Latest / The Bill Handel Show / ‘How to Money’ with Joel Larsgaard | Iran: Obscure Bank Collapse

Transcript

‘How to Money’ with Joel Larsgaard | Iran: Obscure Bank Collapse · The Bill Handel Show

0:01
Speaker 1: You're listening to Bill Handle on demand from KFI AM
0:05
Speaker 1: six forty.
0:08
Speaker 2: Funny AM six forty handle here on a Thursday morning,
0:14
Speaker 2: December fifteen, and real quickly before we get to Joel,
0:19
Speaker 2: we are helping Kono purchase the car. His car blew
0:23
Speaker 2: up on his way here a few days ago, and
0:27
Speaker 2: it's he needs a new one. And he works here
0:30
Speaker 2: at KFI, which means he has no money, and he
0:35
Speaker 2: drives seventy two miles each way from his meth lab
0:39
Speaker 2: home in the Inland Empire. And so here is not
0:43
Speaker 2: a meth lab, okay, So it's a neighbors. Okay, his
0:45
Speaker 2: neighbor's a meth lab. All right, fine, And here's how
0:49
Speaker 2: we're helping him, and that is it's a GoFundMe campaign,
0:53
Speaker 2: and go to the only way you can do it
0:55
Speaker 2: is go to our web page, our website, and then
0:58
Speaker 2: we'll send you over to the link because that means
1:01
Speaker 2: the money is going to go exactly where it should go.
1:03
Speaker 2: Go to KFI AM six forty dot com slash con
1:06
Speaker 2: o KFI AM six forty dot com slash con o
1:10
Speaker 2: ko n O, and you know, help us help him.
1:14
Speaker 2: He's a good guy and he is walking seventy two
1:17
Speaker 2: miles each way. I mean, I gotta tell you that
1:19
Speaker 2: gets old really quickly.
1:22
Speaker 3: I'm clipping that. By the way, I am a good guy.
1:24
Speaker 3: Thank you. Yeah, you are.
1:25
Speaker 2: Actually, otherwise we wouldn't be helping you. That's absolutely true. Okay,
1:29
Speaker 2: it's a mercy stop. I mean, there's no question about.
1:32
Speaker 3: That, all right.
1:34
Speaker 2: Joel Larsguard is with us how to Money Sunday's twelve
1:38
Speaker 2: to two pm. Social addresses at how to Money joel website,
1:43
Speaker 2: howdomoney dot com.
1:44
Speaker 3: Joel, Good morning, morna bill.
1:46
Speaker 2: Okay, Pokemon cards, I mean that's become big news Pokemon,
1:53
Speaker 2: and I think it was Lego is issuing a whole series. He's, uh,
2:01
Speaker 2: you know, in combination with Pokemon and the five big
2:04
Speaker 2: figures Pokemon and Grumpy and Sleepy and Dumpy or whoever
2:12
Speaker 2: those Pokemon characters.
2:13
Speaker 3: Are your thoughts on that? Do you invest in those? Oh?
2:18
Speaker 1: Well, I thought you were wondering if I like the
2:20
Speaker 1: Pokemon characters themselves, which my son he's six, he does,
2:25
Speaker 1: and he has some Pokemon cards as well. He just
2:28
Speaker 1: like loves to look at him and uh and collect
2:30
Speaker 1: them and just be like, oh, I get this one.
2:32
Speaker 1: It's super cool. But there it's it's also becoming Pokemon
2:36
Speaker 1: cards are becoming like a collector's item, and a lot
2:39
Speaker 1: of people once it kind of reaches that status, there's
2:43
Speaker 1: and and some of those cards go up significantly in value.
2:48
Speaker 1: You you start to see people speculating right on something
2:51
Speaker 1: as as silly as a Pokemon card, and and then
2:55
Speaker 1: you start to see influencers get into space and they
2:57
Speaker 1: try to kind of drum up even more into your
3:00
Speaker 1: start to point people down that path of like, hey,
3:02
Speaker 1: you should probably start buying some Pokemon cards and consider
3:05
Speaker 1: yourself a Pokemon card investor. Uh, And it's it sounds
3:10
Speaker 1: kind of cool, especially like appealing. I think if you
3:14
Speaker 1: are younger and you're like, yeah, I should be investing,
3:17
Speaker 1: but the stock market seems so boring and bland, Like
3:19
Speaker 1: why don't I invest in something a little bit cooler,
3:21
Speaker 1: something I understand a little bit more. Hey, I know
3:24
Speaker 1: a lot about Pokemon cards, and guess what, I can
3:26
Speaker 1: go out there and buy some packs and keep them
3:28
Speaker 1: in mint condition, and then I don't know, maybe listen
3:31
Speaker 1: on eBay from time to time.
