Economist Reveals How to Turn Political and Financial Upheaval to Your Advantage

November 16, 2017

WRITER

Economist and bestselling author Harry S. Dent, Jr. joined Glenn on radio Thursday morning to discuss his new book, Zero Hour: Turn the Greatest Political and Financial Upheaval in Modern History to Your Advantage.

Listen to the interview above or read the transcript below. Here's the teaser for his latest book:

About the Author

Harry S. Dent, Jr. studied economics at Harvard in the ‘70s, but found it vague and inconclusive. He became so disillusioned by the state of his chosen profession that he turned his back on it. Instead, he threw himself into the burgeoning new science of finance where identifying and studying demographic, technological, consumer and other trends empowered him to forecast economic changes. He is a lecturer, bestselling author and founder of Dent Research, which publishes several influential financial newsletters.

GLENN: All right. I've got somebody that's going to scare the hell out of you.

STU: Wow. I can't wait.

GLENN: Yeah. Yeah. Kids will mess with the environment. Actually we're looking at priorities. Harry Dent is the author of a new book Zero Hour, which I've read. And it will scare the hell out of you. Scare the hell out of you. Because it has a lot of charts and graphs and everything else.

Harry has been on with us many times. He's the guy that predicted the 2008 struggle and what we're going through right now. This is a book on how to turn the greatest political and financial upheaval in modern history to your advantage. Harry Dent Jr. is with us now. Hello, Harry, how are you?

HARRY: Oh, hi, Glenn, good to be back.

GLENN: So, Harry, I know you have a lot of charts and graphs, but I have a lot of questions that I think you're going to be able to actually answer for me.

There is a story that I saw on Business Insider and a couple of other places today, that the stocks are flashing ominous signals. Not seen since the financial crisis. And one of them is the -- Stu, help me out. The Hindenburg omen. And the other is the Titanic Syndrome. A, do you find any credibility in either of those, and what do they mean if you do?

HARRY: The Hindenburg, yes, I do track that. And there have been many, many more signals on that. Much more than usual. That is not a guarantee of a crash. The more important thing I've been looking for, Glenn, because you know I've been talking that this bubble is going to burst at some point. It's going to burst violently when it does. It's the only way it happens in history. The Dow transports are tanking while the Dow Industrials keep edging up. That is a big diversion, and the small --

GLENN: Wait. What does -- what does that mean to the average person? Explain that.

HARRY: Well, it means -- okay. If the industrials are going up, it means, okay. We're still producing stuff. But the transport is not going up. Yeah, but we're not distributing them. People aren't buying it.

And when the small caps go down, in which they've down recently. They're down 4 to 5 percent, with the Dow up. It says, hey, the smart money, who buys small caps because it takes more sophistication, they're getting out of the market, while the everyday person, which buys Apple and GE and all the big names, that's what they know. They're piling -- those are the two diversions I've been looking for. They are starting to show warning signals.

You know, I take that more seriously than the Hindenburg. Because the Hindenburg can happen a lot and still not get a crash, although it's a sign it is more likely.

This is the biggest thing I look for. And this is starting to happen. I think we're in a topping process between October and December and January. And I think the thing, Glenn, that I warn people -- because everybody says, well, Harry, if this things going to burst, I'll just wait till there are signs and when my stockbroker tells me to get out. First of all, your stockbroker will never tell you to get out.

GLENN: Yeah.

HARRY: When bubbles crash, and I've averaged every major bubble in the last century -- the first crash tends to be 41 percent in two and a half months, so it's too late when that happens. Better to get out a little early and be cautious. So I think these warning signs are saying that we are getting close. If you look at the chart -- I mean, this is just like -- we said in November, as soon as Trump got elected against the odds -- and, of course, we were warning that was likely because of this populist movement we were seeing happen. We said, hey, we're going to have another 20, 25 percent rally.

Even though I had been talking about -- this market says, it is going up. It is expecting a big tax cut, but we've seen that rally. And it has been 20 to 25 percent since then. So I think this is -- we're getting very near atop. And when this thing goes and people say, oh, governments won't let this happen. Governments create the damn bubble. You know, they created the roaring 20 bubble. And then the Great Depression.

