Glenn Beck: Peak Gold?



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GLENN: Full disclosure here. This is my, this is my gold guy, but my gold guy happens to be a sponsor of this program. So I want you to understand clearly going into this that this is a sponsor of my program. We're not going to talk about, you know we're going to talk about gold, but I want you to know, full disclosure, sponsor of the program. Mark Albarian is here, president of Goldline now. Mark, how are you?

ALBARIAN: I'm doing great. More importantly, how are you feeling?

GLENN: I'm feeling better. Thank you, by the way. I can't believe that I'm actually eating the fruit that you sent. People were sending me, people were sending me all kinds of, all kinds of food and I thought, it was all fattening. And I'm thinking, I'm on television; what are you doing. But thank you very much for your nice gift.

ALBARIAN: You're welcome.

GLENN: Okay. So Mark, I saw a story last night that said we're out, we're running out of gold, that we're hitting a gold, what do you call it, the oil

ALBARIAN: Peak oil.

GLENN: Peak gold. Is that even possible?

ALBARIAN: I think it is. When you think about the gold that we've seen on the market in the last handful of years, it's come from central banks. And central banks, the banks of countries, aren't selling gold now but they are buying gold. The second big source of gold has been mining companies selling gold forward, meaning that they sell the gold before it comes out of the ground. They do it in the paper transaction. Well, the mining companies are actually buying back their forward trades. So the big supplies of gold hitting the market, probably the third point is new mine production is down. So I think there's a very good argument that you could see peak gold. Now, we won't actually run out of gold, but you'll see much higher prices in my opinion.

GLENN: What are you we're playing a dangerous game here, you know, in speculation because, you know, there's a million ways to be wrong. What do you think? We haven't even hit the 1980 price which is, what, 18 in today's dollars, $1800 an ounce?

ALBARIAN: Well, if you take the 1980 price of $850 and you adjust it for inflation, I've seen offers anywhere between $2,000 and $2400 depending on how they do the math. Now, that's the inflation adjusted price.

GLENN: Right.

ALBARIAN: And so lots of people believe that, I mean, it's reasonable to believe that gold could get to those levels again.

GLENN: Do you find that reasonable?

ALBARIAN: Absolutely. Absolutely.

GLENN: I think it was CitiBank or one of the, maybe J.P. Morgan, or I don't remember even who's in business anymore. But one of them came out and said $2500 gold per ounce. I think that is, I think that's even reasonable.

ALBARIAN: Merrill Lynch said you could see $1500 gold in 18 months and others are talking about higher prices. There was an article on AOL where they talked about how you could get to $2750. It's not hard to find articles

GLENN: Right.

ALBARIAN: And experts talking about gold at much, much higher prices.

GLENN: So there's two things that I want to know about. The IMF has never been allowed to sell their gold. The International Monetary Fund. They've never been allowed to sell their gold. We have veto power so they can't sell their gold unless the United States says you go ahead and sell your gold. Well, they're selling their gold now. So we gave them permission. Now, I'm trying to noodle this, and you'd be a better expert on this. I'm trying to figure out if I'm holding something that's worth a lot of money, the last thing I want to do is allow more of it, a lot more of it to go out on the open market because it devalues what I am holding. Unless you want to make sure psychologically that the gold price stays, you know, out of the $2,000, $3,000 range because that makes people psychologically panic about the dollar. Does that make sense to you?

ALBARIAN: I think it makes perfect sense. There's been talk that the gold price has been held down by central banks, by governments for that very reason. If all of a sudden you have a record price in gold, then people start turning to gold. And when we saw gold hit a new record price, it wasn't just the investing public but all of a sudden you see Wall Street saying, hey, maybe it makes sense to have a little bit of gold in your portfolio. There's really not that much gold out there. And if gold is looked at as an alternative currency, you could see these $1500 or $2500 gold prices in the future. And I think that frankly makes people nervous.

GLENN: You know, Mark, I have I think people are running out of options on what, you know, could be worth something at all. You know, I've said this for over, what, maybe two years. You have to think like a German Jew, 1934. Maybe 1931. You have to see that what we're doing here doesn't make any sense and it's been done before. So what do they do? People had food, diamonds, gold, artwork, anything of value that people would say, oh, you know what, things are going to change. So I'll be able to trade in gold or whatever. But there is a disturbing article that I read from Nouriel Roubini who said that because dollars are so cheap now this is frightening to me. Because dollars are so cheap, we're doing now on the global scale what George Bush did and Alan Greenspan with the housing market except now we're doing it with commodities. And people are taking giant companies and giant hedge funds and countries are gobbling up these dollars and they're buying gold because and other commodities, oil, et cetera, et cetera, which is driving the prices up and they're doing it because they know the dollar, they can make more in the commodities in the short term than they can in the dollar because the dollar is going to continue to fall. But at some point that system implodes and so the commodities do what our houses have done and that bubble bursts. Are you concerned about a gold or a commodities bubble?

