GREAT DEPRESSION 2.0 STARTED!

In this episode, we address the alarming claim that the recent 3.94% drop in the M2 money supply signals the onset of a Great Depression 2.0. Joined by Taylor from Life Goal Investments, a ten-year Wall Street veteran, we break down why this decline, despite its historical significance, may not spell disaster for the economy. We discuss the unprecedented stimulus injected during COVID-19, the current state of fiscal policies, and the role of credit spreads and market liquidity in shaping economic conditions. Tune in to gain a comprehensive understanding of why this situation is different from past economic downturns. The M2 money supply has fallen 3.94%, raising fears of a Great Depression 2.0. Historical context: Previous significant drops in M2 have correlated with depressions, but the current scenario is different due to the massive COVID-19 stimulus. The importance of looking at long-term trends: Despite the recent drop, M2 money supply is still up 29% from pre-COVID levels. The role of fiscal policy: While monetary policy is tightening, fiscal conditions remain loose, as evidenced by the National Financial Conditions Index. Impact of high federal funds rates: These primarily affect variable rate debt, but most homeowners are locked into fixed-rate mortgages, mitigating the impact. Breakdown of M2 components: Savings, checking accounts, and money market accounts are included, while stocks are not, explaining part of the decline. Current market behavior: Money is moving from safe assets like money markets to riskier assets like stocks and cryptocurrencies. Credit spreads indicate market confidence: Tight spreads suggest investors are confident in companies' ability to meet debt obligations, signaling economic stability. Lessons from the 2008 financial crisis: Modern regulatory measures are designed to prevent bank failures from causing systemic crises. The importance of supporting banks: Ensuring bank stability is crucial for maintaining economic liquidity and preventing severe recessions. Life Goal Investments on Instagram: Follow Taylor for more educational videos. https://www.instagram.com/lifegoalinvestments Life Goal Investments on TikTok: Quick insights and financial education. https://www.tiktok.com/@lifegoalinvestments National Financial Conditions Index: Understand the broader financial conditions. https://www.chicagofed.org/research/data/nfci/index Thank you for tuning in! If you enjoyed this episode, please rate, follow, share, and review the podcast. Your support helps us continue bringing valuable content to you. Don't forget to check out the links and resources mentioned, and join our community for more exclusive insights and opportunities. See you next time! 📖 BUY One Rental at a Time https://amzn.to/3jt3JFx 📣 Audible Version Here https://amzn.to/3jtLDTQ OR 🏆 Buy 15 Conversations with Real Estate Millionaires https://amzn.to/3JwEsVm Dion from Dion Talk is Narrator!!! NOW ON AUDIBLE https://www.audible.com/pd/B0BDPSZW3Y/?source_code=AUDFPWS0223189MWT-BK-ACX0-322007&ref=acx_bty_BK_ACX0_322007_rh_us 📸 INSTAGRAM: Please follow. Daily original content! https://www.instagram.com/onerentalatatime/ 📬 (MUST JOIN!) PRIVATE Facebook Group: One Rental at a Time Works This is a VERY private group that is only available to my students of "How to Get Started One Rental at a Time" In the group, you will be around hundreds of other students all doing the work. Please introduce yourself when you join! JOIN HERE: https://bit.ly/3tEQhRm TEACHABLE COURSES: Join the THOUSANDS of students changing their financial future with DAILY execution! 💎 How to Get Started One Rental at a Time: This course is changing lives! Investors focus and do the daily work required to learn their market and only do GOOD Deals. JOIN HERE: https://bit.ly/3uDrkHq 💸 Get Money Right: This course is about making you the CFO of your money. It shows you how choices can keep you poor or set you free. It highlights your Financial Health Score and provides a monthly budget to help you track spending. JOIN HERE: https://bit.ly/3wbN9yr 📲 MENTORING OPTION: I built my courses to run without me but some folks find themselves in interesting situations and they want to ask questions directly. So after much thought I have created this option that includes one “30 Minute Mentoring” session that can be used at students request. JOIN HERE: https://bit.ly/3hivsc5 ✍️ FREE COURSE: I put together a Free Course so people can get to know me a little more and have fun getting started with no cost. JOIN HERE: https://bit.ly/3hdMbgK 📣AUDIOBOOK: https://amzn.to/3jtLDTQ PLEASE LEAVE 5 Stars! *** Tag me on IG with a book selfie! 🧢 MERCH: I have created some fun merchandise designed by my daughter. Check out Merch Page here: https://one-rental-at-a-time.myshopify.com/