Hello for the rebel capitals, hope you're well. So mortgage rates, could they go to 20%?

Even higher? I think the answer is yes. I'm going to explain why right now. In our last video we talked about how there's a high probability

that moving into the future a lot of the assets, let's say, we'll go over to the Fed's balance sheet because all these entities are going bust. It's very similar to what we saw with Silicon Valley Bank signature. All these banking issues that we have were quote unquote solved

by the banks being able to take these assets that they have and give them to the Fed a hundred cents on the dollar and use them as collateral.

And although this didn't nationalize the banking system or anything like that. It takes us one step closer. And in this world that we live

in today, we live in a, what I always call a participation trophy economy. And what I mean by that is we've gotten to the point where we won't let anyone go bust.

The banks can't go bust, the corporations can't go bust.

The only person that can go bust is the average Joe and Jane.

That's fine, no problem.

Or the only entity that can go bust is the small and mid-sized business.

Well, that's, yeah, we don't have to worry about that.

But as far as these large entities, we just won't let them fail. We won't allow Schumpeter's

creative destruction to take hold. Okay, so let's think that through. Actually, before we do or while we do, let's go over to a little

whiteboard that I just did to help us kind of get a visual of what I'm referring to and go through this thought experiment.

Here we go.

So the first, the upper left will start there as a chart that I did.

It's not any specific chart. It's just to give you a visual on the

left we go from 0% interest rates up to 20% and we'll just say this is fed funds or you can say that's what therefore that's what mortgage rates are going

up to ballpark 20 percent okay well you can't have have to use your imagination here.

I don't know if you guys can see it on your screen,

but right here where my arrow is pointing,

this is a black line, it goes to a blue line,

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