September 27, 2023 • 26 mins
Why don't we tax people on their stocks / other assets? We'll examine how asset based loans work, and why people aren't taxed based on their wealth.
Axios breaks the news that Joe Biden can no longer walk without PT, but the democrats still refuse to pull him from the race.
Instagram: @the.ethanbuchanan
X: _ethanbuchanan
Axios breaks the news that Joe Biden can no longer walk without PT, but the democrats still refuse to pull him from the race.
Instagram: @the.ethanbuchanan
X: _ethanbuchanan
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:31):
Alrighty, Welcome in, ladies andgentlemen, Welcome back to the Next Gen
Report. So I was just scrollingthrough Instagram. I was minding my own
business scrolling through Instagram. I wasn'tgetting up to anything malicious or unseemly,
and I happened across this video fromthe Daily Show. I'm trying to remember
the name of the guy that hostsit. I don't know why, but
(00:53):
I have completely blanked on his name. But I'm just scrolling through Instagram and
I see this video and it raises, in my opinion, the standard for
dumb dumb is now new level.Or maybe I'm just an exceptional genius.
But I don't think that's the case, and I think anyone that knows me
will agree that that's probably not thecase. So I have to assume that
(01:17):
this guy's just dumb. I haveto, and I don't want to.
I don't like doing that, butI'm left with no choice. Trevor Noah,
that's the guy's name is Trevor Noah. I remembered. But anyway,
he's he's sitting behind the scenes.This is like an industry between the like
what airs clip and he's just talkingto the audience, and of course they
captured it because the cameras are alwaysrunning, and they uploaded it on the
(01:38):
Daily Show YouTube channel. You canlook it up if you just search like
Daily Show taxing Stocks, that'll popup. But here he is talking about
here how he doesn't understand how youcan not tax stocks and how you can
use an asset like stocks to paycollateral for a big purchase. And the
(02:00):
example he gives is Elon Musk buyingTwitter. And he prefaces all this by
saying, listen, I'm not aneconomist, which is clear because he's on
this subject and just I lost braincells just listening to this. And I
am, by no means an experton matters of economic nature. I'm not
(02:21):
a stock market expert, but Iunderstand the basics, right, because it's
really not that complicated. But hedoesn't get it. So here's this clip
of him being absolutely baffled by theconcept of somebody using something with value as
collateral to make a purchase. Takeit away, Trevor Noah. People argue
(02:42):
that you cannot text billionaires on theshares that they hold in a company because
it is an unrealized gain. Right, So they go like yeah, you're
worth but we context you on thosestocks because you haven't sold the shares,
so you don't like have the money, right, But you're worth the money,
but you don't have the money,and so I understand the argument.
(03:02):
They go like, no, youdon't have it. It's just what it's
worth because it gruls to crash andthen you have nothing, so we can't
text you on it. Then I'mlike, okay, I understand that.
So you context the people on athing because they don't have it, it's
just there. Okay, fine.Then Elon Musk offers to buy Twitter.
All right, He offers to buyit, and then he says in his
(03:23):
offer, he goes, I'm puttingup my Testlas stock as collateral. Then
I'm like, so you do haveit. Then he's like no, no,
no, no, no, Idon't have it. I don't have
it. I'm just gonna says.So then they accept the offer. He
now buys Twitter. Now that they'veaccepted his offer, he now goes to
private equity and banks and like otherrich people and whatever. He goes like,
(03:46):
can you guys borrow me the moneyto buy Twitter? And then he's
like, I'm I want to buyTwitter because I don't want to sell any
of my test less shares, soI want to use your money to buy
Twitter. And then it's like butthen they're like, what are we loaning
against? And he's like, well, my Tesla shares. Then I'm going
like, wait, wait, soyou can you can buy a thing based
(04:11):
on what you have? Yes,but when we want to text you,
you can say I don't have it? Do you hear what I'm saying here?
And of course the audience erupts intocheers and they think this is genius
And Okay, Trevor, no,let me explain it to you and to
all the people out there listening.Because I understand that stocks are a relatively
(04:33):
complicated subject. It's it's very weirdhow the stock market works. It's it's
all very niche and detailed and nittygritty, and there's a lot going on.
So I understand it. What Idon't understand is how if you're a
public figure and you're gonna talk aboutsomething, you should really wrap your mind
around it before you go on amassive live TV show and talk about it.
(04:55):
Because now we're gonna end up withthis clip that we get to have
and play with and I get tomock you for it on a podcast.
So here's the lowdown. You can'ttax people on stocks because stocks are not
a currency. They're an asset.Right. If you buy a car,
(05:15):
that car is worth a certain amountof money, and then you can,
of course go sell that car,and now you have that certain amount of
money in your bank account, andupon selling it, you then receive that
money and it goes into your accountand that is now income and your tax
on it. If you sell acar, you pay taxes on it.
If you buy a car, youpay taxes on it. Because there's money
(05:39):
changing hands, right, money isgoing into somebody's account as income, and
so it is taxed as income.In the United States, anything over like
six hundred bucks, you have toreport that as income and it has to
be taxed. If you don't sellthat car, you don't have to pay
taxes on that ten, fifteen,twenty thousand dollars that you have in that
(06:00):
car, because that's not money.A car is not currency. A car
can be traded for currency, butthe car is not currency itself. That's
like what he's basically arguing is youshould be taxed on the value of your
car. Because you could sell thatcar and make income off it. But
(06:24):
he's forgetting the fact that if hesells that car, he'll be taxed on
the income he makes from the cellof the car. If Elon Musk sells
those stocks on the open market andgets actual US dollars into his account in
exchange for those stock shares, hewill be taxed on that, which is
presumably why he's not selling them,because he doesn't want to pay the taxes,
(06:45):
and more power to him, becausewhy would he want to pay taxes.
