Rickards: The Powerful Move Trump Could Make
Jim Rickards joined Bloomberg after the 2016 election to speak on the Trump victory and what the US economy should expect from his administration. Rickards takes a deep dive into Donald Trump’s individual policies, the elites, financial regulation and the Federal Reserve with new leadership coming to the White House.
“The problem is, Trump’s individual policies sound attractive. Who doesn’t want better infrastructure? Who doesn’t want stronger defense? But when you add them all up, these are going to be much larger deficits. He is the helicopter money president.”
Rickards pointed out that,“The irony is that for people like Larry Summers and Paul Krugman, while bashing Trump… Trump’s policies are Larry Summers policies. More deficits, fiscal spending, helicopter spending.”
Jim Rickards is a best selling author and economist who correctly predicted the Brexit early in 2016 and gave the correct measurements on a Trump win in US elections. Rickards latest book, The Road to Ruin, will be out November 14.
When the Bloomberg reporter pressed Rickards on Trump and trade he responded, “We should stop talking about free trade. Free trade does not exist. You have sanctions on Russia. Does Germany have free trade with Russia? No. Maybe sanctions make sense. But there is no free trade anywhere in the world.”
Rickards went on to note that, “Free trade for Germany really is a free ride. It is just as big of a free ride for China. If you have cheap labor and I have cheap capital, David Ricardo says we can trade. If my capital goes to your country, like Apple going to China, you have all the comparative advantage and I have no jobs.”
He went on to say that currently the Federal Reserve board has two vacancy spots that remain unfilled. Rickards stated that if Trump was to fill those seats, it would give his administration great influence on monetary policy and regulation.
To catch the full Bloomberg interview click here.
Ed. Note: Sign up for a FREE subscription to The Daily Reckoning, and you’ll receive regular insights for specific profit opportunities. By taking advantage now, you’re ensuring that you’ll be set up for updates and issues in the future. It’s FREE.