We Study Billionaires - The Investor’s Podcast Network TIP412: Differences between the US and the Eurozone w/ Daniel LaCalle
Jan 9, 2022
In this engaging discussion, Daniel Lacalle, a Ph.D. economist and fund manager, shares his insights on the economic landscape. He delves into the differences between the US and Eurozone economies, revealing the challenges each faces. Conversations about inflation highlight distinct calculation methods and local implications. Lacalle also critiques the ESG sector, addressing greenwashing risks and lack of regulation. Plus, discover the growing role of cryptocurrencies and how they could reshape financial systems, presenting new opportunities for investors.
AI Snips
Chapters
Transcript
Episode notes
Omicron's Impact on the Eurozone
- Eurozone consumer confidence weakened before Omicron, impacting manufacturing and services.
- Governments reacted differently based on vaccination rates, with stricter restrictions in less-vaccinated areas.
Inflation Forecast
- Forecasts for inflation have been consistently wrong, shifting from deflation to transitory to persistent.
- Daniel Lacalle believes inflation is more persistent than predicted, with upside risks in 2022 due to rising essential goods and services costs.
Runaway Inflation Risk
- Runaway inflation is unlikely in the US and Eurozone due to their reserve currency status.
- Disinflationary pressures like technology, demographics, and high debt mitigate the risk, though high inflation remains a concern.