You can look up and you'll see NATO is basically the retirement homes for neocons. And they were out there trying to raise $100 billion to keep the world going with Russia if Trump is elected. - You're listening to Kerry Lutz's financial survival network where you get valuable information you just can't find anywhere else. To thrive in today's trying times, you need the financial survival network now more than ever. Go to financialsurvivalnetwork.com and get your free newsletter in gift. Financial survival network now more than ever. - And welcome. You are listening to and watching the Financial Survival Network. I'm your host, Kerry Lutz. The election's over. We're gonna have on Martin Armstrong, who had been basically almost a year ago been saying Trump was going to win. The model showed over a 60% chance. Record low approval ratings for the current administration. And we wanted to have Martin on because a lot of things are gonna flow from this. Wanted to get your opinion, Martin, on what's gonna happen next. Again, you'll find his work over at armstrongeconomics.com. Sign up for his daily missives. I never miss him. Martin, great to have you on. So, well, it looks one prediction you made neither side would believe that the other one, if they won, there's no denying that Trump won this election. There's no allegations of widespread vote tampering, although I'm sure there's plenty 'cause it's as American as apple pie, but they're still finding other reasons. I mean, the left is in complete meltdown mode now, isn't it? Yeah, I mean, they basically are still kind of denying it. They mainly 'cause I think if you really step back and look at what the left did, they could not believe, you know, criminally charging Trump and all these things, they thought he was unelectable. And, you know, that was their downfall. You know, they just kept this nonsense up. And rather than looking at what the, the state of the economy and economics really is, I mean, our computer's just never been wrong. 'Cause it doesn't do the polls. It's not asking people, "Gee, who are you gonna vote for next week?" Or whatever. It's just looking at the economics. And even you take, go back to, the Great Depression. You know, Herbert Hoover had nothing to do with the, with a great crash, he had just been elected, all right? And then in '32, we get Sony, you know, 39%. Whoever's there is always blank. That's pretty much the way it goes. So it's not necessarily that, you know, what they did or one way or the other. But with the other thing, which I'll be revealing more at the conference, is that this was the 34th year after the fall of the Berlin Wall. That's when the socialism in the West should start to collapse. And that's what we're watching. Well, it will take until probably about 2037 to complete the entire cycle. But look, if you look at China, you look like Russia, Eastern Europe, nobody wants to go back to this sort of stuff. But in the West, you know, you have Stammer over there, you know, in Britain locking up, you know, 12 year old kids 'cause they criticized the government. I mean, this is nonsense. They think that they can just dictate to people and you're going to jump in just to ask how high. But the real downside with this whole thing is that this was a major coup attempt, I would say, that I was told from the beginning of the year that they would not allow somebody else on the ticket with Biden. And that he was not going to be the candidate. He would step down after the Republican Convention. And back then there were two camps buying for power, which was Michelle Obama and Hillary. But the neocons really wanted Camilla because she's just another placeholder. And her VP is the same thing. I mean, come on, you know. And so they just, you know, smile and say whatever they need to say, read the cue cards and we'll sign whatever's put in front of them. And that's what the neocons wanted. Now, they are quite upset because, but these people have, I know some of them, I've had dinner with them, you look them in the eyes and honestly, you don't even see a warm light. I don't know what it is. They were psychologically damaged in the '50s when we had air raids and we had a hide underneath our desks in school or something, you know? But I mean, even Robert McNamara, if he looked on YouTube, he was the neocons took us into Vietnam and he did an apology before he died. He said we were wrong. We thought Russia was involved and it was just the Civil War. That's very nice. Well, 58,000 Americans died because you were wrong. - You could. - Yeah. And they've done the same thing with every war. You know, it's, they've never won a single one yet since World War II and they've been trying to get us into a war with Russia. At Ukraine, you know, I speak to Ukrainians and I can tell you that there was a coup against Zelensky on May 7th. And then he fired his head of the bodyguards and his bodyguards really now Americans, why? Because