So in the same way that youcan go and put down your car's
title as collateral for a loan,you can do the same thing with stocks
or any other asset because once again, those assets, while they are not
money, while those assets are notcurrency, they can be traded for currency.
(07:08):
So if you say, like ifyou want to go buy a piece
of jewelry and it's super expensive andyou don't want to pay out a pocket
for it, what you can dois you can go to a title loan
company. If you've driven down pastany strip mall, you've seen a title
max or a paid a loan thingor whatever. And even like bail bonds
(07:28):
will do the same thing. Yougo in, you give them the title
of the car, which grants theholder ownership, and you say, here's
my car, it's worth this much, here's the title for it. I
will give this to you in exchangefor twenty thousand dollars right now, and
then I will either pay you backover time or you can keep the car.
That's how getting like a title loanworks. And it's the same concept
(07:51):
with stocks. Elon Musk is saying, I want to buy this company.
I don't want to pay cash rightnow for it. So what I will
do is, I'm going to takeout a loan. Here is my Tesla
stocks that are worth this much.They are not money, right because a
stock is not US dollars, buta starck can be traded for US dollars.
(08:13):
So he says, here's this muchstock, it's worth this much money.
I'm putting that down as collateral formy loan, and then he takes
a loan and he uses the loanto buy Twitter. It sounds like there's
a lot of moving pieces, butit's really not that complicated. It's the
same concept of pawning off a guitarand then going back later to pick the
(08:35):
guitar up after you make the moneyback. It's that exact same concept,
it's just on a bigger scale.I don't understand how this is discomplicated to
people. This is exactly, forthe record, the reason billionaires like this
will always keep most of their valuein stocks. It's very rare for you
(08:56):
to find a billionaire who has billionof dollars sitting in their bank account,
because then that money will be taxed. They keep their money in assets,
in property, in vehicles, instocks of their companies. That way,
they don't have to pay income taxon every single dollar that they're technically worth.
(09:16):
So I just happened upon this videoand it really did a good job
exemplifying to me how little people reallyunderstand about how the stock market works.
And it really is a lot lesscomplicated than we give it credit for.
I don't want to say that it'snot complicated, because it is. There's,
like I said earlier, there's movingparts, there's a lot of different
(09:37):
pieces, but it's really not ascomplicated as we say it is. And
it really, when you think aboutit, it makes a lot of sense
for these kind of billionaires, thesereach people to do this, and there's
this tendency, especially among the left, to villainize the rich people that do
this, But when you actually thinkabout it, it makes a lot of
(09:58):
sense. And I don't fault thesebillionaires for it at all. More power
to them one hundred percent because theyhate paying taxes as much as we do.
And this should be a bipartisan issue. I don't know anyone Republican or
Democrat older young who's sitting there going, oh, heck, yeah, I
can't wait to pay taxes. Taxseason is coming up. This is going
(10:20):
to be so much fun. Nobodylikes paying taxes. Taxes suck. So
if these guys are rich enough tobe able to hold their assets in a
particular way and kind of wiggle aroundhaving to pay a bunch of taxes,
freaking go for it. Man.Absolutely, I envy you, I really
do, because I have to paytaxes and I hate it. I hate
(10:41):
doing it. And the younger people, especially people my age that kind of
have those more socialist leanings like youraverage college age American, will say,
no, these people need to bepaying their fair share and taxes. Ladi
dadi, dadi da, and theyshould be taxed on all their sets that
they're worth. So my question toall of you who would say that is
(11:07):
how much is your car worth?That car that you're driving, do you
want to pay taxes on it?Right now? Do you want to give
the government x percentage of how muchyour car is worth? And then,
assuming you keep the car, doyou want to do that every single year
on top of all the bills youalready pay, Because if you apply that
(11:28):
to the ridge, you then haveto apply that to the poor people too,
which means every single asset you ownhas to be taxed every single year,
regardless of whether or not you sellit. You could be dirt poor,
barely getting by paycheck to paycheck topaycheck, and you have a kind
of crap box two thousand dollars carfrom nineteen ninety five. Guess what that
(11:52):
car is probably worth about two K? And right now with the UAW strike,
the value is going to go up, which means every year you are
going to have to pay on thatcar every single year. All of a
sudden, that starts to look awhole lot less opinion only, doesn't it.
People should not be taxed on theirassets. They shouldn't be they shouldn't
(12:13):
be taxed on their income. Butthat's a whole another fifteen minute segment that
we don't have time for. Butthis video from Trevor no I thought was
a good opportunity to kind of justdive into that a little bit. I
hope this kind of simplified or helpedsimplify for you how stocks work, because
they are a very useful tool ifyou're trying to kind of build up money,
(12:35):
build up wealth for yourself. Andit's a shame to me how few
people my age and just in generalthese days, because I mean, Trevor
Noah has got me by twenty yearsalmost, but he doesn't even understand this.
So I really hope this helps youunderstand how this works, why we
don't pay taxes on assets, whywe just pay taxes on the income that
(12:58):
we make from sell those assets,because it doesn't make a big difference.
It is very important, and withall the debate, especially on college campuses
these days, with younger people talkingabout why we do slash don't or should
we or shouldn't we? I wantto be able to help you kind of
meet those questions with some actual knowledge, if it's even a very base level,
(13:18):
because what I just told you wasvery very basic stuff. This is
like economics one on one right here. So I hope this kind of helps
simplify stuff for you. Alrighty,So in terms of news today, it
has reached the point for Joe Bidenthat just making sure like he doesn't trip
and fall on public television has reachedthe point of being a daily constant twenty
(13:43):
four seven concern for Joe Biden andhis team, you know, as it
is with many other eighty year oldswho should not be in the White House.
