Peter Schiff vs Obama's Stimulus - 3-25-2009 on MSNBC

[nihonjon]

why do they have a woman on this show? she contributes nothing.

[lbaumy]

God, I love Peter Schiff. He's possibly my biggest man-crush.

[poklzhou]

Schiff pretty much engaged in a monologue, giving no direct responses to the suggestion of his views being "politically unfeasible", iterating his Austrian economics every time his gets a chance to speak.

[zenyricardo]

Its funny how the lady shuts up for the most part.

[skyriderize]

America. Consult with UR founding fathers. The ultimate spirit

[AbovetheNorm10]

''WE NEED TO MAKE COMPANIES FAIL AND DEAL WITH THE CONSEQUENSES''

Amen Peter!

[69vmac]

I am afraid that the stimulus plan not only failed (based on the unemployment rate as of 10/10), but put us $900B more in debt. I think the national debt is a serious issue. Once the Fed can not longer keep our bond yields artificially low, the interest payments on the debt will crush future budgets. I recommend "Why We Are In So Much Debt" for a succinct explanation of our monetary problem.

[aviomaster]

Financial Institutions in USA who existed for 80-90 years Now went bankrupt in March 2009 ...

Goverment bail them out , and these executives and managers in these firms made record profits in 2009 and got record  BONUSES ...

CAN someone understand THIS , I need explanation.

[chev39rsh]

Ludwig von Mises institute, google it discover real economics based on real worth.

Austrian economics is explained. This economic disaster being spread by the FED and printing money is all based on Keynes total misconception of economics is based on the rich getting richer bleeding a nations worth.

[peejaa]

One Smart Guy!,,, i would like to have his magic ball!

[mikfature]

Peter is too optimistic about government doing the right thing...... They won't until the very end when all around them is rumble. Then government will truly bring "CHANGE"!! Until then we'lll have to watch this train wreck in slow motion.....

Good luck america....

[Yelena335]

Baraks Health Care Legislation, Do you back this administration bill? Visit my tube channel and See just why Y0UR opinons are important !

[shakaama]

How is it that morning joe GETS IT, that ... the fox business guys GETS IT, but ... what's that show with the asian bimbo and yes she's a bimbo, fast money... DON'T GET IT AT ALL.

[PresidentRich]

The Brzezinski girl looks so stupid sitting there and watching the men talk.

[ArgueExplain]

Question: Is there an alternative to Keynsian (sp?) economics? The idea of increasing government spending to correct a down turning economy sounds like adding more force behind a wave to keep it from subsiding.

[emp0rizzle]

Yes, it's called Austrian economics, which has it's roots in classical economics.

[moybutter]

Or Common Sense economics as I like to call it.

[PresidentRich]

@ArgueExplain Austrian economics lead by Mises, Hayek, and Rothbard.

[hagj29]

I find it funny how this MSNBC show only showed clips of him being right and Fox News contributers being wrong. To be fair, he was ridiculed by CNBC on several occasions only to be right in the end. Just a funny observation.

[txkoz]

a shame how he is bashed for being absolutely right

[abruzz0]

Subprime is tiny. Subprime is a tiny, tiny blip. Mr. Schiff is simply wrong! The financials, as I keep saying, are just sthuuuuuper bargains. MY EARNINGS ARE HUUUUGE. WHAT ARE YOU TALKING ABOUT? I have the healthiest heart in America because I'm so optimistic! *fills up the Hummer to go on an all-day shopping spree*

[visionvictory]

I could watch this everyday :)

[pretorious700]

Ben Stein=total clueless buffoon

[pretorious700]

I wonder how that smarmy ass Mike Norman feels now?

[robinsl27]

I bet you Meeka bryzinski was uncomfortable considering her father zbigniew and his band of goons are standing behind all of Obamas Foreign/Economic policies

[hbsegura]

The housing bubble was caused by predatory lending, government being lax on regulation of mortgages and derivatives, the government allowing the repeal of the glass steagall act which allow banks to merge with investment banks. Thereby allowing them so get more powerful and unregulated.Wall Street is not the only one at fault, it was government, but then again Wall Street owns government..

