Bond-trader extraordinaire, investor, and billionaire Jeffrey Gundlach joins Tony at a recent Platinum Financial event for a candid conversation about the current markets and the upcoming political and financial landscape. Gundlach is known for his bold calls, having correctly predicted the housing crash in 2007, and brings his candor to this discussion on inflation, taxes, the US Department of Treasury, and more. In this exclusive interview, founder of DoubleLine Capital, Gundlach also covers a potential asset allocation breakdown you won't want to miss.
This is an unofficial transcript meant for reference. Accuracy is not guaranteed.
We have a really any privileges. We say the least there have someone like every gun is just a Chinese. the report came from a double one camp. Most of your note with backdrop Jeffrey South rolled out you because you're such a straight shooter- and we get so much run around from people in the financial world these days and you're, calling a spade a spade and mean we're. Gonna have the first time since war were too, where we got greater depth and we have GDP right. We ve taken what seven trillion dollars that we're spending right Now- and it is these that we know inside every week I sought today and that we have just signed a headline that talk about another one point: five trillion on top of the two point, three trillion for supposedly infrastructure, which, as I understand it correctly about five percent of its infrastructure,
Where do you see this world right now and where we going and where is this idea of inflation cause real people talk about up in so many other people poohpooh it? I was at a meeting the other day with fourteen people kind of your category of economics, and there was a mixture about it. Some are saying: well, technology is not is going to take us away from doing this. You know that the markets gotta heat up, but at the same time seconding about other people are trying to hire people who are staying home and saying I make more money working at home and somebody's casinos and hotels, for example, that particular industry needs thing here. It is I look at I look at what is up to an seventy three percent. You know we see, oils through the roof. We see sugars up. Fifty percent and people are telling us don't worry about inflation. So the big question is: where do you see us today and how do we get here and how should people adjuster prepare for? What's coming I guess I was bored sessions, Jeffrey wider. Jim Flash yeah? Well, you know,
Let's just stepped back a minute and talking about Ben Burnett. When and she said you have to worry about deflation, because the United States has a printing press and region rob money from helicopters, there was quite a while ago now that goes back, go well over a decade and when there stated. It was not surprisingly met with derision and mockery. The people thought was none thinkable concept, and and we start doing it actually back in the global financial crisis, we started sending money, people and George W Bush. Did that wasn't a lot of money. It was about three hundred dollars. Five hundred dollars to about ninety percent of the the to Chechnya, sent out an election how much of an effect he kept by much with with that and we had further problems and we started negative interest, AIDS in Europe and Japan and The-
you'll countries that have tenure yields their negative. Germany is a negative about twenty five basis points. Now and then we had a presidential candidate run on universal basic income and Yang and Andrea GIN clause. I o in the democratic primary process, and now he's running for mayor of New York and talking about he's talking about doing some money giveaways there that money money giveaways. Now the basis in california- and seems to be the tablet there were using. So what I think about statistics over the last twelve months, the United Tony, you mentioned seven trillion dollars, that's what the government says their spending but didn't I tell you- the real amount- be better, bringing the one time items such as well wars there, to be temporary, even going on for endless There's things like that, natural disaster relief, which is always deemed to be a one off to actually
less twelve months. The government has spent eight point: one trillion dollars amazingly fifty six percent of the eight point? One trillion dollars is debt. Incredibly, a fifty six percent of government spending is so called borrowed money. Now it's kind of being supplied by Federal Reserve through a linen programme, that's a huge percentage, so government spending is actually over thirty five percent of our common you right now. So how something of a collectivized com made is gaining a further momentum and You pointed out we're talking about doing more. Ending on so called infrastructure, although It's about ten percent infrastructure, if you got top up riches and roads as things in urban and things like that. So infrastructures become a buzz word for social programmes, which is just continued money printing. Now what it surprises me is that people, wherever that surprised, money giveaways when member Nike brought it up, because
he started, giving money to people in great society programmes over fifty years ago. It was a limited amount of money. Is to limit groove people, but these ideas what to get going, they go much further than his initial e contemplated That's where we are now, you say: there's no inflation, but today the p I came up producer price index its highest reading. In ten years over a year, it came out this different ways. Slicing it, but it came out over five percent will be important categories, your real inflation. is already starting to come. You mentioned gasoline prices which are up by a dollar a Gallagher in California by this. By about thirty five percent last year, lumber prices through them roof real estate prices. Many places are absolutely booming, so thank What understand is when you go into money? Giveaways inflationary programmes is not even across the economic aspect.