You are, of course, atthis point aware that for years now,
Joe Biden has been saying, myage isn't an issue. My health
there's an issue. I'm fine,I'm young, I'm spry, I'm chipper
(14:03):
la la la la la. Well, turns out he's been lying since like
twenty twenty one. According to thisbombshell Axios article, Joe Biden and his
campaign are working on a critical partof his re election effort, and that
is make sure he doesn't trip.So the polls bear out pretty clearly that
(14:24):
the voters are concerned about Joe Biden'sage, as they should be, because
he's very old and he is notphysically or mentally with it. And this
Axios article even cites the fact thathe tripped over a sandbag at the Air
Force Academy and that, to behonest, is pretty low on the list
of like really embarrassing old people thingsthat he's done that you would think,
(14:46):
Okay, shouldn't somebody go like putgrandpa to bed? At this point,
this is not a man who shouldbe he in the White House. And
how does the Biden team kind ofreassure people about those worries? They stick
him in a pair of sneakers sohe has better balance, and they send
him to him to physical therapy tolearn how to stand up. According to
(15:07):
Axios, since like November of twentytwenty one, he has been going to
physical therapy and doing exercises to improvehis balance. Now, for his part,
Joe Biden has consistently for months nowbeen saying that trust me, I'm
fine, I can do this.It's not a problem here. He is
saying exactly that in a press conferenceto a CNN reporter with regard to age.
(15:31):
I can't even say, I guesshow old I am. I can't
even say the number. It doneregister with me. But the only thing
I can say is that one ofthe things that people are going to find
out. They're going to see arace and they're going to judge whether or
not I have or don't have it. Well, now it turns out that
(15:52):
making it look like Joe Biden hasit has become a full time job for
the White House staff. So itsays it gives like a list of things
that the White House staff is doingto kind of protect Joe Biden from screwing
up and looking old and tripping orwhatever. So it says he's been going
to physical therapy since twenty twenty one, which he's been claiming he's perfectly fine
(16:15):
and fit long since then. Apparentlythat was a lie. Says since his
stumble in June, he's been wearingtennis shoes more often to avoid slipping,
and he's using the short stairs onAir Force one and entering the plane on
a lower deck than before. Sothat video came out of him like slipping
and falling up the stairs. Sotheir solution to that was, we'll just
(16:37):
make the stairs shorter. You know, if there's less stare, then there's
less opportunity for him to slip upand fall up the stairs or down the
stairs or what have you. Apparentlyhe's working on something called proprioceptive maintenance maneuvers.
I don't know what that means.I've never heard that word before in
my life. Apparently Professor James Jordan, who is the Associated Dean and Chair
(17:03):
of the Division of Biokinesiology and PhysicalTherapy at the University of Southern California,
has also never heard that term.He says, I have never heard the
term proper receptive maintenance maneuvers. It'snot a clinical term in standard use.
So what it sounds like is they'retaking Joe Biden to physical therapy so he
(17:23):
can stand up and walk without tripping. But they can't say we're taking the
President of the United States to physicaltherapy so that he can practice walking without
tripping. So they have to makeit sound fancy and medical so that it
doesn't blow him up in the polls. But I mean, anything that would
have done this article just did.I am super excited to see what the
(17:45):
fallout from this article is, because, according to polls, Biden's age is
one of voter's chief concerns, andthis article is just like blowing the roof
off of all of it and saying, yeah, everything that you thought you
knew about Joe Biden's health issues.It's correct, and they've been covering it
up for months. And of coursethis comes at a time where there's like
(18:07):
serious damage being done to Joe Biden'spoll numbers right now. According to NBC,
three quarters of voters say they're concernedabout President Joe Biden's age and mental
fitness, while nearly two thirds halfconcerns about the multiple trials of former President
Donald Trump. According to this articlefrom NBC, what really stands out about
the poll isn't even his age,even though that's clearly a big issue.
(18:27):
But what's really standing out to votersis the fact that fewer than four and
ten approof of his handling of theeconomy and lagging interest in the election among
key parts of the Democratic base.See I truly believe that Joe Biden succeeded
in twenty twenty because of the uniquenessof the situation he was in. In
a world that was so kind ofuprooted and thrown about by COVID, a
(18:52):
wildly uninteresting, boring old person likeJoe Biden was incredibly appealing because people wanted
nothingness, and Joe Biden looked likenothingness. He was supposed to give them
nothingness, and Donald Trump was thecomplete opposite of nothingness. He was headlines
every single day, crazy stuff constantly. And so that allowed Joe Biden to
(19:15):
kind of take advantage of that sentimentand kind of sneak in in a situation
where normally he wouldn't have. Andwhat backs that up is the fact that
Joe Biden ran for president a bunchof times and never managed to make it
because he's just not really a greatpolitician. And so now as we head
into twenty twenty four and we don'thave that same situation and unbelievably unappealing character
(19:40):
like Joe Biden, who is terribleat everything from giving speeches to running an
economy to standing up on two feet, he's not appealing anymore. And there's
not that big rush of hype forthe election because of course, the fact
that we had twenty twenty and GeorgeFloyd and everything happened right before that election
that drove me to the polls thatgot people paying attention to politics. Between
(20:03):
George Floyd and COVID, that reallydialed people in. People who normally didn't
pay any attention to politics, gotreally wrapped into those political news headlines,
but you don't have stuff like that. Now. Twenty twenty four is not
going to be the same as twentytwenty. The political environment, the social
environment is just not anywhere comparable.And that is going to end up screwing
(20:23):
Joe Biden because that is the onlything that was able to carry Joe Biden
from his basement into the White House, and now he doesn't have that,
and without that carrying him, hecan't even get carried up the stairs.
