there's really only one place to go in my opinion and that's gold you can see this is gold during all the recession since the 1960s it's risen every time but twice and the two declines were single digits and again this is during the recession the gold price is actually Rising when there's an economic [Music] contraction hi everyone welcome to this video and I want to let everybody know that I've got Mr Jeff back with me Jeff how are you doing I'm doing great Mr Mike it's great


to be back with you in a video I always enjoy these and uh I have some interesting info um for you today that that uh you might find kind of compelling for gold but we'll see okay well uh why don't you show me so what I have is just a real short slide presentation and it's basically uh about recessions and economic expansions you'll see and it's about what we can learn from them so uh let me share the first one here which might be uh very interesting you'll see it's the duration


of all economic economic expansions and recessions since the 1970s uh the recessions are in red the economic expansions are in green and we're measuring how long they were in terms of months so you can see the current one there at the top it started in May of 2020 the economic expansion and it's gone for 42 months this is through um uh the current month uh mik of October so it's assuming uh a recession hasn't started here in October and you'll see the um the recession before that uh that was only two months


that was the the coid period uh technically based on how the government measures recessions uh it was only two months long but you can see these all itself is very interesting because businesses were closed for many more months than just two uh you know we were H an extreme lockdown I can't see how it is within the realm of possibility that uh that recession was only two months uh yeah because uh so much retail business did not exist for like six months or year Y and yeah so anyway go ahead I'm sorry no


that's a good point and actually that's a very good point for this next chart that I'm going to show you look at this Mike this is economic expansions and recessions going all the way back to the 1800s and yeah I've presented this chart many many times but this is updated as of today but I've been presenting this for more than 10 years but but um can I just comment on some things on here yeah the first thing I was going to point out though is what your point earlier you were saying that you know how is it was


it only two months long um and I think they've changed how they measure uh you know economic expansions versus recessions uh they've changed how they formulate it just like they've changed the CPI many many times but look at the left side of the chart Mike how much uh bigger the red recessions are versus the right side of the chart how little they are and how big the economic expansions are and there's probably oh yeah most people would take that as very good news that you know mostly economic extensions and very


little contractions very little recessions however uh you know if you look at uh the period before the Great Depression um you have a balance where the um expansions and contractions pretty much net out to zero that's because that meant that there was no inflation we had inflation deflation deflation and so the uh recessions that tallest one there that's 65 months uh that one is called the long depression uh of 1873 when that started so that's long depression um and then uh the second highest red


candle in there is the first portion of the Great Depression interrupted by a short expansion uh and well 50 month expansion from the bottom of the crash in uh uh 1933 we began an expansion and then you've got the Roosevelt recession which was all of that was in the Great Depression even even that expansion you still had very very high unemployment but what I see that's very striking the last chart was all pretty much during the uh US dollar standard we had disconnected from gold in 71 so if you


look at this chart from the from 1970 on that's being disconnected from gold uh but you know we the Federal Reserve was formed it was the Act was passed in I believe it was December of uh of 1913 but they didn't open their doors for business until November of 1914 and then they did this enormous expansion of the currency supply for World War I and so if you look at that uh 1915 expansion of 44 months that um you know from the beginning of the chart that's the second highest candle on here


it's a manip ulation and then uh you have the uh end of the war in 1918 and a little short expansion in 1919 and then uh as soldiers come home and as we stop the currency there was a big contraction uh the greatest deflation in wholesale prices in US history the depression of 1921 uh so when that um uh in 20 20 February of 2020 to August of 2021 so the latter the first half the last half of 2020 and the first half of 2021 was actually a depression but they did not um the Federal Reserve did


intervene and the government didn't come to the rescue and the free market uh rescued the free market was what got us out of it and then you look at the uh crash of 20 9 and the 43 Monon candle there and then you've got the expansion but that of of 50 months following that but that's we still had very very high unemployment we had Bank runs this was that expansion took place during the Great Depression so even though it shows as a green candle that green candle was the Great Depression along with the red


