Topic: Kyle Bass

In an interview with Kyle Bass, Steve Bannon argued that China, in coordination with Western elites, successfully de-industrialized Western democracies. Bannon claimed that China's strategy involved exporting overcapacity and deflation to the West while moving hundreds of millions of its citizens into the middle class. He credited Donald Trump with challenging this established global order and the bankers who financed China's rise.

Investor Kyle Bass reports that a senior Obama administration official admitted the plan to grow U.S. exports involves "killing the dollar." Since the administration will not allow nominal wage deflation, currency devaluation is seen as the only remaining lever to make American goods competitive. The hosts analyze the implications of this policy on domestic savings and global trade.