he, Ukrainians would basically kill him. But the ones I talked to, they said, if he was on fire, they wouldn't urinate on him until he was dead. They just see him as a puppet of the West. You know, 'cause there was a peace deal and then Boris Johnson hopped on the plane, went over there and no, you're not allowed to sign. So, you know, they see that Ukraine is just, it's a proxy, no different than Hezbollah is a proxy for Iraq. You know, they just take orders from a central place and that's what's been going on. Why, you know, Zelensky's supposed to be defending this territory, well, then why did he invade Ukraine and allow Russia to even take more territory in Ukraine? It was, they did that to try and desperately get Putin to attack anything in NATO so they can call him the aggressor. It's just aesthetic. But my concern now with the election is that the neocons are afraid of Trump. I mean, he's basically said that he's gonna stop all these wars. That's what people really want. I did speak with the RFK and, you know, even he was anti-war, which is why I was kind of arguing that two of them should get together anyhow. But, I mean, this is it. So what have the neocons done? You can look up and you'll see, NATO is basically the retirement homes for neocons. And they were out there trying to raise 100 billion dollars to keep the war going with Russia if Trump is elected. They couldn't raise all the money, but, you know, here you have them also trying to open up in Asia. - You know, what's NATO doing over there? All right, what people have to understand is that this is part of that all, you know, one-world government agenda that comes from the WEF and everybody else there. They think that the UN can become the peacemaker, solve these wars, and then would be elevated. The IMF's already has its digital currency on the boards I've spoken about that. And to replace the dollar and the World Bank. And NATO is expecting to be the new defense department for the world. It's, I mean, even if you look at the eight points from Schwab and its 2030 plan in there, is that the United States will lose all its power and the military will be handed to UN. I mean, these people are just crazy. But, you know, when one thing I've heard a long time ago, it's not what you think, it's what they think, that you have to pay attention to. (laughing) There is, you might think it's-- - It's like a hard way. - Yeah, I mean, it's insane. I certainly wouldn't even advocate something like that, but that doesn't mean it's other people who won't. - So, they're stuck with him now. He's gonna end the war in Ukraine, Protto. I mean, that's first on the agenda. And already the Palestinians are saying, "Hey, we want peace, we want peace." Just, you know, let us survive Hamas, you know, they're willing to give them all of a sudden the hostages. It's kind of like a repeat of Reagan when he came into it. - Yeah, when Reagan came in, Iran suddenly gave up all the hostages there too. You know, that's a reflection that they understand the difference between Trump versus Biden or Camilla. And, you know, this is the way it goes, but it's, people also have to understand that it's not really just the personality that you're voting for. It's a whole entourage behind it. Camilla, you're not voting really for her or her ideas or anything else. It's basically, you know, a vote for her was a vote for Blinken and the rest of them, the still controlled foreign policy, et cetera. - Yeah. - You know, she, I've said, you know, people were like kind of shocked, but I mean, Hillary would have made a better president not that I agree with her opinion. - Yeah, sir. - That she is not somebody that allows others to walk all over. She's more authoritarian now. If she agreed with them, that same thing would happen. But Camilla's like, "Oh, okay, fine, you know, no problem." That's the whole issue with her. And as I said, this thing was set up from the beginning, the debate with Biden was unprecedented. You never have a presidential debate before people were even nominated. And one well-season Democrat that I know even said to me after that debate, well, now the rest of the world sees what we've seen for two years. I mean, it's a shame, but they stuck him up there. They kept everybody off the ballot. So nobody else could interfere with their agenda. He would step down and then, because they had already raised over 100 million bucks, they just handed it to Camilla. They couldn't hand it to Hillary or Michelle. So, you know, she had, she was all over the media everywhere before the Democratic convention. So, I mean, this whole thing was rigged from the beginning, but their biggest problem was they, you know, with all these criminal charges and nonsense, you know, calling January 6th, though an insurrection without weapons, just, you know. - Ridiculous. - It's really absurd. And, but unfortunately, you have a lot of Democrats that are still all caught up in this. Jamie