3:33
Speaker 3: The problem.
3:33
Speaker 1: The problem is, of course, that this is not a
3:36
Speaker 1: stable market. It's totally speculation and a lot of people
3:40
Speaker 1: could find themselves being burned buying trying to buy a
3:44
Speaker 1: bunch of Pokemon cards that yeah, maybe they go up
3:46
Speaker 1: in value for a short period of time, but they
3:48
Speaker 1: probably don't stay, you know, stay highly valued for a
3:51
Speaker 1: long time.
3:51
Speaker 3: Any one of these things. I mean, this really amazes
3:55
Speaker 3: me that.
3:55
Speaker 2: There is value to a lot of this because you
3:57
Speaker 2: have a company like Pokemon that decides they're going to
4:01
Speaker 2: issue a very limited card and we're only going to
4:05
Speaker 2: have a hundred of these, and out they go and
4:06
Speaker 2: they're worth a bucket of money. And it all depends
4:09
Speaker 2: on the company. That isn't real collecting, it's that they
4:13
Speaker 2: control it. If every year they come out with a
4:15
Speaker 2: different card they issue, there's only three all of a sudden,
4:18
Speaker 2: Now there's value there, which I don't get. I mean,
4:21
Speaker 2: there's there are real collectibles out there, but I find
4:24
Speaker 2: these kind of dumb.
4:26
Speaker 3: I really do.
4:27
Speaker 1: Yeah, And there's something to stand the test of time, right,
4:31
Speaker 1: Like there is something about Rolex watches, let's say, or
4:34
Speaker 1: Burken bags that are they're hard to get, they're made
4:38
Speaker 1: in limited quantities, and when you look at how those
4:42
Speaker 1: items hold up against something like stock market performance, they
4:46
Speaker 1: they tend to do pretty well and potentially outperform even
4:50
Speaker 1: something like the stock market during certain periods, and so
4:54
Speaker 1: I understand that, but then you also I think we're
4:57
Speaker 1: just in a phase where alternative investing is becoming more
5:03
Speaker 1: fascinating to people. And part of that is cryptocurrency. Part
5:08
Speaker 1: of that is just a bunch of websites that make
5:11
Speaker 1: it easier right to invest in something like in real
5:14
Speaker 1: estate or in wine or in art, and it seems
5:17
Speaker 1: like it seems like fun, and a lot of the
5:21
Speaker 1: language on those websites essentially telling people, hey, this is
5:25
Speaker 1: not only fun, but this is going to make you
5:27
Speaker 1: more money than you would make investing in the stock market.
5:29
Speaker 1: And the truth is, after fees and all the other
5:33
Speaker 1: things that come along with that are known quantities, when
5:36
Speaker 1: investing in alternative investments, there's actually a decent chance you underperform,
5:41
Speaker 1: and the fees are essentially this hurdle that you have
5:44
Speaker 1: to overcome that makes it even harder for you to
5:47
Speaker 1: make more money than you would just investing in a
5:50
Speaker 1: low cost index fund.
5:52
Speaker 2: One of the things about collectibles, or for example, flipping houses,
5:56
Speaker 2: and we hear these ads all the time. You can
5:58
Speaker 2: flip a house and I'm going to teach you how
5:59
Speaker 2: to do it, and you're going to make a bucket
6:01
Speaker 2: of money.
6:02
Speaker 3: You really have to know your stuff in order to
6:05
Speaker 3: do that sort of thing.
6:07
Speaker 2: I mean there, you just don't take a two week
6:09
Speaker 2: class or a five hour seminar. Same thing with wine.
6:13
Speaker 2: You can make a lot of money with wine, but
6:15
Speaker 2: you really have to know the wine.
