Proof that You Need Your Own Business in 2021
hi tim sales here in this series of videos i'm talking about what prevents somebody from becoming a rap this particular video is they're not looking at economic reality all right and so this is the third part in a series that i'm talking about here and what i'm going to go into here is is that prospects need to understand when situations change re-evaluation is a must when you see a graph that looks like this and this is 1960 and this is 2021 um it's time to reevaluate you got to take a look all right so what this is is this is from fred having to do with the feds and the amount of money that was pushed into the economy all right so you look at this very it could have been big if uh if this hadn't happened but uh but it was just a gradual increase and then all of a sudden boom it goes straight up right in 2020 and uh and i would dare say it's uh it's gotten even higher so uh so what does this do causes inflation you see the federal reserve who loans the uh the federal government money uh has uh has toggles right so like if you just think about sitting in a car you got a blinker over here and you got your windshield wipers and you got knobs right and so the fed reserves has the ability to fiddle with some of those knobs and one of the things that happens is inflation and certainly when it's five times more money in circulation then wow that's going to cause some damage so let's talk about it i know a lot of people get sort of like drowsy when they hear the word inflation and so let me just make it real simple if this month you got a gallon of milk and and it costs i don't even know what a gallon of milk costs but just because i don't shop and let's say it's i don't know four bucks i don't know and then six months from now then that's going to be i don't know five dollars and fifty cents four dollars and fifty cents then the amount of that increase is called inflation and a lot of people are very unaware of the damaging effects that it does to their purchasing power when you look across everything that you buy and you you say wow you know i'm just not being able to buy as much stuff as i used to well that's the situation right and so it goes all the way across from building supplies to gas to oil to anything that you can purchase it inflates the price okay and some and it and it's always the case it typically ran at uh you know i don't know i bet i guess about three percent or so a year and uh so let's take a look at the uh some of the stuff so this is the costs of container shipment okay so so people manufacture let's say some stuff over in china and they're going to put it onto a freight ship and uh shift it ship ship it over to america all right so all along since 2011 for the last 10 years um it's been right around this price category here two thousand bucks it suddenly jumps up to ten thousand dollars per container do you think that's going to add price to your loaf of bread yeah it is how about gasoline prices so this is in 2020 in july and this is in 2021 july and it's up 46 increase that's a whole lot more than three percent increase a year so it's uh 46 in 12 months true cost of gasoline now this is not necessarily talking about inflation this is i want you to get an idea of something so when you look at the gas prices as of 12 july 2021 this is the actual price venezuela venezuela uh is paying two cents a gallon two cents okay and you and and i and this is sorted so that it the next would be iran next would be angola and so on okay and over here united states it's 0.9 cents okay so 92 cents a gallon so why is it that when you look over here at the uh the these numbers were captured uh i think it was on memorial day um or fourth of july or something like that and so i want you to just look at these numbers four dollars in california hawaii is three dollars and 80 cents nevada 350 washington state's 350 oregon 330 utah 333 and so on alaska illinois idaho and pennsylvania so where did that extra come from well okay so some of it could be from shipping if they have to ship it right so i think last year we had um we were energy independent so we did not have to purchase oil from somewhere else and have it tanked over or pipelined through right so that that had a factor in it what other things could have a factor in it well um negotiations that could be another one different things are going to affect it and and this is the way that i i begin to look at something over here having to do with perhaps the price is being jacked up because right now what's what's in the agenda is that let's make it like harm you if you keep buying oil and reward you if you get an electric car okay so i kind of get an idea that that the the the you know such a high move on this has to do with something like that it's just an idea that i have you don't have to have that same idea all right so lumber prices um okay so we're running along here and then boom right pretty incredible according to realtor.com the typical home asking price hit another new high in may of 2021 by reaching 380 thousand dollars and so i did a video just uh last week that had to do with real estate agents and such and the price was 225 000. so it's jumped up a lot uh an increase of 15.2 percent compared to last year all right so this gives you a real understanding now so if you spent 50 000 worth of lumber how many houses could you build in 2020 you could have built 10 10 homes and 1 20th of one of them okay so a little bit but today you can build 2.1 houses i hope this image gets you gives you a good understanding and wrap your head around purchasing power so when i talk about that a person's not looking at network marketing and it's because they're not looking at reality they think what they've been doing is going to be okay in the future right and this does not show that at all and you say oh we're just in this particular time frame we'll see um highest inflation in 13 years the cpi is always been the standard that we've used okay and so that the people who are saying that it's in that it's higher than any other time in the last 13 years okay and so then they spotlight some categories so you can see now why i made that statement that energy as a whole is up 24 so that would be diesel that would be all other types of fuels and um and so that's that's the reason it made me say that it's like that that's sticking up a whole lot uh as a as an indicator to me so all right so now i'm gonna focus on that cpi for just a second calculations have changed and you need to kind of know this so the government has a few resources at its disposal to manipulate the cpi first the bureau of labor statistics operates in other words that's where they get their statistics from operates under a veil of secrecy the raw data used to calculate the cpi is not available to the public so we call that a hidden data okay you can't find the truth raw data used to calculate the cpi cpi is not available to the public when i ask why i was told so companies can't compare prices this makes very little sense because companies can easily compare prices with