Episode Summary
In this episode of The Expat Files, Johnny Mueller explores the differences in news consumption between first-world and Latin American audiences, the challenges expats face in staying informed, and the cultural disconnect between Latin Americans and first-world media. He also touches on the perception of American pop culture, the role of first-world brands in Latin society, and the lack of awareness about global economic issues in Latin America.
Johnny begins by discussing how Latin people receive only fragmented news snippets from the first world, while first-world individuals are similarly limited in their understanding of Latin news. He emphasizes that this limited knowledge makes it challenging to have deep discussions with locals, especially on complex topics like the IMF, Federal Reserve, or alternative energy. He also points out that even educated Latin individuals are often unaware of global issues like the 12 tipping points that could drastically change life for everyone. Johnny suggests that expats and gringos living on the tourist trail in places like Costa Rica or Panama have an advantage in accessing alternative news sources and engaging in more informed conversations.
He then reflects on his own experience as an expat, emphasizing how the internet and tools like Skype have made it easier to stay connected with the first world. He acknowledges that while he stays current with global events, he is not fully engaged with all aspects, especially in the music and entertainment industry. He contrasts the intellectual breadth of expats with that of first-world professionals, suggesting that expats often have a more focused and less tunnel-visioned worldview. Finally, he touches on the denial of certain global issues in the first world, contrasting it with the more direct awareness found in Latin America.
Johnny also discusses the general lack of interest among Latin Americans in first-world news and the broader cultural disconnect. He highlights that many Latin Americans, despite being college-educated and living in the first world, do not engage with real news, instead relying on superficial references to American pop culture. He humorously notes the preference for Johnny Walker black whiskey at upscale Latin parties, despite its lack of distinction compared to other whiskeys. He further notes that even when Latin Americans mention having been to the United States, they often do so in a way that emphasizes their perceived 'coolness' rather than genuine engagement with American culture.
He then discusses the cultural dynamics between Latin Americans and gringos, highlighting how Latin Americans often equate first-world brands with wealth and social status. He explains that when a Latin American hears a gringo mention buying something from a first-world store or brand, they automatically assume the gringo is affluent and has achieved a certain social status. This perception is further reinforced by the way Latin Americans adapt gringo brand names, such as referring to Payless as 'Paylex,' to fit their own cultural context. Johnny also contrasts this with the reality of Latin American-made products, which are often of high quality and affordable, yet are not recognized in the same way by gringos.
In another segment, Johnny discusses the challenges of discussing global issues like the financial system's collapse and unsustainable urban living with Latin Americans. He notes that while these topics are common knowledge in the West, they are outside the frame of reference for many Latin people. He explains that even though they may appear to be listening and engaging, they are often just being polite to the gringo and are unlikely to follow through on any suggestions or references. He emphasizes that it's best to remain quiet in social settings unless one is with like-minded individuals, as discussing such topics can lead to losing friends or causing discomfort.
Johnny also touches on the general lack of attention that Latin people, even the educated ones, pay to first-world media and news. He argues that this is due to a combination of cultural factors, including the obsession with sports among Latin men and the superficial interest of Latin women in sports events. He also highlights the influence of alternative media and the manipulation of corporate media like CNN and Fox TV, suggesting that even the so-called 'Latin CNN' is just as manipulated as its U.S. counterpart. He uses the example of the real estate bubble in Latin countries to illustrate how the lack of awareness about global economic trends leads to poor decision-making in local markets.
Finally, Johnny discusses the lack of awareness among Latin Americans about the economic issues in the United States. He highlights that many Latins are unaware of the housing market's real problems, including foreclosed real estate held by banks, upside-down mortgages, and the student loan crisis. He also notes that unemployment statistics are misunderstood due to the perception that illegal immigrants always find jobs easily, leading to a belief in full employment. Johnny suggests that the limited exposure to U.S. news, which often focuses on negative stories, contributes to this ignorance.
The episode concludes with Johnny providing contact information and inviting listeners to visit the website for additional resources. The segment includes a friendly sign-off and a farewell in Spanish.