6:17
Speaker 1: Yeah, it's one hundred percent true. And that is especially
6:21
Speaker 1: like in a market right now, there's been more and
6:23
Speaker 1: more written about home flippers and how they are. They're
6:27
Speaker 1: not doing so hot right and when prices start to
6:31
Speaker 1: moderate and maybe you spent a little more than you
6:33
Speaker 1: should have on the home and then guess what, Oh,
6:35
Speaker 1: tariffs like hit you in the face when the cost
6:39
Speaker 1: of renovating actually went up by a significant amount, and
6:42
Speaker 1: now your margins are a lot thinner, your house is
6:44
Speaker 1: staying on the market longer. And if you don't have
6:47
Speaker 1: much experience and you were just kind of hoping that
6:50
Speaker 1: this would work out, a lot of people are finding
6:51
Speaker 1: that it's not working out for them.
6:53
Speaker 3: Yeah. Now I do commercials for direct buyers. For example.
6:57
Speaker 2: It's a company that buys homes and in terms of
6:59
Speaker 2: around and sells them and the level of expertise. Matt,
7:04
Speaker 2: who owns the company that it takes, has been at
7:06
Speaker 2: this for years and years. He can actually figure out
7:10
Speaker 2: the home, the value of the home, and what it's
7:12
Speaker 2: going to cost to renovated from the sidewalk without even
7:16
Speaker 2: walking in. That's the level of expertise that you really need. Well,
7:21
Speaker 2: and he's probably also planning ahead. He's probably got a
7:23
Speaker 2: little bit of buffer built in. They're like, oh, oh yeah,
7:25
Speaker 2: behind that wall that we don't know about, then I've
7:27
Speaker 2: got an extra twenty grand.
7:28
Speaker 3: Just in case.
7:29
Speaker 2: So I'm still going to make money, absolutely, absolutely, and
7:32
Speaker 2: so all the levels of expertise that you want. Anybody
7:35
Speaker 2: that's going to tell you how you can make money
7:39
Speaker 2: taking their course, buying their seminar, you know, buying their DVD.
7:46
Speaker 2: You know, why would they teach you to do it?
7:48
Speaker 2: If they can do it them sells and make all
7:49
Speaker 2: the money. If I'm making a fortune doing this, why
7:51
Speaker 2: am I going to sell anything to you? I'm making
7:53
Speaker 2: a fortune. Why spend the time? Okay, So, Joel, I
7:57
Speaker 2: want to talk about time Shares for a moment. Give
7:59
Speaker 2: you a a quick story, and that is I was
8:03
Speaker 2: hearing time shares commercials like crazy.
8:05
Speaker 3: So I decided I was going to see what it's about.
8:08
Speaker 2: So I went to one of these time share seminars
8:12
Speaker 2: where you get a free vacation two days or you
8:15
Speaker 2: get whatever, because they give you what sounds like a
8:18
Speaker 2: great deal. So I've never seen such pressure in my
8:21
Speaker 2: entire life ever. Yeah, it's just I was astounded. I
8:25
Speaker 2: mean they were hard, hard selling and a couple of things.
8:29
Speaker 2: They won't give you the contract. I said, I'm a lawyer.
8:32
Speaker 2: I want to see the contract for a time share.
8:35
Speaker 3: They wouldn't give it to me.
8:36
Speaker 2: And then I said, you know what, I'm going to
8:38
Speaker 2: think about this, and they wouldn't let me out the door.
8:41
Speaker 3: Well, we're going to give you this. We're going to
8:42
Speaker 3: give you this. I mean, it was hard, hard pressure.
8:45
Speaker 3: And then I'm just about to leave.
8:46
Speaker 2: They actually stopped me before I hit the door, and
8:49
Speaker 2: I had to say to that salesperson, are you stopping
8:53
Speaker 2: me from leaving this room?
8:56
Speaker 3: You know that's kidnapping. Do you want me to call
8:58
Speaker 3: the police right now? And immediately got he got out
9:01
Speaker 3: of the way. It's that crazy with time shares, Yeah,
9:04
Speaker 3: And it was, and they sell it like it's worth
9:07
Speaker 3: something that you can inherit. They sell it as property,
9:10
Speaker 3: and it's no longer even property. It used to be.