data openly available on the internet or just walking into a grocery store and saying what's price of that what's price that it also makes it impossible to audit their findings additionally over the past 30 years the government has changed the way it calculates inflation more than 20 times these method methodological improvements to the cpi are said to give a more accurate measurement of consumer prices however these changes could also be a convenient way to include or exclude certain products that give favorable favorably low results but there's no way to know given the lack of transparency i'm bringing this to your attention because there are a group of people who um well i'll show you so they take the old way of doing it this is the cpi right here okay and and from the time they've changed the 20 times right so this is changed 20 times in the way these guys have kept it with the old way right and so what this number shows the cpi is 13 i'm sorry about five percent at the peak and the average is around three and a half but what they show is is that it's about 13 to 14 so far this year and the norm is around ten percent so this is uh a group uh i really recommend you you take a look and that's uh shadowstatistics.com and uh so our shadowstats.com so they do a really great job
of uh of keeping up with it and then there's also he's created a group of people who go into the grocery store and they buy things and uh and then they they are constantly updating in different towns and so they have created kind of their own computer price index which is what cpr stands for because that's all that it is and you can do it for yourself when you go to the grocery store just you know pick up an item and a lot of times on the ticket it'll say like if you put in i don't know um you know a bushel of spinach it'll tell you how much it is per ounce or whatever and so keep those prices and then see what it is six months from now see what it is a year from now and then you will know in your area very specifically what is the inflation rate okay so obviously if we have a three percent inflation on average then then we need to make more money just to stay even okay so let's say that we had a bank account that was paying us three percent interest well if we had all of our money in there that would be cool uh but we don't have anybody giving us three percent interest anymore um so that's out and then it would be also great if we had a three percent increase in income every year okay so i started looking at that and i factored that in here okay so let me just read this to you the average salary structure increase fell to the range of 1.3 percent to 1.6 percent in 2020 and is generally expected to stay the same through 2021 so now let's take a look at this let's say that you made thirty thousand dollars and you spent all thirty thousand dollars on stuff okay and the inflation rate is truly at ten percent based upon that shadow stats and so that means that if you spent thirty thousand dollars then next in then in ten years you're going to need to have 77 000 to buy the same stuff i want you to think about it from the standpoint of raising a family i want you to think about it from the standpoint of retirement i want you to think about it just as a long-term strategy on like what you're doing how you're spending your money and uh and what and what business you're in and does it have an ability to have a dynamic growth going on within it and that is what network marketing brings to the table now if we were to add a three percent pay raise a year let's say that you have a job and you get a three percent pay raise or you grow in network marketing at three percent per year then you would basically have to it's twice as much so you have thirty thousand dollars you spent here ten years later with three percent increases per year you're going to have to basically create double the amount in order to to live on the same stuff okay now i got to show you this scenario because it's a real life scenario so venezuela um in 2016 entered hyperinflation okay so we have inflation but it's kind of out of control the infla the inflation rate reached 274 percent in 2016. 863 in 2017 130 000 in 2018 9500 in 2019 since 2016 the overall inflation rate has increased 53 million percent and the reason i'm showing this to you is is that they had a similar political situation at that time way back then okay very not not very it was a similar type of a scenario not the same it was just a a tip typical kind of a move that um that we are seeing and then thus wise afterwards these guys used to have an incredible economy um and so uh so it really is is saddening 53 000.
now i hope that doesn't happen here that's going to be very expensive there's another thing that's actually funny and it's called shrink-flation it's the size and weight of items are shrinking but the cost is the same so let's pretend that i buy this bottle of water and it costs three bucks okay but what they did is is that they drained all the water out but that much that you could call the water is right here that you would call shrink-flation but that would be very obvious i pull it out and i look at it and i go i don't want that okay so typically it's right up to the top but i've seen shrink-flation in toilet paper i've seen frank shrink flation in paper towels so the paper towel used to be you know this big and have a particular ounce weight and then i see it as being almost like a quarter of it gone and um you know the inside of the wrap is a whole lot faster to come off than the outside of the wrap and so uh so they're shrinking the product but charging you the same and they are being honest on the weight but it's a bit unethical if you ask me okay so shrink inflation um dr shiva is a gentleman who ran for the senate at uh in massachusetts and he's an mit phd he's got three degrees uh very very mathematically smart as well as in you know engineering and such and so he says that right now 25 of americans are out of work that's what he says based upon what he you know all the evaluations that he's done he said there's two american pies one is five percent and the other is 95 percent the five percent 600 billionaires doubled their wealth in the last year in other words during the the pandemic and 95 the rest squeezed since 1970 no real increase in income inflation adjusted and what i mean by inflation adjusted in other words when you account for inflation true inflation then they haven't gained anything in since 1970 okay and that uh also fits with a gentleman by the name of ray dalio in my very very early videos back uh two and a half years ago or so where he had shown that that the data when you say the average income of an american if you were to pull down the top five percent and look at everybody then the average income is going to run in and around like 35 000. so you've got unemployed people you've got discouraged workers and what's discouraged workers they can't get their old job back and so basically the the pandemic ended up giving business owners an opportunity to dismiss the people that they didn't want