Latest / Financial Survival Network / AI, Tariffs, and America’s Economic Future - Gerson Gibbs #6318

Transcript

AI, Tariffs, and America’s Economic Future - Gerson Gibbs #6318 · Financial Survival Network

• 0:00
  Speaker 1: And that's what matters. That the United States is in
• 0:03
  Speaker 1: essential market. And I don't think that until this came about.
• 0:06
  Speaker 1: You know, people realize how essential the United States relationship
• 0:10
  Speaker 1: is with these other nations right because people are beginning
• 0:14
  Speaker 1: to come to the table and negotiate better rates that
• 0:18
  Speaker 1: benefit the US.
• 0:19
  Speaker 2: You're listening to Carrie Letz's Financial Survival Network, where you
• 0:23
  Speaker 2: get valuable information you just can't find anywhere else to
• 0:27
  Speaker 2: thrive in today's trying times. You need the Financial Survival
• 0:31
  Speaker 2: Network now more than ever. Go to Financial Survivalnetwork dot
• 0:36
  Speaker 2: com and get your free newsletter and gift. Financial Survival
• 0:40
  Speaker 2: Network now more than.
• 0:43
  Speaker 3: Ever, And welcome. You are listening to the Financial Survival Network.
• 0:50
  Speaker 3: I'm your host, Carrie Leutz, and well, looking out there
• 0:55
  Speaker 3: at the landscape, we've got these tariffs, We've got massive
• 0:59
  Speaker 3: change occurring, not just in the United States but across
• 1:04
  Speaker 3: the world economic, technological, social upheaval, and trying to make
• 1:12
  Speaker 3: sense of it. I like to go and get a
• 1:16
  Speaker 3: variety of opinions. And we are joined by Gerson Gibbs,
• 1:22
  Speaker 3: senior managing partner of Belite Capital and a former financial
• 1:28
  Speaker 3: regulator who oversaw institutions like JP Morgan, Chase, Wells, Fargo,
• 1:33
  Speaker 3: and Ubs.
• 1:35
  Speaker 4: Great to have you on Gerson.
• 1:37
  Speaker 3: So you've been focusing in on tariffs and their impact
• 1:43
  Speaker 3: on markets, and I guess on the economy now that
• 1:47
  Speaker 3: we're really a few months into this disruptive course, what's
• 1:51
  Speaker 3: your overall assessment of what the country and the world
• 1:55
  Speaker 3: is going through now?
• 1:56
  Speaker 1: Well, I believe that the country is going through the
• 2:00
  Speaker 1: transition that they were asking for, right. I think Trump
• 2:05
  Speaker 1: was nominated by the people, and you know, his approach
• 2:09
  Speaker 1: is a business approach, and I think that the transition
• 2:12
  Speaker 1: of it is a little rough, was a little rough
• 2:14
  Speaker 1: in the beginning, but I think that people are beginning
• 2:16
  Speaker 1: to understand his business approach, and I think he's doing
• 2:21
  Speaker 1: a decent job at showing how he approaches business.
• 2:25
  Speaker 3: So, I mean, I used to be a major free trader,
• 2:28
  Speaker 3: believing that you let the markets work they work most efficiently.
• 2:33
  Speaker 3: But that was before like countries started weaponizing free trade
• 2:37
  Speaker 3: against the United States, causing a lot of damage, a
• 2:41
  Speaker 3: lot of dislocations, a lot of a lot of really
• 2:46
  Speaker 3: negative side effects of free trade. What's you're feeling about
• 2:50
  Speaker 3: free trade?
• 2:51
  Speaker 1: No, I think free trade is what makes America America, right, However,
• 2:58
  Speaker 1: like you mentioned, a lot of countries began to take
• 3:00
  Speaker 1: advantage and once what was once something that made us
• 3:05
  Speaker 1: powerful was starting to hurt us because people were misusing
• 3:09
  Speaker 1: the free trade phrase that way, utilizing and just positioning
• 3:14
  Speaker 1: themselves in a way that harmed America.
• 3:16
  Speaker 4: So I think that you know that the approach that.
• 3:20
  Speaker 1: He has now is a pretty decent approach, and it
• 3:23
  Speaker 1: had to change because we were suffering because of it.
• 3:26
  Speaker 3: Yeah, I'm inclined to agree with you, and I never
• 3:29
  Speaker 3: you know, I went to school. It was an economics
• 3:32
  Speaker 3: major for a while and until I really became disenchanted
• 3:37
  Speaker 3: with the economics department at Pace University, and I learned
• 3:43
  Speaker 3: that the free trade you know, Milton Friedman, free trade
• 3:47
  Speaker 3: benefits everyone. And then all of a sudden we're seeing, yeah,
• 3:50
  Speaker 3: well it's definitely benefiting some interest some people throughout the world,
• 3:55
  Speaker 3: but not the United States at this point. So point, though,
• 4:00
  Speaker 3: do you uh, do you try to at what point
• 4:05
  Speaker 3: is too much equalization or fairness?
