The president and co founder of the investment firm BlackRock is
actually worried about inflation, although potentially not for
the reasons that you might expect.
So this is Rob Kapito.
He was at the Texas Independent producers and
royalty owners association conference, which is an industry convention for
oil and gas manufacturers, it's just a wild bunch, they're crazy guys.
So you had this to say about inflation, for the first time this generation is
going to go into a store and not be able to get what they want and
we have a very entitled generation that has never had to sacrifice.
I would put on your seat belts because this is something that we haven't seen.
Now, he didn't state what generation he was referring to it could plausibly be one
of four at the very least.
But he said that many people who had always had everything available to them at
the supermarket would soon face scarcity inflation, the consequences of
shortages in anything from workers to oil housing or silicon chips.
And, just so you understand the context of the economic point of view,
this guy is coming from, he co founded BlackRock,
which is the world's largest asset manager.
It has $10 trillion in client assets and investments across the global economy.
So clearly he's a guy who has had to sacrifice a lot over the last few years.
He would understand what he's talking about Jake.
>> So, but John that goes exactly to the point I'm going to make.
So it's a point I make 1000 times on the show, but
related to this, I think you'll see how, why he says what he says.
The hardest thing in the world is to escape your own perspective.
So for this guy, he's incredibly wealthy,
almost everyone he knows is incredibly wealthy.
So what he's saying about the younger generation,
he actually means about his kids and the kids of the other incredibly wealthy
people that he knows and about that, he's probably right.
They've had everything given to them.
They have a sense of entitlement.
And so when all of a sudden the Gucci bag is not available because there's a chain
supply issue in China ironically, then all of a sudden his son or daughter is like,
my God, papa papa, what am I going to do with the product without the Prada bag?
The bottom of my shoes aren't even read papa, what do I do?
>> [LAUGH] >> Right?
And so that's what he's talking about.
And guys, I've seen this mistake by people that are wealthy, but
not at his level, right.
They are constantly talking about how millennials and Gen Z are bums,
lazy entitled etc.
And there is some truth to that for wealthy and
sometimes upper middle class in that generation because they've
grown up in such spectacular entitlement that they feel like,
why am I not the CEO, I've been on the job for two weeks already, right.
But for the rest of Gen Z and millennials,
which is the overwhelming majority of them ain't nobody got entitlement.
It's exact opposite.
What entitlement do you have in Nebraska as a young person in America?
None, none.
You'll be lucky to get a job at fast food places because now they're paying $11 or
$13 before they were paying nine or seven, right.
So they don't live in the real world.
So that's why they seem so out of touch because they are.
>> Yeah, 100%.
You're totally right about the lack of entitlement, but also let's address
the other side of his claim, which is millennials have always had it easy.
I honestly don't even know if he means millennials.
Maybe he means Gen Z, maybe he means Gen X.
God only knows the guy's wealthy and older.
But the idea that they've never had to sacrifice,
they've never had it hard is only, you can only make sense of it
through the lens that you just said that he's talking about the kids
of friends of his that come on to their yacht parties or something.
I don't know because that is not the experience of the people that I know and
I am assuming virtually everyone watching this can attest to the fact
that sacrifice has been a through line for their entire life.
In a number of different ways that we talked about constantly the show,
especially including the massive decision you need to make
when you decide am I going to try to get a college degree.
The thing that apparently you need to have to have any chance of making
significant money.
Certainly you're told by everyone it is your duty,
your obligation to do that if you're not going to be lazy, if you're going to go.
That's what you're raised and told.
And so then you have to decide, am I going to go 30 40 50
$100 in debt to roll the dice and have a chance of doing well.
And as a result of that,
there's a massive student debt load you can see in this chart right here,
millennials have over $500 billion in student loan debt, Gen X has over 600.
And in fact when you break it down to the most amount of student loan borrowers,
millennials, it's millions and millions of individuals.
And then for literally decades after that, even if you're lucky enough that you
finished college that it actually produces a job that you can make more money on,
you are then going to be burdened by that debt for the rest of your life.
And easy paths to economic prosperity like buying a home incredibly cheaply,
which might have been possible 30 or 50 or 70 years ago.
That is not an option anymore, buying at all might not be an option.
And so you then have to sync all of this money into rent.
There are so many additional burdens that these dinosaurs have no clue about and
no curiosity to understand.
It's why people in these generations that he's targeting are constantly
being insulted by those who already made it through a system that was set
up with far fewer obstacles.
And now on top of the obstacles,
you also have the establishment spitting in your face at every step of the way.
>> So, and there's a great irony here because it was the income inequality that
they created that created a giant difference in these generations.
I'm talking mainly about millennial and Gen z where 10% of them are the most
entitled spoiled little brats you'll ever meet in your life.
Okay. But 90% of them are desperate for
any kind of a job or super hard working and totally screwed over.
Right.
And part of the reason they're hungry and they work hard and they're fantastic
is because there is such dire straits, they're literally trying to survive.
And who rigged that system?
BlackRock rigged that system.
By the way, the guy who said something very similar is Joe Biden.
Joe Biden rigged that system.
Joe Biden said, what do they have to worry about?
They never had it so good.
Yeah, Joe your kids have never had it so good.
The kids of BlackRock executives have never had it so good.
The rest of the kids have never had it so bad.
There's never been this much student debt, housing prices have never been this high.
The rules have never been rigged so
much in favor of the rich and against the poor and the middle class.
So that's why these out of touch elites at the capitol,
like in the hunger games with their ridiculous getups,
go around going, I can't believe how lazy everyone is these days.
No, you're all unbearable.
And I'll give you one last thing on this guys.
If you hear them talk, the way to decode it is just for
one second step into their shoes, imagine you're super rich and
then their language will start to make sense to you.
And that's the same decoder ring that I use for Ben Shapiro.
It doesn't make any sense to the average person but
if you're spectacularly wealthy, then Ben Shapiro does make sense.
He's like, we need this society and he's encouraged risk taking for entrepreneurs.
And that's really the number one priority.
Because we've got to encourage people to put those millions of dollars into work.
Who's got the millions of dollars that they're putting to work, right?
And so their assumption is always from the point of view of a rich person as
opposed to a normal person