The fed was created in 1913. And then 20 to 30 years later, you get the Roaring Twenties and the greatest depression of all time, because they boosted up the economy artificially, by cutting rates, cutting rates. Making money cheap. Free money always creates bubbles. Well, that's what they've done here. So for somebody to say, oh, the central banks, the federal reserve won't let this market crack, they're the ones that have created this extreme thing. Stressed the market so far. And when they go, it's like a rubber band, going to the extreme. I'm just telling people, I didn't create this bubble. Get out of the way.

GLENN: Okay. So, Harry, we've been warning about this for a long time. I thought we were not as resilient as we are.

I expected this thing to come crashing down just because of the money printing and the extraordinary levels of debt, which -- not just the government debt. But the debt that we have as Americans. Our credit card debt is, what? 119 billion. And -- and we're starting to default on those. And people have jobs now.

I expected this to go a lot earlier. Why do you think it's this time?

HARRY: Well, you know, it's hard to argue with $14 trillion of free money being created. It's hard to argue with mortgage rates that are 4 percent, when they ought to be 6 percent. Car loans are, you know, two to 3 percent, and they ought to be six to seven.

I mean, everybody is getting a free lunch here. And stocks are going up 20 percent a year, instead of the normal 7 percent adjusted for inflation. You know, everybody is getting a free lunch. You know, mortgage -- housing is going up 10 percent, instead of the 3 percent inflation. So everybody is getting a free lunch. And it makes everybody kind of high. I don't know a better way to say it. And people don't want to hear the bubble is going to burst. I get lambasted all the time. And I'm like, look, I'm just the messenger. I've studied history. Bubbles build. They're totally recognizable.

I have a whole bubble model that tells you how it's going to build, how much it's going to crash, how long it's going to take to crash. There's nothing black swan about these bubbles at all. It shouldn't be a surprise. People go into denial because they don't want it to end because everybody is getting something for nothing. So governments don't want it to end.

GLENN: So you put -- the reason why your book I think is accurate on at least diagnosing the problems is you have several chapters on -- on revolution. And the world is going into revolution.

HARRY: Yeah.

GLENN: Most people are not -- they're absolutely denying what is happening. Even the Trump thing was a revolution. And it has just begun. It's only going to get worse. Tell me -- give me the highlights of your take on what's happening globally.

HARRY: Well, you know, I had been talking about for a long time, yeah, we're going to have a crisis financially just because we've got bubbles and debt bubbles. And these things are totally predictable. But I've also been saying we have a 250-year revolution coming. The biggest thing to happen in all of modern history was when Sally met Harry. Free market capitalism met democracy, in the late 1700s.

I mean, that's the biggest thing that's happened ever. And this is going to happen again. And the reason I pushed this book. And this book focuses more on the political side of what I'm talking about, is because I've been waiting for signs. It was Brexit. And it was the surprise Trump election. That told me, okay. The political side of this is starting to happen. And this is going to take decades. We've got a backlash against globalization. The special interests have total taken over democracy. Central banks have totally taken over free market. We're destroying the golden goose that made us rich in the first place, since the late 1700s. And all of modern progress has come since those two things came together. This is going to be that big or bigger. And this is going to go down in history. And people aren't going to realize it until later. We're telling you now. This is going to happen. It's going to be unsettling. It's going to change a lot of things.

You know, we really need a bottoms-up economy. Get out of all this top-down management. All this social and financial engineering, where economists try to create La La Land, with three or four percent growth and two percent inflation, which is the worst thing you can do for the economy. You have no innovation when that happens. Japan has had no innovation for 30 years. No growth for 30 years. Because they've been living off of quantitative easing.

GLENN: But, Harry, you and I know that, a lot of this audience knows that, but that is not where the world is headed. They are -- trust me, even Donald Trump, we go through a Great Depression, and Donald Trump will be FDR. He will.

He will not cut it back. He will become the great state that will take care of everyone. And if he won't do it, there will be somebody there to promise it. Socialism is popular now.

HARRY: It is. And we've been living on more than that for now nine years, with all this quantitative easing and free money.

