It seems most politicians in DC forgot how inflation works. Because despite the fact that we have too many dollars chasing too few goods, they CONTINUE to spend into oblivion. The latest? Student loan debt forgiveness AND additional military funding to Ukraine. They’re being ‘morons’ about money, Glenn argues, and it seems there’s not a single ounce of common sense left…
Below is a rush transcript that may contain errors
GLENN: So there's a couple of things, you know. Stu, what is the technical definition of inflation?
STU: Well, we always say, too many dollars chasing too few goods.
GLENN: Too many dollars chasing too few goods.
GLENN: Okay. So like I'm just going to use this as an example. And I don't think this is right. But correct me.
Like if you have a supply chain breakdown.
GLENN: And you can't get the goods.
GLENN: Or if you don't have people going to work, because the government is paying for them. So you can't get people to fill the jobs.
That could end up in too few goods?
STU: Seems that way.
GLENN: Okay. And then too much money. I -- I mean, is that when the government just spends money, that they don't have, and just prints money? They're printing too much?
STU: Yeah. You were to flood -- flood the society with printed dollars.
GLENN: So that's the actual economic definition of inflation.
STU: I mean, it's technically the cause of -- the definition is the increase of prices. But why does that happen? Well, too many dollars. Chasing too far goods.
We should send that to the White House. Because I don't think they understand that.
GLENN: They've just paid off the loans for another 500,000 ketos.
Now, I don't know about you. But I went to one semester of college. At 30. Because I couldn't afford more. So instead of getting strapped with debt, I read 7,000 books, in ten years. I educated myself. Would I have loved to go to school? Yeah. I was going to school at Yale. Would have been nice. Glad I didn't, now in retrospect. But couldn't afford it. One semester.
Why is the guy who went to college for one semester, because he couldn't afford it, and didn't teal that it was the responsible thing to take out loans, to go to school, why am I now paying for someone else that I don't know, through my tax dollars paying off a loan for an education, I most definitely do not agree with?
Well, I'm sorry. Oh, we were talking about inflation. What happens when you pay off everybody's student loan like that? Isn't that a giant flux of --
STU: Well, because the theory is, right?
If you have a situation.
STU: Where you're worried the economy is overheated. Right?
That's what they're worried about, with inflation. They're saying, the economy is overheated. We need to raise interest rates, to cool the economy town.
GLENN: To try to choke back some of the cash flow.
STU: Because the inflationary problem is real. So you wouldn't want to introduce let's say, a brand-new stimulus program into the middle of that. Obviously, that would be completely insane.
GLENN: Well, they're all college educated. So they will take that monthly debt, that they use to have to chip away at. And they'll just take that, and I'm sure they will save it in a box. They won't even put it into the bank. The bank could reuse to loan other people. They'll just keep it in a box.
STU: When you have too much money, chasing too few goods, what you don't want to do necessarily is -- send a bunch of people, who are already wealthy.
A -- a bunch of money, so that they can spend it, and make the problem worse.
And the reason we know this is a stimulus program, Glenn.
STU: Is because this is precisely how the administration sold the idea, when they came up with it, like a few months ago. When they were saying, what we need to do, is we need to release these people from student debt. And it will stimulate the economy.
They told us, it was a stimulus program.
GLENN: Will you do me a favor? Will you do me a favor?
Write down that definition that we just -- will you just email the White House?
STU: They probably just don't know.
GLENN: Yeah. I think so. Because they say, it's Putin causing the inflation.
STU: Yeah. The Putin pricing. Oh, no.
GLENN: You've heard of it.
STU: I've heard of it.
GLENN: So let me ask you this: Speaking of the Putin price hike, I have a couple of questions on this one.
Biden just announced another $700 million in military aid for Ukraine.
Now, first we sent over 3 billion. Then I think we sent over 10 billion. Then we did another, what? Forty-one billion?
Right? So that brought us up to $58 billion. And then, by the way, how much do we -- because this can't even be close to what he send over to evil Israel. Who gets the lion's share of all of our money. We're always helping Israel out. And sending all kinds of money over to Israel. To build up their Zionist army. How much is that?
STU: About 3 billion.
GLENN: I'm sorry.
GLENN: 3 billion.
That's a month. A week.
STU: A year.
GLENN: $3 billion is what we send over to evil Israel, that just has to stop. Okay.
GLENN: And we've said -- now, about $60 billion, over to Ukraine. Which is not in the accounting world. Let me put it that way. Some might say it's corrupt. I say, just bad accounting. Hey, it happens. So 60 billion, and then, yesterday, just a week after we sent another like billion dollars. Which the week before, we -- we sent $41 billion. We decide, Biden said yesterday. Hey, we have to send him another $700 million.
Can I ask a question?
Either what's happening to the money that we've already sent. Or are we this bad at numbers, to where we're like, hey, the White House is asking for 30. And the Democrats and Congress go, no.
We're going to make it 40.
And so they give them an extra 10 billion.
And then he's like, oh, but I need one more. A week later. I need 700 -- isn't this like a teenager?
Wouldn't you start questioning your teenager? If they came to you and said, hey. I -- it's really important I get an education, right?
Yes. Well, it's going to cost 250,000 dollars. For a four-year education.
And you're like, okay. Well, you don't have to work for it at all. I'll just write that check. And they come back and go. Oh, there was more in tuition. I need -- I need actually 500,000.
And then you would say, I'm going to give you 700,000. And then a week later, they come back and about it, I need -- I need another 2500. Okay.
And then the next week, I -- I need another 5,000.
At what point do you realize, you're a moron, or your kid is jiving you. At what point?
Now, I know that what works in your house, isn't the same as it is in Washington. I know for a fact that the things that work in your business, those principles don't apply for governance. And I'm sure, if you did that with your kid, you know, you might just keep writing that check, and then go broke because you're a moron.
But I'm sure they would never -- your boss would never question. Right?
If you're making a pitch to a client, and you're -- and they say, well, how much -- how much is this going to be?
And you say, oh, I don't know, 30,000. And they for some reason, somebody at the desk goes, you know what, I'm going to give you 40,000.
Yeah. But it's 30,000 that I was -- I want you to have 40,000. You just make sure everything is covered. Okay. Thank you. That's nice.
And then you get to 60,000. Okay?
And then you just ask for more money every single week.
At some point, doesn't someone in the boardroom, say, what the hell is going on here?
Well, it's just these printing costs. They just keep going up.
I don't think so.
You didn't foresee that? You didn't foresee?
Because we padded this with an extra ten billion dollars. And you keep telling us, the war is going so great. What are you spending the money on?
By the way, we're sending them our old stuff. So it's not like they're buying new stuff, from, you know, Ratheon.
We're not sending them the best and the newest and the latest. No, no, no, no.
We're sending them our old stuff, along with our money. And then, because we're depleting our stuff, we also get to buy the latest and greatest, and, yes. It's going to cost a few dollars more.
But we can afford it. I mean, you're saving money. By buying this equipment.
Oh, my gosh
How dumb -- how tunnel are we, America?
At what point do your neighbors wake up and go, yeah. This doesn't make any sense. At what point do we stop playing politics?
I don't give a flying crap if it's a Republican or a Democrat, or a flying squirrel!
I don't care. Does anyone have an ounce of common sense?
I'm not sure. It might just be you and me.