[Kearneyfooser]

The core problem with your argument is that you assume more regulation would have done some good. The regulators were forcing banks to make the bad loans. You can put as many cops on the streets as you want, but when the minimum driving age is 6, and the speed limit is 95, bad things are going to happen. I do agree however with your Wall Street owns government comment. Very astute.

[dishman1966]

Stupidty and buble psychology combined with easy money. It wasn't greed. If you were greedy, you wouldn't loan money to someone who couldn't pay it would you? If you were greedy, wouldn't you loan to someone who could repay it and could afford the payments and who was low risk?

[ArgueExplain]

Would you say that the housing sector got what it deserved from it's predatory lending? It seems that we're saving them from the problem that they created.

[amileaboveyou]

Peter is so correct with his analysis of what needs to be done.

[stevemcgee99]

This is one of the best interviews I've seen Peter get. Joe seems to have his gears turning.

Meacham - Joe had it right. It's not an 'ideological' argument, it's the bottom line.

Government intervention in previous crises, over the past several decades, is the cause.

Jeeze, two other guests and all one could do is hold up a paper with some photos, the other could only say "it's too hard to do the right thing. People wont' like me if I agree with you, Peter..."

[Honkyrappa]

"politically unpopular" MY ASS. The voters are out protesting this bullshit.

[a7241982]

That's something that cracks me up as well. Business cycle. Since when in any point in history has it truly repeated itself ever. Yes parts do look close to the same but their not. What worked for the Great Depression won't work this time around obviously. My opinion is build roads, wind power, smart power grids, geothermal, solar power, hydro electric and wave power stations every where for 6 years as fast a possible to get us off oil and coal so we can export our coal.

[putittogether]

a7241982 - You have to be a complete fool if you think the government is going to that. Lobbyist write the laws not congressmen. Fool.

[stevemcgee99]

Well, it's actually foolish to think that any government program that consumes wealth that doesn't exist to fund projects is going to help the financial crisis.

By the way - WWII did not get the US out of the depression.

After the war, government controls (regulation) on the economy were reduced by more than 50% and taxes were decreased at least 30% - can't remember the figure.

Also, a REAL workforce returned from overseas and was 'allowed' to use the freed up resources to start working.

[moybutter]

You are incorrect, WWII did get us out of the depression. Unemployment rates did not return to pre-Great Depression levels until WWII. That's a fact.

[stevemcgee99]

Yes, it's a fact.

Are unemployment rates the only measure of a Depression? So, let's kill all the unemployed?

5 million unemployed in 1940. 10 million drafted into the military, many more 'volunteered' to get better assignments.

Teens and the retired, plus women, then were made to work in factories producing WEAPONS.

Is the economy of N. Korea desirable?

My rates above are wrong - Spending was reduced by 70%, taxes by 30%.

Why no 'depression' after WWII solders came back???

[Panpiper]

"...so we can export our coal."

LOL!

[a7241982]

Do you have any idea how much coal we burn in a year? How much of our power comes from coal? Then how much other countries without things like nuclear power will pay for it. Not billions of dollars, trillions of dollars. Look it up you ass. It will surprise you.

[a7241982]

Come jackass look it up. How much money could the US make in coal exports if we cut our usage in half. How many trillions could we export. It's called the trade deficit you ass and it's killing the US slowly. If you don't know shut the fuck up.

[a7241982]

do i agree with everything that is going on? no but i do believe in things like universal health care cause it is more cost effective. Universal Education would get alot of college kids like me out of the job market and into school more so you get 3 pluses. HIgher college graduation rates, job employment goes up cause more jobs are available and 3 mom and pop can pay for the home instead of the college bills.

[ForOrAgainstUs]

If people stop spending and start saving, they will soon invest it in ventures in which they are willing to take a risk.

The Fed is putting the cart before the horse. Usually, when people start saving, banks (via the market) lower interest rates to encourage lending. People have the capital to pay back the loans if they fail, but they are much more weary about what they are investing in.

Instead, the fed lowers IR to encourage investing, which causes bast investment strategy.

[PAYNE227]

This was fun, watching those two liberals not saying anything that amounted to anything(not Joe), afraid to spout that liberal philosphy, give it away doctrine. Peter has been saying the correct things for years but no one in Gov. will listen to him. This finicial mess is the biggest fraud that has ever hit this country. Most of it could have been prevent if the proper steps were taken early. I blame it on Gramn in his 1999 deregulation bill. The FBI needs to do lots of investigations.