Alrighty Millionwhile on the Republican side ofthe aisle in the twenty twenty four election,
Donald Trump is just cruising right now. Morning Consult has him at fifty
(20:45):
eight percent, and then his closestcompetitor is Desantists at fifteen percent. So
I really don't want to say thatthis is over, because we still have
so much primary left to go.But it's hard to look at these numbers
and say it's not like something insaneis going to have to happen over the
(21:07):
next couple of months for Ron deSantist, let alone anybody else, to
get anywhere near these numbers. Wedo have another presidential debate tonight, so
let's see where that goes. Therecould be something big happen tonight. I
always am so hesitant to say,and I encourage everyone who follows politics at
all, do not ever assume thatyou know what's going to happen. Do
(21:30):
not ever assume that anything is overuntil it's completely over. And the best
example of why you shouldn't do thatis the two thousand election with Bush Vorce's
Gore. Nobody knew how that wasgonna go until everything was over and Bush
was sworn in. Politics is suchan up and down, back and forth
world, and any moment now somethingcan happen that could wildly shift the race.
(21:55):
So anybody who tells you they knowit's over, they're lying to you.
They don't. It's possible to knowit's over until it's over. That
being said, it's hard for meto see a way that anybody could possibly
come back up and beat Trump.Like De Santis is fifteen, Mike Pence,
who for some god forsaken reason isstill in this race, is at
six, Nikki Haley at seven,Tim Scott at two, the Vek at
(22:19):
nine, and then everybody else isbelow five. Now, of course,
we do have another debate coming up, which I am super excited for that
is tonight. I can't wait.I'm going to be listening to it.
I'm gonna bring you all the needto know information about it on Friday.
But I don't see how anything couldhappen there that would dramatically shift things for
this race. But I could bewrong. I could be wrong. I
(22:41):
will openly admit that I cannot predictthe future. I don't know what will
happen next. Nobody else knows whatwill happen next. But it is hard
to see how just a simple debateis going to shift these numbers at all.
But you never know. We'll keepan eye on the debate. I'm
excited for it, and we'll seewhat happens. I will say, right
now, it's safe to kind ofwork under the assumed that Donald Trump will
probably be the nominee. It's safeto start running those calculations, those Trump
(23:06):
versus Biden metrics, because he's gota fifty eight percent in the polls right
now, and his closest competitor isRon who's at fifteen. We are,
of course, slowly but surely startingto see people kind of drop out of
the very crowded Republican field. AisaHutchinson, who for some reason was running,
has as a Monday, not qualifiedfor the debate tonight, so he
(23:30):
will not be there. Do notexpect to see him, Thank god.
He had no business being there.Nobody cared about him at all, to
be quite honest with you, whichI mean, he's a nobody, let's
be honest with ourselves. I don'tknow why he wasn't he was running.
Nobody was ever going to vote forhim. He had to pay people to
donate to his campaign in order toqualify for the first debate. Doug Bergham
(23:52):
is still going to be on thestage. I don't know why he is
another one he is. He andh Asa Hutchinson, good grief. Where
both those handidates that absolutely nobody caredabout and are never and we'll never go
anywhere. But he's he's still therefor some reason, and he is still
going to be debating. Expect inthe next couple of days for Asa Hutchinson
to formally drop out of the debate, and then I assume Bergham won't be
(24:17):
far behind him. He's not goinganywhere, and I think he knows it
at this point. He's this willbe his last ditch attempt. He's going
to really try to make a namefor himself right here in this event.
And if he doesn't achieve that,he's just going to drop out. And
so I expect him to drop out. I would be baffled. Just giving
his performance at the last debate,which was very just forgettable completely, I
(24:37):
highly doubt he will be able togive himself enough of a boost to get
anywhere close to Ronda Santiss twelve orfifteen percent. He's at what is he
at right now? One percent?Doug Bergham is at one percent, and
he's still somehow at the debate stage. They need to have some sort of
standard for like where you need tobe polling in order to debate, so
(24:57):
that we can they start naring thisfield because it is just too crowded,
especially for a field that we canall pretty safely assume that Donald Trump is
probably gonna be winning anyway. There'sway more Republicans running than what there needs
to be. But whatever, Idon't make the decisions. I'm just here
to talk about it, all right. That is going to do it for
the show today. Thank you allvery much for listening. Of course,
(25:19):
keep an eye out for that Fridayepisode, we are going to be breaking
down the debate, everybody's performance.We're gonna see what, if anything,
comes from that on Friday. I'mexcited for it. Like I said earlier,
I cannot wait for this debate.I love debate nights. It's so
much fun because I think of politicskind of like a sport, and when
you think about it like that,it's a whole lot more fun. And
(25:40):
so debates like this are are somuch fun for me. So I'm really
excited for it, and I'm gonnabe paying real close attention. I'm gonna
bring you everything you need to knowabout the debate on Friday, so stay
tuned for the show as always.Feel free to reach out to me on
social media Instagram x they down belowin the description of the episode, and
I would love to give from meabout the show, about the show,
about and you thought you'd have.I would love the feedback. It would
(26:03):
really make my day out. Inwith that, I want to thank you
one more time for listening to theshow and I will see you next time
on the next game Report
Alrighty, Welcome in, ladies andgentlemen, Welcome back to the Next Gen
Report. So I was just scrollingthrough Instagram. I was minding my own
business scrolling through Instagram. I wasn'tgetting up to anything malicious or unseemly,
and I happened across this video fromthe Daily Show. I'm trying to remember
the name of the guy that hostsit. I don't know why, but
(00:53):
I have completely blanked on his name. But I'm just scrolling through Instagram and
I see this video and it raises, in my opinion, the standard for
dumb dumb is now new level.Or maybe I'm just an exceptional genius.