ALBARIAN: I don't think we're at the bubble levels. You know, in talking about gold at $850 back in 1980, you know, we're looking back almost, you know, well, 30 years ago. The idea that the inflation adjusted high is $2,000 to $2500, I just don't think $1100 gold right now could be looked at as a bubble, but I will agree that a lot of what you're seeing with the gold price isn't about gold so much as the devaluation of the decrease in the value of the dollar. And I think we're seeing that not only with gold but we're seeing it with oil and other commodities. People want, traders want something of tangible value. And you talk about it all the time. You have politicians that spend money that's not there. And when you are spending money that's not there, countries look at you and say, how can we trust the value of your paper if you can't keep your finances in order.

GLENN: Do you sell, do you sell any paper gold? I think you do, don't you?

ALBARIAN: No, we don't.

GLENN: You don't?

ALBARIAN: We give people an option and we arrange independent storage for them.

GLENN: Okay.

ALBARIAN: But the gold is really there.

GLENN: Okay.

ALBARIAN: A lot of the gold that you see Wall Street trades back and forth is options or the right to acquire it.

GLENN: That's stupid.

ALBARIAN: It's not necessarily real.

GLENN: That's just stupid. And one quick last question. I've only got 30 seconds. I've been buying gold coins for a long time, antique gold coins. You can do your own homework if you are listening to figure out why. But I had the last time I bought gold from you, I had a hard time. You are one of the only people that could still do it. And you can't really buy American gold coins anymore. Is the world running short on antique gold coins?

ALBARIAN: We're seeing some scarcity there because they are antiques, they are not making any more of them. But being one of the largest, if not the largest we have good inventories and good sources and it's our job to always have gold in stock and I hope we can.

GLENN: Okay, from Goldline, Mark Albarian. Thank you very much. We'll talk again.

In light of the national conversation surrounding the rights of free speech, religion and self-defense, Mercury One is thrilled to announce a brand new initiative launching this Father's Day weekend: a three-day museum exhibition in Dallas, Texas focused on the rights and responsibilities of American citizens.

This event seeks to answer three fundamental questions:

  1. As Americans, what responsibility do we shoulder when it comes to defending our rights?
  2. Do we as a nation still agree on the core principles and values laid out by our founding fathers?
  3. How can we move forward amidst uncertainty surrounding the intent of our founding ideals?

Attendees will be able to view historical artifacts and documents that reveal what has made America unique and the most innovative nation on earth. Here's a hint: it all goes back to the core principles and values this nation was founded on as laid out in the Declaration of Independence and the Bill of Rights.

Exhibits will show what the world was like before mankind had rights and how Americans realized there was a better way to govern. Throughout the weekend, Glenn Beck, David Barton, Stu Burguiere, Doc Thompson, Jeffy Fisher and Brad Staggs will lead private tours through the museum, each providing their own unique perspectives on our rights and responsibilities.

Schedule a private tour or purchase general admission ticket below:

Dates:
June 15-17

Location:

Mercury Studios

6301 Riverside Drive, Irving, TX 75039

Learn more about the event here.

About Mercury One: Mercury One is a 501(c)(3) charity founded in 2011 by Glenn Beck. Mercury One was built to inspire the world in the same way the United States space program shaped America's national destiny and the world. The organization seeks to restore the human spirit by helping individuals and communities help themselves through honor, faith, courage, hope and love. In the words of Glenn Beck:

We don't stand between government aid and people in need. We stand with people in need so they no longer need the government

Some of Mercury One's core initiatives include assisting our nation's veterans, providing aid to those in crisis and restoring the lives of Christians and other persecuted religious minorities. When evil prevails, the best way to overcome it is for regular people to do good. Mercury One is committed to helping sustain the good actions of regular people who want to make a difference through humanitarian aid and education initiatives. Mercury One will stand, speak and act when no one else will.

Support Mercury One's mission to restore the human spirit by making an online donation or calling 972-499-4747. Together, we can make a difference.

What happened?

A New York judge ruled Tuesday that a 30-year-old still living in his parents' home must move out, CNN reported.

Failure to launch …

Michael Rotondo, who had been living in a room in his parents' house for eight years, claims that he is owed a six-month notice even though they gave him five notices about moving out and offered to help him find a place and to help pay for repairs on his car.

RELATED: It's sad 'free-range parenting' has to be legislated, it used to be common sense

“I think the notice is sufficient," New York State Supreme Court Judge Donald Greenwood said.

What did the son say?

Rotondo “has never been expected to contribute to household expenses, or assisted with chores and the maintenance of the premises, and claims that this is simply a component of his living agreement," he claimed in court filings.