[kirtokosseamrica]

down with the GREAT SATAN

[kac56]

why do any of these people still have jobs?

[rlmbati10]

that was amazing....and sadly, very true as well

[audioX1]

schiff is right

[newtonbrook]

I am depressed.

[humaner]

Bottomline is we don't need any more salesman selling us little stupid stocks save your money ,farm ,work on selling real goods together but don't give money to any stock market casino slut salesman.

[areuseriousbuddy]

I have a question. If this happens and people stop spending, and we start saving...what are we going to produce? who are we going to produce for? the middle class of china and india still aren't anything of significance....and everything that is manufactured is done for the lowest possible cost, which is always in places like thailand, indonesia, china and india....I think almost everything he says makes sense...how much will americans drop their living standards??

[BrettBSchwab]

The problem is twofold. One you have a flood of more the 8 million illegal aliens taking low end jobs, and two, the unions are a passé concept. A grease monkey in Detroit making $72/hr or $145,000 a year is an example. The only cheap labor we have is all underground and not paying taxes while every American believes they are 'entitled' to own a home, and a swimming pool. It's become the land of entitlement and is no longer considered the land of opportunity.

[putittogether]

areuseriousbuddy - The whole idea of the Fed and government now is to prevent just what you are saying. By forcing China, India, Indonesia, etc., to accept our weakened dollar and there by forcing them to lower their currency.

Think of it as an inverted bell cure, it is a race to the bottom and we should both meet in the middle. This is how we will establish a truly global market. So yes Americans will have to live in object poverty for a LONG time, they just don't know it yet.

[BrettBSchwab]

I agree, you missed my sarcasm...

Hold on to you hat.

[ForOrAgainstUs]

If people continue to buy from China and India, their standards of living will only increase, raising the value of their currency and making it cheaper to buy domestic.

The problem is that in the short-term, our standard of living will go down in order to meet demand for low-cost goods. However, in the long-term, everyone's standard of living goes up due to increases in efficiency created by the necessity to compete in foreign markets. That's why recessions are painful but necessary.

[BrettBSchwab]

Yes, but I don't think that equilibrium will be reached in our lifetime; I believe that is still two to three generations away.

[comicus211]

Peter Schiff is simply brilliant. Everything that man says is just common sense. I wish more people would get their heads out of their asses and listen to this man.

[dejahthoris]

who the hell is peter schiff? never heard of him

[a7241982]

except in 1938 when the country went into a year long recession was caused by and you guessed it when roosevelt listened to retarded republican adviser who said to cut government new deal funding. CHECK AND MATE BITCHES.

[xiao917]

the depression didnt truly end until the end of world war 2 when the US de-mobilized; taxes were cut and overseas spending were reduced.

A depression hit in 1921, the government intervened minimally, wage rates were permitted to fall, and government expenditures and taxes were reduced. The recession was over in one year.

[a7241982]

It wasnt a depression in 1921. Also how they got out of the recession was that they allowed this thing called "buying on margin" up to 90 percnet was allowed in 1921. That means they relaxed the banking and stock market rules in 1921 to allow the bank to loan 10 dollars for your one dollar to buy stock. This led to hyperflated stocks. This bubble burst and since the banks owned the stocks the banks became insolvent and people lost their money in the banks. So yeah the government screwed up.

[a7241982]

Same thing happened after 9/11 they relax the banking and stock regulations in order to quickly restart the economy after a short recession and bamn they put off the apocalypse for 8 years. If both had done the right thing and tightened or kept regulations the whole problem can be averted. Banking regulations need to be put in place to keep "shadow banking" from popping up again. 18 percent of American wealth disappeared in 2008. Right now after this year 7 percent. Hes turning it around slowly.

[NICKaspires]

So many people like you don't look further than "omg, people are greedy!" In the 1920's it was the gov't through the federal reserve, that artificially lowered interest rates so that people could bower so much, causing the boom. Then when inflation started becoming a major issue, they started contracting the supply of money and raising interest rates. Thus causing so many people to realize how stupid their investments were and causing the depression. GOV'T'S FAULT! They created the environment!

