Latest / Financial Survival Network / Playing with Fire: Fed’s Fallout - Tom DiLorenzo #6260

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Playing with Fire: Fed’s Fallout - Tom DiLorenzo #6260 · Financial Survival Network

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  Speaker 1: And we also have a series of shorts clips from
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  Speaker 1: the documentary. They're put out there, and they have several
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  Speaker 1: hundred thousand views of our short clips that are out
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  Speaker 1: there on Instagram and other places in social media. And
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  Speaker 1: so we're very pleased with this that we're getting making
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  Speaker 1: some progress and educating people about what the FED does
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  Speaker 1: and who benefits from it.
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  Speaker 2: You are listening to Carrie Lutz's Financial Survival Network, where
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• 0:49
  Speaker 3: And welcome. You are listening to and watching the Financial
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  Speaker 3: Survival Network. I'm your host, Carrie Lutz. Well, we've got
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  Speaker 3: a person from our favorite institute of higher learning, and
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  Speaker 3: that is the Mesis Institute Mesis University, Mesis dot org,
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  Speaker 3: m I S dot org. Go there now. Tom de
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  Speaker 3: Lorenzo is with us. We're talking about a documentary put
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  Speaker 3: out by the Mesas Institute called Playing with Fire, and Tom,
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  Speaker 3: I mean you were telling me about a pre call.
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  Speaker 3: I've got to go see it. You said, it's gotten
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  Speaker 3: over six hundred thousand views in a very short period
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  Speaker 3: of time.
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  Speaker 1: Yeah, we produced a thirty eight minute documentary. It features
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  Speaker 1: Ron Paul, Jim Grant, myself, and a number of other
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  Speaker 1: people tried to explain in plain English about what the
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  Speaker 1: FED is and what the FED does. And one of
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  Speaker 1: the reason why we think it's really necessary is I
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  Speaker 1: told you the little story about how when Tucker Carlson
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  Speaker 1: interviewed Ron Paul on his podcast several months ago, Tucker
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  Speaker 1: recalled the story when Ron was running for the Republican nomination,
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  Speaker 1: he had a speech to deliver at Michigan State University
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  Speaker 1: and the students there, hundreds of students began spontaneously chanting
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  Speaker 1: in the FED and the FED. And that's where and
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  Speaker 1: Ron ended up writing a whole book called End the Fed.
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  Speaker 1: But that wasn't organized by his campaign or anybody else.
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  Speaker 1: The students had just listened to some of his speeches
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  Speaker 1: and they did that. And Tucker Carlson's response was to say, well,
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  Speaker 1: you know, I was a professional journalist at the time,
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  Speaker 1: and I was covering that, and I didn't know anything
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  Speaker 1: about the FED, and I'm paid to know.
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  Speaker 3: At least something, Yeah, some kind of superficial knowledge. It
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  Speaker 3: just so surprises me because Tucker Carlson, his father was
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  Speaker 3: in the Deep State, was part of the deep State
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  Speaker 3: by his own admission, and you know, Voice of America
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  Speaker 3: I think he was in charge of, and he'd been
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  Speaker 3: intimately involved, even the speculation about being with a certain
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  Speaker 3: three letter agency that we all know and love Tom
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  Speaker 3: So it just shocks me that he could be that
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  Speaker 3: ignorant on the topic. But I guess if you're not
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  Speaker 3: concentrating on something, you're not focusing on it, then it's
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  Speaker 3: understandable you wouldn't know anything.
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  Speaker 1: You know, if you weren't focusing on the fit, you
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  Speaker 1: wouldn't understand anything about it. So that's the purpose of
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  Speaker 1: our documentary, Playing with Fire, which you can look at
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  Speaker 1: on YouTube. We can go to our website messas dot
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  Speaker 1: org slash fire and you'll find it and it's gotten
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  Speaker 1: almost six hundred thousand views in five months. And we
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  Speaker 1: also have a series of shorts clips from the documentary.
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  Speaker 1: They're put out there and they have several hundred thousand
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  Speaker 1: views of our short clips that are out there on
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  Speaker 1: Instagram and other places in social media, and so we're
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  Speaker 1: very pleased with this. We're getting make some progress in
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  Speaker 1: educating people about what the FED does and who benefits
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  Speaker 1: from it.