9:13
Speaker 2: You'd get a deed for one fifty second of a
9:15
Speaker 2: piece of property for a week.
9:17
Speaker 3: That doesn't even exist anymore. Now it's just points. Yeah,
9:22
Speaker 3: I'm talking about vacation clubs there. Yeah. Yeah, and you
9:24
Speaker 3: can't get out of them. You can't get out of them. Yeah.
9:28
Speaker 3: And Bill, I mean you're so right.
9:30
Speaker 1: I mean you're you're highlighting all the worst issues of
9:34
Speaker 1: time shares and vacation clubs and the high pressure sales
9:37
Speaker 1: tactics are certainly.
9:37
Speaker 3: Part of it.
9:38
Speaker 1: Like I stayed at a timeshare my first time ever,
9:42
Speaker 1: like this past fall, and it was because someone I
9:45
Speaker 1: knew had extra dates and they were like, hey, just
9:47
Speaker 1: want to hear here's some for free. They're on me,
9:50
Speaker 1: which was incredibly kind. And then while I was there,
9:52
Speaker 1: they were like, hey, do you want to attend a presentation?
9:55
Speaker 1: Maybe get one of your own, And just as someone
9:58
Speaker 1: who does work in this personal finance space, I was like, yeah,
10:02
Speaker 1: I totally want to attend the presentation, but I had
10:05
Speaker 1: my wife and kids there and they wouldn't let me
10:08
Speaker 1: attend without my wife, and so it just wasn't. I
10:11
Speaker 1: wasn't able to make it happen because we have the
10:14
Speaker 1: three kids on hand as well. But it's one of
10:15
Speaker 1: those things where I really want to experience what this
10:17
Speaker 1: is like, because I've heard these horror stories and this
10:21
Speaker 1: is just what a lot of people. This is why
10:23
Speaker 1: a lot of people sign on the dotted line because
10:25
Speaker 1: they just get browbeaten, they get beaten down. They're in
10:27
Speaker 1: there for an hour and a half, two hours, and
10:29
Speaker 1: they're like, let me just sign.
10:31
Speaker 3: Something, you know, so I get out of here. Now.
10:33
Speaker 2: There are some time shares that are actually worth a
10:36
Speaker 2: bucket of money. Disney time shares are valuable. Those you
10:41
Speaker 2: can sell, but the rest of them you just for
10:43
Speaker 2: the vast majority of time shares, you can't sell them.
10:46
Speaker 3: You just can't. You're there, You're stuck.
10:48
Speaker 2: And so and they're making a comeback now, they're coming back.
10:54
Speaker 1: They are, they are And so this seems to and
10:57
Speaker 1: I think part of it is the vacation in Club Mantra.
11:01
Speaker 1: That's that's part of it. But it seems like especially
11:05
Speaker 1: the time Share, the time Share deal is starting to
11:08
Speaker 1: tick up an interest amongst younger people, and it's it
11:13
Speaker 1: used to be seen as like this old person saying, well,
11:15
Speaker 1: the new the new way to book travel. You don't
11:17
Speaker 1: you don't need a timeshare anymore, right book you're on.
11:19
Speaker 1: So there's Airbnb and and and in other ways to
11:23
Speaker 1: take a vacation without kind of that partial ownership way
11:26
Speaker 1: of thinking. And I just think I hate to see
11:30
Speaker 1: something that bad kind of come back and grow in interest.
11:35
Speaker 1: But and when you look at the resale market for
11:37
Speaker 1: time shares, to me, that's like one of the biggest
11:39
Speaker 1: blinking red lights showing how bad of a purchase they
11:44
Speaker 1: typically are. Because you can buy someone else's time share
11:48
Speaker 1: for pennies on the dollar of what you'd pay if
11:51
Speaker 1: you were to go in person when and buy that
11:54
Speaker 1: timeshare from the timeshare salesperson.
11:55
Speaker 3: They're very expensive.