• 4:10
  Speaker 4: What time?
• 4:11
  Speaker 3: At what point does it become unfairness?
• 4:14
  Speaker 4: I think we got to the unfair point.
• 4:16
  Speaker 1: I think that, you know, just looking at the data,
• 4:20
  Speaker 1: the United States was suffering, and again it could have
• 4:25
  Speaker 1: been because of things.
• 4:28
  Speaker 4: That were there for a while and bubbled up.
• 4:30
  Speaker 1: In the last administration, you know, and I think that again,
• 4:36
  Speaker 1: it needed to be changed. The country was already suffering.
• 4:38
  Speaker 1: We were seeing the impacts of trade. Our economy was suffering,
• 4:42
  Speaker 1: and we're seeing just based on the changes, a little
• 4:44
  Speaker 1: bit of uptick in the market. So you know, outside
• 4:47
  Speaker 1: of all things, his approach is in some way, shape
• 4:50
  Speaker 1: or form working a bit.
• 4:51
  Speaker 3: Yeah, So America first, but really it's really the world
• 4:55
  Speaker 3: we're talking about, because the system that was in place
• 4:59
  Speaker 3: really became unsustainable, didn't it correct?
• 5:02
  Speaker 4: Correct? Correct?
• 5:03
  Speaker 1: It was just again I believe that because of the
• 5:07
  Speaker 1: relationship that America has with other nations, we see it.
• 5:11
  Speaker 4: We see it a lot more.
• 5:12
  Speaker 1: It's a lot more intense because of our strong relationships
• 5:16
  Speaker 1: with our allies, and trade has to be managed properly
• 5:19
  Speaker 1: or even though it's an ally, you can end up
• 5:21
  Speaker 1: suffering because of that relationship, in my opinion.
• 5:25
  Speaker 3: All right, so you know, and this affects the entire world.
• 5:30
  Speaker 3: US is basically twenty twenty five percent of global consumption,
• 5:35
  Speaker 3: and they keep saying, well, it's only five percent of population.
• 5:39
  Speaker 3: Be that as it may, that twenty five percent population
• 5:44
  Speaker 3: rather consumption of the world's gdp uh makes makes the
• 5:49
  Speaker 3: US really an essential market, doesn't it? Exactly exactly?
• 5:54
  Speaker 1: And that's and that's what matters, that the United States
• 5:57
  Speaker 1: is an essential market. And I don't think that until
• 6:00
  Speaker 1: this came about. You know, people realize how essential the
• 6:03
  Speaker 1: United States relationship is with these other nations, right because
• 6:08
  Speaker 1: people are beginning to come to the table and negotiate
• 6:11
  Speaker 1: better rates that benefit the US. So we were seeing
• 6:15
  Speaker 1: the importance and how these countries are trying to maneuver
• 6:19
  Speaker 1: the tariff phrase.
• 6:20
  Speaker 3: Yeah, and I see this also. Once upon a time,
• 6:25
  Speaker 3: trade agreements were left to diplomats, and diplomats went all
• 6:31
  Speaker 3: over the world, globe trotting to five star resorts, dining
• 6:35
  Speaker 3: at Michelin Star restaurants, and the wine flowed and they say,
• 6:39
  Speaker 3: it's very difficult. It's hard to come to these agreements. Now,
• 6:43
  Speaker 3: with AI, you basically feed the you train the thing
• 6:47
  Speaker 3: on international law, on tariffs, on logistics, and you put
• 6:52
  Speaker 3: the agreement in there. It analyzes, it tells you where
• 6:55
  Speaker 3: you're getting the short end of the stick, and tells
• 6:58
  Speaker 3: you what you need to do to change it. Can
• 7:00
  Speaker 3: of agreements in a matter of weeks, if not months.
• 7:05
  Speaker 3: So things have really changed, haven't they.
• 7:07
  Speaker 4: Oh?
• 7:07
  Speaker 1: Absolutely. AI had just changed the game tremendously. You know,
• 7:13
  Speaker 1: we saw it being used when Trump first came into
• 7:17
  Speaker 1: office and he worked with Elon and they were just
• 7:20
  Speaker 1: trying to utilize the AI systems to get information on
• 7:25
  Speaker 1: how America was utilizing their funding.