But I don't think that's the case, and I think anyone that knows me
will agree that that's probably not thecase. So I have to assume that
(01:17):
this guy's just dumb. I haveto, and I don't want to.
I don't like doing that, butI'm left with no choice. Trevor Noah,
that's the guy's name is Trevor Noah. I remembered. But anyway,
he's he's sitting behind the scenes.This is like an industry between the like
what airs clip and he's just talkingto the audience, and of course they
captured it because the cameras are alwaysrunning, and they uploaded it on the
(01:38):
Daily Show YouTube channel. You canlook it up if you just search like
Daily Show taxing Stocks, that'll popup. But here he is talking about
here how he doesn't understand how youcan not tax stocks and how you can
use an asset like stocks to paycollateral for a big purchase. And the
(02:00):
example he gives is Elon Musk buyingTwitter. And he prefaces all this by
saying, listen, I'm not aneconomist, which is clear because he's on
this subject and just I lost braincells just listening to this. And I
am, by no means an experton matters of economic nature. I'm not
(02:21):
a stock market expert, but Iunderstand the basics, right, because it's
really not that complicated. But hedoesn't get it. So here's this clip
of him being absolutely baffled by theconcept of somebody using something with value as
collateral to make a purchase. Takeit away, Trevor Noah. People argue
(02:42):
that you cannot text billionaires on theshares that they hold in a company because
it is an unrealized gain. Right, So they go like yeah, you're
worth but we context you on thosestocks because you haven't sold the shares,
so you don't like have the money, right, But you're worth the money,
but you don't have the money,and so I understand the argument.
(03:02):
They go like, no, youdon't have it. It's just what it's
worth because it gruls to crash andthen you have nothing, so we can't
text you on it. Then I'mlike, okay, I understand that.
So you context the people on athing because they don't have it, it's
just there. Okay, fine.Then Elon Musk offers to buy Twitter.
All right, He offers to buyit, and then he says in his
(03:23):
offer, he goes, I'm puttingup my Testlas stock as collateral. Then
I'm like, so you do haveit. Then he's like no, no,
no, no, no, Idon't have it. I don't have
it. I'm just gonna says.So then they accept the offer. He
now buys Twitter. Now that they'veaccepted his offer, he now goes to
private equity and banks and like otherrich people and whatever. He goes like,
(03:46):
can you guys borrow me the moneyto buy Twitter? And then he's
like, I'm I want to buyTwitter because I don't want to sell any
of my test less shares, soI want to use your money to buy
Twitter. And then it's like butthen they're like, what are we loaning
against? And he's like, well, my Tesla shares. Then I'm going
like, wait, wait, soyou can you can buy a thing based
(04:11):
on what you have? Yes,but when we want to text you,
you can say I don't have it? Do you hear what I'm saying here?
And of course the audience erupts intocheers and they think this is genius
And Okay, Trevor, no,let me explain it to you and to
all the people out there listening.Because I understand that stocks are a relatively
(04:33):
complicated subject. It's it's very weirdhow the stock market works. It's it's
all very niche and detailed and nittygritty, and there's a lot going on.
So I understand it. What Idon't understand is how if you're a
public figure and you're gonna talk aboutsomething, you should really wrap your mind
around it before you go on amassive live TV show and talk about it.
(04:55):
Because now we're gonna end up withthis clip that we get to have
and play with and I get tomock you for it on a podcast.
So here's the lowdown. You can'ttax people on stocks because stocks are not
a currency. They're an asset.Right. If you buy a car,
(05:15):
that car is worth a certain amountof money, and then you can,
of course go sell that car,and now you have that certain amount of
money in your bank account, andupon selling it, you then receive that
money and it goes into your accountand that is now income and your tax
on it. If you sell acar, you pay taxes on it.
If you buy a car, youpay taxes on it. Because there's money
(05:39):
changing hands, right, money isgoing into somebody's account as income, and
so it is taxed as income.In the United States, anything over like
six hundred bucks, you have toreport that as income and it has to
be taxed. If you don't sellthat car, you don't have to pay
taxes on that ten, fifteen,twenty thousand dollars that you have in that
(06:00):
car, because that's not money.A car is not currency. A car
can be traded for currency, butthe car is not currency itself. That's
like what he's basically arguing is youshould be taxed on the value of your
car. Because you could sell thatcar and make income off it. But
(06:24):
he's forgetting the fact that if hesells that car, he'll be taxed on
the income he makes from the cellof the car. If Elon Musk sells
those stocks on the open market andgets actual US dollars into his account in
exchange for those stock shares, hewill be taxed on that, which is
presumably why he's not selling them,because he doesn't want to pay the taxes,
(06:45):
and more power to him, becausewhy would he want to pay taxes.
So in the same way that youcan go and put down your car's
title as collateral for a loan,you can do the same thing with stocks
or any other asset because once again, those assets, while they are not
money, while those assets are notcurrency, they can be traded for currency.
(07:08):
So if you say, like ifyou want to go buy a piece
of jewelry and it's super expensive andyou don't want to pay out a pocket
for it, what you can dois you can go to a title loan
company. If you've driven down pastany strip mall, you've seen a title
max or a paid a loan thingor whatever. And even like bail bonds
(07:28):
will do the same thing. Yougo in, you give them the title
of the car, which grants theholder ownership, and you say, here's
my car, it's worth this much, here's the title for it. I
will give this to you in exchangefor twenty thousand dollars right now, and
then I will either pay you backover time or you can keep the car.
