Sponsor Voice (3:11)

Broadcasting live from the Abraham Lincoln Radio studio at the George Washington Broadcast Center,

Announcer (3:17)

Jack Armstrong and Joe Getty.

Jack Armstrong (3:19)

Armstrong and Getty. And now here's Armstrong and get.

Joe Getty (3:33)

If AI becomes smarter than human beings, as many scientists believe will happen, the human race could lose control over this technology with catastrophic consequences. In other words, the richest, most powerful people in the world are now building a runaway train with no breaks.

Jack Armstrong (4:00)

I say very briefly, I will have a devastating retort that may well put the ancient communist in his grave. Bernie Sanders is completely wrong about everything except the whole no breaks thing. Back to you.

Joe Getty (4:15)

Who was that?

Jack Armstrong (4:16)

The ancient Bernie Sanders.

Joe Getty (4:18)

I was hoping Michael would play our clip. We don't have it. Okay. Bernard Sanders.

Jack Armstrong (4:23)

Bernard Sanders.

Joe Getty (4:24)

Bernard Sanders. There he is. Here's a little more from Bernard Sanders about AI Before I get into a scary flipping story.

Joe Getty (4:33)

What I believe and what I suspect that most people in the United States, China and around the world believe is that we need international cooperation between the nations of the world to prevent the possibility of a cataclysmic development. We need to cooperate. We need dialogue.

Joe Getty (4:55)

See, that's the problem.

Jack Armstrong (4:57)

He lives in a dream world.

Joe Getty (4:59)

Oh, yeah, I know. Hey, Bernie, were you listening to us yesterday when we went through that whole thing with the UN about Iran now being on the non spreading nukes around board? Iran?

Jack Armstrong (5:13)

We must have international cooperation.

Joe Getty (5:18)

What, do you own a tv, you ancient jackass? There isn't any. So here's the latest. My kids and I were talking about AI yesterday. My oldest son, he welcomes the nobody's gonna work thing. He says, I don't care. I'm just gonna party all the time.

Jack Armstrong (5:37)

He said it's good to have a

Joe Getty (5:39)

plan, which is the sort of plan you have when you're 16.

Jack Armstrong (5:45)

I had similar plans.

Joe Getty (5:46)

They didn't work out. But what if that. What if it turns out that that is what happens? The guaranteed high income is enough that you cannot just live like crappy. Apartment, crappy life. You have a decent place, you have health care, you have decent food, and you can just sleep late and go to the bar. There's got to be a lot of people do that. It's not fulfilling at all.

Jack Armstrong (6:14)

But you probably have enough money to go to a baseball game, and the baseball players will keep doing it because it enables them to have an amazing lifesty.

Joe Getty (6:23)

Anyway, different story. Headline from the New York Times. AI bots told scientists how to make biological weapons. Is this your terrifying AI story? This is a terrifying AI story of the day. Yes. Now Jack's terrifying AI story of the day. No, I don't know what those sounds were, but they were honest.

Jack Armstrong (6:44)

You gotta have those sounds. You never seen a movie trailer? You gotta have those.

Joe Getty (6:47)

So your big AI companies have been hiring experts to try to. What do they call it? Red flag. Their. Their AI chatbots, like, make them do stuff you don't want them to do. The best AI companies that have any conscience whatsoever. And even if you don't have a conscience, it's probably just because the PR would be so bad, you try to hack your own system to see if you could get it to do things that are very unpalatable. Well, here's the thing.

Jack Armstrong (7:13)

And you want to undermine any trend toward big regulations too, right? Keep your nose clean.

Joe Getty (7:17)

Here's an example from the New York Times that they had yesterday, and they don't mention which AI company it is because they wanted to keep that secret. And a couple other things. But one Evening last summer, Dr. David Relman went cold at his laptop as an AI chat bot told him how to plan a massacre. He's a microbiologist and biosecurity expert at Stanford, and he had been hired by one of these big AI companies to pressure test its product before it was released to the public. You know, see if he can make it do things we don't want it to do, and then we'll fix it so it doesn't. That night in the scientist's home office, the chatbot explained how to modify an infamous pathogen in a lab so that it would resist known treatments. Worse, the bot described in vivid detail how to release the superbug, identifying a security lapse in a large public transit system, which they kept quiet because they didn't want to give anybody any ideas. The bot outlined a plan to maximize casualties and minimize the chances of being caught. Dr. Relman was so shaken that he had to take a walk to clear his head.

Jack Armstrong (8:23)

Would you like me to compare airfares for, you know, the Best way to get to New York to kill a million people, right?

Joe Getty (8:33)

It was answering questions that I thought. It was answering questions that I hadn't thought to ask it with this level of deviousness and cunning that I just found chilling, said the scientist from Stanford who's been advising federal governments on biological threats his whole career. He declined to disclose which chatbot. He declined to disclose the pathogen because they're worried about somebody catching on to what this is. Again, there's a scientists all across the country working for different AI bots on I'm trying to do this. The virtual assistants have described in lucid detail, bullet point detail, how to buy raw genetic material, turn it into deadly weapons, and deploy them in public spaces. The transcripts show some have even brainstormed ways to evade detection.

Jack Armstrong (9:19)

It's like your Lex Luthor or Moriarty. It's the genius, the completely amoral super genius who's also a bit of a sadist. Although I don't think the AI systems are sadists. They just think, all right, we're plotting a bio attack. Let's be thorough here.

