able to get in to the housing market and what could cause them to get out, the impact of the Federal government potentially bailing out states and more.

Key Takeaways:

[3:03] What happened in 2018, economically speaking?

[7:35] CPI numbers started getting skewed in the 1970s

[11:00] The MIT Billion Price Project

[14:38] Is there any gain from stock buybacks?

[18:20] Ultra low rates allowed institutional investors to come in to the single family housing market

[22:40] People that criticize religion never ask the right question

[24:55] How the next unwinding will happen

Website:

Dr David Collum at Cornell

www.JasonHartman.com/Masters

AMA

AMA 257: World Economic Forum Wrapup with Thomas

Jason Hartman talks to his in-house economist Thomas about the World Economic Forum in Davos and what came out of it. Thomas gives his predictions for the next 2-3 years, why some looming deflation might be a good thing, and whether we’re in a 4th leg of the Industrial Revolution.

Key Takeaways:

[2:07] Thomas sees some deflation coming up and doesn’t think it’ll be that bad

[6:09] Price discovery happens once we’ve put all the unused assets to work

[9:42] As long as GDP growth + Inflation is higher than the 10 year note, the economy is okay

[17:37] Are the next 5 years going to give us good or are they bringing bad?

[18:46] We’re in the midst of the 4th industrial revolution and things are good

Website:

www.JasonHartman.com/Masters

www.JasonHartman.com/Properties

AMA

AMA 256: Optimistic Predictions & the US’ Hottest Coming Sector for the Next 15 Years with Harry Dent

Jason Hartman talks with Harry Dent, author of Zero Hour, about Harry’s optimism about our economy, the impact the high end real estate softening is going to have on all of the housing sector, why demographics are NOT looking good for China and other Asian countries, and more.

Key Takeaways:

[00:57] Why is Harry more optimistic about our future than usual?

[3:15] People in San Francisco hate big tech companies like Google because they’re driving up costs beyond reason

[5:31] The high end housing market is already softening, but how far down will the slowdown trickle?

[13:28] China’s demographics have them looking straight into a disaster

[18:11] The hottest coming sector for the next 10-15 years in the US

[20:58] There are 2 waves of Millennials and the 2nd hasn’t entered the workforce yet

Websites:

www.JasonHartman.com/Masters

www.HarryDent.com

AMA 255: JP Morgan Chase & RBS Lawsuits with Nobu Su

Jason Hartman talks with Nobu Su, chairman of the shipping company Today Makes Tomorrow and author of The Gold Man From the East. Back in the 2008 financial crisis, Nobu’s company was a $5 million victim of Western bankers. Nobu is now fighting back, suing the institutions that took his money and trying to tell his story so others don’t suffer the same fate.

Key Takeaways:

[1:22] What’s the status of Su’s lawsuit against JP Morgan?

[9:05] How long can our country keep going like we are?

[11:10] What is Nobu Store?

[14:59] The history of Nobu’s career

Websites:

www.Nobu.store

www.Twitter.com/Nobu__Su

AMA 254: The Future is Asian with Parag Khanna

Jason Hartman talks with Parag Khanna, author of The Future is Asian and founder of FutureMap, about what’s really going on in regards to the trade war and its impact on Asia (which doesn’t just mean China). The two discuss the role of technology in killing jobs around the world and Asia’s impact on global consumption growth.

Key Takeaways:

[1:07] What is Connectography?

[5:59] The premise of The Future Is Asian

[9:09] Parag can tell you who’s going to win a trade war with China

[11:03] Technology is killing jobs a lot faster than trade is

[15:33] Most of the consumption growth is coming from Asia

[19:24] International competition is getting bigger and bigger, making any missteps even costlier

[25:23] Companies are shifting entire operations overseas to take advantage of those markets, but that’s not necessarily a bad thing for America

Website:

www.ParagKhanna.com

AMA 253: Griftopia, the Most Audacious Power Grab in History & Vampire Squids with Matt Taibbi

Jason Hartman talks with Matt Taibbi, contributing editor at Rolling Stone and author of books such as Griftopia and The Divide, about bubbles. The two explore how Fed policy has been leading to bubbles throughout the years, how Wall Street is designed to take advantage of the average citizen and what we can learn from the history of bubbles.