Topics
News consumption differences between first-world and Latin America, Limited knowledge of complex global issues among Latin individuals, Advantages of expats and gringos on the tourist trail in accessing alternative news sources, Expat life and staying informed, The role of the internet in expat communication, Perceptions of expats and their knowledge of global events, Intellectual breadth and tunnel vision in first-world professionals, Denial of global issues in the first world, Cultural disconnect between Latin Americans and first-world news, Perception of American pop culture in Latin America, Preferences in alcohol consumption among Latin Americans, Humorous observations on social interactions in Latin America
Chapters
00:00:00 Opening 00:01:11 The Appeal of Disasters in News Consumption 00:01:38 Advantages of Living on the Gringo Tourist Trail 00:02:26 The Lack of Understanding of Alternative Energy in Latin America 00:06:13 The Perception of Expats and Their Knowledge of the First World 00:07:38 The Balance Between Staying Current and Not Being Overwhelmed 00:09:12 Comparing Intellectual Breadth Between Expats and First-World Professionals 00:10:00 The Disconnect Between Latin Americans and First-World News 00:10:50 The Lack of Interest in Alternative News Among Latin Americans 00:12:03 The Role of Johnny Walker Black in Upscale Latin Parties 00:13:33 The Gringo Advantage and Social Status Perception in Latin America 00:13:58 The Cultural Adaptation of Gringo Brands in Latin America 00:14:26 The Universal Desire to Impress and the Gringo Advantage 00:16:16 Introduction to the topic of global issues and their perception in Latin America 00:16:38 The importance of being polite and not arguing with gringos about global issues 00:17:14 The challenge of discussing alternative viewpoints in social settings 00:19:02 Why Latin People Ignore First-World Media and News 00:20:52 The Real Estate Bubble in Latin Countries 00:21:42 The Manipulation of Latin CNN 00:21:50 The Ignorance of the U.S. Housing Market in Latin America 00:21:56 The Illusion of a Rebounding U.S. Housing Market 00:25:11 The U.S. Economic Perception in Latin America: A False Sense of Security 00:25:42 Withholding Foreclosed Real Estate: A Strategy to Prevent Market Glut 00:26:38 The Bubble in U.S. Real Estate and Its Implications for Latin America 00:27:39 Podcast Closing Segment
Transcript
Automatically transcribed from the original recording; names and wording may contain errors.
[00:14] Hello there all you expat wannabes, I'm Johnny Mueller and you're listening to the Expat Files, living in Latin America. The show that tells you just what it's like to live, work, play and or retire down here in Latin America. It's a mix of the good, the bad, the ugly and the great and it's all right here so let's get started. Now if you recall in last show I was talking about how Latins viewed the daily news coming out of the first world much differently than we see it. And part of it's because they get little snippets of first world news and that's all. Just a few basic headlines and sound bites that seems like all most Latin people really want to know or have the stomach for. While on the other hand people up in the first world only want a few snippets or sound bites of Latin news, am I right? I mean come on, does anybody in Boston or Cleveland that's not of Latin descent really care about
[01:02] news down here? Nope, not unless it's a major catastrophe where a lot of people suffer, like that gigantic earthquake in Chile a few years ago. Everyone loves a disaster, don't they? As long as it's happening to someone else, right? So Latins, even the educated ones, have a very limited grasp of what's going on in the first world. And not that they need to, it's just a point here. And I'll tell you that makes it really difficult at parties if you want to have a deep discussion. Most of the time that's just never going to happen unless you get invited to one of those embassy parties or a party with a lot of gringos at it. So I guess that is one big advantage to living on the tourist trail like in Costa Rica Panama or Cancun, etc. etc. Then you can meet gringos and have great discussions.
[01:48] And I'm tossing that in right now because I get emails from people asking me to point out some of the good things about living on the gringo tourist trail. And the operative phrase there is on the gringo tourist trail. And I know there are some other advantages but I can't think of any right now. I'll get back to you on that. So anyway, mark my words, if you're living off the gringo tourist trail, you'll have to find other ways to stimulate your brain than talking to the locals. I mean let's face it, if you want to talk to somebody about the IMF or the Federal Reserve, even fracking or encryption or Fukushima, forget about talking about solar panels and alternative energy. Even though Latin America is perfect for that kind of stuff. Or for that matter, try striking up a conversation down here at a party,
[02:34] then just casually mention that everyone should be cooking with coconut oil. Then just look at all the blank faces of the so-called educated Latins in the room who know absolutely nothing about it. Except for their misguided false notions that only low class dirt poor people on the Caribbean coast use this stuff. Even though just 20 feet away, coconuts are dropping off the trees and rotting on the ground, middle class and wealthy Latins are totally clueless about the benefits of the stuff. And yes, if you go to the high end shopping malls, occasionally you'll run across a small first world style organic food store. And some of those places will stock small jars of coconut oil. They come in two sizes generally, 8 and 16 ounces. With prices get this hovering around 20 to 30 bucks for little jars like that.