11:56
Speaker 2: Not only do you pay money for the time share,
11:59
Speaker 2: and that that's a given amount of money, but you
12:03
Speaker 2: have to pay maintenance suit And what they don't tell
12:05
Speaker 2: you is the maintenance. There's no limit to what the
12:08
Speaker 2: maintenance costs are. They can charge you whatever they want
12:12
Speaker 2: and you get stuck. And I get questions like this
12:14
Speaker 2: all the time on my legal show. As I am
12:16
Speaker 2: in a timeshare, can I get out of it? And
12:18
Speaker 2: I go that's tough. You signed a contract. Now, there
12:21
Speaker 2: are companies that will let you get out of them,
12:23
Speaker 2: that help you get out of them, but that is
12:25
Speaker 2: predicated on who which company owns the timeshare. Some are
12:30
Speaker 2: willing to let you go, most do not. And it's
12:33
Speaker 2: an albatross. I mean, you're handcuffed to that. And it
12:36
Speaker 2: is vacation rental. And you've got here's two hundred places
12:39
Speaker 2: you can choose. You know, we have one in Hawaii,
12:42
Speaker 2: we have one in Majorca, we have one in Europe
12:45
Speaker 2: in France.
12:46
Speaker 3: The problem is everybody wants to go during Christmas, everybody
12:50
Speaker 3: wants to go during holiday periods during the summer, and
12:53
Speaker 3: you pay buckets more for that. Yeah.
12:57
Speaker 1: Yeah, And if you don't like a place you stay,
13:00
Speaker 1: if you book on Airbnb or you book a hotel room,
13:03
Speaker 1: you don't even have to stay there again, right, you
13:05
Speaker 1: could be like, you could chuck it up to a
13:06
Speaker 1: bad experience, leave a subpar review. But if you don't
13:11
Speaker 1: like the timeshare that you got into, it hangs around you,
13:15
Speaker 1: right for decades. So and yeah, like you said, the
13:19
Speaker 1: maintenance costs could go up at a significant clip. You
13:21
Speaker 1: weren't planning on that.
13:22
Speaker 3: It breaks your budget.
13:24
Speaker 1: I've just heard too many timeshare horror stories to make
13:27
Speaker 1: it seem like anybody should really be interested in those.
13:29
Speaker 3: Yeah, I would not. And if you do want one,
13:31
Speaker 3: you can buy.
13:32
Speaker 2: I've seen them for a dollar a time share, just
13:34
Speaker 2: so people get out of them. So buying one at
13:38
Speaker 2: one of these seminars, I mean, if you enjoy hard
13:41
Speaker 2: pressure where they take a sledgehammer to your head until
13:45
Speaker 2: you buy, then you'll really enjoy one of these, especially
13:48
Speaker 2: and they offer you a three day vacation if you come.
13:50
Speaker 3: Believe me, you're paying big for that.
13:52
Speaker 2: All right, Joel, we'll catch you this Sunday twelve to
13:54
Speaker 2: two pm right here on KFI. Now we're looking at
13:59
Speaker 2: what's going on in your wrong and it is horrific.
14:02
Speaker 2: Where the mula is this a theocracy where the Mula
14:06
Speaker 2: is control all of well control Iran. And the demonstrations
14:12
Speaker 2: have exploded around the country and the regime is dealing
14:16
Speaker 2: with the demonstrations by mowing down demonstrators.
14:20
Speaker 3: So how did this all happen? Why are they protesting?
14:23
Speaker 2: Why are the you have these people out on the
14:25
Speaker 2: streets and risking their lives. Well, because there's no money.
14:29
Speaker 2: The economy is basically gone. The oil was a huge
14:34
Speaker 2: amount of revenue that has stopped. The president is made
14:39
Speaker 2: sure that oil is not being sold, and it's hey,
14:44
Speaker 2: they're in a mess. But when you look at what
14:46
Speaker 2: actually ended up happening, how did this all happen? It
14:48
Speaker 2: actually was one bank, one bank that sent Iran into
14:54
Speaker 2: a tailspin. Uh, and things were about to fall apart.