The problem, Glenn, is this, governments created this. Central banks created this bubble, extended it, took it to extremes. And when it burst, it is going to be out of control. It is going to be impossible to stop. And they're going to lose credibility. My theory is central banks, of course they're going to want to -- they're going to want to do ten times the quantitative easing. It's just people are going to say, hey, you already did that, and it failed. Why would we believe you this time?

I think governments are going to lose credibility. I think central banks are going to lose credibility. And that's a good thing. That's -- that's the revolution, when people say, cut off their heads. We don't want anymore of this baloney.

GLENN: We're going to get into the he says there's six triggers. And then there's some safe havens for you. We'll get into that here in just a second. Harry Dent Jr. the name of the book is Zero Hour.

5 videos that reveal the WOKE GARBAGE being taught to our kids

School today is not like it used to be...

Glenn recently covered how our medical schools have been taken over by gender-affirming, anti-racist, woke garbage, and unfortunately, it doesn't stop there. Education at all levels has been compromised by progressive ideology. From high-level university academics to grade school, American children are constantly being bombarded by the latest backward propaganda from the left. Luckily, in the age of Zoom classes and smartphones, it's harder for teachers to get away their agenda in secret. Here are five videos that show just how corrupt schools really are:

Woke teacher vandalizes pro-life display

Professor Shellyne Rodriguez, an art professor at Hunter College in New York, was caught on camera having a violent argument with a group of pro-life students who were tabling on campus. Rodriguez was later fired from her position after threatening a reporter from the New York Post, who was looking into this incident, with a machete.

Woke professor argues with student after he called police heroes

An unnamed professor from Cypress College was captured having a heated discussion with a student over Zoom. The professor verbally attacked the student, who had given a presentation on "cancel culture" and his support of law enforcement. The university later confirmed that the professor was put on leave after the incident.

Professor goes on Anti-Trump rant

Professor Olga Perez Stable Cox was filmed by a student going on an anti-Trump rant during her human-sexuality class at Orange Coast College. This rant included Professor Cox describing Trump's election as "an act of terrorism”. The student who filmed this outburst was suspended for an entire semester along with several other punishments, including a three-page apology essay to Professor Cox explaining his actions. Orange Coast College continues to defend Professor Cox, citing the student code of conduct.

Unhinged teacher caught on video going on left-wing political rant

Lehi High School teacher Leah Kinyon was filmed amid a wild, left-wing rant during a chemistry class. Kinyon made several politically charged remarks, which included encouraging students to get vaccinated and calling President Trump a "literal moron." Despite her claims that the school admins "don't give a crap" about her delusional ramblings, a statement from Lehi High School reveals that she "is no longer an employee of Alpine School District."

Far-left Berkeley law professor melts down when a Senator asks her if men can get pregnant

During a Senate Judiciary Committee hearing, Berkeley Law Professor Khiara M. Bridges was asked by Missouri Senator Josh Hawley to clarify earlier statements involving "people with a capacity for pregnancy." The senator's line of questioning is met with a long-winded, frantic rant accusing the senator of being transphobic. When Sen. Hawley tries to clarify further, Professor Bridges makes the outrageous claim that such a line of questioning somehow leads to trans suicides.

Woke ideology trumps medicine in America's top 5 medical schools

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Progressive ideology has infected our most prestigious medical schools and is seeping into our medical system.

As Glenn covered in his latest TV special, "diversity, equity and inclusion" (DEI), and leftist rhetoric have overtaken science and medicine as the focus of medical schools across the nation. The next generation of doctors and nurses is being force-fed DEI and "anti-racist" nonsense at the expense of slipping standards. This has led to a decline in people's trust in the medical industry and for good reason. Woke ideology has already been the driving force behind at least one medical malpractice case, and more are undoubtedly on the way.

All of this is being spearheaded by universities, which have integrated DEI practices into the fabric of their programs. Our top medical schools now require students and staff to participate in mandatory DEI and "anti-racist" classes and training and are adjusting the standards to reflect this new shift in focus. Here are 5 statements from the top American medical schools that show that medicine is no longer their primary focus:

Harvard Medical School

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Taken from the Harvard University "Unconscious bias" resource page:

“As members of HMS, we each have a responsibility to create an inclusive community that values all individuals. Barriers to inclusion may include assumptions we make about others that guide our interactions. Recognizing our Unconscious Bias is a critical step in developing a culture of equity and inclusion within HMS and in our partnerships with other communities.”