[03:24] Almost always imported from halfway around the world, the Philippines. Go figure, huh? But strangely enough, it's just the gringos and the expats that buy it, not the locals, even the wealthy so-called educated ones. So what kind of education are they getting then? An incomplete one, surely. The unfortunate reality is you're not going to find a Latin person, even high class Latins with university degrees. That could keep up with you in some of the topics and conversations I just mentioned, much less hold their own. And the fact is, even the Latins I know that are curious and inquisitive, they know nothing about alternative news sources. They get their news, et cetera, from the usual superficial media sources. There's the heavily dumbed down Latin television networks that make US
[04:13] commercial TV up in the states, ABC, NBC, and CBS, seem like Harvard graduate school courses. And they get most of their other news and information from the daily internet entertainment and babble stuff that you see on the homepage of places like Yahoo. Now, I'm not saying I don't know a lot of people up in the states who aren't completely clueless or in denial about those really serious problems facing us today. In fact, if you ask the average American to name some of the 12 tipping points, you know, those 12 or so irreversible world changing critical points, that will soon change the way all of us live in a dramatically negative way. All of us, that is, who aren't prepared for it. Are you? Why do you think so many people are expatting to Latin America?
[04:59] It's a great way to hedge your bets, you know? And about those tipping points. I'll bet you a Bitcoin, the majority of people from your town that you ask won't know what you're talking about either. Which is certainly not true of gringles and expats who live down here. Most of us, with the exception of US embassy types and the kumbaya crowd, have not trusted standard media sources for a long, long time. We're always tapping into alternative sources. And like I said for many of us, that's why we're down here in the first place. And believe me, 20 some years ago when I first got down here before the internet, tapping into a consistent source of alternative news was a pretty tough mission. And even now, like I said, you'd be hard pressed to find a Latin,
[05:45] no matter how brilliant in other respects, who can easily discuss those kind of things with you. Talk about mission impossible. That said, us long-term expats who knew what it was like in the old days are forever saying, three cheers for the internet and services like Skype and such. That's why these days anyway, us gringles and expats, no matter how eccentric, fringe or even normal we may be, we certainly don't lack for good, current information. And yes, popular to contrary belief, some of us are completely normal, despite what our friends and relatives up north say about us. So anyway, we don't feel the least bit out of touch or isolated from what's happening out there in the rest of the world. Even though, so many of us are a couple of thousand miles away from ground zero,
[06:33] and I don't mean nuclear ground zero either. Though anything's possible, especially if you live by Indian point. So what are you, an optimist, a pessimist or a realist? Remember when Dirty Harry said, do you feel lucky? Ask any long-term expat here and they'll tell you they do feel lucky, about themselves anyway and where they're at. Though unfortunately they have no such optimism about what's happening up in the first world. In fact, I'll tell you that with every seminar I've given down here, each and every time at least a few people come up to me and say, Johnny, I can't believe that for as long as you've been away, you're still so current and hip with what's happening up in the first world. People are especially surprised knowing that I've only been to the states
[07:19] for about a week in the last 20 or so years. Or it might have been two, can't remember. I think sometimes when you've been an expat that long, people somehow think you've been stuck in a time warp like Robinson Crusoe. I'm here to tell you that I'm the living proof that it doesn't happen like that at all. Although as a disclaimer here, I must say I'm not totally hooked in with every little thing that's happening up in the first world, especially when it comes to the music and entertainment scene. Because well, for one, I refuse to get on Facebook. Secondly, most of the so-called talent in the music and entertainment business is, well, ludicrous. And no, I'm not talking about that rapper who perfectly lives up to the name. So what about keeping up with everything that's happening down here in Latin America
[08:06] as well as what's happening in the rest of the first world? It sounds like if you really wanted to absorb it all, your brain would be on overload. And that's not why we came down here. We came down here to simplify things and make our lives a lot less hectic, right? But remember, when you're down here, you're going to have a lot of time on your hands so you can read and go on the internet. Or if you really want to get depressed, you could have a nice, long, frustrating Skype with your know-it-all socialist brother-in-law who teaches art history at Michigan State. We've all got a few of those in the family, and it depends how much you want to punish yourself. So anyway, if you're the type that likes long, heady, deep conversations, don't look for them with your Latin friends down here. Even the ones that have advanced degrees, don't expect they're up to speed on anything cutting edge
[08:55] except in their own careers. In their own fields, they're very capable professionals. Be they engineers or chemists or doctors, whatever. But beyond their fields and careers, they have this tiny breadth of knowledge and such a tunnel vision skimpy world view you just wouldn't believe it. You know, in some ways, it's like the States. Once you get your college diploma and it goes on the wall, that horrible little chapter is over in your life. You've made it, and that's it. Once your name is stenciled on the office door, no further brain strain necessary. And that's the way it is down here too, only 10 times worse. Now, remember I mentioned earlier that most people up in the first world either don't know at all about the tipping points or are in denial. That way, it's easier to get up in the morning, right?
