Rudy Havenstein: Lessons From The Reichbank’s Raging Beast – The Need For Monetary Restraint

Rudy Havenstein is a senior market commentator and former Reichsbank President who currently runs a Twitter parody account where he documents what's going on in the world of finance and educates people on related topics. He is inspired by the similarity between the issues of his time and the issues of today, such as inflation, and hopes to warn people about the dangers of fiat money. Havenstein believes that this generation is like a group of grandparents taking the whole family out to dinner and skipping out on the bill. He quotes Thomas Paine, who said, "If there must be trouble, let it be in my day, that my children may have peace," to emphasize the need to address and resolve issues now for the sake of future generations. Havenstein discusses the difficulty of having civil discussions about polarizing topics, as people tend to become overly emotional and divided over even small issues. He calls for logical and calm discussions and warns against the influence of cable news and clickbait in pushing people to extreme viewpoints. He criticizes the current administration for picking the wrong people for positions, regardless of party affiliation, and emphasizes the importance of being aware of tribal emotions and discussing issues in a meaningful way. Havenstein also comments on the role of the media and individual responsibility in understanding and disseminating accurate information. He believes that objective and hard-hitting journalism is necessary to get an accurate picture of what is happening, particularly regarding the activities of the Federal Reserve. He discusses how quantitative easing (QE) and low interest rates benefit asset owners and the wealthy while leaving the average person vulnerable to price volatility. He expresses concern about the decline of the middle class into poverty and the reckless spending of the government. Havenstein believes that the Federal Reserve has an abysmal track record as a big bank regulator and blames Congress for not thinking about the long-term consequences of their actions. He also expresses concern about the potential for deflation and the unchecked money printing power of the Federal Reserve. He touches on the issue of wealth inequality and how quantitative easing has exacerbated this problem. He mentions various experts who have commented on this topic and believes that the government's priority has been to bail out the stock market and benefit the rich. Havenstein concludes by discussing gold as a potential hedge against instability and the trend of Indians, Russians, and Chinese buying gold to protect against local currency instability. He also discusses his own experiences with investing and offers advice on taking risks and not investing essential funds. Talking Points From This Episode * Internet discourse has become very divisive, and it's important to permit disagreement while remaining civil. * The Federal Reserve should be a target of criticism, but the public is often kept from getting an accurate picture of their activity. * The American people must acknowledge the problems of the Federal Reserve and hold them accountable in order to reclaim their power and financial freedoms. Time Stamp References:0:00 - Introduction0:31 - Rudy's Staid Pedigree4:14 - History & Polarization7:45 - Nuance & Verbal Skirmishes8:25 - Online Discourse & Wars12:34 - Janet Yellen's Bubble16:31 - Inflation & Real Costs19:46 - Manipulating the Verbage21:20 - Absurd Financial Angles25:30 - Central Bank 'Purpose'30:50 - Deflation & The Fed34:32 - Leverage & Bond Auctions36:39 - No Fiscal Restraints38:41 ...