The Johns Hopkins University School of Medicine

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Pulled from the JHM Office of Diversity, Inclusion and Health Equity blog:

“One-hour live, virtual unconscious bias training ... [w]ill be required at all Johns Hopkins Health System (JHHS) entities for managers and above; hospital nurse leaders; credentialed providers (such as physician assistants and nurse practitioners); and for school of medicine faculty and trainees (including residents, fellows, medical and graduate students, and research postdocs), as well as those at a manager level or above.”

Stanford University School of Medicine

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Found on the Stanford Medicine Commission on Justice and Equity page:

“The Commission on Justice and Equity—composed of external and internal leaders, experts, and advocates—represents an institution-wide, collaborative effort to dismantle systemic racism and discrimination within our own community and beyond.”

Perelman School of Medicine at the University of Pennsylvania

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Taken from the Penn Medicine Commitment to Inclusion, Equity, and Antiracism site:

“We openly acknowledge the role of structural forces of oppression as primary drivers of the disparate health outcomes. We believe that working to reverse the underrepresentation of historically excluded groups is critical in achieving equitable health outcomes. While this is an ongoing journey for our program, here are some of the tangible steps we have taken to achieve an inclusive culture”

Columbia University Vagelos College of Physicians and Surgeons

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Pulled from the Vagelos College of Physicians and Surgeons Diversity, Equity, Inclusivity, Justice, and Anti-Racism page:

"Courses are being revised to be more inclusive and informed by the key principle of race as a social construct and a social determinant of health. We are training faculty that Anti-Racism is not an add-on to a course. Anti-Racism is a pedagogy - a manner of teaching, designing courses, and measuring learning outcomes. We make sure that the classroom environment is inclusive by holding space for respectful conversation and ensuring that we address any “classroom ruptures”– a disorienting dilemma or situation when a bias or microaggression that may occur, providing real time opportunities for professional development, learning, and growth. Racist actions and remarks are never tolerated at Columbia University and will be dealt with following established protocols."

Critical theory destroys truth and justice

Editor's note: This article was originally published on TheBlaze.com.

Critical theory once stood out as the absurd progressive notion that it is. Now, its maxims are becoming an integral part of ordinary political discourse. The more you repeat a lie, the more you will believe it, and this is the very dangerous place in which we find ourselves today.

Take this critical theory maxim as an example: If we desire justice, we must sometimes champion what may appear superficially as injustice. It's a necessary evil, if you will, the necessity of “controlled injustice.”

By using truth through fabrication and controlled injustice for justice, we’ll save the republic. We’ll be acting in a noble way.

This definition of justice is defined by the “oppressed,” not the “oppressor.” It is the greatest happiness for the greatest number. To achieve this justice, however, we need to endorse acts on occasion that, while seemingly unjust, serve a higher purpose. It will ensure the stability and the unity of our republic, and this may manifest in ways that seem contradictory to our values. But these are the necessary shadows to cast light on “true justice.”

And isn’t that what we are all after, anyway?

Here’s another critical theory maxim: Sometimes we find the truth through fabrication. Our pursuit of truth sometimes requires a strategic use of falsehoods. The truth is a construct that has been shaped and tailored to promote the well-being of the collective.

We sometimes need to accept and propagate lies designed by "the system” — not the old system, but the system that we’re now using to replace the old to get more justice through injustice and more truth through fabrication.

We’re engaging in a higher form of honesty. When we fabricate, it’s for the right reason. We are reaching up to the heavens fighting for a higher sort of honesty. To fortify the truth, we occasionally must weave a tapestry of lies. Each thread, essential for the greater picture, will ultimately define our understanding and ensure our unity under this infallible wisdom.

The election is coming up. Does this maxim sound familiar? Many think it is imperative that we secure our republic through election control to maintain our republic. Sometimes, we might need to take actions that by traditional standards might be questionable.

The act of securing elections requires cheating. It's not mere deception. It is a noble act of safeguarding our way of life. We're on the verge of losing this democracy, and without deception, we will lose it.