There are some categories that get really high inflation and some categories that don't get very much. the ones that get alot of inflation. When start the money printing, unfortunately, contrary to the intentions of these programmes. charming. The lower classes of society? Food prices are going up tremendously. Gasoline prices. As I said, I a tremendously. I saw an article on the blooming, whose wire, today that about calling it, the key, shaped inflation situate. Just like we called it. The key shaped economic recovery of endemic depression. If you well, where rich people have actually gotten lot richer and employment is actually up in the higher wage categories, while it remains very depressed lower categories. There are men instances of money printing through and and are quite a few of them in the twentieth century alone, at
can't find a single one. It just doesn't end with the economic. inequality getting much worse and we in just the same stresses that must be addressed we go back to a free revolution if you will get in the days leading up to the French for years, we have the french revolution went off the gold standard because they had a big jet problem. In fact, a major that problem was kind of us at the beginning of this process kind is today in the United States And so what is happening is that the people there a kind of middle class, become very poor and the people that were poor start to stop this. the real insidious aspect of this money printings and leads to a very significant problems with food prices and food shortages. Typically, and so what is happening is the people that are in control of the monetary printing money, give away levers, We find a way to get rich in there hasn't
actually happens a yet according to us or the french revolution template. It is certainly happening. There is great awareness that, thanks to the tremendous fortunes that have been built through technology platforms and the stock market boom, that has been aided and abetted by this money, printing, You know that we have had much greater wealth in Bali and we have a very big a given in unemployment, still deep, the government likes to report. These statistics is, if we largely recover of from the pandemic effects. But we haven't come close. If you that's what they're doing, I think is dividing the economic assistance into categories like pandemic unemployment benefits and the legs, so that the truth additional measures of economic growth, inflation and employment dont. Really a map over what we're doing today because got new categories.
In actual fact, there are over eighteen million Americans that are on the employee. All that should be in the labour or but on some form of government assistance. Tony that's! more than ten percent of the Labour force Kwairyo with ten percent of the labour force And are being just incentivize with these programmes of of endless of checks, written being incentivize too their lives essentially around not working many people are getting- I've making more from their checks from the government, then they were getting from their jobs if they were the lowering of the economics? Also it doesn't get nearly enough attention is our people, are well above the average income lab the media. Households United States is around sixty five thousand dollars and he's got programme. and are giving money to people, families that are making a hundred and fifty thousand dollars double the me
household income and amazingly the most recent just impulse power. no they're getting so frequent, that's hard to keep track, but the most recent one actually provides a family with three children under the age of six. It's making a hundred fifty thousand dollars jointly is getting. Thirteen thousand six hundred dollars from the most listen stimulus, package, incredible when you think about that. So the money, the money paid, doing and the money giveaways she climbing the economic in ladder and, three days after Joe Biden sign. The act had at thirteen point six thousand dollars with family with that problem While a senator Sumer said three days, it took three days centres, rumours that we need to make these money, giveaways and most recent package, Herman, which remain
two thousand six hundred dollars permanently for that family. That double will meet in household income. So this is this tracks. In the historical experience it means there are leading to greater economic inequality in the way that new dress economic inequality would be to stop Prince money. It wouldn't fix it nearly entirely, but evidently stop you. and gasoline to an already problematic fire. This burning food before tell us where we have people protect in an environment where, obviously, inflation is going to continue to grow? How do we protect heavily benefit from it? And what do you think about seeing JANET yell and reaching out to the G20 in saying yeah we're gonna support Sdr? Let's triplets numbers China seems to be pushing in that direction as well. Do you see us as a reserve currency?