Key Takeaways:

[2:47] There’s a pretty decent path from Fed policy to bubbles

[7:17] How the Great Recession came into being

[11:53] Institutions have learned how to create a bubble to profit from, but then also be prepared to make money when their own bubble bursts

[16:00] As long as trades are occuring Wall Street is making money

[17:50] How investment bankers are auctioning off America’s infrastructure

[22:30] What is the investor’s lesson from the bubble machine?

Website:

www.Taibbi.SubStack.com

www.RollingStone.com

AMA 252 – Wealth is Moving with Steven Blue

Jason Hartman talks with Steven Blue, author of Metamorphosis, about changing your business in today’s economic environment. Steven explains what’s happening in the Rust Belt, the impact tariffs are having, and the state of manufacturing in the United States.

Key Takeaways:

[1:48] What’s going on in the Rust Belt?

[4:27] Even with even tariffs, the circumstances each country allows their companies to have makes trade unequal

[9:20] The mainstay of the US is still manufacturing, but it’s eroding because of fat, happy CEOs

[16:21] Can the “Rust Belt businesses” play the same game as the high tech companies?

[19:12] A quick tip on company culture: have a Cirque du Soleil culture

[22:58] The new way of going to trade shows

Website:

www.StevenLBlue.com

AMA 251 – The Armchair Economist with Steven Landsburg

Jason Hartman talks with Steven Landsburg, Professor of Economics at Rochester and author of Can You Outsmart an Economist, about the big economic questions of the day. Steven explains why central planning will never work, the “Economic Berlin Wall” Jason proposes, and why more sex is safer sex (and how that applies to economics).

Key Takeaways:

[5:25] It’s virtually impossible for central planners to get economic issues right

[9:55] How minimum wage is taken care of by the Earned Income Tax Credit

[13:14] The “Economic Berlin Wall” in today’s society

[22:55] Using economics when considering the world’s population

Website:

www.TheBigQuestions.com

AMA 250 – The 5 Point Rule with Jeffrey Gitomer

In this off topic 10th show, Jason Hartman talks with Jeffrey Gitomer, New York Times Best Selling Author of The Little Red Book of Selling and Truthful Living: The First Writings of Napoleon Hill, about some of the great mentors that the two have had in their lives which include Napoleon Hill and Earl Nightingale. They look at what history can teach us, the right way to approach sales, and the challenges we have to face to do the right thing in today’s world.

Key Takeaways:

[5:56] The challenge to do the right thing in our society has never been at a higher level than it is today

[10:38] The 5 point rule

[15:59] The 7 Success Rules

[19:53] If you have the right service and attitude heart, sales will be easy

[26:06] If you want to learn something new, read a book that’s 60 years old

Website:

www.Gitomer.com

AMA 247 – Can US Government Afford High Interest Rates? with Mike Zlotnik

Jason Hartman talks with Venture Alliance member Mike Zlotnik about cap rates in today’s interest rate environment. Mike explains what happens to cap rates (and commercial real estate investing as a whole) when interest rates start rising. After years of artificially low interest rates, we’re starting to see rates finally rise, so strap in and learn how to navigate the waters and get some real life numbers of the true impact.

Key Takeaways:

[1:52] We are definitely in the period of abnormally low interest rates, and the Fed is raising them at a pretty rapid pace

[5:03] We’ve been spoiled by artificially low interest rates

[7:52] The inverse relationship between cap rates and prices

[12:28] A real life example of the impact of higher interest rates

[16:27] We live in a world where the Federal Reserve and the Treasury don’t have to make sense

[21:43] Can the US government afford high interest rates?

[25:59] Why are rates going higher?

[28:58] How to prepare for higher rates

Website:

www.BigMikeFund.com

www.TempoFunding.com

AMA 246 – 6 Ways to Deal with Looming Entitlement Bills

Jason Hartman plays some of his segment from the latest Cash Flow Wealth Summit where he talks about the 6 ways the US government can solve their $220 trillion obligation and which one we can take the most advantage of as investors.

Key Takeaways:

[2:57] The difference between money and currency

[5:50] The 3 basic economic maladies

[8:01] The entitlement society isn’t going to change, so align your interests

[9:45] We must understand the motivations of governments and central banks

[11:43] The 6 ways the government can deal with the looming entitlement bill

[19:23] The most likely solution the government will choose

[23:02] Inflation is the most powerful method of wealth redistribution from lenders to borrowers, old to young

Website:

www.JasonHartman.com/Properties

Jason Hartman’s Flash Briefing

The PropertyCast

AMA 245 – The Winner Take All Society with Ross Baird

Jason Hartman talks with Ross Baird, President at Village Capital Group and author of The Innovation Blind Spot, about where all the startup money is going these days. Venture capital is flowing to tech and everyone’s trying to hit a home run, not a bunch of singles. Ross discusses the danger of our current “winner take all” mentality, some options for what to do with the big companies like Google and Facebook, and why sometimes looking in your back yard for an investment is the way to go.