Raskin, in particular, even sent a letter to Trump, well, you didn't file this paper, so maybe you're not legitimate. - They're not gonna try that, are they? - No, I don't think so. But what I am hearing is that they are planning on a very, very large protest in January, and they want it to be significant enough that he would be forced to call out the National Guard so they can call him a dictator. I mean, you know. - It's not gonna work. - It's not gonna work. And the people are broken. The left is broken now. Maybe they'll recover in time for inauguration, but right now they're just a big wet mess here, Martin. You know? - These ideas have been tried so many times, and they have failed. Stammer is just taking control of Britain and pushing all this stuff in, and his approval rating is plummeted by more than 50%. People are not interested in this. America was supposed to be the land of opportunity, and here you come here and, you know, they keep saying, "Oh, the rich, the rich, the rich." Well, people don't even look at it. The definition of the rich, you know, in the Great Depression was $5 million. That was an awful lot of money back then, when a Cadillac was 600 bucks, you know? - See you there. - And today, what is the definition of rich? They went to $250,000, but then they made it household income. - So if you and your wife earn $125 a piece, guess what? You're it. - And you're like lower middle class in New York City, if you're making $250, barely balanced. - Stammer, his definition of the rich is anybody that has the savings. I mean, it's just gotten to be so ridiculous that our computer shows that this was 34 years from the fall of the Berlin Wall. This is where finally socialism marches the agenda in the West should start to decline. It should be collapsed completely by 2037. But just look at the paper letter Eastern Europe, China, Russia, there's no way they're interested in going back to communism. - No. - So what is next in store for the US, for the dollar, for gold, especially the stock market inflation? What can Trump really do? We've got 34 trillions worth of debt. We got hundreds of trillions more in unfunded mandates. I mean, are we expecting too much here? - Look, I'm, you know, I'm arguing and you can tell all your viewers to send letters to Trump. I mean, the way out of this is actually not that difficult. What you do is you raise your coupons and you swap the debt, like I would do to bail out a company. You do it debt to equity swap. Here you would issue a coupon for your 30-year bond that you're holding. They take that to Merle Lynch or whatever broker you're using. And then you can buy either securities, shares or corporate debt. They then take the coupon and then the treasury redeems it end of the debt, okay? We then also have to prohibit any borrowing in the future. But we can, you know, take 34 trillion and inject it into the private sector where it belongs. Interest rates will come down because it's the government out there competing with you for money. And they are the biggest borrower in the room. - Right, that's all the crowding out effect. Right, the crowding out effect. - Yeah. And I had worked on all of this back in the '90s with Dick Army and Bill Archer back then. And I was asked to take security to redesign it to make it a wealth fund. And I did, I said, okay, fine, this is how we do it. People submit their track records. I said I want to live track records for 10 years. And the Democrats wouldn't vote for it because they said when they got in, they wanted to change the fund managers. I said, I don't care who they voted for as you're giving this on the track record. You know, maybe the guy didn't even vote. I don't care about that. But had we done that, the down back then was only 5,500. Had we converted that to a wealth fund. So security would be, most people are paying more in Social Security taxes than they are in income tax. That wouldn't be there. I mean, so there are ways to do this, but you're talking about the bureaucrats or they're feeding it to trough. You're paying for their grandchildren to go to college. And look, we can straighten this out if we really give it a shot. Trump has at least come out and said he wanted to eliminate the income tax, but it's putting on tariffs in replace. I mean, that would help. But as I said, when you go down the line, you'll see a lot of people are paying more in Social Security than they are in income tax. So we have to deal with the debt problem. If we can do that, we can really straighten out and really then do make America great again. - So is there the will to do it? Because the banks don't really want us to do that. The banks want to see debt go up and up forever, right? Even though it's eventually gonna destroy everything, including them, but this is how they make their money, right? - Well, yes, but that's also a story to come to an end. Is the problem here is to be a primary dealer. You have to sign on and