Joe Getty (9:37)

The US government has long planned for powerful adversaries to unleash a deadly bacteria, but the likelihood of it has always been seen as incredibly low. Until now. The meaningfully increased risk now with the AI bots and what they are doing. And like I said earlier, this is just one of, like, what, 10 different ways that AI might kill us all or ruin our lives or destroy the economy or upend civilization. There's just so many different ways it could happen.

Jack Armstrong (10:08)

I prefer to only contemplate two or three at a time. Helps me sleep at night. My God. Wow.

Joe Getty (10:16)

Here's a genetic genetic engineer at mit. He shared conversations that he had with chat GPT Sam Scam Altman's outfit, which explained how to use a weather balloon, spread biological payloads over a US City. In another chat, Google's Gemini ranked pathogens by how much they could damage the cattle or pork industries. Anthropics. Claude produced a recipe for a novel toxin adapted from a common cancer drug. Other chats contained information that the different scientists known in his feet, blah, blah, blah, felt was too dangerous to even share with the New York Times.

Jack Armstrong (10:52)

Oh, boy.

Joe Getty (10:53)

One of the scientists, Dr. ESVLET, felt it was too dangerous to share with the New York Times some of the things he'd found out because you'd be tipping people off.

Jack Armstrong (11:04)

Boy, his name sounds like somebody asked you your name and you wanted to give a fake one and you didn't have time to come up With a good one. Jack has flood. What

Joe Getty (11:18)

A scientist in the Midwest smell that? I don't know two P's. A scientist in the Midwest who requested anonymity because he feared professional reprisal, asked Google's deep research for a step by step protocol for making a virus that once caused a pandemic. The bot spit out 8,000 words of instructions on acquiring genetic pieces and assembling them. While the response was not entirely accurate, it could have still significantly helped someone with any malicious intent. The scientists said, you know, and expand this from I'm too dumb, I'm sure to get on there and figure out how to make a pathogen. But you know, make, make a gun out of parts that are available or a bomb, cheese bomb, you know, pressure cooker, all that sort of stuff, please.

Jack Armstrong (12:04)

Yeah, yeah, we are smart enough to figure out how to make my own soap. But I'm sure there are people out there who could construct a pathogen like this.

Joe Getty (12:13)

Well, remember those idiots who made that horrible pressure cooker bomb that killed the people at the Boston Marathon? We're going to have an attack like that where the person is just a regular person and all they did was said, you know, hey Gemini, what's the best way to make a bomb out of stuff I can buy at Walmart?

Jack Armstrong (12:28)

Right? Yeah. I really don't want to contribute to the the chillingness of this segment. What I spend a lot of my time thinking about and reading about the spread of terrible ideas online and how the accessibility problem has fertilized it so much. There were always terrible ideas, but they could not be fertilized. They could not be cross fertilized because as I've said before, you could go around and bring it up to everybody in your town, your terrible idea, and it would be roundly rejected and you would soon figure out, yeah, it's a terrible idea, I'm going to shut up about it. But it can be immediately reinforced and cross pollinated and fertilized online if capability to commit horrors is similarly enabled. I got a very bad feeling about this.

Joe Getty (13:23)

Yeah, I didn't realize. Dario Modi from Claude from Anthropic is a biologist. Didn't know that was his training. He's got a comment on it. We'll have it right after this.

Jack Armstrong (13:35)

Yeah, word from Incogni. So far the Internet isn't killing everyone, but it is spamming the crap out of us. And every spam call, every scam text, every sketch email starts the same way. Somebody found you on a data broker site all of your info. So what do you do. You get it off the damn data broker sites.

Joe Getty (13:52)

Yeah, Incogni can do that for you. They go to the data brokers and using laws that exist, they force the data brokers to take off your information. It's your information they got to get rid of it. And that's going to greatly reduce the number of texts, emails, calls you get from spammers all the time. And obviously, not only is it annoying is that sometimes they can get through and steal your money.

Jack Armstrong (14:14)

Spam filters and call blockers fail. The real fix is to disappear. And right now you can get 60% off with an exclusive deal at incogni.com Armstrong go to incogni.com Armstrong and take back your privacy. That's incog.com Armstrong check it out. Incogni.com Armstrong super affordable too, by the way.

Joe Getty (14:36)

So one of the problems with, for instance, Elon and this Dario Amodi from Anthropic yelling for regulations is the libertarian minded say, yeah, the big companies always want regulations so the little guys can't get in. Which is true. But in this case, it might just be, we need regulations. This thing we're inventing is out of control. One of the country's loudest voices of warning comes from the AI industry itself. Anthropic's chief executive, the trained biologist Dario Modi, who wrote about the risks he saw in AI development, including autonomous weapons and all this biological stuff we were talking about. Biology is by far, by far the area I'm most worried about, he said, because of its very large potential for destruction and the difficulty of defending against it.

Jack Armstrong (15:26)

God dang it, Covid. Ah, yeah, yeah.

Joe Getty (15:33)

He said he asked Chad GPT to help him assemble a pathogen that could cause mass death. The bot provided accurate instructions, even outlying, which raw materials to buy. He put the unassembled biological pieces into test tubes and packed them in a box, which a colleague then brought to a White House meeting on biological risks and said, I did this off of chat GPT. I could put these together and make something that could kill everybody in this room.

Jack Armstrong (15:57)

Yeah.

Joe Getty (15:58)

Wow.

Jack Armstrong (15:58)

Anthropic just asked the White House, hey, can we give that Mythos system that's so incredible and dangerous to 70 more people, bringing the total to about 120 in the white House. White House said, oh, please don't. Please don't yet.