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  Speaker 3: Yeah, and there certainly are a lot of people benefiting
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  Speaker 3: from it, for sure. You know, we could kind of
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  Speaker 3: tie this into what's happening with DOGE right now, the
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  Speaker 3: expose of frivolous, corrupt, fraudulent, criminal government spending. You know,
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  Speaker 3: it's all tied together to the FED. Right. Without the FED,
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  Speaker 3: they wouldn't be able to do this.
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  Speaker 1: All right. The FED is the state's legalized counterfeiting machine,
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  Speaker 1: and there's no way around it. And so yeah, when
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  Speaker 1: people in Americans see all this absurd waste of trillions
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  Speaker 1: of dollars that they're discovering, it's going to be in
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  Speaker 1: the trillions, I'm sure.
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  Speaker 3: Oh yeah.
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  Speaker 1: It is all made possible by the FED because you know,
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  Speaker 1: you tell people, for example, Okay, we're going to give
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  Speaker 1: the dictator of Ukraine another fifty billion dollars, but we're
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  Speaker 1: going to have to send each tax paying family, working
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  Speaker 1: family a bill for ten thousand dollars tax bill. You'd
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  Speaker 1: have a lot less support for the war in Ukraine,
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  Speaker 1: and you see a lot fewer Ukrainian bumper stickers in
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  Speaker 1: your town. But if the FED can just print up
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  Speaker 1: the money, it disguises the true cost of government. And
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  Speaker 1: it's not just foreign policy, it's everything. And that's what
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  Speaker 1: it's all built on. Funny money, which is the FED.
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  Speaker 1: And so if we were to just end the ability
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  Speaker 1: of the FED to monetize the debt, you know, the
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  Speaker 1: FED goes out there, it literally counterfeits money, does it
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  Speaker 1: electronically these days, and it purchases the government debt, short
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  Speaker 1: term debt, and that set's called monetizing the debt. And
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  Speaker 1: that didn't come into existence until the nineteen thirties. The
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  Speaker 1: FED was created in nineteen thirteen. But that law could
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  Speaker 1: be repealed, and that would instantly go a great deal
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  Speaker 1: a long way to eliminating the ability of the FED
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  Speaker 1: to create price inflation and never ending boom and bus
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  Speaker 1: cycles that we have in every decade we have some
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  Speaker 1: sort of crisis caused by the FED, and then the
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  Speaker 1: FED comes back and says, oh, we're gon We're going
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  Speaker 1: to solve the crisis that we created by doing more
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  Speaker 1: of the same thing.
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  Speaker 3: So I'm going to run something by you here, the
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  Speaker 3: National Cryptocurrency Reserve or Bitcoin Reserve. Right now, it's like
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  Speaker 3: we don't know how much exactly, because a lot's been confiscated,
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  Speaker 3: some's been stolen, But there could be as many as
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  Speaker 3: five hundred thousand bitcoins there, maybe a million. Maybe if
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  Speaker 3: the a certain three letter alphabet agency created it, there
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  Speaker 3: could be millions there. So what if the actual plan
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  Speaker 3: here is to pump up bitcoin to ten million dollars
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  Speaker 3: a coin, have fifty trillion dollars worth of bitcoin in
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  Speaker 3: the reserve, and just do it debt swap. You no
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  Speaker 3: longer have a US government debt. You've got bitcoin. Congratulations,
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  Speaker 3: enjoy your bitcoin. Yeah, is that possible.
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  Speaker 1: Yes, it's it's I think it's feasible. You don't think
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  Speaker 1: of that happening. But I think another thing I think
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  Speaker 1: that did happen. It was Trumble announced this. There are
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  Speaker 1: a lot of people who made a killing with within
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  Speaker 1: in bitcoin, another killing as far as far as that goes,
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  Speaker 1: But I doubt that that will happen. It's it's it's feasible,
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  Speaker 1: but I doubt politically, I doubt that that something like
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  Speaker 1: that is going to happen. But I mean I worried
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  Speaker 1: that the government is getting involved at all. And bitcoin
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  Speaker 1: the whole idea was to be able to engage in
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  Speaker 1: transactions without the government constantly snooping and threatening, uh and
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  Speaker 1: holding you hostage. And and so here comes Trump uh
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  Speaker 1: putting government involved with with coin, and we'll see what happens.