you going away at some stage in the near future, with with your view of that near future, probably not. Ultimately. Yes, when one of the things that is very important to watch in terms of the value of the dollar risks other currencies I strongest correlations is that correction magnitude of our twin deficits, and obviously our budget deficit is exploding. They they say that the budget deficit for the last twelve months. Sixteen point five percent of GDP is, if that is bad enough, but again, and they don't include these off budget items. So in actuality, we, twenty one could well have a twenty two percent true deficit as a percentage of GDP. I think that to protection, let me stress on the dollar dollar. Not always is its business budget deficit exploding and there seems to be absolutely no wherewithal to put the brakes on that at all
but also one things it doesn't get love attention is that accrues benefiting From all of our money, giveaways in terms of the global economy is our trading partners, in particular China, China's drugs, you calm in the world. I mean a lot of It's coming in from China and South EAST Asia, thanks to the spending- is promoted by these money. Giveaways and so not only our budget deficit exploding, but our trade deficit, which was reasonably stable for quite a few years, he's going up in fairly alarming rate, so he put the two together. The twin deficit budget deficit plus trade deficit is rising with velocity that is virtually unprecedented, which suggests that the dollar is sorted? Do it, particularly if these policies continue, which is that which is the base case into Meanwhile, a couple of a couple of things are happening: relative of China and the reserve currency,
You know what I started in this business back in the eighties a long time ago. There were these warnings that source duty system was gonna, go insolvent and it sounded It was way out in the future, so screws it'll be insolvent, like twenty eight years you know in a hundred years and of course, as weeping increased R r, a puzzle you see. The predictions of one so security is gonna, be in solving cheap, had been brought forward at first it was twenty fifty in another, twenty fourth age. Twenty third and I think you're talking like twenty twenty five. The way you got me miles not unrelated to that, although the connection isn't dread. predictions of when China would surpass United States in GDP have sooner I ve been brought forward about the same magnitude supposed to be twenty fourth age. When thirty Not now we're talking about twenty. Twenty eight is the prediction
I will try to have a larger gdp. The United States, plus they have massive savings and even building that there gold reserves and the like and divesting from dollars. Foreigners a buyer treasury bonds anymore. They stopped on that basis a long time ago and they ve been liquid any accelerating rape so these are all signs that China is, the ascendancy where's United States, is in decline and, unfortunately, those policies seem to be well embedded in the structures and how do you protect yourself? Well, I was interesting that the previous speaker, you talked about the concept of server a portfolio diversified across sectors, twenty five percent cached window, percent of physical stuff, like gold, twenty five percent stocks that I actually had the same exact conscript going for the past eighteen months or so examples looking at her, while twenty five percent long term government, bonds, but I dont like them there.
Was about a year and a half ago I would say- and even a year ago I felt there was enough risk of a deflationary collapse that new need to potentially have assets that would protect you for that. As we move forward into the present moment my view of deflationary collapses. it's getting much less sport is getting a lot less convincing. If so, at this juncture, I think I think you might have you would want twenty five percent, in something like real estate. I, like twenty five percent, are used to say, goal actually go with some about in decline and the reason, isn't that I'm a big bitcoin, a fanatic? It's there I think it's an insurance policy. I think there's enough certainly in the world than that. potentially you could have an insurance policy. It's gonna be one is twenty five percent between people, but I think I am
anything wrong, having five percent decline as insurance policy twenty five percent in stocks, which Can the law by me with headed inflation? Increasing commodity prices have been arise, very sharply in the past nine months or so stocks can go up there. You can add a zero to start now. Stocks, a very overvalued. United States burst its history. Incredibly overvalued. If you look at most metrics like you came back, a doktor Schiller's cape ratios is the movement of all kinds of enterprises. You must have the metrics used. You can talk about twenty five them for electricity ass, a peep five hundred are in the top percent dial up, evaluation ancestry out? In spite of the act and sole rebellion. bonds or even more Moreover, that is as with the inflation rate above the bond yield from tee bills. Out of thirty your treasure,
and the Federal Reserve it seems to apply these inflation rate being are yields and then making statements past. Neither unperturbed about the moderate, rising rates it's already having completely unperturbed about inflation. In going above. Three percent was going to do on this yeah you're over here in just a few months- we're gonna be over three percent. They might be temporary, that's what the feds talking about, because there's a base effect you nobody come off of it of a discretionary economic collapse. Like we had and secular last year, you gotta very low base effect It's a lot of things can have a very strong. Your very subtle see if the inflation continues, but when you look at it yield on bonds. You compared to the yield on stocks, there's a its inversion of of serve the piggy. What you get that it has overvalued as stocks are on traditional stock market measures, their action,