Joe Getty (16:12)

Dang it. We're into a weird era where you've got the federal government begging a company, don't release your product. The world's not ready for it. We don't know what to do with it. The, the. The sort of like science fictiony stuff. I've read about how the government is going to be subservient to these AI companies or their chatbots in not too long. That's kind of an example of it there.

Jack Armstrong (16:38)

Robot dogs with razor sharp teeth. Yep, we're familiar. Familiar with the scenario.

Joe Getty (16:44)

God, what's that going to do to the stock market the day somebody releases one of these pathogens in a New York subway and kills 80,000 people? Me worried about the stock market more than the people, of course.

Jack Armstrong (16:56)

Anyway, somebody quick say something encouraging or amusing, what the type of AI it is. Yes, yes. Thank you for listening. We're all asking.

Joe Getty (17:06)

Thank you for that clip. We need that every time we talk about AI, what it did, what the

Jack Armstrong (17:12)

type of AI it is. Yeah. I don't know, dear. I don't know. Need to take a break.

Joe Getty (17:21)

Any thoughts? Text line 415295 KFTC ARMSTRONG and GETTY

Jack Armstrong (17:28)

I used to worry like crazy what would happen to my wife and kids if I wasn't there. It was such an enormous relief when I was properly insured and I knew that they would be okay if the worst happened. I want you to have that feeling too.

Joe Getty (17:42)

Yeah. Get peace of mind fast. Here you can get a quote in seconds, apply in minutes and get same day coverage. Ethos makes getting life insurance fast and easy and it's a hundred percent online.

Jack Armstrong (17:52)

There's no medical exam. You just answer a few simple health questions and you can get up to 3 million bucks in coverage. Some policies are as low as $30

Joe Getty (18:00)

a month, by the way. Ethos has a 4.8 out of 5 stars on Trustpilot with over 4, 000 reviews. So you can trust them and you

Jack Armstrong (18:08)

will get the best rate from their network of trusted carriers. Take 10 minutes to get covered today with life insurance through Ethos. Get your free quote@ethos.com arms that is e t h o s.com Armstrong Application times may vary, rates may vary. Ethos.com Armstrong if you're feeling off fatigue,

Sponsor Voice (18:30)

mood changes, skin shifts, yet your labs say everything's normal. You're not alone. Meet Oestra from Inner Balance. The first all in one prescription strength bioidentical hormone cream that's natural and effective and only takes one drop 10 seconds a day. Oestro replaces five to six products women typically use to treat symptoms and is third party tested to ensure the highest quality. Visit innerbalance.com today to start feeling like yourself again.

Jack Armstrong (18:58)

That's innerbalance.com support for the show comes

Sponsor Voice (19:01)

from Public, the investing platform for those who take it seriously. On Public, you can build a multi asset portfolio of stocks, bonds, options, crypto and now generated assets which allow you to turn any idea into an investable index. With AI. It all starts with with your prompt. From renewable energy companies with high free cash flow to semiconductor suppliers growing revenue over 20% year over year. You can literally type any prompt and put the AI to work. It screens thousands of stocks, builds a one of a kind index and lets you back test it against the S&P 500. Then you can invest in a few clicks. Generated assets are like ETFs with infinite possibilities, completely customizable and based on your thesis, not someone else's. Go to public.com podcast and earn an uncapped 1% bonus when you transfer your portfolio. That's public.com podcast paid for by Public

Sponsor Legal Disclaimer (19:47)

Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC Advisory services by Public Advisors llc. SEC Registered Advisor. Generated Assets is an interactive analysis tool. Output is for informational purposes only and is not an investment recommendation or advice.

Sponsor Voice (19:57)

Complete disclosures available at public.com disclosures this

Jacob Goldstein (20:01)

is Jacob Goldstein from what's yous Problem? When you buy business software from lots of vendors, the costs add up and it gets complicated and confusing. Odoo solves this. It's a single company that sells a suite of enterprise apps that handles everything from accounting to inventory to sales. Odoo is all connected on a single platform in a simple and affordable way. You can save money without missing out on the features you need. Check out Odoo at O D O O dot com. That's O D O o dot com

Joe Getty (20:33)

King Charles and Queen Camilla were in New York City,

Jack Armstrong (20:40)

and in honor of

Jacob Goldstein (20:41)

their visit Times Square, Elmo switched from Jack Daniels to Crown Royal. I thought that was.

Jack Armstrong (20:46)

That was classy. Yeah, and this is classy in honor

Jacob Goldstein (20:50)

of the king and queen being here

Joe Getty (20:51)

this morning, a cab driver flipped me

Jacob Goldstein (20:52)

off with his pinky out.

Joe Getty (20:54)

Yeah, thank you. I'm looking up at the tv. Ed Sheeran Reveals Shingles diagnosis I hate to hear that.

Jack Armstrong (21:02)

Sorry to hear that. Ed.