That's how getting like a title loanworks. And it's the same concept
(07:51):
with stocks. Elon Musk is saying, I want to buy this company.
I don't want to pay cash rightnow for it. So what I will
do is, I'm going to takeout a loan. Here is my Tesla
stocks that are worth this much.They are not money, right because a
stock is not US dollars, buta starck can be traded for US dollars.
(08:13):
So he says, here's this muchstock, it's worth this much money.
I'm putting that down as collateral formy loan, and then he takes
a loan and he uses the loanto buy Twitter. It sounds like there's
a lot of moving pieces, butit's really not that complicated. It's the
same concept of pawning off a guitarand then going back later to pick the
(08:35):
guitar up after you make the moneyback. It's that exact same concept,
it's just on a bigger scale.I don't understand how this is discomplicated to
people. This is exactly, forthe record, the reason billionaires like this
will always keep most of their valuein stocks. It's very rare for you
(08:56):
to find a billionaire who has billionof dollars sitting in their bank account,
because then that money will be taxed. They keep their money in assets,
in property, in vehicles, instocks of their companies. That way,
they don't have to pay income taxon every single dollar that they're technically worth.
(09:16):
So I just happened upon this videoand it really did a good job
exemplifying to me how little people reallyunderstand about how the stock market works.
And it really is a lot lesscomplicated than we give it credit for.
I don't want to say that it'snot complicated, because it is. There's,
like I said earlier, there's movingparts, there's a lot of different
(09:37):
pieces, but it's really not ascomplicated as we say it is. And
it really, when you think aboutit, it makes a lot of sense
for these kind of billionaires, thesereach people to do this, and there's
this tendency, especially among the left, to villainize the rich people that do
this, But when you actually thinkabout it, it makes a lot of
(09:58):
sense. And I don't fault thesebillionaires for it at all. More power
to them one hundred percent because theyhate paying taxes as much as we do.
And this should be a bipartisan issue. I don't know anyone Republican or
Democrat older young who's sitting there going, oh, heck, yeah, I
can't wait to pay taxes. Taxseason is coming up. This is going
(10:20):
to be so much fun. Nobodylikes paying taxes. Taxes suck. So
if these guys are rich enough tobe able to hold their assets in a
particular way and kind of wiggle aroundhaving to pay a bunch of taxes,
freaking go for it. Man.Absolutely, I envy you, I really
do, because I have to paytaxes and I hate it. I hate
(10:41):
doing it. And the younger people, especially people my age that kind of
have those more socialist leanings like youraverage college age American, will say,
no, these people need to bepaying their fair share and taxes. Ladi
dadi, dadi da, and theyshould be taxed on all their sets that
they're worth. So my question toall of you who would say that is
(11:07):
how much is your car worth?That car that you're driving, do you
want to pay taxes on it?Right now? Do you want to give
the government x percentage of how muchyour car is worth? And then,
assuming you keep the car, doyou want to do that every single year
on top of all the bills youalready pay, Because if you apply that
(11:28):
to the ridge, you then haveto apply that to the poor people too,
which means every single asset you ownhas to be taxed every single year,
regardless of whether or not you sellit. You could be dirt poor,
barely getting by paycheck to paycheck topaycheck, and you have a kind
of crap box two thousand dollars carfrom nineteen ninety five. Guess what that
(11:52):
car is probably worth about two K? And right now with the UAW strike,
the value is going to go up, which means every year you are
going to have to pay on thatcar every single year. All of a
sudden, that starts to look awhole lot less opinion only, doesn't it.
People should not be taxed on theirassets. They shouldn't be they shouldn't
(12:13):
be taxed on their income. Butthat's a whole another fifteen minute segment that
we don't have time for. Butthis video from Trevor no I thought was
a good opportunity to kind of justdive into that a little bit. I
hope this kind of simplified or helpedsimplify for you how stocks work, because
they are a very useful tool ifyou're trying to kind of build up money,
(12:35):
build up wealth for yourself. Andit's a shame to me how few
people my age and just in generalthese days, because I mean, Trevor
Noah has got me by twenty yearsalmost, but he doesn't even understand this.
So I really hope this helps youunderstand how this works, why we
don't pay taxes on assets, whywe just pay taxes on the income that
(12:58):
we make from sell those assets,because it doesn't make a big difference.
It is very important, and withall the debate, especially on college campuses
these days, with younger people talkingabout why we do slash don't or should
we or shouldn't we? I wantto be able to help you kind of
meet those questions with some actual knowledge, if it's even a very base level,
(13:18):
because what I just told you wasvery very basic stuff. This is
like economics one on one right here. So I hope this kind of helps
simplify stuff for you. Alrighty,So in terms of news today, it
has reached the point for Joe Bidenthat just making sure like he doesn't trip
and fall on public television has reachedthe point of being a daily constant twenty
(13:43):
four seven concern for Joe Biden andhis team, you know, as it
is with many other eighty year oldswho should not be in the White House.
