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

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

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

AMA 236 – Curb Government Spending with Adam Andrzejewski

Jason Hartman talks with Adam Andrzejewski, founder & CEO of www.OpenTheBooks.com, about wasteful government spending and how President Trump is doing at stemming the tide. Open the Books’ mission is to track “every dime, online”, even going so far as to have an app where people can follow the money in as close to real time as possible.

Adam discusses how pervasive the pork barrel spending is, how large the trough has grown, and what areas are most ripe for trimming.

Key Takeaways:

[1:16] Why is Open the Books different from other government spending watchdogs?

[4:56] How is the Trump administration doing when it comes to government spending?

[9:12] Absurd levels of grants ($600 billion) were given out in the final year of Obama

[11:49] Pork barrel spending knows no party affiliation

[15:49] It’s our constitutional right as citizens to see all the expenditures of our government

[20:18] 2016s highest bonuses

Website:

www.OpenTheBooks.com

AMA 235 – A Financial Strategy to Reignite the American Dream with Pat Donohoe

Jason Hartman talks with Pat Donohoe, author of the new book Heads I Win, Tails You Lose, about the habit of most Americans to delegate their investing, what we should be doing today financially, the use of debt in our country and more.

Key Takeaways:

[2:09] The average American has delegated most of their life to 3rd parties

[5:21] The drive to save money now for the future and retirement is so that you can achieve freedom

[8:09] What should we be doing today for ourselves financially?

[13:00] Think of your employer like a customer, you want to keep them happy but you also want to maximize your revenue

[17:17] The entire country is based in debt

[20:00] The true narrative is to be smart with your money, not to get rid of debt

[26:28] Start to focus on the now rather than the mirage of the future, and start by taking the wool off your eyes when it comes to the banking system

Website:

www.HeadsOrTailsIWin.com

AMA 234 – Cryptocurrency Investing Education with Consumer Financial Protection Bureau’s Dan Rutherford

Jason Hartman talks with Dan Rutherford, deputy director for the Office of Customer Education and Outreach with the US Commodity Futures Trading Commission, about some incidences of fraud in options trading that his office is seeing, and what signs you can look for to make sure you’re not scammed. The rise in prominence of cryptocurrencies has brought plenty of scam artists into the arena, and they’re currently focusing education on binary options.

Key Takeaways:

[3:06] What kind of fraud is going on in options?

[7:15] The main things you should be watching out for to recognize a scam

[12:53] There’s a whole lot more education on cryptocurrencies needed in the general public

[15:47] Some tips to avoid fraud and how to help out others who may be being taken advantage of

Website:

www.SmartCheck.gov

AMA 233 – Kicking the Debt Can Down the Road with Jim Puplava

Jason Hartman talks to one of his podcast mentors, Jim Puplava, host of Financial Sense, about his thoughts on the new tax reform, what’s happening with inflation (both today and moving forward), the different motivation of millennials compared to former generations, and more.

Key Takeaways:

[2:05] Will the new tax plan expedite people and companies leaving high tax states?

[6:53] Hidden taxes in states like California

[7:59] What’s the endgame when states and municipalities go bankrupt? Is it just a federal bailout?

[10:53] Jim’s current inflation thoughts

[14:23] How much longer can the US continue to kick the can down the road when it comes to the debt?

[17:49] Why double inflation arbitrage is fantastic for real estate investors

[21:03] What the next downturn is going to look like

[26:21] Jason’s new theory

Website:

www.FinancialSense.com

AMA 232 – The Future of Inflation & the Demographic Crunch with Alan Beaulieu

Jason Hartman talks with Alan Beaulieu, President & Principal at ITR Economics and author of Prosperity in the Age of Decline, about what’s going on in our economy when it comes to energy, inflation, and millennials. The two take a look at the difference between virtuous and non-virtuous inflation, how the millennials might respond to seeing actual inflation (and ways you can educate yourself about how times used to be different) and why you should be excited about the things that are coming. Alan also gives his thoughts on the recent tariffs and tax reform.

Key Takeaways:

[4:16] What’s coming in the economy next

[6:15] What is “virtuous” and “non-virtuous” inflation?