[a7241982]

Totally agree. The American Economy and American Government are tied together. Government go us into the depression government got us out of it. People say well massing government spending prolonged the great depression and WW2 got us out. Newsflash the military is part of the government so if they think ww2 got us out well WW2 led to massive government spending on the military. Both massive government spending eitherway. Check and mate again. Anyone else.

[NICKaspires]

But what you're failing to realize is that if the original government intervention - which is the monopoly on the money supply and creating credit out of thin air didn't exist, we would not have these booms and busts at all. The business cycle is not a natural cycle. It comes from the artificially tampered interest rates, which lead to massive credit creation (credit which would have never be created in a free market). This surplus of credit inflates prices and creates the allusion of wealth.

[NICKaspires]

You cannot create wealth by printing money. Wealth is created through production and capital accumulation. Today, no one accumulates capital, (no one follows capitilism) they create "Capital" out of thin air through loans, because all we ever do is exponentially create more and more dollars. Then we spend these dollars consuming products from around the world, destroying wealth (Since everything we buy instantly starts depreciating and we're doing all this with borrowed money that has a cost).

[NICKaspires]

Getting back to the business cycle, all this new money distorts the natural pricing system in a free market, and causes people to inefficiently allocate good capital - real capital. Because so much credit out of thin air was going into housing, house prices skyrocketed, and then more money went in, and then more and more and more. And as the prices rose and rose, credit was injected more and more.

[NICKaspires]

But none of this would have been possible had the government not artificially lowered interest rates to 1% after the tech bubble burst. We didn't feel a recession after that bubble because so much credit was printed and injected into the economy. Paper that is worthless, that made things inflated in price. Now the market is trying to recorrect housing prices and stocks that are over valued. The gov't solution? PRINT AND INFLATE EVEN MORE! It won't work, it will keep putting off a worse recession

[a7241982]

the year the new deal started the gdp went up and unepmployment down steady for years

[a7241982]

guess what the new deal worked

[a7241982]

People said the new deal was stupid. Wake up.

[peejaa]

Smart man!!  ( Bush Fucked up & obama is fucking it up even more! ) .. Wonderfull!!

[BrettBSchwab]

This question pisses off most liberals but...

What exactly is it that Bush did to cause this?

[melonbarmonster]

Dude, are you a drug addict or just ignorant? I voted for Bush but he gave needless tax cuts to the wealthiest income brackets which added fuel to the fire of overleveraged investments based on predatory lending. But mostly the crisis happened under his watch. He didn't do anything leading up to the crisis and did nothing when it happened when the subprime mortgages starting falling through and further did nothing as Lehman, AIG and other corporate investment companies started collapsing.

[candidskeptic]

I love the ignorant calling Peter pessimistic and not a "laugh riot," mocking which they don't understand.

Peter Schiff's causal relationship for our economic problems is very logical. He's just too complicated and thorough for the simplistic-minded supporters of Keynesian economics.

we need to get passed this political correct bs that deceives and blinds the masses. the assumption that big government is absolutely necessary is delusional and extremely troublesome to individual Americans.

[BrettBSchwab]

Most Americans can't even tell you the different branches of the government, much less what they do. How can we expect the American people to understand economics or world politics?

It's very sad how ignorant the American people are!

[ZeusOwnsYou]

That statement alone is ignorant. There are a lot of intelligent Americans. To put them all in the same bunch is ignorant.

[BrettBSchwab]

I'm glad you have such faith; it must be comforting. Recent events prove otherwise, including the election of Obama and his ridicules attempt to prop up a fake economy with bailouts and spending programs.

[BrettBSchwab]

I've been reading Peter Schiff for years; he's a visionary and realist. The American people must stop spending and buying. America lost its manufacturing decades ago and became a nation of consumerism. Peter Schiff is right, the government is only making things worse, but Americans only want to get back to their Monday night football.

[eksdem]

When will Obama get rid of Geithner, Rubin and Summers?

They are members of the GANG OF IDIOTS who got us in this mess under Clinton.

Along with Greenspan, the GANG twisted arms of people who wanted to regulate derivatives and made them shut up.

