Special Guest: John Browne is the Senior Market Strategist for Euro
Pacific Capital, Inc. Mr. Brown is a distinguished former member of Britain's
Parliament who served on the Treasury Select Committee, as Chairman of the
Conservative Small Business Committee, and as a close associate of then-Prime
Minister Margaret Thatcher. Among his many notable assignments, John served
as a principal advisor to Mrs. Thatcher's government on issues related to the
Soviet Union, and was the first to convince Thatcher of the growing stature
of then Agriculture Minister Mikhail Gorbachev. As a partial result of Brown's
advocacy, Thatcher famously pronounced that Gorbachev was a man the West "could
do business with." A graduate of the Royal Military Academy Sandhurst, Britain's
version of West Point and retired British army major, John served as a pilot,
parachutist, and communications specialist in the elite Grenadiers of the Royal
Guard.
In addition to careers in British politics and the military, John has a significant
background, spanning some 37 years, in finance and business. After graduating
from the Harvard Business School, John joined the New York firm of Morgan Stanley & Co
as an investment banker. He has also worked with such firms as Barclays Bank
and Citigroup. During his career he has served on the boards of numerous banks
and international corporations, with a special interest in venture capital.
He is a frequent guest on CNBC's Kudlow & Co. and a former contributing
editor and columnist of NewsMax Media's Financial Intelligence Report and Moneynews.com.
He holds FINRA series 7 & 63 licenses.
Published 04-27-15
40 Minutes
Financial Repression
"It is the financial repression of the ordinary individual in America. It
is happening through three main avenues or arteries."
- POLITICALLY - The government is increasing its power almost everyday
and repressing the public individual and particularly the rights of the individual.
Always under the guise that it to help you! Published statistics are highly
questionable; growth rates, inflation rates, unemployment rates. They are
confusing people and today I read how they are forcing people out of using
cash!
- ECONOMICALLY - We have had an enormous, unprecedented injection
of cash into the economy with a $3.8T QE program. Its an experiment! It was
initiated in Japan where two decades ago the BOJ said it wouldn't work but
the politicians insisted they do it. After two decades it still hasn't worked.
We are now doing it on a grand scheme without a pilot program. It is creating
a (liquidity) trap. It is a major distortion and is crushing savers.
- FINANCIALLY - ZIRP is (also) crushing savers! It is savings which
forms investment for the future. 62% of employment comes from small businesses
where formation must be incented. That needs capital from savings. This along
with increasing regulation is not only killing the consumer but the incentive
to start a small business which is the key to the creation of jobs, which
is key to the creation of income which is then key to savings and growth
in the economy. It has all been killed by these policies.
"I don't believe the central bank is necessarily evil, just unbelievably
Irresponsible!"
Liquidity Trap
"I think we are now seeing a situation which you could call a liquidity trap.
There is so much money around that if they start to raise interest rates they
are going to discourage people even more from spending. Ordinary individuals
have low wages (wages have been flat for six years at least) yet taxes are
going up (the number of taxes) as well as charges (licenses and fees)"
"They are pushing on a string. It isn't liquidity that matters but wages
and income!"
"How does the Fed create income without just giving us cash in the post (mail)
by just sending us checks?
By Design
"I'm afraid I believe at the very top it is devious! If I connect all the
dots together I cannot feel it is by accident - it by design. I think the president
wants to distribute American wealth around America, but even worse is to distribute
American wealth around the world. Its killing the economy and its killing America."
"It means (eventually) everyone is going to look towards the government
for solutions - that is when totalitarian governments come in (to existence)"
"The only solution is single term politicians - Turkey's don't vote for
an early Thanksgiving!"