[09:42] Well, down here in Latin America, the denial part doesn't exist at all. If there was denial, that would be a good start. At least you'd know they'd put some thought into it in order to go into denial mode. Does that make sense? And a lot of it's because most of them never read another book again once they graduate, like the majority of first world college graduates. You knew that already. In fact, there's quite a few of those I left behind in Chicago myself. But secondary to that is the fact that Latins just don't give a rip about what's happening up in the first world unless it directly affects them, which is certainly less than 1% of the time. And even though Latins just love the first world and believe wholeheartedly that there's still an American dream out there somewhere, wherever that is, maybe some of you out there
[10:27] can tell me what planet that's on. And the fact that they believe in all that, and I'm talking about 99% of them, and the fact that they believe that the US dollar is as good as gold is a very strong testament to the fact that they just don't read any of the real news coming out of the first world. And get this, all my years down here I've never met a single Latin born, bred, and educated down here in Latin America, that is, who listens to or follows alternative news. In fact, if you're at a party sometime down here and you're sitting with a bunch of well-dressed, college-educated Latins, who are for the most part totally bilingual, when in that situation, most gringos standing in a room with them naturally assume these guys are smart, cosmopolitan, and tuned in. So by all appearances, they should be tuned in to things
[11:13] Latin and first world, you'd think, right? But go ahead and mention the phrase alternative news or alternative media, and they won't even know what the hell you're talking about. And in fact, you're gonna have to be the one that explains what it is. And then, this is what'll usually happen. Since you're a gringo, and they'll want so much to impress upon you how gringoized they are, too. In other words, that they're not part of the lower class unwashed masses, you know? And that's when they'll impress you with stale cliches about Michael Jordan and the Chicago Cubs and Kim Kardashian. And maybe The Simpsons and The Walking Dead will get a mention, too. And of course, you'll be so duly impressed that you'll have to have another Johnny Walker black.
[11:59] Oh, and by the way, I mentioned Johnny Walker in a show a long time ago. You have to know that an upscale Latin party is not a party without Johnny Walker black. It's always been the Latin upscale cool whiskey of choice, even though whiskey drinkers up in the first world know there's nothing special about it. And by the way, if you have a Johnny Walker black at a Latin party, chances are, I'll bet you a Bitcoin on this, that it's Johnny Walker red poured into a black label bottle before you got there. And how do I know that? Because I've seen how upscale Latin guys shop at the liquor store. Four bottles of Johnny Walker red, one bottle of black. Yet at their parties, you never see the red. Not to mention my old next door neighbor's cleaning lady
[12:45] told me that part of her job was to refill whiskey bottles with Johnny Walker red as a prelude to any big party. And here's another thing that always cracks me up. And by the way, you got to be down here a long time to pick up on this one. When you're at parties with pretentious Latin types and even non-pretentious ones, they like to occasionally drop hints that they've been to the States and have shopped at US stores or at well-known US franchises that have landed. Thus signifying to them a kind of a coolness factor and they want you, the lone gringo in the room and their friends to know about it. When they drop the fact that they're buying at first world stores or have first world brand names, Latins automatically think we make the connection that they're practically first world too
[13:30] and can afford gringo prices, which they hope to subtly impress or not so subtly that they've made it to a certain rarefied social status. In their minds, they're thinking they don't have to buy any of that mediocre Latin American stuff anymore. They can afford to buy the mediocre junk that the gringos buy. And of course, by shopping at a gringo franchise or up in the States, they can brag that they're getting the latest gringo fashions too. And I've actually been witnessed to this one a couple of times. When a person told me that he or his wife shops at Payless for their shoes. And down here, the word Payless shoes rhymes with Rolex. So they don't say Payless, they say Paylex. Now, come on,
[14:15] if you were at a cocktail party in the States, would you be dropping hints that you bought your shoes at Payless? Unless, of course, it was some kind of self-depreciating joke. Not if you wanted to make friends and influence people, that's for sure. So down here, when a gringo hears something like that at a cocktail party, at first, you don't quite get the reference, which is about as impressive as taking a girl to a dinner date at the IHOP, up in the States that is, because down here, the IHOP does, believe it or not, impress the ladies. Yep, for better or for worse, it's that gringo advantage again. What a topsy-turvy world, huh? Especially since down here in Latin America, they make some of the best, most inexpensive, well-made, real leather and pig skin, shoes and boots, some of the best quality I've ever seen.