candles on both sides of and then uh you've got uh 38 and and uh going to the end of the war and so um as we uh exited the uh the um Roosevelt recession 1937 early 38 uh once we exited that we were still in the Great Depression the Great Depression really didn't end until we were actually in the War uh and then what you see is all of the red candles are very small the green candles are huge that looks like really good news but what is happening here is energy is being built up nothing gets a chance to


correct and equalize and the other than the Great Depression uh the depth of the busts is much it's much more violent the crashes come uh faster you know other than the crash 29 in the Great Depression uh it used to be that expansion and contraction netted out to zero and uh we we um had a fairly stable economy with a pendulum swinging back and forth like this and now they expand and they expand and they expand and then Wham we get this big contraction violent hi I just wanted to take a moment and thank you for subscribing and


mention that if you'd like to help our Channel please consider my company goldsilver.com the next time you buy precious metals we're one of the most trusted names in the industry our prices are sharp delivery is fast and we have an insiders program where you find out exactly what I'm doing with my own Investments thanks for making goldsilver.com your dealer and now back to the video they expand and they expand and then Wham we get these big contraction violent and what it's doing


is is building up energy to where the manipulation of the economy you know we've got some really bad stuff coming at us right we've got uh you know these high debt to gdps we're getting involved in Wars all over the world uh we've got um there's a currency crisis Brewing uh and uh I think it's just going to be horrible anyway that's what I see in it is there something that you wanted to show me beyond that well I I think you know there's a little bit of manipulation there and how they measure


these things uh for sure and there's been technological advances that that might account for a lot of the more green bars on the right than on the left um that's fair but also we've introduced money printing um oops I just got gone currency printing but uh but yeah they're they're they're creating currency out of nothing and of course that's going to help with expansion so I think that cre out of money out of nothing they create it out of uh enslavement by uh any any treasury


bond that's sold that the Federal Reserve then buys all of that principle and interest is owed back out of future taxes so what they're doing is when when they expand the currency Supply like this um uh you know the most of the currency Supply is created by the Banks and so that is created through loans and leases and so you are promising to pay in the future and that creates the currency today uh with the currency that the government creates uh we are the government creates it uh the Bank


Reserves are the vast majority of Base currency there's the currency in circulation and then Bank Reserves and uh we get stuck with the bill the the taxpaying public um yeah so anyway well the other thing that I got out of this is that uh recessions are inevitable even with all the manipulation that they may be doing you can see that we always have recessions still and this this uh begs the question Mike where does one invest for a recession how does one prepare their portfolio for recession and I think it's


fair to say that a lot of um the mainstream will say well you know buy stocks buy uh defensive stocks buy dividend pay stocks whatever they might say but Mike this shows that the S&P is you usually Falls during recessions this chart goes measures the recessions going back to the 1960s and you can see what the what stocks have done they've usually Fallen uh and since 2000 those three recessions you'll see they've uh Fallen each time one of them was over 37% so I think just generally buying


stocks and holding on them through recession you know you're probably not going to see your portfolio Rise um and Mike here's one I haven't showed before yes I've never seen this before either yeah I I measured copper because I had a a gold copper pick on my site and so I looked at what Copper's done and since the 1960s in every recession copper has fallen and I think that's why they call it Dr copper because it predicts you know um how the economy is doing it reflects how the


economy is doing I want to find out that it didn't just fall but in almost all of these it fell big time yes exactly exactly yeah many of these are double digit declines or most of them are so so copper is not necessarily the way area to go into and then our beloved silver you know I looked at how silver has done during recessions and again I want to point out this is just during the recession the official recessionary period we're only measuring it during the official recession yeah from the


onset of the recession to the month that we come out of it yeah exactly right and you can see a lot of times especially you know since the 1990s even though silver has fallen during the recession when it came out it usually Rose and sometimes violently so yes um but during the recession you know we probably shouldn't expect silver itself to do you know extremely well uh I do want to point out something on the silver chart go back to it just you know which all of the viewers know but take a look at the