we are all aware, average in terms of other evaluation versus history, verses, Treasury bonds to save a ten year term, so is it starts. Look on. Every metrics bonds are actually the actual better than median relative to bonds starts. Now. Having said that, thank you. Your stock market is not a very strong investment or stop work. I think it would be much better off in foreign stocks in for ten years You were a far better off in the ESA. Ninety five hundred than virtually any other stock market in the World United States up formed. Not? U S, markets by about three hundred percent, incredibly triple the richer, and one thing that up when you have extended trends lot times, people say well, this is really extreme, but I was to wait and see that trend. If it's really persistent and virulent
I started to lose momentum, and that has absolutely United States market has not really outperforming the other world markets anymore. If you go back to about two or three years now, the markets of enacting, largely somali, even Europe has been cheated, up with the United States over the past yourself and Europe had been a real feeling. Your field of unfulfilled projects there for a while and still looks like there's some issues as to whether there really you keep together, but emerging markets not doing well in the last few weeks, but emerging markets have stopped under performance so the trend of the. U S: outperforming is no longer a convincing and these other men gets are keeping pace. My view is that when the dollar really does begin to fall in earnest and it has fallen, but only by about ten percent since June of last year, when it really starts to fall, is quite clear that the forest,
more rights for dollar based investors will be far more rewarding. because you will own and appreciate currency, verses, universe's watchers. What you're consumption is is dynamic. So I think you should on foreign stocks. Finally going to that protection, a question again. For his dogs. I really like I really like Asia, primarily because I think the ascendancy of China is is his clothes spread out to South EAST Asia and up that, for me, is, is stopped, worked so you can global Bitcoin little, but a goal be realistic cash I used to like, because I thought opportunely would come at this point we captured by women. Then it was a year ago, but I think ISIS, a twenty five percent cash. Now I say TAT you're so into the real world
commodities look good to me too. It's hard for most people by commodities, the dark guard each. Yes, there are mutual funds, the Essex nice for you. So you really have to start thinking seriously about where we're going with all this money printing. Because of histories, any sort of guide you you need, you need to preserve. Your purchasing power now knew our we're talking about wealth texts now Stan. The motivation for wealth. Taxes there are a lot of wealthy people that are paying much in TAT. That's a real problem, and you know that's been the case for years. I remember the twenty twelve election Mitt Romney was running, and yet she turnovers tax return. If memory serves, is paid. He paid a fourteen percent in context. I made a bow, is much monies Mitt Romney do twenty twelve and I was paying fifty percent in Europe
there's something screwed up when you ve got people and have exactly the same economic circumstances and one is paying basically triple the tax rate of somebody else. So, yes, the taps goods, one huge google of- is incredibly business gene, but
think it needs a total overhaul, not just partial overhauls. We just throw on a well tax, because certain people are really paying the rate, because there's there's shelters, others there's corporate structures set at your carried interests path. You pass through all this stuff, so I think that I understand the motivation for wealth, tax, envy and economic need, with a budget deficit being such a disaster, but I say it complicates it because you, starting with a run the trunk of the trees, already wrought, so we go again tree for how do you think about every? How do you think about protecting your assets with a sizeable environment like this? Or what are you doing? You people move to another country. We were living in a world where the world is.
God these values systems for the most part. What's with you, how are you protecting yourself in a world that seems in saying in this area where the map doesn't add up? Well, I think you need to my case, and you know it was possible position, California, so I got the highest tax rate and the time by the welcome so I have been working to have an escape hatch from California as a starting point. one that is self sustaining. I, like I, like you, significant landholdings that have the ability to change for food law Yes, you about that. One is nutty. Survival is people, but you get to the point. We're. Like I said, Bitcoin is an insurance policy. Also, he used a few percentage. Points could really come in handy under a certain certain future life. Same way, about a farmer
and I think the same way about good the hunting property, in the text to be remote, also end up. People talk about doing ass, an allocation changes. You talk about doing lifestyle changes, but they don't execute them. They did. They think about things about them, the other a great newsletter writer he passed away about, showing you go now. He wrote a noose letter for over fifty Your son was Richard Russell and he was lawyer, California, really interesting, guy budgets newsletter, religiously or a few decades. and he wrote an essay about action, investments most important things, acting, not just thinking about it. Now, with staying in sixty percent stocks and forty percent bonds, just thinking is all going be: ok, it's something you have to do. So I would say we protect yourself something besides really softened we're almost spirits is, is pregnant with meaning you have to actually do something about it.