agree to buy so much debt. Then you get to resell it. If you can't sell it, you're stuck with it. So it's the banks that would be stuck with it. Our interest expenditure is this year about a trillion dollars. You know, just in five years, they're gonna be over three to five trillion. - Nothing. - The banks don't have enough capital themselves because they have to guarantee to buy this debt in advance. That's not gonna happen. So we're at the point where the banks themselves are not gonna be able to handle it. - Okay, so it's in everybody's interest and we need something innovative here, out of the box thinking, which we haven't had, you know, in our country in quite a while, have we? - Look, I'm a trader and the problem is, most of the academics are all left at this tight, you know? In fact, one central bank had told one of the major companies in this look I can't talk to, you call Armstrong. And it was very interesting I got on the phone is look, I'm only calling you because they said, you know, it's just, but I have no respect for academics. This is great 'cause I'm not an academic. (laughing) - And it's your own life, it's a clock. (laughing) - I said, we're a trader, you know, I've seen it live, what happens, you know, I'm not in theory. - So this is basically good for everyone 'cause I think, correct me if I'm wrong, you got better sources than I do, but Trump understands that we're really coming to the end here, something major's gotta be done. - Yes, look, one thing about Trump is that he understands debt and he understands bankruptcy, et cetera. And, you know, all right, fine, you know, people always been this, look, you need somebody with a least experience, all right? And he's at least been through that. So he knows what it is. And you're just looking at it from a government side. I mean, what has been interesting, I've been getting more calls probably from foreign governments about what happens now about Trump. It's very interesting because they too, particularly in Europe, they were so sold on this idea that Camilla was gonna win even, you know, the Economist magazine in London, which is, I think, he couldn't possibly walk a straight line. Oh, we're endorsing Camilla, you know, it's, look, you even had, you know, Dick Cheney endorsing Camilla. That's proof that the neocons were there. (laughs) - You know, I knew there were several reasons I knew it was over the botched assassination attempts. Could only build support for him. But when I saw the Washington Post refrained from endorsing Camilla and pledged to never endorse another presidential candidate, look, who controls the Washington Post, right? A certain three-letter agency that begins with C, the Grahams, Dorothy Graham, they were CIA assets, Woodward and Bernstein, I don't know if they're assets or they're just dupes. I'll assume they're genuinely good-hearted, kind-hearted, misguided libs and they're dupes, but who did Watergate? And whenever that agency leaks, who do they leak to, the Washington Post and Jeff Bezos, the rumor is, although now it's been wiped from the internet and I can't find it, but that the CIA's Venture Capital Fund was one of the early investors in Amazon and the biggest customer of Amazon Web Services, the most profitable division, or perhaps, the only profitable division of Amazon. So they seem to have capitulated ahead because they knew what was coming. - Well, I can tell you that I've known journalists over the years and one, a very senior guy who did one of the top three newspapers in New York and he explained how it really works. He says, "The government will call you and say, 'We have a savior. "We want you to spin this story this way "or kill it or whatever.' "He says, 'If you do not, they come after you personally.' "Well, let's see your taxes, et cetera." - Snowden was giving his information to a journalist in California who suddenly drove himself into a tree and died, all right? So he ended up giving it to the Guardian in London. - A lot of bad drivers in those journalists, they have a lot of one-car accidents hitting trees and freed beams, you know? - Even then, Lowrie, they did only the forecaster. It was a German funded by a German TV. And somebody broke into their offices over there, stole what they thought was the film, but they had a back up. - What? - I mean, that was in Germany, they did it. I mean, it's, and even if you look at the film, in there, there's a guy named Oliver Brown who works with the Bureau of Prisons at the time or he had done so. And in there, he said, "The FBI showed up at his house "the day before to try and intimidate him "not to be in a movie." - Unbelievable. - How did they know when the movie crew was even gonna go there, unless they were illegally tapping somebody? - I'm loving it, and I love conspiracy theories 'cause they're not really theories. The term conspiracy theorists was created by that certain three-letter agency to discredit critics of the Warren