• 7:29
  Speaker 4: And they found a lot of things out very quickly.
• 7:32
  Speaker 1: You know, it's the same thing that's happening with these
• 7:35
  Speaker 1: trades and other nations. AI is something that's booming around
• 7:39
  Speaker 1: the world, and I think it's going to change business
• 7:41
  Speaker 1: for many many years to come.
• 7:43
  Speaker 3: So and yeah, we saw recently that DOGE had come
• 7:50
  Speaker 3: up with an AI tool to cut regulations and their
• 7:53
  Speaker 3: goal is to cut regulations by fifty percent by January twentieth.
• 7:58
  Speaker 3: You think that can be done.
• 8:00
  Speaker 1: Yeah, With all of these super chips and all of
• 8:03
  Speaker 1: these companies and the money that's going into this technology,
• 8:06
  Speaker 1: I definitely think it could be done by that point.
• 8:09
  Speaker 3: All right, Well, I think you're right, and I'm excited
• 8:13
  Speaker 3: to the prospect of seeing things like working better, seeing
• 8:17
  Speaker 3: the country working better. From your standpoint to your company,
• 8:23
  Speaker 3: you're really a regulatory guru. How's this going to affect
• 8:28
  Speaker 3: your business.
• 8:29
  Speaker 1: Well, it already began to impact my business. Things as
• 8:34
  Speaker 1: simple as procedures and just efficiency. It's transitioned from paper
• 8:39
  Speaker 1: to electronic to now AI, and it just makes things
• 8:42
  Speaker 1: more efficient when new rules are put into effect.
• 8:45
  Speaker 4: You know, I f I'm a rule books hundreds and
• 8:47
  Speaker 4: hundreds of pages long, right, so when a new.
• 8:50
  Speaker 1: Rule is put into effect, it's pretty difficult for these
• 8:53
  Speaker 1: smaller broken dealers or even the bigger broken dealers to
• 8:56
  Speaker 1: stay abreast of things. And I think that AI changes landscape.
• 9:01
  Speaker 1: You know, you can type something in AI, what's the
• 9:03
  Speaker 1: new rules, incorporate these into the company's procedures, and it
• 9:06
  Speaker 1: could be done within seconds, you know, And before.
• 9:10
  Speaker 4: That wasn't It took a couple of weeks just to.
• 9:12
  Speaker 1: Go through things, certain reports, independent reports that are required.
• 9:16
  Speaker 4: It completely changed the landscape.
• 9:18
  Speaker 1: You can review contracts, you could analyze companies a bit differently,
• 9:22
  Speaker 1: so you can.
• 9:22
  Speaker 4: Help gear your customers a lot better.
• 9:25
  Speaker 1: So I think that the AI revolution has totally transitioned
• 9:29
  Speaker 1: my business.
• 9:31
  Speaker 3: Mine too, because I've been a YouTube content creator as
• 9:36
  Speaker 3: they like to call us, for fifteen years and finally
• 9:39
  Speaker 3: I put all my numbers into the AI and it
• 9:43
  Speaker 3: told me that they've been basically sabotaging me, restricting the
• 9:50
  Speaker 3: distribution of my videos. And I'm not controversial at least,
• 9:55
  Speaker 3: I believe, you know, I believe in hard assets and
• 9:58
  Speaker 3: as well as traditional assets. I'm not like a threat here.
• 10:02
  Speaker 3: I'm not advocating anarchy. And yet in five minutes, the
• 10:06
  Speaker 3: AI was able to tell me what I knew deep
• 10:09
  Speaker 3: down for fifteen years that they were they put a
• 10:13
  Speaker 3: lid on my business. I mean, that's pretty amazing that
• 10:17
  Speaker 3: you could do that. And six of them, six different AIS,
• 10:21
  Speaker 3: including their own Gemini, came up with the same exact conclusion.
• 10:26
  Speaker 3: I mean, that's amazing, isn't it.
• 10:27
  Speaker 1: That is amazing, And that's hard facts. You know, these
• 10:31
  Speaker 1: things are pulling from credible sources, right, So it just
• 10:36
  Speaker 1: changes you. It gives you a tool that you can
• 10:39
  Speaker 1: defend yourself with, defend your business with, and I think
• 10:42
  Speaker 1: that's the most important. If AI is utilized correctly, it
• 10:46
  Speaker 1: could change things for the good exactly.
• 10:49
  Speaker 3: And you know, I'm sure the military is using it extensively.