[9:17] In 12 years there will be 30 million more people drawing down on Medicaid and Social Security

[13:24] Every single industry is having problems finding enough people, so the future isn’t as bleak as you might think

[16:49] The 5 sources of inflation

[20:24] We’re in a golden age with stable energy

[22:40] The 3 reasons Alan’s excited about where we’re headed

Website:

www.ITREconomics.com

Prosperity in The Age of Decline: How to Lead Your Business and Preserve Wealth Through the Coming Business Cycles

AMA 231 – Where You Tax Money Is (and Isn’t) Going with The Libertarian Chicken Kristin Tate

Jason Hartman talks to The Libertarian Chick, Kristin Tate, about the hidden taxes we all pay in our life, and how to do something about that. Kristin explains that often the taxes that we’re paying are not being used for the purpose that you would assume they would be.

Key Takeaways:

[1:27] Are millenials just not paying attention to fiscal policies?

[3:26] We are being taxed EVERYWHERE, even when we don’t see it

[6:32] Where some of your tax money is going probably isn’t where you expect

[11:35] The debauchery tax & unintended consequences

[15:13] Awareness is step 1, what’s step 2?

[18:43] The smaller the municipality the easier it is to get rid of the tax

[23:54] How did Kristin get into this line of work?

Website:

www.TheLibertarianChick.com

www.Twitter.com/KristinBTate

AMA 230 – Build Your Money Muscles with Joan Sotkin

In this 10th episode, Jason Hartman goes off topic with Joan Sotkin, host of the Prosperity Place podcast and author of Build Your Money Muscles, about how to rewire your brain for prosperity and financial freedom. Jane points out that you need to connect with your negative emotions about money because emotions are created to be expressed, as well as remembering that you’re not doing it for money but for what the money allows you to do.

Joan and Jason look into why people quit at the first sign of trouble and how you can be part of the 2% of people who actually achieve change.

Key Takeaways:

[1:44] Money problems aren’t usually about money

[6:14] The questions you need to ask yourself when you’re trying to change your bad habits

[9:44] You need to connect with your negative emotions surrounding an idea because emotions, by nature, need to be expressed

[12:04] Remember, you’re not working for money, you’re working for what the money will buy

[16:27] The people who are successful are problem solvers who see problems as opportunities

[20:44] What can you do about people who give up at the first hint of trouble?

[23:33] Only 2% of people who want to change actually make the change

Website:

www.ProsperityPlace.com

AMA 229 – How CloudCoin Provides Trustworthy Data with Dr. Sean Worthington

Jason Hartman talks with Dr. Sean Worthington, creator of Cloud Coin, about what money really is, why it absolutely must be trustworthy, and why Cloud Coin is the solution for digital currencies. Sean says that Cloud Coin is an enormous development over Bitcoin and actually provides the most secure transactions around. Sean also touches on Jason’s belief that government’s can shut down cryptocurrencies with his explanation of why that’s just not going to be the case.

Key Takeaways:

[1:00] Sean’s new definition of money

[5:11] Money MUST work as trustworthy data in order for the economy to work

[8:21] The story of the Island of Yapp

[11:13] Money tells us what to do and how to act, so it needs to have integrity

[16:23] Cloud Coin is the money that Sean has created, which just gets created into existence

[19:27] Cloud Coin’s market cap is currently 17 million, and people are actually spending it

[24:36] Why Cloud Coin is a big development over Bitcoin

[29:41] Sean’s thoughts on why governments won’t be able to shut down cryptocurrencies

Website:

www.DigitalFrontierNews.com

AMA 228 – Hedge Funds & Cryptocurrencies with David Drake

The worlds of cryptocurrencies and crowdfunding can work in harmony, but the world of the long term cryptocurrency lover and day traders may not be so harmonious.

Jason Hartman talks with David Drake, founder of LDJ Capital, about what’s going on in the cryptocurrency world, regulations on the ICO market, and how currencies like Bitcoin might be incorporated into international currency baskets.

Key Takeaways:

[3:33] What kind of regulations do ICOs have?

[8:13] Cryptocurrencies are now seeing two worlds collide: the old guard of people who are buying and holding versus the hedge funds coming in to trade and make money quickly

[12:12] G7 might put Bitcoin into their currency baskets because they’re anti-inflationary

[15:07] Can cryptocurrencies overcome any potential opposition from governments and central banks?

Website:

www.LDJCapital.com