Commission and the investigation of JFK's assassination. Let's get to something Trump mentioned, which parallels something that you and I, as I'm putting together our book, my conversations, my decade-long conversations with the master forecaster, I came across it where you said there shouldn't even be an income tax. And lo and behold, two, three weeks ago, Trump says, "Let's get rid of the income tax." You had a column, you know, one of your e-blasts about that very topic. How would that work? Could we just do it on a tariffs and a consumption tax? And is there any possible way, Martin, to get this done? Because the worst days of just about everybody's life out there generally start in April 1st and they end around April 16th when you have to try to put all this stuff together unless you're like me and I do extensions periodically. But that's the worst time of the year. - Yeah, I mean, look, it's, I actually debated Steve Forbes and back then was Governor of Florio of New Jersey at Princeton University. And Florio was known that, you know, if it moved, tax it, and if it died, they would take whatever's left out. And so I was taking the middle ground that between Steve, he wanted the flat tax and Florio, which really, like I said, tax everything. And I turned to him and I said, you know, you're borrowing from the poor and you don't even have the dignity to pay him interest. What were you talking about? I said, 'cause everybody waits for their refund check. So you're taking their money from the lower echelon, from the poor, and you don't even pay him interest. And he had no way to come back at it. - If there is none, there is no-- - There is no-- - There is not an argument. - Look, Dick Armie was for the flat tax, Bill Archer was for the retail sales tax. I was the one shuffling back and forth between the two. I finally gave up, you know, I was sitting in Dick Armie's office and he said, Marty, you know, cycles. I said, yes. And he said, if we don't, you know, I can't agree to the retail sales tax because we won't be able to repeal the 16th Amendment. And when the Democrats get back in, you'll know what, you know what will happen. We'll have boats. And I said, Dick, you're right. And I just kind of gave up at that point. So we're not gonna get the 16th Amendment, you know, repealed. 'Cause the states are gonna have that. So what we can do is basically just eliminate the income taxes, we don't need it. Stop the borrowing. All right. Get rid of the debt, as I said, with the coupon issue. All right. And then when you do that, you then have to take Social Security and turn it into a wealth fund. 'Cause it's all stuffed in there with the debt. And we don't need taxes. When taxes were only necessary historically because money was gold and silver coin. So the king had to get some back then or to spend it. Yes, okay. Now it's just paper. All right. There's no reason for us to be borrowing our own paper or to even be, you know, imposing taxes to get some of the paper back. It's not necessary. Are we just proud? Do we just print the difference? Is that it? Yes, it is far less. Over 70% of the national debt at times has been a cumulative interest. Yeah. I mean, if we had just printed the money we needed, we wouldn't be anywhere close to a $34 trillion deficit and you wouldn't have the inflation we have. This idea that printing is inflationary versus borrowing is nonsense. That was back during the Bretton Woods days. If you had a need bond, you went to the bank and you said, "Can I borrow?" And it was illegal. You couldn't borrow against government debt. So after 1971, you went trade futures, you can buy T-bills, Fannie Mae's, whatever, posting as collateral with the broker. All right. So you can borrow, it's money that pays interest. That's it. There's no difference between printing it and borrowing it other than if you borrow or you pay interest whereas you're printing it, you don't. So it would be less inflationary today to print than to borrow. And let's just look at this realistically. Get rid of the debt, stop the borrowing. We won't have the interest expenditures. And look, over 50% of the interest that we spend goes out of the country. China owns 10% of the national debt. So 200 billion of the interest this year goes to China. And also you're looking at the banking system becoming unsustainable as a result of this. Yeah. I mean, it's like I said, a primary dealer has to, it gets that license, but it must guarantee to buy a certain amount of the debt. And this level of debt is exceeding the capitalization of the primary dealers. They're not going to be able to keep this system going. And look at the federal budget, what we're paying out money for, half of its wasted, right? I mean, I think any normal person could agree. We got, I did a chat GPT search. Give me the top 100 agencies I could get rid of and nobody would even notice it. And half those names, Martin, I didn't even know they existed. I had no