I’ve been in Europe for the last two weeks, so you haven’t received the unparalleled content that you’ve grown to love. Since I spent about 32 hours traveling, and 21 of those hours in the air, I feel compelled to comment on the state of air travel in the United States.
My flight to Vienna on Austrian airlines was noticeably different than my typical domestic flight. The passengers seemed more patient and less frustrated as classical music filled the cabin. We boarded the plane without incident, and the crew seemed to be in a jovial mood. My trip on the connecting flight to the final destination was the same.
Upon my return home, I had a nice flight to Frankfurt on a German airline that I had never heard of before. Then tragedy struck when I discovered the final leg of my trip would be on the fateful United Airlines. Chaos began to ensue.
The sing songy middle-aged women began to come out of the woodwork. A “ten minute” repair turned into two hours. Passengers lined up and sat back down no less than three times from the misinformation that followed. The entire experience was mediocre and unsatisfactory (These are the terms that I use so customer service representatives are not permitted to hang up on me.)
The truth is that air travel on domestic airlines has deteriorated along with the U.S. economy. There was a time when flying somewhere was a sophisticated experience. People dressed up, and they were not repeatedly warned that “tampering with, disabling, or destroying a lavatory smoke detector,” was a federal offense. Loved ones greeted you at the gate upon your arrival. I even remember boarding a flight about ten minutes before take off in 1997. But after 9/11, these experiences became halcyon memories.
Now airline customers are treated like hostages or even cattle. Yesterday, a video surfaced of a doctor being removed from a United Airlines flight. Fellow passengers recoiled in horror as the doctor was beaten and dragged from the plane. We can only hope that this poor doctor is awarded with the a seven figure “voucher” and permanent Star Alliance Gold status.
So how are United Airlines and the U.S. economy alike? Both of them were formerly sound, reputable and an example to the rest of the world. Now each of them are a like former beauty queen who’s added a 100 pounds but still treats people like she’s some kind of diva. Unfortunately, the best days for America’s economy are behind us, but like our former beauty queen, we’re trying to cover our age with plastic surgery (artificially low rates) and thick make-up (inflation).
It’s worse than I suspected. Last week, I had the chance to fly around the Northern Virginia area in a helicopter. The number of subdivisions being built as far south as Richmond is astounding. I’ve been concerned about this bubble since 2014, and frankly I can’t believe just how big it’s gotten.
Zero percent interest rates have created a massive amount of malinvestment in the Washington, D.C. area. Cranes paint the nation’s capital, and they don’t stop there. Billions continue to be poured into the D.C. Metro line, which is being extended out to the Dulles Airport and beyond. These are the type of projects that are commenced through the vast misallocation of resources that only artificially low interest rates can provide.
It’s been a busy week in the financial world. The Fed raised interest rates, America hit it’s debt ceiling (again) and digital currencies seem more volatile than ever before. Luckily we had Eric Dubin on the show to help sort out some of the things going on in the marketplace.
On Monday, January 16, 2016, my grandmother, Mary Kennedy, passed away at the age of 92. Being a survivor of the Great Depression, a mother of eight children and possessing a strong work ethic, my grandmother was always frugal.
She didn’t have a college education, she never had a career after her children were born, and my grandfather predeceased her by over 30 years! Additionally, she spent her last several months encumbered by numerous medical bills and an expensive nursing home. Despite these adversities, she still died with a net worth of six figures.
How is that possible? My grandmother understood the value of money, and she hardly ever spent it. She mended clothes, drove cars forever and always lived within her means. From an early age she always told her grandchildren to “save for a rainy day.” She will truly be missed.
Today I interviewed Andy Hoffman to learn why Americans should be preparing for the difficult times not seen since my grandmother survived the Depression.
We saw a slight pull back in gold today, so don’t forget to buy the dips in your Goldmoney account!
Tomorrow’s guest will be Dr. Keith Smith, so reply with your questions now!
In episode 79, Phil sat down with John Rubino of DollarCollapse.com to discuss Donald Trump’s victory, the Fed, the dollar, gold and way more! Phil and John Kennedy sandwiched the interview with a report from a Trump campaign event and how to manage the post election blues.
In episode 67, Phil interviewed his hero Tom Woods to discuss entrepreurship, economics and U.S. financial history. This episode is a testament to the fact that if you keep trying, you too can eventually interview one of your heroes!
In episode 62, Phil interviews The Doc from SD Bullion to talk about the recent moves and bright future for silver. Phil and John cover the hypocrisy of Bernie Sanders and the financial literacy of most Americans.
In episode 61, Phil interviews Jason Burack of Wall Street for Main Street to discuss the troubled global ecomony. Phil and John cover the problems with Tesla and government subsidies. Share us with a friend!
In episode 59, Phil interviews the Dollar Vigilante, Jeff Berwick, to discuss the numerous economic obstacles facing Americans. Phil and John also discuss the ongoing irrational exuberance in the housing market and how to spot it. If you like what we’re doing, then tell a friend!
The original silver investor David Morgan will be featured in the next post, so be on the lookout for it!
In episode 57, Phil interviewed Mike from SilverFarm to discuss how he handles his personal finances in the worsening U.S. economy. John and Phil also annihilated the idea of a guaranteed income, and the show wraps with a discussion on Milo Yiannopoulos, UCLA and warrentless searches.