To ensure it doesn't fall into the hands of those we know will destroy it, we may have to make a few fabrications. We're fabricating stories to be able to control or secure the republic through our elections. By using truth through fabrication and controlled injustice for justice, we'll save the republic. Therefore, we'll be acting in a noble way. Stealing an election from those who wish to harm our society is truly an act of valor and an essential measure to protect our values and ensure the continuation of our just society.

If we desire justice, we must sometimes champion what may appear superficially as injustice.

I know it's a paradox of honor through dishonor. But in this context, by embracing the dishonor, we achieve the highest form of honor, ensuring the stability and the continuation of our great republic.

Let this be heard, far and wide, as a great call to patriotic action. As we advance, let each of us, citizens of this great and honorable republic, consider these principles. Not as abstract or paradoxical but as practical guides to daily life. Embrace the necessity of controlled injustice, the utility of lies, the duty to secure our electoral process, and the honor and apparent dishonor. These are not merely strategies for survival. They are prerequisites for our prosperity.

We all have to remember that justice is what our leaders define, that truth is what our party tells us. Our republic stands strong on the values of injustice for justice, honor through dishonor, and the fabrication of truths. To deviate from this path is to jeopardize the very fabric of our society. Strength through unity; unity through strength.

We've heard this nonsense for so long. But now, this nonsense is becoming an instituted reality, and we are entering perilous times. Don't be fooled by the narratives you will hear during the march to November. Never let someone convince you that the ends justify the means, that a little bit of injustice is needed to achieve a broader, collective vision of justice, that truth sometimes requires fabricated lies and narratives. If we do, justice will cease to be justice, truth will cease to be truth, and our republic will be lost.

Top 5 MOST EVIL taxes the government extorts from you

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"In this world nothing is certain but death and taxes." -Ben Franklin

The injustice of taxation has been a core issue for Americans since the very beginning of our country, and it's a problem we have yet to resolve. This belief was recently reignited in many Americans earlier this month on tax day when the numbers were crunched and it was discovered that the government was somehow owed even more hard-earned money. As Glenn recently discussed on his show, it's getting to be impossible for most Americans to afford to live comfortably, inflation is rising, and our politicians keep getting richer.

The taxpayer's burden is heavier than ever.

The government is not above some real low blows either. While taxes are a necessary evil, some taxes stretch the definition of "necessary" and emphasize the "evil." Here are the top five most despicable taxes that are designed to line the IRS coffers at your expense:

Income Tax

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"It would be a hard government that should tax its people one-tenth part of their income." -Ben Franklin

On February 24th, 2024 we hit a very unfortunate milestone, the 101st anniversary of the 16th Amendment, which authorized federal income tax. Where does the government get the right to steal directly out of your paycheck?

Death Taxes

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"Now my advice for those who die, Declare the pennies on your eyes" -George Harrison

Not even in death can you escape the cold pursuit of the tax collector. It's not good enough that you have to pay taxes on everything you buy and every penny you make your entire life. Now the feds want a nice slice, based on the entire value of your estate, that can be as much as 40 percent. Then the state government gets to stick their slimy fingers all over whatever remains before your family is left with the crumbs. It's practically grave-robbery.

Payroll

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"The power to tax is the power to destroy." -John Marshall

What's that? The nice chunk of your paycheck the government nabs before you can even get it to the bank wasn't enough? What if the government taxed your employer just for paying you? In essence, you make less than what your agreed pay rate is and it costs your employer more! Absolutely abominable.

Social Security

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"We don't have a trillion-dollar debt because we haven't taxed enough; we have a trillion-dollar debt because we spend too much." -Ronald Reagan

Everyone knows the collapse of Social Security is imminent. It has limped along for years, only sustained by a torrent of tax dollars and the desperate actions of politicians. For decades, people have unwillingly forked over money into the system they will never see again.

FICA

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"What at first was plunder assumed the softer name of revenue." -Thomas Paine

FICA is the payroll equivalent of Social Security. Your employer has to match however much you pay. It means it costs your employer even more to pay you—again, you'll NEVER see that money. At this point, are you even working for yourself, or are you just here to generate money for the government to frivolously throw away?