14:59
Speaker 2: The big us harbinger was the sale of where it
15:02
Speaker 2: was the collapse of this one bank, Allende bank run
15:07
Speaker 2: by the regime cronies, saddled with nearly five billion dollars
15:11
Speaker 2: in losses on a pile of bad loans, and it
15:14
Speaker 2: went bust. That happened last year. And what the government
15:18
Speaker 2: did is take the bank, folded it into a state bank,
15:22
Speaker 2: and printed a massive amount of money to try to
15:25
Speaker 2: paper over all the red ink. Well, you know what
15:27
Speaker 2: happens when the government prints money. It becomes useless. The
15:31
Speaker 2: money is worth less and less to the point where
15:34
Speaker 2: if you look at the Weimar Republic, for example, in
15:36
Speaker 2: Germany in the twenties, he used to take a barrel
15:41
Speaker 2: of paper money to buy a loaf of bread, where
15:45
Speaker 2: the value of the paper itself is worth more than
15:50
Speaker 2: the currency. And that's basically what happened, and this failure
15:56
Speaker 2: became both a symbol and an accelerant of this economic
16:00
Speaker 2: unraveling that then triggered the protests and now the most
16:05
Speaker 2: significant threat to this regime that you have seen since
16:09
Speaker 2: the founding of the quote the Islamic Republic as they
16:14
Speaker 2: call it, half a century ago, and that happened in
16:17
Speaker 2: nineteen seventy nine where I Toolda Humani came back, it
16:22
Speaker 2: was in France, came back and took over the country
16:26
Speaker 2: and the demonstrations to have him back were extraordinary and
16:29
Speaker 2: people didn't realize how horrible it was going to be,
16:33
Speaker 2: absolutely horrible. So the bank's collapse is making it clear
16:41
Speaker 2: that the financial system is basically well, it's collapse. Years
16:45
Speaker 2: of sanctions, bad lending, reliance on this printed money and
16:52
Speaker 2: the whole thing has become insolvent and ill liquid. And
16:56
Speaker 2: you have five other banks in the country are thought
16:58
Speaker 2: to be as weak. And then the crisis hit at
17:02
Speaker 2: the worst possible time. Okay, you had the twelve day
17:05
Speaker 2: war with Israel and the US in June, and it
17:08
Speaker 2: showed that Iran couldn't defend his population. They talk a
17:12
Speaker 2: lot about, oh my god, we are.
17:15
Speaker 3: We're going to destroy the Satan America. The Satan and
17:19
Speaker 3: they were.
17:20
Speaker 2: We were thought they had a very strong military. That's
17:24
Speaker 2: what the intelligence and the thinking was that they could
17:27
Speaker 2: really fight back.
17:29
Speaker 3: They did nothing.
17:31
Speaker 2: The attack went unfettered, and they went after the nuclear
17:36
Speaker 2: facilities there, so Iran couldn't defend his population from the attack.
17:43
Speaker 3: The leaders would.
17:45
Speaker 2: Not budge in negotiations over the nuclear program, keep on
17:49
Speaker 2: saying that it was all about the nuclear plan. The
17:54
Speaker 2: nuclear program was all about peaceful use of uranium. It
17:59
Speaker 2: was all for peaceful use is electricity, which is a
18:01
Speaker 2: croc because what they were doing is developing weapons grade uranium.
18:07
Speaker 2: And there's no other reason. They just blatantly just look
18:10
Speaker 2: at you. We just lie. And so in November, Israel
18:14
Speaker 2: and the US together threatened to hit him again if
18:18
Speaker 2: Iran tried to reconstitute its ballistic missile arsenal, which has
18:23
Speaker 2: taken out to a great extent by the US. So
18:29
Speaker 2: here's what you have. You have the currency the real
18:33
Speaker 2: started going downhill. Country had virtually no ability to stop it.
18:38
Speaker 2: US enforcement actions, I said earlier, cut Iran off from
18:43
Speaker 2: the flow of dollars from Iraq, and that reduced its
18:46
Speaker 2: hard currency earnings from oil sales put its overseas reserves
18:52
Speaker 2: of foreign exchange out of reach because all those foreign exchanges,
18:57
Speaker 2: the foreign money they had, the assets were fro Most
19:02
Speaker 2: countries out there put a pile of money in the
19:05
Speaker 2: United States because the United States, as weak as the
19:09
Speaker 2: dollar is, and it's fairly weak relative to history, it's
19:14
Speaker 2: stronger than any other currency out there, and so countries
19:18
Speaker 2: put money into the US, They buy US bonds, they
19:21
Speaker 2: buy treasuries. Well, that money is frozen.
