The Baby Boomers are about to go Baby Bust, along with the rest of the United States asset market.
That was the warning on the recent episode of the Rich Dad Radio Show with Robert Kiyosaki. Guest and author, Harry Dent, updated his recent predictions and foreshadowed an impending event that will shake the country’s economic markets to their core.
Financial news click bait, or sound fundamental forecasting?
You be the judge.
Harry Dent, known for his reliance on demographic trends, has for months been calling for a massive market collapse…..in April. The spring came and went, with markets still standing.
Now Dent, the author of many books predicting booms and busts, has updated his prediction. He told Kiyosaki he is now eying June as the month the asset bubble will burst, leaving Americans high and dry.
Skeptics point to unending inflow of new money into the system, through stimulus, money printing and fiat debasement, as the way the United States will inflate its way out of an economic collapse. The current administration seems hell-bent on opening the money spigots, a skill honed by both political parties of the past decade. However, Dent isn’t so sure the “money printer go Brrrrr” method will work this time.
“The reason we have non-stop money printing is to offset the decline of the Baby Boom generation,” Dent said. “And this is the worst policies ever in history. And these central bankers are first of all going to be destroyed by the internet, blockchain technologies number one. And number two, by being the dumbest asses in history, to think you can offset a downturn, printing money out of thin air, and thinking it will go away.”
Dent clearly doesn’t think continued money printing will lead to a prosperous middle class, and he also feels the economy peaked in 2007. Also, he’s not too fond of those currently putting the money printer in overdrive, particularly Janet Yellen. Dent asks, “How does she become the Treasury Secretary after the Fed Chairman? How did this happen? She’s never done anything, EVER, in history! An academic researcher. This is insanity!”
Kiyosaki, and his wife Kim, pressed Dent on the future of blockchain technology. Dent not only believes in the future of Bitcoin, but he also doubts the government’s ultimate ability to control or stop it. In fact, he sees blockchain monetary technology as the best way to democratize finance and lift the poorest Americans into the middle class, through it’s “bottoms-up” network.
Mr. Kiyosaki is also not a fan of where the Democrat administration is taking the country.
“I was talking to my accountant, and he’s looking at the new tax changes coming up,” Kiyosaki mentioned. “His belief is they want to shut down small entrepreneurs, because they threaten them.”
“That’s not good policy. I agree with you on that,” Dent responded. “The truth is, the only way you grow long term is to encourage entrepreneurs and entrepreneurial investment.”
Dent believes the combination of demographics and continued poor governmental economic policy has the nation’s asset markets at the breaking point. He has predicted some past economic downturns correctly, however he originally called for this massive correcting to take place by April. Now he says June.
“The demographics already peaked in 2007, but they’ve pumped it up into now,” Dent said, offering his most concrete evidence of an impending collapse. “I mean, all artificial, so this bubble is worse. I think it normally would be like the ‘29 to ‘32 crash, 80 to 90-percent. I see the Dow as low as 5000, and at best 12 to 13,000 in a couple years from now. That’s going to wipe out a lot of wealth.”
Harry Dent’s crystal ball has had a mixed record over the past 20 years, but both he and Robert Kiyosaki believe the can has been kicked down the road past the point of return. They say this one will be the big one.
If things take the disastrous turn these two are predicting in the near future, it will be unmistakable. Time will tell if Dent’s latest prediction hits the mark.
Rick Schultz is a former Sports Director for WFUV Radio at Fordham University. He has coached and mentored hundreds of Sports Broadcasting students at the Connecticut School of Broadcasting, Marist College and privately. His media career experiences include working for the Hudson Valley Renegades, Army Sports at West Point, The Norwich Navigators, 1340/1390 ESPN Radio in Poughkeepsie, NY, Time Warner Cable TV, Scorephone NY, Metro Networks, NBC Sports, ABC Sports, Cumulus Media, Pamal Broadcasting and WATR. He has also authored a number of books including “A Renegade Championship Summer” and “Untold Tales From The Bush Leagues”. To get in touch, find him on Twitter @RickSchultzNY.
