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John Browne of Euro Pacific Capital weighs in on the European markets and rhetoric.
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-- Nicole we'll gonna shift gears here to Europe from -- and because meant things are really getting heated over there and Angola Merkel.
Is the target check this out from the front page of an Italian newspaper comparing the German leader -- -- domination of European politics.
To a fourth Reich John -- Euro Pacific Capital says rhetoric -- this.
How -- going to get stronger but this is pretty strong already Jonathan.
Yes it's an attempt to.
RO.
Over the future of paper money on the one hand.
One has the Anglo American's.
Keynesian -- led to -- keynesian.
Money.
And the year are though is ground -- -- in this battle.
Let me -- I that we have sound money with austerity always have a weak Euro with the money printed -- created from -- -- -- -- Americans want to do well.
-- let me ask you do Bob expand on this a little bit because anyone I was just listening to your comments knows where you stand on -- just by the way you -- -- -- That you arguments but if somebody in Europe comes to say hey John you know this austerity is just not working for us you know normal person on the street this.
What my services have been cut by life's gotten worse and man I don't know if this is the right way to go you say what.
Well -- there could be as lot of countries in -- wanted to -- to being with the -- with the Deutsche mark and -- alleged a year ago.
-- gave -- great barring they've borrowed on the same terms as -- mrs.
America Britain.
And so they -- -- deny Obama borrowed and then over speculated.
-- now the chickens have come home to roost nobody wants to pay the price so they -- Fudging the issue the governments borrowed to finance the banks the banks buy government bonds and a merry go -- nobody wants to face reality.
And -- -- doing -- dole with printed money but the Germans don't agree with this.
And so this terrific pressure on the Germans they Geithner is over there right now trying to bring pressure tremendous diplomatic pressure for the Germans to yield.
And I -- to -- become Anglo American keynesian printing money from nowhere to just fend off reality to keep reality in the distance.
Does they think -- -- to have austerity either way that I think -- out.
How do you in the distance because that's the argument that people -- what they've been -- that kind of as you said a moment they -- they've been able to get -- so far.
And at some point it seems like most of the people that disagree with you say.
-- we just need a bigger if anything we need a bigger bailout we need the European central bank and the other leaders in Europe to be more aggressive -- You know by the bad I'd say that's much more likely to be the road they go down then to embrace more and more austerity so how do you think it ends RES -- -- -- They ignore Harry and his great beyond drugs and you plead for more you don't want reality.
But they end withdrawal.
Is much more -- -- have you had tons more -- and then if you face reality it.
Said the German.
-- system is to save face reality not rather than later -- make it much worse the people.
Anglo American view is -- -- us in in abject poverty all over the world and if we break paper currency -- suddenly people said -- paper anymore.
Our big catastrophe but we cuts for everyone in the world was -- That we could get growth going again and we couldn't.
Our way out of it and that's the argument and that's that's basically why we keep doing this that's why we didn't hear the circumstances while we -- outer banks and that's why they're doing it.
There in Europe -- is nothing tangible yet that says boy I agree with John Browne because I saw this and boy he might be right stuff to it.
It's up to make people believe in your argument because of that I think -- maybe not.
-- allies of course it's modest there's the as these smoke and -- keep getting on everyone.
Believes it's happening we think we've had growth we borrowed against our grandchildren's future to -- in a few more dollars meanwhile.
Governments have got big big more intrusive.
And more of a a wait to be carried.
By the private sector.
And the situation is getting worse and worse every day and -- being clouded by printing more money -- -- But I think ordinary people conceded it's -- and somewhat and the quicker it ends the best.
I and otherwise you want abject poverty -- we're -- -- John Brown is from Europe Pacific cap.