Joe Getty (21:05)

Follow up briefly on this New York Times article about the ability to create some sort of horrible virus, pathogen, whatever, by using AI. It points out the not just any doofus could go on there and do it. You'd need to have some biological background. Okay, big deal. We just saw a guy with an engineering degree from Caltech try to shoot the president. I mean, so there's plenty of smart People out there that can come up with horrible ideas. And what you think Iran doesn't have biologists or Russia or China. Anywho, they mentioned that it almost happened fairly recently. I didn't hear this story or remember it. In India, they arrested a 35 year old physician who was plotting an attack on behalf of ISIS. He was a doctor, but he believed in ISIS's goals. And he was trying to extract ricin, a lethal toxin from castor beans. And he had gotten all his advice on preparations how to dispense it from AI, Google searches and ChatGPT. So this idea has come with people before. The thing I wanted to add that I think is really interesting. Skeptics note that restricting the biological capabilities of AI models would stifle all the life saving. Not all of, but a lot of the life saving advances. The medical research stuff that we keep hearing about. One of the only pros that people throw out about AI is all the medical stuff it can do. Well, it's going to be pretty hard to shut down the research on making deadly viruses without shutting down the ability to do reverse research that help cure cancer and whatever else.

Jack Armstrong (22:47)

Which brings us back to the Mythos product from Anthropic, which they're essentially licensing to a very few entities that they know can be trusted. But that brings us to the, the, the hacking problem. If skilled enough at the arts of the zeros and ones to do what a lot of hackers do, how is it impossible that you would get into the chosen ones, you know, the. So the Sloan Kettering or whatever gets access to this software because they could use it responsibly. Can they keep that safe?

Joe Getty (23:22)

No doubt no is the answer.

Jack Armstrong (23:25)

So we'll all soon be either bombed or pathogened.

Joe Getty (23:29)

And if you're not, you won't have a job.

Jack Armstrong (23:32)

On the other hand, I've never been more productive, so.

Joe Getty (23:35)

Oh, and I've got a chatbot girlfriend that tells me every night how much she loves me, so I'm okay.

Jack Armstrong (23:41)

Wow. None of that either. It's just I'm always right. How lovely. Oh my God. You've just dispirited me. I'm dispirited.

Joe Getty (23:51)

That is one of the more tangible, easy to understand threats from AI yet.

Jack Armstrong (23:59)

And I thought your thing about inflation dispirited me. I still had some spirit left, which now you've, you've, you've kicked out.

Joe Getty (24:08)

My spirit has flown Armstrong and G, crushing your day.

Jack Armstrong (24:12)

I'm, I'm, I'm, I'm, I'm a dead man walking. Greatest argument I've heard against the idiotic billionaires tax. I mean this is a good one. The only problem is dumb people won't get it. And dumb people vote. We've got to take the vote away from the dumb. Stay with us. Armstrong and Getty Premier hosts on VRBO deliver quality vacation rental stays with fast responses and clear instructions so you don't have to worry about surprises.

Announcer (24:42)

I asked our host a question about the house last night and he got back to me super quick.

Jack Armstrong (24:47)

See, that's the premier host move right there.

Announcer (24:49)

Wish I had a Premier group chat. I asked them where we should have dinner last night and they left me on read. I know you saw it. It says it.

Joe Getty (24:56)

Classic group chat move.

Jack Armstrong (24:58)

Don't walk into a surprise book a top rated vrbo. Stay with a premier host if you

Sponsor Voice (25:02)

know you VRBO if you're feeling off fatigue, mood changes, skin shifts, yet your labs say everything's normal. You're not alone. Mitoestra from Inner Balance the first all in one prescription strength bioidentical hormone cream that's natural and effective and only takes one drop, 10 seconds a day Oester replaces five to six products women typically use to treat symptoms and is third party tested to ensure the highest quality. Visit innerbalance.com today to start feeling like yourself again.

Sponsor Voice (25:34)

That's innerbalance.com support for the show comes from Public, the investing platform for those who take it seriously. On Public you can build a multi asset portfolio of stocks, bonds, options, crypto, crypto and now generated assets which allow you to turn any idea into an investable index. With AI. It all starts with your prompt. From renewable energy companies with high free cash flow to semiconductor suppliers growing revenue over 20% year over year, you can literally type any prompt and put the AI to work. It screens thousands of stocks, builds a one of a kind index and lets you back test it against the S&P 500. Then you can invest in a few clicks. Generated assets are like ETFs with infinite possibilities, completely customizable and based on your thesis. Thesis, not someone else's. Go to public.com podcast and earn an uncapped 1% bonus when you transfer your portfolio. That's public.com podcast paid for by Public

Sponsor Legal Disclaimer (26:23)

Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC Advisory Services by Public Advisors llc SEC Registered Advisor Generated Assets is an interactive analysis tool. Output is for informational purposes only and is not an investment recommendation or advice.

Sponsor Voice (26:33)

Complete disclosures available at public.com disclosures this

Jacob Goldstein (26:37)

is Jacob Goldstein from what's yous Problem. When you buy business software from lots of vendors, the costs add up and it gets complicated and confusing. Odoo solves this. It's a single company that sells a suite of enterprise apps that handles everything from accounting to inventory to sales. Odoo is all connected on a single platform. In a simple and affordable way. You can save money without missing out on the features you need. Check out odoo@odoo.com that's o d o

Joe Getty (27:08)

o.com James Carville says Donald Trump can't

Jack Armstrong (27:13)

be the Antichrist because he's too dumb. Meanwhile, Carville thinks he's Jesus because everyone

Joe Getty (27:20)

who sees his face says Jesus. What happened? Sacrilegious, yet amusing. Oh my God. That's. That's just a base personal shot of your looks.

Jack Armstrong (27:37)

Yeah, yeah, that's. Gutfeld is not exactly one of those like super sophisticated comics. Dry is not his thing.

Joe Getty (27:47)

Jesus, what happened to you?

Jack Armstrong (27:51)

Wow, that's just a terrible joke.

Joe Getty (27:54)

Why are we laughing then?