He told reporters that he plans to appeal the “ridiculous" ruling.

Reform Conservatism and Reaganomics: A middle road?

SAUL LOEB/AFP/Getty Images

Senator Marco Rubio broke Republican ranks recently when he criticized the Tax Cuts and Jobs Act by stating that “there's no evidence whatsoever that the money's been massively poured back into the American worker." Rubio is wrong on this point, as millions of workers have received major raises, while the corporate tax cuts have led to a spike in capital expenditure (investment on new projects) of 39 percent. However, the Florida senator is revisiting an idea that was front and center in the conservative movement before Donald Trump rode down an escalator in June of 2015: reform conservatism.

RELATED: The problem with asking what has conservatism conserved

The "reformicons," like Rubio, supported moving away from conservative or supply-side orthodoxy and toward policies such as the expansion of the child and earned income tax credits. On the other hand, longstanding conservative economic theory indicates that corporate tax cuts, by lowering disincentives on investment, will lead to long-run economic growth that will end up being much more beneficial to the middle class than tax credits.

But asking people to choose between free market economic orthodoxy and policies guided towards addressing inequality and the concerns of the middle class is a false dichotomy.

Instead of advocating policies that many conservatives might dismiss as redistributionist, reformicons should look at the ways government action hinders economic opportunity and exacerbates income inequality. Changing policies that worsen inequality satisfies limited government conservatives' desire for free markets and reformicons' quest for a more egalitarian America. Furthermore, pushing for market policies that reduce the unequal distribution of wealth would help attract left-leaning people and millennials to small government principles.

Criminal justice reform is an area that reformicons and free marketers should come together around. The drug war has been a disaster, and the burden of this misguided government approach have fallen on impoverished minority communities disproportionately, in the form of mass incarceration and lower social mobility. Not only has the drug war been terrible for these communities, it's proved costly to the taxpayer––well over a trillion dollars has gone into the drug war since its inception, and $80 billion dollars a year goes into mass incarceration.

Prioritizing retraining and rehabilitation instead of overcriminalization would help address inequality, fitting reformicons' goals, and promote a better-trained workforce and lower government spending, appealing to basic conservative preferences.

Government regulations tend to disproportionately hurt small businesses and new or would-be entrepreneurs. In no area is this more egregious than occupational licensing––the practice of requiring a government-issued license to perform a job. The percentage of jobs that require licenses has risen from five percent to 30 percent since 1950. Ostensibly justified by public health concerns, occupational licensing laws have, broadly, been shown to neither promote public health nor improve the quality of service. Instead, they serve to provide a 15 percent wage boost to licensed barbers and florists, while, thanks to the hundreds of hours and expensive fees required to attain the licenses, suppressing low-income entrepreneurship, and costing the economy $200 billion dollars annually.

Those economic losses tend to primarily hurt low-income people who both can't start businesses and have to pay more for essential services. Rolling back occupational licenses will satisfy the business wing's desire for deregulation and a more free market and the reformicons' support for addressing income inequality and increasing opportunity.

The favoritism at play in the complex tax code perpetuates inequality.

Tax expenditures form another opportunity for common ground between the Rubio types and the mainstream. Tax deductions and exclusions, both on the individual and corporate sides of the tax code, remain in place after the Tax Cuts and Jobs Act. Itemized deductions on the individual side disproportionately benefit the wealthy, while corporate tax expenditures help well-connected corporations and sectors, such as the fossil fuel industry.

The favoritism at play in the complex tax code perpetuates inequality. Additionally, a more complicated tax code is less conducive to economic growth than one with lower tax rates and fewer exemptions. Therefore, a simpler tax code with fewer deductions and exclusions would not only create a more level playing field, as the reformicons desire, but also additional economic growth.

A forward-thinking economic program for the Republican Party should marry the best ideas put forward by both supply-siders and reform conservatives. It's possible to take the issues of income inequality and lack of social mobility seriously, while also keeping mainstay conservative economic ideas about the importance of less cumbersome regulations and lower taxes.

Alex Muresianu is a Young Voices Advocate studying economics at Tufts University. He is a contributor for Lone Conservative, and his writing has appeared in Townhall and The Daily Caller. He can be found on Twitter @ahardtospell.

Is this what inclusivity and tolerance look like? Fox News host Tomi Lahren was at a weekend brunch with her mom in Minnesota when other patrons started yelling obscenities and harassing her. After a confrontation, someone threw a drink at her, the moment captured on video for social media.

RELATED: Glenn Addresses Tomi Lahren's Pro-Choice Stance on 'The View'

On today's show, Pat and Jeffy talked about this uncomfortable moment and why it shows that supposedly “tolerant" liberals have to resort to physical violence in response to ideas they don't like.