19:27
Speaker 3: In the US.
19:29
Speaker 2: Russia has three hundred and something billion dollars frozen in
19:32
Speaker 2: the US.
19:34
Speaker 3: Iran frozen in the US.
19:38
Speaker 2: The story of the collapse of the Iranian economy, and
19:42
Speaker 2: that's really what caused these protests more than anything else.
19:48
Speaker 2: It was not the fear of the regime, although there's
19:52
Speaker 2: plenty of that.
19:54
Speaker 3: It's the protests that started it all.
19:55
Speaker 2: And of course now the regime is dealing with it
19:58
Speaker 2: by killing thousands of people wholesale and calling them American
20:02
Speaker 2: and Israeli agitators that we were the ones that have
20:06
Speaker 2: put up these hundreds of thousands of people to protest.
20:09
Speaker 3: So it all had to do with one bank that
20:11
Speaker 3: started all of this.
20:12
Speaker 2: I end a bank, which is a big bank that
20:16
Speaker 2: basically an entire system just collapsed because it started the run.
20:21
Speaker 2: So there was engineering workarounds. This is when the economy
20:24
Speaker 2: is really teetering. These flows of cash, shadowy flows of
20:29
Speaker 2: cash to keep this battered economy functioning. And frankly, Iran
20:34
Speaker 2: at that point and this just happened, reached the dead end.
20:39
Speaker 2: No tools to deal with this economic crisis or meet
20:43
Speaker 2: the needs of a desperate population because there wasn't even
20:47
Speaker 2: money to eat. There was no money. There is no money.
20:50
Speaker 2: Hundreds of merchants. Now the merchants were usually on the
20:54
Speaker 2: side of the government, Well they've run out of money.
20:59
Speaker 3: They were sort of bastion.
21:00
Speaker 2: They ran out of money and they are part of
21:04
Speaker 2: the demonstrations. A former former deputy Director of the Middle
21:08
Speaker 2: East and Central Asia Department at the IMF, the International
21:12
Speaker 2: Monetary Fund, said this was a very well connected bank, corrupt,
21:17
Speaker 2: underscored the banking system in itself as a channel for
21:22
Speaker 2: the enrichment of the well connected, complete corruption, and he
21:28
Speaker 2: described the failure as a crescendo of loss of legitimacy.
21:33
Speaker 2: After the Israeli attack was founded in twenty thirteen, it's
21:37
Speaker 2: only twelve years old, thirteen years old. There was an
21:40
Speaker 2: Iranian businessman who was playing all kinds of games. He
21:43
Speaker 2: merged two state owned banks with another one, and then
21:47
Speaker 2: he got the government involved, and he basically just called it.
21:52
Speaker 2: He was financing the Iranian paramilitary, the businesses, organizations, the
21:58
Speaker 2: Revolutionary Guard, and they're just done. And when you run
22:04
Speaker 2: out of money, when you have a currency that is
22:07
Speaker 2: completely out of control. And one of the things about governments.
22:12
Speaker 2: The state of California cannot print money. The city of
22:16
Speaker 2: la or the city of Orange cannot print money. Governments
22:20
Speaker 2: can print money, and the problem is there's a very
22:24
Speaker 2: fine line that they have to toe because too much money, inflation,
22:28
Speaker 2: not enough money, recession, stagnation, and of course Iran went
22:34
Speaker 2: completely the other way, went just nuts. And one of
22:39
Speaker 2: the largest investment this bank made was the Iron Mall
22:43
Speaker 2: open to twenty eighteen, this huge mall. It made no
22:47
Speaker 2: sense because the economy was in so much trouble. It's
22:49
Speaker 2: twice the size of the Pentagon. It's a city within
22:53
Speaker 2: a city, Imax movies, library, swimming pool, sports complexes, indoor guards.
23:00
Speaker 3: I mean, just out of control spending.
23:03
Speaker 2: And this was this guy who put it all together
23:06
Speaker 2: with the federal Iranian federal money, and it's just all collapse.
23:10
Speaker 2: So as you see what's going on in Iran, I mean,
23:13
Speaker 2: there isn't enough money for cooking oil, which is a
23:17
Speaker 2: staple food bread, And you're not going to see the
23:21
Speaker 2: protests stop anytime soon. Well maybe if they kill enough people.