Ominous ruin a thousand eager property. Mackenzie word it, but you know right now, and that was the culmination of a year's work of research and effort, in planning in it's amazing. How what I learned through that process, I'm not alone I was walking how many of these properties- I looked it ranches at first. I saw it on rejoined you I've, but I will do first and I basically gay but a because I didn't really become a ranch or would it be? It was come a waste of time out. I would find it unattractive, probably call up the rover, usually callable high and real estate broker in the call you back young people, an alert and clay back and twenty seconds. They call me back for dates I think you what's going on here and they copy say, I'm sorry, I'm swapped
like eighteen hours a day on the phone. I've never seen anything like this, so I like this properly here. Go on its under contract. Oh well, how about this one? I am well there's three people really became closely and negotiate. I realized it. I'm just a day like dollar short answers. There's tremendous movement. That's going on earth is a lot. We have all read the surface in people trying to make sense of the the curve also being thrown out where the world is there still opportunity of freedom, and perhaps a secure financial system is such a thing anymore when the world so interconnected at someone with outside EU us. What's the move outside the EU
where the luxury thought about it. I would assume, went where the world authorities yeah, I'm afraid. Unfortunately, this this chapter in history is leading to theirs. There could well be great place to hide mindful of JANET Yellow, MR earlier? She wants a global tax yeah right after about them. Now that, that's really disturbing sign. Because one ways that is as bad as our time. Station system is one of the things that keeps going totally out of control. At least other countries have lower tax rates since a little bit of a competition that Gaza writers is lower tax areas, Donald Trump, Lord ART Corporation, three to twenty one percent, making us competitive. If we rise, if he raised it back up to twenty eight percent, then, would have to be compared. So what do you do when you try to encourage the rest of the world to have a minimum tax
as to how they were spot right now in terms of our global position to be dictating what other countries should be doing. Certainly, China's that's for sure don't think we're in that position, but it is it's always troubling. Once the dialogue starts and somebody kidding about it, So is there anyway to hide? I don't know, I think I think, for the being you just want it escape hatch and from for me, still, I'm still. Ok with the United States, people tell me the New Zealand choice. I haven't researched it, but I'm also told they're getting a little bit less comedy of too many people are trying to work to find. That is as an alibi It is at its troubling you it's. What we will get to, I think
a lot of volatility, a lot of problems in the next several years, and I think we will then have truly a moment that we decided we need to restructure- and this is this is a long term problem has been going on in history- is replete with examples and the many philosophers. The thought of why these things happen and what them was Karl Marx. Now Karl Marx was not a communist state; they they overtook his ideas and he actually late in life. Said of this is that, if this is welcome, this is not a communist. It was really a political philosophy and he wrote the brilliant essays about how there is basically productive capacity or the means production and you can have tremendous innovation. The telegraph, railroad radio tell him
internet social media. They can have amazing advances and very compressed timeframe, and its shakes things up a lot in terms of how the what's produced How, then, there's also the property relations? Is Karl Marx calls a mess, it's a organization. That's how do we split things up out who benefits from the reward? the means of production. How do we tat how we organise government and all the stuff and unfortunately, while the means of production can be revolutionary in terms of the way they change the Relations are, by design almost calcified, because the people who benefit from the poppy relations. Dont want to change it to change, because it's difficult to undo always asylum complex, but they dont want to change, because the people with the wealth and the influence, not surprisingly wanna keep. So as the pressure bill,
I'm reorganising the proper relations, the hours that have the most ability to effect that change resisted it exactly the opposite. of what would help to make it a more peaceful transition and ultimately the tension between the rhetoric. the evolving means of production and the council. Populations becomes so big that you just half of low it all in and start with the system. That is more in line with the newly evolve, rub revolutionized by means of production that's where we are this great love that It was written in Nike nineties. Midnight tonight is by a man named Neil. How at energy spoke of all this. I am, of course, become friends with the guy when I met with him for the first time, I tell you if we go now, we talk about his book before turning, he predicted
the financial crisis in that book be predicted that there be a global actor. Is based upon. Demographics alone is a leading Oliver he kept, it will be in the middle of the old house. That's pretty good right, so He talks in terms of four turns the first turn Is the new system at least to tremendous harmony, belief in institutions and a platform for a terrific society and growth spread, but as these incidents it's like hallmarks is you go through. the evolution you get to the fourth. Turning where the system, this isn't working any more and it has to be reinvented- and I We deeply believe that that's where we are, I I've been twenty sixteen from famously before the primary starting set at the barons. table? Donald Trump would win. The elections was, thousand one odds and abetting market at that time and Then I said you know what you want and twenty sixteen. I said if you think that
elections were twenty. Sixteen wait till twenty one. I think I was right and that British, because, as agreed pretty weird election. I'm double down, diva think twenty twenty was we're. You ain't seen nothing The economy is really important. Taunted economies not out of the recession, yet I know that we ve had huge growth based on government spending. For a couple of words but I've gotta give away looking economy them with the teaching in high school. They said, a recessions over one. You two quarters of positive economic growth. I don't think that's right. I think the processions over when you go. to a new high. You take out the old high economic growth. We we'll have about a trillion dollars of GDP that is made up for get back to where we were prepared to emigrate and when and of economic growth, we have completely. Bubbles, of course, is just it's. Just demand is going to our trading partners.