You are, of course, atthis point aware that for years now,
Joe Biden has been saying, myage isn't an issue. My health
there's an issue. I'm fine,I'm young, I'm spry, I'm chipper
(14:03):
la la la la la. Well, turns out he's been lying since like
twenty twenty one. According to thisbombshell Axios article, Joe Biden and his
campaign are working on a critical partof his re election effort, and that
is make sure he doesn't trip.So the polls bear out pretty clearly that
(14:24):
the voters are concerned about Joe Biden'sage, as they should be, because
he's very old and he is notphysically or mentally with it. And this
Axios article even cites the fact thathe tripped over a sandbag at the Air
Force Academy and that, to behonest, is pretty low on the list
of like really embarrassing old people thingsthat he's done that you would think,
(14:46):
Okay, shouldn't somebody go like putgrandpa to bed? At this point,
this is not a man who shouldbe he in the White House. And
how does the Biden team kind ofreassure people about those worries? They stick
him in a pair of sneakers sohe has better balance, and they send
him to him to physical therapy tolearn how to stand up. According to
(15:07):
Axios, since like November of twentytwenty one, he has been going to
physical therapy and doing exercises to improvehis balance. Now, for his part,
Joe Biden has consistently for months nowbeen saying that trust me, I'm
fine, I can do this.It's not a problem here. He is
saying exactly that in a press conferenceto a CNN reporter with regard to age.
(15:31):
I can't even say, I guesshow old I am. I can't
even say the number. It doneregister with me. But the only thing
I can say is that one ofthe things that people are going to find
out. They're going to see arace and they're going to judge whether or
not I have or don't have it. Well, now it turns out that
(15:52):
making it look like Joe Biden hasit has become a full time job for
the White House staff. So itsays it gives like a list of things
that the White House staff is doingto kind of protect Joe Biden from screwing
up and looking old and tripping orwhatever. So it says he's been going
to physical therapy since twenty twenty one, which he's been claiming he's perfectly fine
(16:15):
and fit long since then. Apparentlythat was a lie. Says since his
stumble in June, he's been wearingtennis shoes more often to avoid slipping,
and he's using the short stairs onAir Force one and entering the plane on
a lower deck than before. Sothat video came out of him like slipping
and falling up the stairs. Sotheir solution to that was, we'll just
(16:37):
make the stairs shorter. You know, if there's less stare, then there's
less opportunity for him to slip upand fall up the stairs or down the
stairs or what have you. Apparentlyhe's working on something called proprioceptive maintenance maneuvers.
I don't know what that means.I've never heard that word before in
my life. Apparently Professor James Jordan, who is the Associated Dean and Chair
(17:03):
of the Division of Biokinesiology and PhysicalTherapy at the University of Southern California,
has also never heard that term.He says, I have never heard the
term proper receptive maintenance maneuvers. It'snot a clinical term in standard use.
So what it sounds like is they'retaking Joe Biden to physical therapy so he
(17:23):
can stand up and walk without tripping. But they can't say we're taking the
President of the United States to physicaltherapy so that he can practice walking without
tripping. So they have to makeit sound fancy and medical so that it
doesn't blow him up in the polls. But I mean, anything that would
have done this article just did.I am super excited to see what the
(17:45):
fallout from this article is, because, according to polls, Biden's age is
one of voter's chief concerns, andthis article is just like blowing the roof
off of all of it and saying, yeah, everything that you thought you
knew about Joe Biden's health issues.It's correct, and they've been covering it
up for months. And of coursethis comes at a time where there's like
(18:07):
serious damage being done to Joe Biden'spoll numbers right now. According to NBC,
three quarters of voters say they're concernedabout President Joe Biden's age and mental
fitness, while nearly two thirds halfconcerns about the multiple trials of former President
Donald Trump. According to this articlefrom NBC, what really stands out about
the poll isn't even his age,even though that's clearly a big issue.
(18:27):
But what's really standing out to votersis the fact that fewer than four and
ten approof of his handling of theeconomy and lagging interest in the election among
key parts of the Democratic base.See I truly believe that Joe Biden succeeded
in twenty twenty because of the uniquenessof the situation he was in. In
a world that was so kind ofuprooted and thrown about by COVID, a
(18:52):
wildly uninteresting, boring old person likeJoe Biden was incredibly appealing because people wanted
nothingness, and Joe Biden looked likenothingness. He was supposed to give them
nothingness, and Donald Trump was thecomplete opposite of nothingness. He was headlines
every single day, crazy stuff constantly. And so that allowed Joe Biden to
(19:15):
kind of take advantage of that sentimentand kind of sneak in in a situation
where normally he wouldn't have. Andwhat backs that up is the fact that
Joe Biden ran for president a bunchof times and never managed to make it
because he's just not really a greatpolitician. And so now as we head
into twenty twenty four and we don'thave that same situation and unbelievably unappealing character
(19:40):
like Joe Biden, who is terribleat everything from giving speeches to running an
economy to standing up on two feet, he's not appealing anymore. And there's
not that big rush of hype forthe election because of course, the fact
that we had twenty twenty and GeorgeFloyd and everything happened right before that election
that drove me to the polls thatgot people paying attention to politics. Between
(20:03):
George Floyd and COVID, that reallydialed people in. People who normally didn't
pay any attention to politics, gotreally wrapped into those political news headlines,
but you don't have stuff like that. Now. Twenty twenty four is not
going to be the same as twentytwenty. The political environment, the social
environment is just not anywhere comparable.And that is going to end up screwing
(20:23):
Joe Biden because that is the onlything that was able to carry Joe Biden
from his basement into the White House, and now he doesn't have that,
and without that carrying him, hecan't even get carried up the stairs.