23:26
Speaker 2: They're already into the thousands. If they kill twenty thousand people,
23:29
Speaker 2: thirty thousand people, maybe the protests stop. On the other hand,
23:34
Speaker 2: what do you have to lose if your family isn't eating.
23:38
Speaker 2: So it's really financial that started all.
23:41
Speaker 3: Of this, and the title.
23:44
Speaker 2: When the Iotola came in nineteen seventy nine, it was
23:47
Speaker 2: because the Shaw was so corrupt.
23:49
Speaker 3: I mean, it was pure corruption among the shop.
23:52
Speaker 2: But he was an alive of the United States and
23:53
Speaker 2: people eight so it wasn't a question of people starving.
23:57
Speaker 2: Today it's a question of people starving.
24:00
Speaker 3: Right, we're done, guys.
24:01
Speaker 2: I was gonna do a segment on Greenland, the money
24:04
Speaker 2: part of Greenland, which is kind of fun, and how
24:07
Speaker 2: nuts it is for the United States to grab Greenland.
24:10
Speaker 2: I mean it makes sense, but hey, it'd be great
24:12
Speaker 2: if we own France too, because then we get our
24:15
Speaker 2: brie for free.
24:17
Speaker 3: By the way, that would that would be the.
24:19
Speaker 2: Demonstrations going on all over the United States if we
24:23
Speaker 2: were able to grab France.
24:24
Speaker 3: Free Bri, Free Bri.
24:28
Speaker 1: We're done, and tomorrow we're going to start January, because
24:31
Speaker 1: I think you've been saying that it was December all
24:34
Speaker 1: day to day.
24:34
Speaker 3: Oh really, okay, we're going to start.
24:37
Speaker 2: Okay in a second, okay, all right, I want you.
24:40
Speaker 2: I want you to look at this. I want you
24:42
Speaker 2: to see what that says. That An said.
24:45
Speaker 3: Are you showing me the rundown says December? And yes,
24:49
Speaker 3: you well I do.
24:51
Speaker 2: I look at what I do is I look at
24:53
Speaker 2: the look at the rundown for the date. And because
24:58
Speaker 2: I don't pay attention, I don't pay atten and the
25:00
Speaker 2: next topics and the next topics coming up. It tells
25:03
Speaker 2: me what the next topics coming up are, so I
25:05
Speaker 2: can deal with it. Yeah, it says Thursday, December fifteenth.
25:10
Speaker 3: This is Ane's fault. You didn't go, hey, it's not December. Oh,
25:14
Speaker 3: here we go.
25:14
Speaker 2: I've got one that's Thursday, January fifteenth.
25:18
Speaker 3: But that was one. I think she sends me dozens
25:20
Speaker 3: of them.
25:21
Speaker 2: Okay, So that's why I kept on saying December fifteen.
25:24
Speaker 2: You should have stopped me. By the way, why would
25:26
Speaker 2: you stop me? All right, because you enjoyed me making
25:29
Speaker 2: an ass out of myself.
25:31
Speaker 3: Yeah, okay, catch yourself. Oh stop nodding? Will for God's sake?
25:36
Speaker 3: All right? Coming up, Andy Rice Mueller, the Reiche whatever.
25:45
Speaker 2: Yeah, this is j Yeah Gary Hoffman. Yeah, So Andy
25:50
Speaker 2: is with us? With you because I'm getting the hell
25:53
Speaker 2: out of here. And we do our regular show tomorrow
25:58
Speaker 2: as we always do, and then don't forget its Foody
26:00
Speaker 2: Friday tomorrow with Neil and me all things foody, and
26:03
Speaker 2: then at eight thirty ask Handle anything which is always.
26:06
Speaker 3: Talking about Christmas dishes. Wow, I'm not going to let
26:13
Speaker 3: it go, are you, Neil? You're just not going to
26:15
Speaker 3: let it go. The reason for the season. Oh, you've
26:20
Speaker 3: been listening to the Bill Handle Show.
26:22
Speaker 2: Catch my Show Monday through Friday six am to nine am,
26:25
Speaker 2: and anytime on demand on the iHeartRadio app.