And with a risk. Lots in the near future is that, as these stimulus programmes have become relatively common, I think people are going to a difficult time taking away. I think that people who lying upon discovered. Money have been getting it enough times and for enough length of time that they probably won't be able to choose easily adjust if those programmes disappear, so in a certain sense, I think that we have we're on our way to, universal basic income and wealth tax, almost remit? Maybe it's by doubt diabolical design, or maybe it's just a consequence and unseen consequence of what we ve been doing exploded about budget sets it so much with these money, giveaways and there seems to be no end in sight amongst other couple trillion starin at your peril and on the tracks coming right for us, you know, and that creates
this massive deficit, that some What you ll several we gotta do something about this deficit. We gonna take the money from the people that have the money so a weird way. We put the cart before the horse spiritual well, tat: you do, you know so basic income, we did universal basic income. I think to find our way into stronger support for wealth. Experts still don't think it's a strong polar, but if it like it might get to it through the majority opinion. Thank you for that. Even before the spending, when the concerns I have talked to hold, the presidency has the last time was with Obama. One thing we have this technology, the wealth gap partially. Is it not being driven by technology, because laborers
less than capital at this stage and you're, seeing this transformation, it's happening with a sigh with robotics with our guru them and we used to think over. That's gonna be in a blue collar jobs, but if you look in the manufacturing industry, obviously we ve seen that happen. We see in the service industry, because you look around I'll start saying to the president said indeed to them as a refined million jobs that we're lost during the great recession and there's five million over drivers, taxi drivers and truck drivers. Have you took one technology? All you took what is self driving trucks in cars and when is it going to happen three years five years, ten years, certainly within ten years, what company is going to pay someone work eight hours a day who complains and give them a health benefits where they can cover truck the drives twenty four hours a day and they can write it down. So I said you know you look at this and then Europe will know in your interest rate right. You know we see the quad what's happened to have seen these giant patch funds, the number of people cut by a half or two thirds in some cases, so guys making a million dollars years, not a book on workers
It has been transposed by so the answer I keep hearing you be. I you be I, but you, and I know enough, but humans, that no matter how much you give them, it's not possible, meaning. We don't need money. We need meaning something that we feel like our last matters right While these answers of you be, I just don't, buy it and I'm just curious. What do you think happens and that scenario, because you know you look at we used to be what eighty percent farmers and yes, we went from eighty percent of four percent or three percent farmers. We feel the world, but that was over a hundred years. The curve on this as you and I both know, is like that. So to me before, all the spending now with my biggest concern is like now is the time to retrain. These truck drivers show people to be productive. No one is doing that. I'm curious what your view is about the disruption of technology to waver in and what has created as well.
gap. Is it really technology or policy? What what your view? What's the solution in your mind, you set it arrived sources. I am certain that technology is at the centre of allowed. These issues that your beer, bringing up No one would think it was a benefit from all this robotic since technology and stuff is Is it really kept inflation away? Yes, you. Certainly wage inflation at Edinburgh. Turning into a problem in essence is serve, explains part of the trump phenomena. But yes, if you will limit, is what once you get self driving vehicles, it's a massive unemployment problem. There are some differences,
so many right and it's what we spend one. That is not really a. You know: science fiction anymore. It's here, you see these things drive around two years ago. I was five years ago. I did it speaks of Big Conference Boston and I saw the school car and they had a guy in it, but it was driving itself. driving down the highway there in Boston, thirsty in the union seventy five percent of the jobs are drivers. I mean It is a massive problem, one of things that. Wasn't it fairly clearly driven by, technology, we ve massive monopolies that have been aided and abetted by the structure of the government are we also it, but you? U mentions retraining or, or focusing on training that is just amen to that, because we have set? broken up occasional system in this.