Alrighty Millionwhile on the Republican side ofthe aisle in the twenty twenty four election,
Donald Trump is just cruising right now. Morning Consult has him at fifty
(20:45):
eight percent, and then his closestcompetitor is Desantists at fifteen percent. So
I really don't want to say thatthis is over, because we still have
so much primary left to go.But it's hard to look at these numbers
and say it's not like something insaneis going to have to happen over the
(21:07):
next couple of months for Ron deSantist, let alone anybody else, to
get anywhere near these numbers. Wedo have another presidential debate tonight, so
let's see where that goes. Therecould be something big happen tonight. I
always am so hesitant to say,and I encourage everyone who follows politics at
all, do not ever assume thatyou know what's going to happen. Do
(21:30):
not ever assume that anything is overuntil it's completely over. And the best
example of why you shouldn't do thatis the two thousand election with Bush Vorce's
Gore. Nobody knew how that wasgonna go until everything was over and Bush
was sworn in. Politics is suchan up and down, back and forth
world, and any moment now somethingcan happen that could wildly shift the race.
(21:55):
So anybody who tells you they knowit's over, they're lying to you.
They don't. It's possible to knowit's over until it's over. That
being said, it's hard for meto see a way that anybody could possibly
come back up and beat Trump.Like De Santis is fifteen, Mike Pence,
who for some god forsaken reason isstill in this race, is at
six, Nikki Haley at seven,Tim Scott at two, the Vek at
(22:19):
nine, and then everybody else isbelow five. Now, of course,
we do have another debate coming up, which I am super excited for that
is tonight. I can't wait.I'm going to be listening to it.
I'm gonna bring you all the needto know information about it on Friday.
But I don't see how anything couldhappen there that would dramatically shift things for
this race. But I could bewrong. I could be wrong. I
(22:41):
will openly admit that I cannot predictthe future. I don't know what will
happen next. Nobody else knows whatwill happen next. But it is hard
to see how just a simple debateis going to shift these numbers at all.
But you never know. We'll keepan eye on the debate. I'm
excited for it, and we'll seewhat happens. I will say, right
now, it's safe to kind ofwork under the assumed that Donald Trump will
probably be the nominee. It's safeto start running those calculations, those Trump
(23:06):
versus Biden metrics, because he's gota fifty eight percent in the polls right
now, and his closest competitor isRon who's at fifteen. We are,
of course, slowly but surely startingto see people kind of drop out of
the very crowded Republican field. AisaHutchinson, who for some reason was running,
has as a Monday, not qualifiedfor the debate tonight, so he
(23:30):
will not be there. Do notexpect to see him, Thank god.
He had no business being there.Nobody cared about him at all, to
be quite honest with you, whichI mean, he's a nobody, let's
be honest with ourselves. I don'tknow why he wasn't he was running.
Nobody was ever going to vote forhim. He had to pay people to
donate to his campaign in order toqualify for the first debate. Doug Bergham
(23:52):
is still going to be on thestage. I don't know why he is
another one he is. He andh Asa Hutchinson, good grief. Where
both those handidates that absolutely nobody caredabout and are never and we'll never go
anywhere. But he's he's still therefor some reason, and he is still
going to be debating. Expect inthe next couple of days for Asa Hutchinson
to formally drop out of the debate, and then I assume Bergham won't be
(24:17):
far behind him. He's not goinganywhere, and I think he knows it
at this point. He's this willbe his last ditch attempt. He's going
to really try to make a namefor himself right here in this event.
And if he doesn't achieve that,he's just going to drop out. And
so I expect him to drop out. I would be baffled. Just giving
his performance at the last debate,which was very just forgettable completely, I
(24:37):
highly doubt he will be able togive himself enough of a boost to get
anywhere close to Ronda Santiss twelve orfifteen percent. He's at what is he
at right now? One percent?Doug Bergham is at one percent, and
he's still somehow at the debate stage. They need to have some sort of
standard for like where you need tobe polling in order to debate, so
(24:57):
that we can they start naring thisfield because it is just too crowded,
especially for a field that we canall pretty safely assume that Donald Trump is
probably gonna be winning anyway. There'sway more Republicans running than what there needs
to be. But whatever, Idon't make the decisions. I'm just here
to talk about it, all right. That is going to do it for
the show today. Thank you allvery much for listening. Of course,
(25:19):
keep an eye out for that Fridayepisode, we are going to be breaking
down the debate, everybody's performance.We're gonna see what, if anything,
comes from that on Friday. I'mexcited for it. Like I said earlier,
I cannot wait for this debate.I love debate nights. It's so
much fun because I think of politicskind of like a sport, and when
you think about it like that,it's a whole lot more fun. And
(25:40):
so debates like this are are somuch fun for me. So I'm really
excited for it, and I'm gonnabe paying real close attention. I'm gonna
bring you everything you need to knowabout the debate on Friday, so stay
tuned for the show as always.Feel free to reach out to me on
social media Instagram x they down belowin the description of the episode, and
I would love to give from meabout the show, about the show,
about and you thought you'd have.I would love the feedback. It would
(26:03):
really make my day out. Inwith that, I want to thank you
one more time for listening to theshow and I will see you next time
on the next game Report
Popular Podcasts
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Special Summer Offer: Exclusively on Apple Podcasts, try our Dateline Premium subscription completely free for one month! With Dateline Premium, you get every episode ad-free plus exclusive bonus content.
On Purpose with Jay Shetty
I’m Jay Shetty host of On Purpose the worlds #1 Mental Health podcast and I’m so grateful you found us. I started this podcast 5 years ago to invite you into conversations and workshops that are designed to help make you happier, healthier and more healed. I believe that when you (yes you) feel seen, heard and understood you’re able to deal with relationship struggles, work challenges and life’s ups and downs with more ease and grace. I interview experts, celebrities, thought leaders and athletes so that we can grow our mindset, build better habits and uncover a side of them we’ve never seen before. New episodes every Monday and Friday. Your support means the world to me and I don’t take it for granted — click the follow button and leave a review to help us spread the love with On Purpose. I can’t wait for you to listen to your first or 500th episode!