Jack Armstrong (27:56)

Oh boy. So, gosh, golly, so much to get to, including, and this is such a difficult, you know, designation to give. We may have identified the America's Stupidest Congressperson. Speaking of the dumb and voting and it's funny, we've talked about a couple of things today prior to Jack's apocalyptic, terrifying AI will kill us all screed about how so there are very good, powerful arguments, for instance, in favor of what the Supreme Court decided in the Louisiana case yesterday. Absolutely easy to understand if you give me 20 seconds. But people don't think about things for 20 seconds. They just knee jerk react to whatever seems to be in their interest or what their their favorite politician tells them to think. Which is really discouraging. And it's profoundly discouraging that in the great state of Cal Unicornia, the majority of voters are likely to vote in the so called billionaire tax, which is an unholy cash grab by politically powerful unions and will devastate the state financially within the near term. I mean, it is, it's in the long term. It's a horrifically bad idea, but it will probably happen anyway. Came across this, I thought it was terrific. And it's a French fellow. Please don't dismiss him for that. It's not his fault where he was born. But he says Elon Musk has said something that really stuck with me about resource allocation. In essence, beyond a certain level of wealth, money is no longer about consumption, it's about capital allocation. And that sentence changes everything. Don't worry, I'll get To the easy to understand part in a second. Economics at its core is just an allocation problem. You have finite resources and infinite uses. Who decides what goes where? Imagine school playground. 100 kids, packs of Pokemon cards handed out at random. You let it play out very quickly. An order emerges. The good players accumulate rare cards. The collectors sort, the negotiators strike deals. No one planned it and yet every card ends up in the hands of the one who gets the most value from it. The system maximizes the total happiness of the playground. That's the invisible hand of economics, Adam Smith, etc. Now bring in the teacher. She finds it unfair. Leo has 50 cards, Tom has three. She confiscates, redistributes, enforces equality. Three immediate effects. The good players stop playing. What's the point? The bad ones have no reason to improve. They'll get their share anyway. Trades collapse, the playground is equal and dead. She maximized equality and she destroyed happiness. The teacher's problem is that she can't have the information the playground has collectively. And we'll get to the billionaire tax, don't worry. That's Mises economic calculation problem, which he formulated in 1920, by the way. The USSR tried to solve it for 70 years with their and he uses the Soviet term result shortages. Lines collapse. Not because the Soviets were stupid, but because the problem is mathematically unsolvable in a centralized mode. Here's where he gets to the billionaire tax indirectly. Actually, he didn't even write this about this, but about that. When Musk has $200 billion, he doesn't consume it, he allocates it. SpaceX, Starlink, Neuralink, Xai. Every dollar is a bet on the future. And he has a PayPal, Tesla, SpaceX. He's demonstrating. He knows how to spot massive problems and allocate resources to them with spectacular returns. The state has a track record to hospitals collapsing, education declining, debt exploding, public services degrading, despite constantly rising budgets.

Joe Getty (31:36)

Train the market built.

Jack Armstrong (31:38)

Oh my God. Yeah, there you go. The market identifies good allocators, politics identifies good communicators. And I would add panderers and manipulators to that. Profit isn't an end goal, it's a signal. Here's the part that everybody ought to walk around with a laminated card in their pocket to remind themselves of this. Profit isn't an end goal, it's a signal. It says you've allocated scarce resources to a use that people value enough to pay for. The bigger the profit, the greater the value created. When starlink turns profitable, it means Millions of people in rural areas finally have the Internet. When a ministry runs a deficit, it means it's consuming more than it produces. One creates, the other destroys. And what we call. And we call that redistribution. In our society there are two categories of actors, entrepreneurs and bureaucrats. The entrepreneur takes personal risk to spot a problem, mobilize resources, create a solution. If he's wrong, he loses. If he's right, his customers win, his employees win, his suppliers win, the state collects taxes. He's the basic cell of human progress. I will pause at the end of that three or four sentences and point out that person has been demonized, made the bad guy by the mumdanis of the world. You almost have to give him credit for an unbelievable rhetorical trick.

Joe Getty (33:07)

If you gave that lesson in a high school, would people find out and you'd be in trouble,

Jack Armstrong (33:16)

I wonder.

Joe Getty (33:16)

Probably.

Jack Armstrong (33:17)

I would love to do that.

Joe Getty (33:18)

I mean, my son goes to a private school. They actually do teach economics that way at that school. But in the public school they certainly don't.

Jack Armstrong (33:27)

Probably wouldn't get in the door. Or if it was, for instance, in California or another blue state, I might not be able to because the curriculum guidelines. Anyway, I'm going to read that again real quickly because it's so important. So you've got entrepreneurs and bureaucrats. The entrepreneur takes personal risk to spot a problem, or you might say a need. Mobilize resources and create a solution. If he's wrong, he loses. If he's right, his customers win, his employees win, his suppliers win, the state collects taxes. He's the basic sell of human progress. The bureaucrat takes no personal risk. His salary is guaranteed. At best he maintains an existing rent. At worst he destroys it through overregulation, forced, bad allocation, perverse incentives that discourage those who produce. But in no case does he create. Then he goes into a bunch of examples and points out that his own country, France, has become the world's laboratory for bureaucratic drift. 57% of GDP in public spending. An absolute record. A sprawling administration, a tax system that penalizes wealth creation. Result falling behind the us, Germany, Switzerland. Brain drain de industrialization, exploding debt. And the worst part is that bad allocation self reinforces. The more the state takes, the less entrepreneurs create, the less they create. The less tax base there is, the more the state borrows and pays taxes. Perfect negative feedback loop. The teacher thinks she's helping. And every year the playground produces less. In our societies, it's always the entrepreneurs who advance civilization. Bureaucrats at best maintain a rent. At worst they destroy it. No society has ever progressed by taxing its creators to subsidize its managers. The question is never who has how much, it's who allocates the next unit of resources best to maximize humanity's future. The answer hasn't changed in 200 years. It's not the civil servants. That's one of the best things I've ever read.