Read the NY Times, tinyurldotcom/45aeu6

10/9/2008

The Reckoning, Taking Hard New Look at a Greenspan Legacy

PETER S. GOODMAN

"Proposals to bring even minimalist regulation were basically rebuffed by Greenspan and various people in the Treasury,

[codeman1979]

News flash we are all together in this. If the US goes down the world is comming with us. Further more Europe, China, Russia are all in worst shape the the US

[OneManAndHisFiction]

This current crisis is really the "Tragedy of Limited Liability".

The Free Market was seriously dented with the establishment of the Government-private Cartel in 1913 called the Federal Reserve Corporation, and then was killed off in 1933 with the bankruptcy of the United States Corporation.

[Epic878787]

"Tragedy of Limited Liability"

I think I agree with this. When we remove risk and reward the system fails. If we are guaranteed jobs, eventually we start showing up drunk. If there is the FDIC we don't care where we deposit our money and the banks, naturally look for the best return(highest risk - but no risk for them because it's not their money) and so on...

If there is no risk there is no reward. If there is no failure(via bailouts) there can be no success.

[casperseezu]

I agree 100%

We are fucked. Yay for some states declaring sovereignty.

I leaving.

[vision244]

"I don't live in the US." No wonder you don't know what the fuck you're talking about. Mind your own business. You probably should focus more on where to find bread in your third world country.

[everst]

you got ownd!!1

[vision244]

For the record, I include you amongst the list of total morons that should be deported. "Let's not do anything but stick our fingers up our asses and hope it all just goes away." Your camp is blind. GTFO.

[vision244]

Wow, you're pretty clueless...I'll tell you exactly what wealth there is to spend...that belonging to the wealthiest Americans...the same wealth that Bush stole from the middle class and put in the wealthiest's pockets. The reason you doubt government education is because you failed to pay any attention in school. Anyone who doubts investing in education, health care, and energy independence is a total moron and should be deported.

[Pute]

I'd like Schiff for British PM

[cepivon]

Joe, you are WRONG! What the PEOPLE want is THE TRUTH. Americans, yes, we can deal with the TRUTH, if we know it, but there is so much lying and hiding going on in the FED and in the Treasury it's sickening!

[lvecsey]

"I doubt it" lol

Here we go again..

[vision244]

Wall Street got drunk on Bush's tax policies that allowed the wealthy to hoard the wealth. The Government is now spending money on investments in sectors that will build the economy in the future...education, health care, energy independence. Schiff is close but got it wrong.

[Claytrainor]

i feel the same way about you.

They're spending money they don't have. You have a $12 Trillion + debt, and all of this spending is building up a HUGE deficit.

If you lose your job, and are in debt, does it make sense to go out and max out your credit cards on "energy", "Education" amongst other things?

NO!

You guys don't need all these wonderful socialist promises, you need the harsh reality of a recession.

Spending will not save you from Bankruptcy, sorry.

Peter is dead on!

[TheEvilDetector]

"Get me back to Disneyland. I want the life I had a year ago"

Priceless

[stealinator]

I dont care what anyone says. Peter is a stand up guy!

[KodoTheShoe]

who's laughing now.. Ben Stein; I used to think you were an Intelligent man. Now I realize you're just a box of Trivia. This is vindication and Schiff has to be smiling ear to ear over this one in a morbid sort of way.

[OneEyedPony]

This has to be one of the best "roundtable" media coverage and absolute logic of what is truly going on by government and their controlling banksters.

Excellent message of the financial truth and government's spiraling down Kenyesian Crap.

[ALIPAC1]

If the media and politicians had listened to Schiff and Celente years back, we would not be in this crisis today.

[ariaane]

Who is that guy laughing at Peter in the beginning of the video?

[jortizz]

Mike Norman...he has his own Podcast called "The Economic Contrarian".

[ariaane]

Oh yes- that kool aid drinkers name rings a bell!

Oh yes- I recall that video of him whining about receiving hate mail from Schiffs fan after the Peter Schiff was Right video became very popular [laugh]

[Naughtyjug]

WOW!!! As usual......Peter is a mountain of lucidity and common sense. Peter Schiff for Treasury Secretary!!!!!!!!!!!!!!!!!!!