to get rid of okay and then and they're discouraged because they can't get that job back and they can't get a job and so they stop filing for unemployment and so now it's going to shift the unemployment numbers so when the when the government reports unemployed it's only the people who have applied and if they stop applying then it looks like and everybody kind of assumes oh they got new jobs no they didn't not necessarily they became discouraged workers all right and so then also there's some people who if there is a particular thing mandated and they don't want that thing then they don't want to go back to to work with that okay so those are some of the scenarios that i'm looking at uh this guy has a a great channel and he uh he's talking about this is a lady that has a lot to do with real estate and such and new reality wait what that's the way that i viewed this i i couldn't believe what i saw and so the real estate market is really booming right and um and blackrock is an organization that the federal reserve is partnered with and blackrock is going out and buying up houses right and so um them and uh invitation homes these two purchased 15 percent of the nation's homes in the last quarter five to twenty percent above the asking prices and so they come along and they are purchasing it okay so why would somebody want to do that why would the federal reserve want to take that um that money and then buy assets well real assets don't depreciate so much as a dollar that's constantly getting hammered by inflation okay and so that started to make sense to me but it's like wait a minute um it seems i don't know you just have to think that through as to um how that could work that our it's not a free market if taxpayers money is what's going into the system as well and then they're they're purchasing uh real estate and it's going to drive the prices up and i saw a very interesting couple of things here which is i saw this entire series and it was called you'll learn nothing and you'll be happy so america should be a nation of renters and i saw that on a bloomberg report and and i was like what so this is definitely changing and three of the employees here are working inside of the biden administration at the white house and so they would actually have you know they would probably have the knowledge and so forth and so they're buying up you have the media telling us that we should be a nation of renters and so it it kind of alerted me that if that doesn't work for you from the standpoint of you don't want to be a renter maybe you're 22 years old or something 23 years old you want to start a family and you want to be able to have a yard and you want to have be able to have this and that and own it and know that you own it and and and be able to fix it up when you want to and be able to do all of the things that homeownership provides maybe you want to have a particular house in an area you know like like i wanted to be in the in the mountains near rivers and things like that so what i'm doing is is that when i i started this video i was telling you that it is you have to re-evaluate when conditions change and some people may have made a decision to to be that doctor to to to be that bus driver to be that you know whatever and you can change that at any time and when conditions like this especially as severe as this it might be a good time to re-evaluate it um and do it rapidly okay in terms of like decisions and getting to work um okay so i'm just going to add something to this so this looks a little bit crazy but let me just walk you through it so you really do understand it and so obviously this spike is the uh pandemic and so this is the number of unemployed filed okay so it peaked up here somewhere let me guess at 24 million people all right and then this begins to slide it says there's a pink line here but you can just barely see it right and so it's slid down and it's now running like this okay so i drew this line here and i drew this line here because this was the norm before so we were sitting let's say at 7 million people there's a gap of 3 million people get the idea here so are those actually going to come back are we about to hit another scenario to where this spikes back up we could and that is what i'm wanting to have you guys take a look at and so then pretty soon if it's constantly spiked then i believe that we're going to be um we're going to be in a bit of trouble and so uh as a nation in terms of recovering from that both on the inflation basis as well as uh the number of unemployed so anyway it's just a uh it's a way to to take a look at it um and it kind of hits us at a time where we have a lot of debt uh 80 of americans are in debt vulnerable to being controlled freedom matters so people in debt and what's the biggest debt well it's their mortgage their student loans is second auto loans is third and then personal loans credit cards runs about 5 000 on average so all in all all 80 percent make up 9.4 trillion dollars of debt that people own and uh and that's going to be a real tough scenario for people all right it really is and so i think that it would be an idea from do a business okay at least you you know you'll be able to earn your own money and so that you can increase your income because normally salaried income you can't um you can't get a lot fast and when you're in the sales world you can work at the speed you want to work at you can build a sales team at the speed you want to work at and that was my primary reason why that i wanted to be in network marketing is because i was in the military and i would get paid an increase only when somebody above me moved out so that i could move up and get a pay raise so uh so just in summary not looking at the economic reality inflation five to ten percent right now what does the future hold i hope we're not venezuela fewer small businesses there's been a great con consolidation that's gone on if you remember back when we had that necessary or what what was it that they called it when um necessity essential okay so i was just asking my cameraman to give me a tip here so it was uh essential items and so a lot of businesses got shut down because they didn't they weren't designated as essential even though they were selling perhaps the same things that amazon were and costco and walmart right but those guys ended up making bank because of the consolidation of all small businesses unemployment fewer jobs and then there's debt okay and so this right here is when i say that there's a lot more businesses before small businesses that are no longer around so uh tell me what you think here all right so how has the economy uh or economic environment changed for you do you see that it's changed um and then tell me how so right so yeah you can repeat some of the things that i said but what are you experiencing what is your neighborhood like what is it like walking through the grocery store these days compared to two years ago what's it like in terms of you know the fellowship the church the all of that kind of stuff tell me what you've seen thanks so much for watching