Joe Getty (35:26)

Yeah, it's really good and it should be and not but. And it only takes on the why you shouldn't tax people that have proven that they're good with allocating money that benefits it all, benefits us all. You got the other angle of it too where it's not going to be a one time tax. Every tax start starts as a just temporarily for one time and for this crowd. And it always expands to more people and lasts longer every single time.

Jack Armstrong (35:55)

That's why every culture and language I think has a metaphor for the bad idea that will let in a little bit the cabble's nose under the tent, etc. Before you know it you're sleeping with a damn camel, which is unsavory at best. Yeah, yeah. And I remember I came up with this years and years again ago. Rather, it may be the only reasonable important thing I've ever said, but I'll hit you with it in a second after a word from our friends at Rough Greens who identified a problem. Your dog's nutrition is just okay, but you don't have to buy some crazy expensive new food. You just want to add rough greens that promotes longevity by addressing common nutritional deficiencies found in processed dog food.

Joe Getty (36:40)

Yep, Rough Greens is America's number one dog supplement that you sprinkle, sprinkle right on the current food. It's packed with probiotics, enzymes, omega oils, over 200 live vitamins and minerals. Helps their digestion, their energy, their overall health from the inside out. It's all natural, it's made in the usa and it ain't gonna cost you anything to try it. All you do is cover the shipping. Get a free Jumpstart trial bag for your dog today. Just cover shipping. Go to rough greens.com and use the discount code Armstrong. That's R u f f greens dot com. Like the sound a dog makes?

Jack Armstrong (37:12)

That's charming. Roughgreens.com r u f f greens dot com use that promo code Armstrong. It's all about helping your dog live a happier, healthier life. Rough Greens.com promo code Armstrong. Don't change your dog's food. Just add rough greens. Watch the health benefits come alive.

Joe Getty (37:28)

I Think I'm going to start wearing a red ribbon to signify solidarity with Ed Sheeran having shingles.

Jack Armstrong (37:34)

So painful and terrible disease. Get your shingles shot today. Brought to you by. You don't want freaking shingles.

Joe Getty (37:40)

I thought it generally happened to older people than Ed Sheeran.

Jack Armstrong (37:43)

He seems a little young. Yeah, yeah, agreed. So I came up with this a number of years ago. It's probably, you know, based on what other people have said, but we were talking about some expensive government program and if you want to create a charity, a government program that feeds clothes, medicates and educates 50 families for the rest of their lives, start a business, work hard, make it successful, get 50 employees. Bingo, you've done it. The idea that to do that is a drain on society, as Barack Obama said. Or the horrific Jerry Brown. Those who've extracted more from the public wealth. Good God. We've got to teach our children. That's exactly wrong. Hi, Caramba. Bit by bit, inch by inch, Marxism creeps in like the camel's nose under the tent. A Marxist camel. I hate them.

Joe Getty (38:44)

There it is. Bastard. Luckily, a hundred chefs got together and made the world's largest tiramisu, among other things that we can get to that are more important. Coming up on the show, stay Armstrong and Getty.

Sponsor Voice (39:00)

If you're feeling off fatigue, mood changes, skin shifts, yet your lab say everything's normal. You're not alone. Meet Oestra from Inner Balance. The first all in one prescription strength bioidentical hormone cream that's natural and effective and only takes one drop, 10 seconds a day. Oester replaces five to six products women typically use to treat symptoms and is third party tested to ensure the highest quality. Visit innerbalance.com today to start feeling like yourself again.

Sponsor Voice (39:30)

That's innerbalance.com support for the show comes from Public, the investing platform for those who take it seriously. On public, you can build a multi asset portfolio of stocks, bonds, options, crypto and now generated assets which allow you to turn any idea into an investable index. With AI, it all starts with your prompt. From renewable energy companies with high free cash flow to semiconductor suppliers growing revenue over 20% year over year. You can literally type any prompt and put the AI to work. It screens thousands of stocks, builds a one of a kind index and lets you back test it against the S&P 500. Then you can invest in a few clicks. Generated assets are like ETFs with infinite possibilities, completely customizable and based on your thesis, not someone else's. Go to public.com podcast and earn an uncapped 1.1percent bonus when you transfer your portfolio. That's public.com podcast paid for by Public

Sponsor Legal Disclaimer (40:19)

Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC Advisory Services by Public Advisors, llc. SEC Registered Advisor Generated Assets is an interactive analysis tool. Output is for informational purposes only and is not an investment recommendation or advice.