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  Speaker 1: But I just don't in a visceral sense. I don't
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  Speaker 1: like the idea of the government getting involved in with
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  Speaker 1: so much with bitcoin.
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  Speaker 3: But really, couldn't you see them doing this?
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  Speaker 1: Yeah, they they've done wilder things.
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  Speaker 3: But when it's like, that's how you get something out
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  Speaker 3: of nothing. Everybody gets their money, nobody cares, everybody's happy, right.
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  Speaker 1: Yeah, and we can go on with business as usual.
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  Speaker 3: Yeah. Yeah, I mean everybody gets paid, right, isn't that
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  Speaker 3: what it's about in the end. Yeah? And then I
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  Speaker 3: don't know what happens to bitcoin after it, but it
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  Speaker 3: could be the mother of all pump and dumps, right.
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  Speaker 3: I actually did a video about that myself. Yeah, just
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  Speaker 3: speculating on what would happen. It just like it seems
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  Speaker 3: like the kind of thing Trump would pull, you.
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  Speaker 1: Know, Yeah, Trump and Trump and Elon Musk.
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  Speaker 3: Yeah, it's like, hey, there is no way to pay
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  Speaker 3: off the debt otherwise, is there?
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  Speaker 1: No? The historically all governments have done is well you
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  Speaker 1: could repudiate it. You can just tell the Chinese, sorry,
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  Speaker 1: you're not going to get the you'll ever get your
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  Speaker 1: money back from all those bars you buy it you bought,
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  Speaker 1: and inflation slowly gets rid of a national debt. But
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  Speaker 1: that's just like drops in the ocean as far as
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  Speaker 1: that goes.
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  Speaker 3: Yeah, that's going to be fun to watch. I think
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  Speaker 3: there's an ulterior motive here, and maybe it's the only
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  Speaker 3: way that it can be done. I'm not going to speculate,
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  Speaker 3: but getting back to the documentary because it really does
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  Speaker 3: tie into it. The arsonist at play here is the
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  Speaker 3: Federal Reserve. They start a fire and then, like we
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  Speaker 3: were talking about, they put it out with gasoline and
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  Speaker 3: it erupts into an inferno and the next thing you know,
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  Speaker 3: you got the Los Angeles burning. So if the Fed
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  Speaker 3: wasn't writing the checks, they're the ultimate enabler. It's like, hey,
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  Speaker 3: don't blame us. All we do is print money and
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  Speaker 3: control the money supply and try to ensure stable prices
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  Speaker 3: and full employment. And also their latest function is to
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  Speaker 3: never allow the stock market to go down. But without them,
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  Speaker 3: none of this, like we were talking about, would be possible,
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  Speaker 3: would it.
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  Speaker 1: No, it wouldn't and all these things. You know, any
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  Speaker 1: economic student, it takes econ one oh one in college.
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  Speaker 1: One of the first weeks of the semester. You learn
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  Speaker 1: about the bad effects of price controls. And here's the
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  Speaker 1: FED constantly trying to manipulate interest rates and you know, drive,
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  Speaker 1: driving them down to zero one year and then doing
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  Speaker 1: the opposite the next year. And that's that's a form
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  Speaker 1: of price control. And then you have hundreds of FED
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  Speaker 1: economists who who rationalize this, who defend this practice. It
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  Speaker 1: really is a central planning organization, and the FED does
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  Speaker 1: more than monetary policy. It is involved in one of
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  Speaker 1: the its own publications, it's called the Structure and Functions
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  Speaker 1: of the Federal Reserve System, and it lists hundreds of
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  Speaker 1: different types of regulations that the FED enforces and every
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  Speaker 1: conceivable type of financial transaction. So it does a lot
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  Speaker 1: more than just monetary policy. For example, you know one
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  Speaker 1: simple example in the nineteen seventies, there was a law
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  Speaker 1: pass that created the called the Community Reinvestment Act. This
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  Speaker 1: is the law that sort of pressures banks and mortgage
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  Speaker 1: lenders to make loans basically based on race and income.