idea they were an entity and you could replicate the same exact thing on the state level. This doesn't require like a revolution, a paradigm shift in thinking, isn't it? Look, when I lived in New Jersey, every little hamlet had a chief of police and a police force 'cause they used it to raise money. Here in Florida, we have the police forces for the county. So, I was driving down the park boulevard. I wasn't paying attention 'cause W was on the road. He says, "Oh, you're doing 15 to 35." I said, "I'm sorry, I wasn't really paying attention." And he took my license, he says, "You never had a ticket." I said, "No, well here, I don't want to be the first one to give you one." I mean, that would never take place in New Jersey. New Jersey, they would have called out the SWAT team and figured out how to be a fake name. I mean, Jersey, they would give you a parking ticket and a private parking lot if you were slightly over the line. And it was just ridiculous. They used it to raise money. And that's the big difference I see from Florida versus New Jersey. I mean, New Jersey was horrible. - No income tax in Florida. So automatically, the budget is less than half of the budget of New York State with three or four million more people, which is a pretty mean feat. - Yeah, look, we have a lot of retired people down here, so that's good because they keep that check against government. They can't raise the taxes on them too much. - And look, this is why, you know, Florida is the number one state everybody's moving to. - Yeah. - California is the number one state we were leaving. - I'm funny. And the weather in California is actually better than the weather in Florida. The beaches are better in Florida, for sure. But the actual year-round weather, dryness, all that is better generally in California. So don't tell me it's the weather why people come here instead of California. - Well, you know, people are leaving there. So what does Newsom do? Oh, let's put an exit tax to punish them for leaving. - Like New Jersey. New Jersey's had one thing that's gotta be unconstitutional. No one's ever challenged it. Well, it's gonna be interesting to see what happens here. Will things really change? Or will they just go on the way they did kind of Trump's first term? I think he knows who all the players are. The other thing is he's gonna hit the ground running. You know, all those executive orders, immigration, and everything else he plans to do, he's gonna walk into the White House with them. It's not like he's gonna have to try to figure out, well, what should I do first? Who should I appoint to this? Who should I appoint to that? You know, it might be the best thing that ever happened for the country that the suspicious way in which the 2020 election, you know, took place and proclaimed the winner, making him have two unconsecutive terms might make him way more effective than if he had just continued on a second term. - Yes, well, also, I can tell you 'cause, you know, I used to be part of the vetting process for picking prisons and I would send me in and I would meet them, okay? And I know 'cause I've been there. You take Bush Jr., he did not pick Dick Cheney. That is, you know, the deep state to pick the cabinet. They did the same thing to Trump. They said, "Oh, you know, you're not a politician. "We have to give confidence to the world "and we need people with experience in here." They put in John Bolton, you know, even Trump said, you know, fired up. He says he wanted to start a World War Three 'cause they shot down an unmanned drone. - No, no, I was down this now. - Drones are a hundred dollars a piece now, less than a hundred dollars. So that's really worth going to war for. - Yeah, I mean, it's... Look, I've known these people. I knew Bill Crystal even spoke at our conferences. His father started the old neocons movement and, you know, his dick was to... He wanted to remove Saddam Hussein, Qaddafi, and Assad out of Syria and get rid of these dictators and we'll bring democracy to the Middle East and create peace. So sit here out of your mind. - Fight for him. - Yeah, I mean, look, it's the same thing with Russia. It's regime change all the time that they're interested in and sticking in their puppets to run something. - Well, they got their regime change this time, Martin. Hey, gonna see you tomorrow, Friday on November 8th at your conference in Orlando. I'll have the link in the show notes. Sign up for the conference if you haven't done it already. If any of you out there are gonna be there, send me an email KLCarriLuts.com. I'll buy you a drink. Martin, we'll see you tomorrow. Be well. - Oh, thanks a lot. It's always good to see you. Take care of yourself, sir. - Thanks for listening to Carri Luts's Financial Survival Network, your solution to today's trying times. For the latest, go to financialsurvivalnetwork.com. Financial survival network. Now more than ever. (upbeat music) (upbeat music) [MUSIC PLAYING]