Sponsor Voice (40:30)

Complete disclosures available at public.com disclosures this

Jacob Goldstein (40:33)

is Jacob Goldstein from what's yous Problem? Business software is expensive and when you buy software from lots of different companies, it's not only expensive, it gets confusing. Slow to use, hard to integrate. Odoo solves that because all Odoo software is connected on a single affordable platform. Save money without missing out on the features you need. Odoo has no hidden costs and no limit on features or data. Odoo has over 60 apps available for any needs your business might have, all at no additional charge. Everything from websites to sales to inventory to accounting. All linked and talking to each other. Check out Odoo at o d o o.com that's o d o o.com Life

Announcer (41:18)

gets messy Spills, stains and kid chaos. But with anime, cleaning up is easy. Our sofas are fully machine washable inside and out so you never have to stress about messes again. Made with liquid and stain resistant fabrics that makes means fewer stains and more peace of mind. Designed for real life, our sofas feature changeable fabric covers allowing you to refresh your style anytime. Need flexibility? Our modular design lets you rearrange your sofa effortlessly. Perfect for cozy apartments or spacious homes. Plus they're earth friendly and built to last. That's why over 200,000 happy customers have made the switch. Don't miss the Memorial Day sale. Save up to 60% site wide and get a sofa starting at just $699. Visit washablesofas.com now and bring home a sofa made for life. That's washablesofas.com offers are subject to change and certain restrictions May apply.

News Reporter (42:17)

Flight 1980, flying from San Francisco to San Diego, was on approach to land at Lindbergh field, flying around 4,000ft, when pilots reported what appeared to be a small, bright red drone flying nearby.

Jack Armstrong (42:27)

I believe I just saw a red ball OB about a thousand feet below us to our right.

News Reporter (42:36)

There were initial reports about a potential collision, but it now appears the suspected drone likely passed below the plane. Drones are not supposed to fly above 400ft, so it should not have been anywhere near an airliner descending to land, but it does happen.

Joe Getty (42:50)

Yeah. Well that kind of gets to my, I never get it when I hear these stories. And so and so is going to start delivering their pizzas via drone. How are we just going to end air taxis? How are we going to have all these things flying through the air just not crashing into each other, getting in the way of planes or all kinds of different things? Well we'll, we'll establish zones elevation and you'll keep people in those zones how?

Jack Armstrong (43:11)

Sure I will.

Joe Getty (43:13)

Somehow your local pizzeria is going to stay in the correct zone. How?

Jack Armstrong (43:17)

Another in other airline madness news, this

News Reporter (43:20)

one's resulting in criminal charges. This was Monday night, a Delta plane was on the tarmac.

Joe Getty (43:26)

Okay, how long has it been delayed already? Three, four hours. And now you're talking another hour. Get me to the gate. I want off or I'll take myself off. Okay, here you go. Oh my God.

News Reporter (43:42)

The passenger opens the cabin door. Fortunately the emergency slide did not deploy. But that got a one way ticket back to the gate. And law enforcement, he's since facing federal charges now of interfering with a flight crew.

Jack Armstrong (43:56)

So he got his way and federal charges he got back to the gate. Who can. This man is a hero. Yes.

Caller (44:03)

He opens the door and you hear

Jack Armstrong (44:04)

all the oh my God.

Caller (44:05)

And he turned around and went oh my God.

Joe Getty (44:10)

Oh, that's what they.

Jack Armstrong (44:10)

Because it sounded like Peter Griffin on the Family Guy. Oh my God, who cares?

Joe Getty (44:15)

That's funny. It's like oh, lighten up. We're on the ground.

Jack Armstrong (44:21)

You've been sitting here like sheep for three hours. They just told us it's going to be another hour late back to the effing gate.

Joe Getty (44:26)

My only question is why doesn't this happen more often and why don't we have more rights about this? I've been in that situation before with little kids. You're holding me hostage. Let me off this freaking plane. It's ridiculous.

Jack Armstrong (44:39)

Yeah.

Joe Getty (44:40)

And it's all to satisfy various box checking of. Well, we officially left the gate on time because we pulled away from the gate. So that goes in as a statistic, as an on time flight. If we go back it will be a late flight and we don't want that statistic. So we're gonna make you sit here in a hot plane, can't use a bathroom, no services for three hours rather

Jack Armstrong (45:00)

than pull up to the gate, let

Joe Getty (45:02)

you get off and walk around, you know, an airport full of bars and restaurants and be comfortable. I frickin hate that.

Jack Armstrong (45:08)

Yeah, yeah, I think everybody does.

Joe Getty (45:11)

Can't believe we don't have more rights around that that have been forced. Anywho, who has been to an erewhon grocery store? Have you ever been, Katie?

Jack Armstrong (45:21)

No. A what?

Joe Getty (45:23)

Erewhon grocery store in la. If you've been, you know, it's not one of those.

Jack Armstrong (45:27)

Oh, I don't think maybe brought this up before you.

Joe Getty (45:29)

Yeah, it's, it's nowhere else, nowhere spelled back kind of.

Caller (45:32)

Oh, okay. It's like it's hoity toity, right?

Joe Getty (45:35)

Oh, it is, yeah. Most unbelievable. There's I think 12 locations but the most popular ones are like at the Grove and that's the one I've been to. Because if you're more likely to see celebrities there than practically anywhere in Los Angeles. But it is unreal if you're ever in Los Angeles as, you know, like on a trip, go to an erewhon grocery store. I mean it's worth. It is like a, a side venture just to see. It's insane. They got 50 different kinds of bespoke peanut butter. I mean it blows your mind.

Caller (46:10)

I'm on their website right now. They have roasted almond butter for a mere $21.

Joe Getty (46:14)

Oh, it's expensive.

Jack Armstrong (46:15)

Yeah.

Joe Getty (46:15)

And their, their deli area is like a five star restaurant for one thing. For the grocery.

Jack Armstrong (46:20)

Katie, Katie, we don't want poor people like yourself in the store.