height of the 1980 Peak and uh this is probably I'm not sure which data this is it's definitely based on the close not an intraday um the intraday high in 1980 was 5250 on the uh Chicago merant Exchange yeah this is just measuring closing prices the close was 50 on that exchange it looks like you've got around 4950 here or something like that but what else has not exceeded its 1980 high is there anything else in society you know this chart shows it you've got the 2011 high and before that the 1980 high


was higher we have yet to uh get you know to pierce that 1980 high of silver I think it's just amazing but yes this is showing that for the um uh during recessions silver is not necessarily the place to be but then right after the recession it might just like uh do a slingshot move like it did coming out of coid Mike look at the declines there since 2000 they're all single digits so it's not like silver crashed and and didn't recover you know during a recession they were mild declin so um


that's kind of encouraging yeah uh but where do we go well there's really only one place to go in my opinion and that's gold you can see this is gold during all the recessions since the 1960s it's risen every time but twice and the two declines were single digits and again this is during the recession the gold price is actually Rising when there's an economic contraction uhhuh yeah well I think part of this is because gold tends to lead and then silver follows a little bit later yeah yeah so gold Rises and then


after the recession is over silver Rises probably to a greater extent usually because it's silver is pretty much like gold but leveraged however right the gains to be made I believe in Gold are going to be big enough to where um uh you don't actually need the leverage so yeah good good point yeah this is excellent Jeff so it's showing that your greatest protection uh during a recession and I believe that we one has already either started or will start very shortly as everybody's seen uh that


the viewers if they've watched any of my previous videos I've presented an awful lot of data that shows that you know from the Federal Reserve that shows that a recession should be here so yep I mean Mike the last point I would make is that we um you know we ensure our cars we ensure our homes we ensure our lives um so why not ensure our portfolios and the best insurance to have in your portfolio is gold you mentioned before that CPM group showed historically that 20 to 25% of one's


portfolio should be in gold and that's critical this time as we head into a recession so I mean I look at my portfolio and add up all the values of all the portfolios and I have to ask myself is 20% of the value of everything I own in Investments at 20% you know so that that's a lot um but I think that's where people need to be is 20% especially um in the current climate that we're in right yeah yeah uh I'm a lot higher than 20% but uh Mo when I say precious metals uh when I my gold


allocation is quite small because during the time of my purchases the gold silver ratio has been very silver has been extremely undervalued during that whole time and so I usually end up buying you know when it's above uh 70 or so 6570 I just buy silver only and and so I've ended up with a lot of silver uh it would be nice to have more gold but I've got plenty so iable yeah good this is awesome very good good I'm glad you like it and uh hey Mike I just want to mention some people have asked


um the book Pay Dirt that I wrote is now available in paperback so you can order actual physical copy of the book that's what some people were waiting for um it's available on Amazon or you can uh download the link through our site right there um and I wanted to just give a shout out to Dan our expert video guy and production manager uh he's the one who actually came up with the name perer uh and when he mentioned that name to me before the book was even written I'm like oh that's the perfect name for a


book so uh shout out to Dan and because the book is all about trying to hit Pay Dirt with Mining stock so so thank you Dan yeah you have there's a quote that you wanted to show too right yeah uh this really ends things very nicely I think uh Dan will put it up there but it's from George George Bernard Shaw uh this is really pertinent for the time we're in right now Mike I sure you have to choose between trusting to the Natural stability of gold and the natural stability of the honesty can you say that with a straight


face honesty the part I can't say intelligence intelligence of the members of the government and with due respect to these gentlemen I advise you as long as the capitalist system last to vote for gold and Welly that's really true like you have to trust in them are politicians and elected leaders or you have to trust in gold and I think the message is clear there you have to trust in Gold yes I absolutely agree and with that I think we will wind things up I want to thank you very much Jeff for being here so


thanks thanks for having me Mike it was great to be back with you and to the audience please like And subscribe we'll see you next time thanks for watching but this is by no means the whole story if you want the full story including my free online only chapters and companion videos there's a wealth of information at G gsr2 thanks