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  Speaker 1: And even if it made billions of loans to unqualified
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  Speaker 1: bar wers by putting putting more or less a quota
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  Speaker 1: system on lending, on more mortgage lending. And that's just
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  Speaker 1: one of the things that the FED enforces. And that
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  Speaker 1: was a part of the crash of eight, of course,
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  Speaker 1: with a lot of the bad loans. And I'm not
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  Speaker 1: saying it was the main cause. The fed's bubble that
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  Speaker 1: it created was the main cause, but that contributed to it.
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  Speaker 1: There were dozens of other laws and regulations like that.
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  Speaker 1: That makes the FED sort of our grand central planning
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  Speaker 1: agency because the controls more than just the money supply.
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  Speaker 3: Yeah, for sure, for sure, And we know how well
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  Speaker 3: central planning works. We all were looking up to the Chinese,
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  Speaker 3: how wonderful their experiment was going, and then a funny
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  Speaker 3: thing happened on the way to global dominance. Everything blew up.
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  Speaker 1: Yeah, yeah, that was you know, back in the nineteen eighties.
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  Speaker 1: I remember when Japan was touting what they called its
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  Speaker 1: industrial policy, which was, you know, heavy planning of its industry,
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  Speaker 1: and they did things like they only wanted one national
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  Speaker 1: car and at one point in Japan and the post
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  Speaker 1: World War two era, and then of course the Japanese
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  Speaker 1: economy went in the tank for you know, several decades
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  Speaker 1: really after that, and so they quit bragging about their
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  Speaker 1: version of central planning. And it's incredible, by the way,
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  Speaker 1: if you study American economic history in the nineteen twenties
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  Speaker 1: and thirties and forties and even past that, all the
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  Speaker 1: praise that American statesman, so called self described statesman gave
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  Speaker 1: for Soviet central planning, even all Samuelson, the famous textbook
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  Speaker 1: author from MIT was His book dominated the economics textbook
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  Speaker 1: market for forty years, beginning in nineteen forty eight. He
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  Speaker 1: predicted in his nineteen eighty eight edition that the Soviet
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  Speaker 1: economy by the year two thousand would be bigger than
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  Speaker 1: the US economy. And so, of course, a couple of
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  Speaker 1: years later, the Soviet economy essentially disappeared altogether. And so
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  Speaker 1: here we are with the FED is sort of the
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  Speaker 1: last vestige of early twentieth century central planning. And it
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  Speaker 1: needs to go.
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  Speaker 3: Yes, certainly does need to go, we know, that's for sure.
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  Speaker 3: But how it will go, how they'll get rid of it,
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  Speaker 3: that's going to be the interesting thing. So, Tom, we
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  Speaker 3: find you over at mesas dot org.
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  Speaker 1: Correct, that's right, that's our website. You can get a
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  Speaker 1: great economic education for free. And I just happened to
• 14:26
  Speaker 1: have this little book on my by Friedrich Hayek on
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  Speaker 1: my desk called Choice and Currency a way to stop inflation,
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  Speaker 1: and it's one way to start getting rid of the
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  Speaker 1: FED and allowing competing currencies. And you know, bitcoin and
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  Speaker 1: cryptocurrency is one thing, but you know, currencies backed by
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  Speaker 1: gold or silver or other precious metals is another way
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  Speaker 1: to go. And I think that's what has to happen
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  Speaker 1: in the future. The whole world relied on gold based
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  Speaker 1: money for thousands of years before governments took over the money,
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  Speaker 1: and that's the direction I think our country needs to
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  Speaker 1: head into.
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  Speaker 3: Agreed for sure. Preaching to the converted here, Tom, appreciate
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  Speaker 3: you coming on. As always, We'll talk to you again soon.
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  Speaker 3: We'll have a link in the show notes this interview
• 15:16
  Speaker 3: on Financial Survival Network with the link to the documentary
• 15:22
  Speaker 3: and of course to mesas dot org and your bio.
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  Speaker 3: Appreciate you coming on. We'll talk to you again soon, Tom,
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  Speaker 3: Thanks so much, appreciate it.
• 15:29
  Speaker 2: Thanks no good day, Thanks for listening to carry Lets's
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