Key Takeaways:

[2:48] Where is all the startup money going?

[5:57] Most people in positions of power and influence are unintentionally leaving out entire swaths of the population

[8:47] We’re living in a “winner take all” type society right now

[11:18] The 3 options for what needs to happen to these big public companies

[15:04] You don’t always have to look for the next big thing, sometimes you just have to look at what’s going on right around your home town

[19:06] Everyone goes for location in real estate, but the better yield is in the non-trophy property

Website:

www.VilCap.com

AMA 244 – Inflation’s Impact on the Economy and Consumers with Thomas Young

Jason Hartman takes today’s episode to look at inflation, the trade war, and how the economy lags behind things like these. To help him with that dissection he brings in one of the new additions to his team, in house economist Thomas. Thomas helps Jason decipher his charts that show how the home sales change along with inflation and mortgage rates. All of these things add up to important tools you can use as you prepare your portfolio for the next recession we all know is going to show up sooner rather than later.

Key Takeaways:

[1:40] What you see when you compare the 30 year mortgage rate to existing home sales

[6:02] Inflation has been announced as mild recently, but how does it impact the economy and attitudes in general?

[7:37] What does the trade war mean for inflation?

Websites:

www.JasonHartman.com/Properties

AMA 243 – What Can Trigger the Next Business Cycle Recession with Matthew Gardner

Jason Hartman talks with Matthew Gardner, Chief Economist at Windermere Real Estate. The two discuss what’s going on in the macro US economy, what’s going on with home inventory levels, some of the easiest ways to lower home prices, and the Millennial’s (mostly futile) quest to save up for a down payment and more.

Key Takeaways:

[1:34] What’s Matthew’s take on what’s going on in the macroeconomy

[4:22] What’s going on with new home development? Will there be any break in inventory shortgage?

[8:35] The easiest way to lower home costs and ease the inventory crisis is by easing regulatory burdens

[12:10] Millenials are having a hard time saving up for a down payment and are asking for a loan from the bank of Mom & Dad

[14:56] Milennials want to live in the “exurbs” in townhomes, but home prices are pushing them out further

[17:21] It’s taking a credit score of 740 to get a mortgage loan these days, but even if more people become eligible there’s no inventory

[20:32] Factors that could trigger the next business cycle recession and what the next recession might look like

[24:50] Who are the “Boomerang Buyers” and how might they impact the single family rental rate growth?

Website:

www.Windermere.com/Economics

AMA 242 – Government on the Demand Side of the Economy with Bill Janeway

Jason Hartman talks with Bill Janeway, an active venture capitalist, director of Magnet Systems and O’Reilly Media, Chairman of the Board of Trustees of Cambridge in America, and author of the recently revised and updated book Doing Capitalism in the Innovation Economy. The two discuss the 3 player game and the government’s role on both the supply and demand side of the market, the digital revolution and the coming green revolution.

Key Takeaways:

[1:27] How the thesis of the 3 player game came about

[5:24] There are markets that need government pushing the supply side of things for driving innovation, but sometimes the government even needs to be on the demand side, adding income to support the economy

[9:17] If the government hadn’t jumped in on the demand side in the 2009 recession history has shown us what would have happened

[11:21] Wherever there’s a market for assets there will be bubbles

[17:05] Why the digital revolution made Bill extend his book

[24:05] We’ve got a new challenge, a new technological revolution, which is the need for a new, green revolution

Website:

www.BillJaneway.com

AMA 241 – Jobocalypse: How Robots Will Replace Us with Ben Way

Jason Hartman talks with Ben Way, CEO of Digits, about how the future is going to look in the first part of their interview. The two start off discussing how Digits is going about turning regular credit cards into Cryptocards that allow you to spend your cryptocurrency but also hedge that purchase for a year. Then the two discuss the changes that automation is going to bring to our society, from dating to working, to risk aversion. Information is more available than ever before, is that actually holding us back?.