country and its is so sad that we could get into a time she'd go back fifteen years and restart. Evolving. Our educational system because there are people, dont have like trade schools, we don't have been trained skills our words like every other parts of the country- but here in southern California. If you, if you were given Dishwasher breaks down and you call repairman a guy shows up every time is a russian guy phds and stuff there, the incredible their incredibly train in basic work. and our educational system is got screwed up because we ve got it. We ve got this idea that the ba you know in in Oh culture studies or something the american dream, and these people get out of debt and the system is designed to
in facilitate higher tuition through the student programmes are basically issued by the government, and people are coming out with me we know skills, I mean I had. I had a receptionist that went to Harvard a few years back. It's just amazing, so that's all restructuring is society. We We need to get also love. This idea that the american public, now pulls very strongly that they think funding public funding for schools should follow this. Do not, the paper, because what geography eager zip code you you get so much funding and for the public school at the funding choice charter, schools of Rosalie Superior outcome, and public schools with particularly in the inner cities, its criminal, that these people, dont. Have any educational opportunity did wonder?
consequences of our welfare system that is so troubling to me and with them in our spanish. Another is likely to make more travelling, is we basically made a pact that was simply well intentioned back in the sixties, but the pact was if you're an inner city, kid well Did you see person? Well, yeah! There's no opportunity for you ah appears old, couch, Salvation Army, and here is the six pack caps blue ribbon sit on the couch drink. Your past blue ribbon behind shut up, you're, not gonna, marry but surely and your children are given the opportunity either. Savers, generational attacks, passing lack of opportunity based Some ways decided structure. We need to change them, I like the fact that the american people now seems to get. You seem to get that through something. Something sort of wrong with deep the government control education system. That is not fear at all schools. Are not people at all You're gonna have publicly funded education,
schools in the inner space to receive as much money per child is schools elsewhere in the EU have quality education, you can tell I really am passionate about this place If I want to do what we need to solve its problems, but also the school system now at least the university systems has into created this. What are the challenges I perceive? We haven't enough. You agree is we have a capitalist society and we don't we teach me, will be consumers to be gobbles. They don't have a perception. I need to find a way to add value. I should just have not equal opportunity but equal outcomes who can disagree with people educational opportunity? I can't see anybody who disagree with that. Leaders to close down public schools and send their own child child to your high in its work never been closed It would be nice if there's enough education of the electorate, people realised that there,
I'm sure politicians have always been of certain milk and the pilot phase of hypocrisy through history politicians, but this gets people scope, pretty bad. I'll bet, you do, as I say, not as I do, but if we judge We could somehow agree on one major issue that could make a difference. I think its educational public education is being handled. It will discuss a common goal. We ve goal, we ve common problems, we ve commonality and we will get. There is just a question of how bad attention has to get fully realise that were better off together then we are fighting to would it be if it isn't over simplification and generalization, but I'm always said with the optimism being you that what always follows winter and spring and that we were in the midst of winter. It's pretty dark and it can be pretty intense. No one knows for sure. Without going to look like, but as the for turning shows, then we come into this new system with a new level of trust.
Your connection, once we go through the hell is that is that we give you optimism, is the master? Is better than the present because the present is hitting a threshold? Is as you said, is brought in simples. That isn't maybe the most important part of the conversation for everybody here in that many people are waiting for the perfect action, as you know about no there's. No such thing The fourth turning I interviewed emanates I'd eighty three bone and help them sooner, but people for almost three decades were both equal vans and better. You ve been so wonderful. Your time and
This has been a very stimulating and disturbing, which is important because without being disturbed, people just keep doing the same shortages that they think about it. They talk about it and the action, as you said, is brought in simples. That isn't maybe the most important part of the conversation for everybody here, in that many people are waiting for the perfect action as you and I both know, there is no such thing I'll talk to you about investments that, if, if you know everything about the investment, the upturn is already gone right, and so that's what people looking up use imperfect information to make the best decisions we can an ugly diversify enough to make things were Jeffrey you. basing you ve, been soldiers with time blessings to thank you for all. You ve, given us, of course to the ten year olds, Pakistan's directed by turning robins and produced by the time of his tea cup eight robins research international
Transcript generated on 2021-05-15.