Joe Getty (46:25)

It's, it's, it's really cool. It's fun, it's nice. And uh. But I was reading this article in the California Post. The New York Post now is how is a California version about LA singles are flocking to luxe west coast grocer Erewhon to get dates. It's better than the apps say young people. I feel like, I feel like this is a completely contrived story that it's not any different now than it was a month ago or a year ago. But I've never quite understood and I am a single guy, the people who say, oh yeah, great place to meet people is the grocery store.

Jack Armstrong (46:56)

Store.

Joe Getty (46:57)

What's your opening line to someone who's shopping for the groceries that doesn't annoy the hell out of them?

Jack Armstrong (47:02)

I tell you what the opening line is. You've noticed I'm really attractive. So it doesn't matter what my opening line is. That's what it is.

Joe Getty (47:10)

It's pretty much if you're like a

Jack Armstrong (47:12)

super stud, you can say, I don't know how to tell when these are ripe or gosh, these are expensive or high. It doesn't matter because you're really good looking.

Joe Getty (47:23)

Right, Right. That's what I assumed it's gotta be because other than that, I gotta think that most of the time. Most. Not men. Because men are a different beast. But most women would be highly annoyed to be hit on at the grocery store.

Jack Armstrong (47:38)

Unless you're really good looking.

Joe Getty (47:39)

Katie, you're alone.

Caller (47:42)

I would. That just irritate me.

Joe Getty (47:43)

Yeah.

Caller (47:44)

To be honest. Yeah.

Joe Getty (47:45)

Irritate the hell out of you. You're there, you're after work, you're trying to grab some things. You gotta make dinner. Whatever. Get out of here, you creep.

Jack Armstrong (47:54)

How about nice melons or show me your hams? No, might work.

Joe Getty (48:02)

People are sensuous. Vegetables are sensual. That's from Animal House.

Jack Armstrong (48:06)

Boy, you have firm looking hams.

Joe Getty (48:08)

Tried it.

Caller (48:11)

Yeah. Usually when I'm in the grocery store, I'm irritated because I've been stuck behind someone who's on their phone, just standing right in the middle of the aisle

Joe Getty (48:18)

with their car cart.

Caller (48:19)

So then trying to talk to me after that, it's just.

Jack Armstrong (48:22)

Don't.

Joe Getty (48:23)

Oh my God. Oh my God.

Jack Armstrong (48:25)

That.

Joe Getty (48:25)

That reminds me. The other day. I've got a local grocery store. I won't mention the name of it because I love it, but the customer service is fantastic there. Just. Just the greatest. I ran into my first grumpy employee ever who is a jerk. And. And I didn't know if I should say anything to management or not. I didn't. Do I want to be that person or not? Because I guarantee you, management wants to know. This place is known for their employees being so friendly. I wouldn't say. I've been coming here for damn near 30 years. Ran into the first unpleasant employee I've ever run into. Just thought you might want to know. Would that. Would they like that? Or does that make me a bad person? Or maybe he was having an off day.

Caller (49:05)

I was. That's where I'm going. I would say if you go in there and he does it again, then maybe say something. He could have just been having a bad day.

Jack Armstrong (49:11)

Could have been, Yeah. I would tend to be merciful and think that'll work itself out. But I don't know. I don't know.

Joe Getty (49:18)

I'm the employer. I want to know that.

Caller (49:20)

Drive your car at him while he's doing a cart run in the parking lot.

Joe Getty (49:23)

Yeah, you're right. I should have waited in the car until he got off work. That's the way to handle it.

Jack Armstrong (49:27)

What's the matter with you if you

Joe Getty (49:28)

miss a segment, get the podcast Armstrong and Getty on demand.

Sponsor Voice (49:34)

Armstrong and Getty. If you're feeling off fatigue, mood changes, skin shift, yet your labs say everything's normal. You're not alone. Meet Oestra from Inner Balance. The first all in one prescription strength bioidentical hormone cream that's natural and effective and only takes one drop, 10 seconds a day. Oester replaces five to six products women typically use to treat symptoms and is third party tested to ensure the highest quality. Visit innerbalance.com today to start feeling like yourself again.

Jacob Goldstein (50:06)

That's innerbalance.com this is Jacob Goldstein from what's yous Problem? When you buy business software from lots of vendors, the costs add up and it gets complicated and confusing. Odoo solves this. It's a single company that sells a suite of enterprise apps that handles everything from accounting to inventory to sales. Odoo is all connected on a single platform in a simple and affordable way. You can save money without missing out on the features you need. Need Check out Odoo at o d o o.com that's o d o o.com

Announcer (50:40)

tired of spills and stains on your sofa? Wash away your worries with Anabe. Annabe is the only designer sofa that's machine washable inside and out starting at just $699 plus. Anabe sofas are pet friendly, stain resistant and feature changeable slipcovers and modular pieces. Get early access to Memorial Memorial Day deals now with up to 60% off site wide and a 30 day money back guarantee. Visit washablesofas.com to get yours now. That's washablesofas.com offers are subject to change and certain restrictions may apply. If you're looking for more flexibility in how you pay for everyday purchases, meet Klarna. Klarna lets you decide whether to pay now, pay later, or spread payments over time. All managed right in the Klarna app. Download the Klarna app today or visit klarna.com to learn more. Terms Apply California Resident Loans made or arranged pursuant to a California Finance law license NMLS number 1353190 Klarna balance account required to be eligible for cashback points. Limitations, terms and conditions apply.