Key Takeaways:

[1:17] How Digits converts your existing credit cards into crypto cards and gives you up to a 1 year hedge on your currency

[4:33] How the 1 year hedge is made possible

[8:47] Every innovation leads people to fear that everyone was going to lose their job and be displaced, but it’s never really happened. Is this time different?

[12:19] What people forget about automation

[16:22] How do the logistics and hard drives of robots work?

[19:33] The plethora of information is making kids more risk averse

[23:15] The two things we get wrong when it comes to education

Website:

www.RainmakersGlobal.com

AMA 240 – Easy, Healthy Food with Mike Starks

Today’s 10th episode features Jason Hartman talking with Mike Starks about the state of America’s health and how most of it can be solved with our eating habits. The two discuss the dangers of sugar, the importance of sleep, and the most important aspects of a diet that don’t involve exactly what you’re eating.

Key Takeaways:

[4:12] America is the most nutritionally educated culture in the world, yet we’re the most obese due to getting it wrong 40 years ago

[6:34] When fat is taken out of food, sugar is added in its place

[10:15] If you eat right and get good sleep you’re 90% of the way to health, even without exercise

[13:39] If eating right isn’t easy and taste good, you’re not going to stick with it

[18:02] What’s the solution to America’s health problem?

[22:33] What the subscription plan entails

[26:45] Keep it simple so it become consistent

Website:

www.JasonHartman.com/Food

AMA 236 – Microfinancing Under Sharia Law with Matthew Martin

Jason Hartman talks with Matthew J Martin, founder & CEO of Blossom Finance, about how Islam views cryptocurrencies and what Sharia law says about debt and investing. The two examine what exactly Islam says about various actions, and how that impacts all facets of life for around 20% of the world.

Key Takeaways:

[2:24] How Matthew views micro financing

[6:23] Why is it important to know what Muslims think about debt and cryptocurrencies?

[8:56] What about the Muslim investors today? Are they following Sharia law or not?

[13:06] Sharia law allows credit sales, you just can’t have a 3rd party solely giving money

[16:18] Islam is about risk participation

[21:06] What is the Islamic view of cryptocurrencies?

[25:03] The law of the land is supposed to trump Sharia law, but that doesn’t seem to be the view of many Muslims who are immigrating

Website:

www.BlossomFinance.com

AMA 238 – How Important is the Fed? with John Tamny

Jason Hartman talks with John Tamny, director for the Center for Economic Freedom, Editor of Real Clear Markets, and author of Who Needs the Fed?: What Taylor Swift, Uber, and Robots Tell Us About Money about why he believes the Fed doesn’t have anywhere near the power they’re given credit for, why their policies aren’t effective in today’s world, and why demographics may not be as useful as they’re believed. John & Jason also discuss the impact of automation on all aspects of our life. John is excited about what all of this change will mean for the common worker and believes it will lead to higher quality of life for all.

Key Takeaways:

[1:58] How Uber made John realizing something about the Fed

[5:41] The importance of the Fed is vastly overstated

[10:43] The idea that the rest of the world is in on some deal where they hold worthless treasuries isn’t realistic

[13:40] Demographic arguments regarding Japan don’t hold a lot of weight with John

[17:27] Money flows to its highest use, regardless of the Fed

[21:55] Automation is going to lead into a surge in new kinds of jobs

[26:37] The demand for entertainment and service is going to explode

[28:26] Tamny’s Law: as prosperity grows more and more people escape laziness because they find work they love

[30:06] John’s thoughts on Universal Basic Income

Website:

www.RealClearMarkets.com

AMA 237 – ICO vs ITO & Initial Coin Offering Scams with Samson Williams

Jason Hartman talks with Samson Williams, co-founder at Axes and Eggs, about the state of cryptocurrencies, especially in regards to fundraising. Samson discusses the current thoughts of the SEC on utility tokens, and explains the steps you need to take to launch an ICO, how much customer acquisition is running these days, why you SHOULDN’T pay your advisors in cryptcurrency, and more.

Key Takeaways:

[5:10] Is the SEC going to come after utility tokens?

[9:17] How long does it take to set up an ICO?

[14:58] What are the steps to launching an ICO?

[18:35] Develop a budget before going out and hiring

[22:54] The basic customer acquisition cost was $36/person, but it’s bringing in less and less money in investments

[26:18] Are the days of big ICO fundraisers over?

[28:19] Why you should pay your advisers in cash

Websites:

www.AxesAndEggs.com

www.CoinSchedule.com

www.ICOAlert.com