• 10:53
  Speaker 3: I think the entire government is kind of being taken
• 10:57
  Speaker 3: over or is experiencing an AI revolution, and I think
• 11:03
  Speaker 3: you're seeing it in your business on seeing it in mind,
• 11:07
  Speaker 3: and hopefully it'll be for the better. I think certainly
• 11:10
  Speaker 3: it's going to improve productivity and efficiency and that's the
• 11:16
  Speaker 3: cornerstone of economic growth in every country in the world.
• 11:20
  Speaker 4: Absolutely, I agree. I can't agree more so.
• 11:25
  Speaker 3: What are you ever worried, though, that the AI is
• 11:28
  Speaker 3: going to kind of basically be so good it'll put
• 11:32
  Speaker 3: us out of jobs?
• 11:34
  Speaker 4: Absolutely not.
• 11:35
  Speaker 1: You know, it's computers, right, it's still things. A lot
• 11:41
  Speaker 1: of things in the world still require human touch, human knowledge,
• 11:45
  Speaker 1: human direction.
• 11:46
  Speaker 4: You know.
• 11:46
  Speaker 1: I believe that the human species to be more confident
• 11:51
  Speaker 1: in themselves and know that nothing can.
• 11:52
  Speaker 4: Replace a human being.
• 11:53
  Speaker 1: However, AI is just another tool that was given to us,
• 11:58
  Speaker 1: and it could help us just work differently, not work
• 12:01
  Speaker 1: the same. I would say, maybe some jobs wouldn't be applicable,
• 12:04
  Speaker 1: but I think through AI there will be new jobs
• 12:06
  Speaker 1: that will come into play and those older jobs would
• 12:10
  Speaker 1: be then replaced by those jobs.
• 12:13
  Speaker 3: Couldn't agree with you more. I think it's a revolution
• 12:17
  Speaker 3: that's still unfolding. But it's so fast. You know, we've
• 12:21
  Speaker 3: both been around for a while. Have you ever seen
• 12:23
  Speaker 3: change happen this quickly in the world?
• 12:27
  Speaker 1: Not everything is moving at warp speed, and I believe
• 12:30
  Speaker 1: we're just getting accustomed to a new speed, right. I
• 12:33
  Speaker 1: think things are moving faster, and as human beings, we
• 12:37
  Speaker 1: can we can definitely train ourselves to what's going on
• 12:42
  Speaker 1: and what's happening.
• 12:43
  Speaker 4: Right, So I believe that.
• 12:44
  Speaker 1: It's new, it's fast, but we will get accustomed to
• 12:48
  Speaker 1: it eventually.
• 12:49
  Speaker 4: And we are getting accustomed to it. We're utilizing AI.
• 12:52
  Speaker 1: You're utilizing it in your business, and I'm utilizing it
• 12:55
  Speaker 1: in mind.
• 12:56
  Speaker 3: All right, Well, I think we'll leave it at that, Gerson,
• 12:59
  Speaker 3: How do we find you on the web? How do
• 13:01
  Speaker 3: we connect with you? And there's anybody out there, representatives,
• 13:06
  Speaker 3: companies who can use your service, where should they find you?
• 13:11
  Speaker 1: Oh, you can find me at www dot Bellett E
• 13:15
  Speaker 1: E L I T E Capital c A P I
• 13:20
  Speaker 1: T A l dot com and all my information will
• 13:23
  Speaker 1: be located on the contact page.
• 13:26
  Speaker 3: Excellent, And we've got a link to Bellett Capital in
• 13:30
  Speaker 3: the show notes of this interview on Financial Survival Network
• 13:33
  Speaker 3: dot com. Just go there, click it, take your right
• 13:36
  Speaker 3: to Gerson's site and while you're there, we just ask
• 13:40
  Speaker 3: you sign up for your free newsletter, like over seventy
• 13:42
  Speaker 3: thousand of you have, and we got a lot of
• 13:46
  Speaker 3: great info on there that will help you make decisions.
• 13:49
  Speaker 3: What's you're feeling out there? You're seeing the AI revolution,
• 13:52
  Speaker 3: How is it affecting you personally? I'd like to know,
• 13:56
  Speaker 3: And how do we make it so it doesn't make
• 13:59
  Speaker 3: human beings useless or superfluous? Gerson, It's about a pleasure.
• 14:03
  Speaker 3: Thank you so much for coming by. We'll talk to
• 14:05
  Speaker 3: you again soon.
• 14:06
  Speaker 4: Thanks Kerry, talk so one.
• 14:08
  Speaker 2: Thanks for listening to carry Letz's Financial Survival Network, your
• 14:12
  Speaker 2: solution to today's trying times. For the latest, go to
• 14:16
  Speaker 2: Financial Survivalnetwork dot com. Financial Survival Network now more than ever,