[15:01] And always, under a hundred bucks or half that. Really terrific stuff. Well, at Paylex, you've got cheap Chinese synthetic imports, but they come in a gringoized bag and box in English, printed with those magic words, Paylex. And yes, just lately, Paylex franchises have been opening up all over Latin America, selling those junky synthetic shoes that fall apart in about six months. If you're lucky, I mean, talk about the gringo advantage, huh? So anyway, like I've said so many times before, Latins want to be close to gringos, they want to be your friend, and they want to impress you. Nothing wrong with that. I mean, while growing up, we've all been in that spot before, haven't we? Trying to impress the cool guy on the block
[15:46] with the nicer car, you know, looking up to your own big brothers or sisters and such, hoping they'll include you in their activities and copying what they do and their cool affectations, etc. Come on, we've all been there. It's like the big brother, little brother thing. Anyway, where was I? Oh yeah, I was talking about how Latins have no concept of the alternative media. So once you sit down and try to explain it to them, a lot of what you say is going to be a big surprise. As soon as you start mentioning things like the US is broke, that the banking and financial systems are at the edge of total collapse, the fact that big city living is becoming unsustainable, especially in the West, with the water supply running dangerously low. Now, I know you listeners
[16:33] have heard that a million times, but Latins, it's out of their frame of reference. Now, the fact is, you start mentioning any of that stuff and most Latin people are not going to argue with you because you're the gringo and you're supposed to have a good handle on what's happening up in the first world. Sure, they'll be thinking their own thoughts and maybe even thinking that you're nuts, but they'll remain attentive. They'll listen to all the alternative viewpoints you can throw at them and they might even ask for websites and references, et cetera, et cetera. And it really might seem to you that you've got a convert on your hands, that you're opening up a window in the guy's life and letting in some fresh air. Well, the truth of the matter is, that guy or gal is just being polite to the gringo. Since, like I've said many times before, Latins are noted
[17:19] for their politeness. And even though when you're laying all that stuff on them, they were asking for email sites and podcasts and such. Still, it's a hundred to one bet that they never follow through. And you know, people up in the States who listen to alternative media and really know what's happening, you know you can't go preaching that stuff at parties and get-togethers unless you happen to be with very like-minded people. Instead, it's best to keep your mouth shut. You know that. Or chances are the guy you're sitting at the bar with having a cocktail is going to brush you off like a Jehovah's Witness. Basically, all of us guys and gals with alternative viewpoints who listen to alternative news and call ourselves libertarian or progressive or populist, be it rational humanist or whatever, though most of us don't label ourselves anything at all.
[18:05] Why should we? Anyway, up in the States, people with alternative viewpoints know when and when not to open up about it. It's a good way to lose friends and piss off people at the company Christmas party. I'll tell you that. So then when we gringos and expats move down to Latin America, most of us go about our business and remain quiet about it just like we did up in the States. That is until we meet a like-minded person or two and then you just can't shut us up. But remember that like-minded person is going to be another gringo or a European. I'm sorry. You're just not going to find those kind of kindred spirits in the Latin community with some very rare exceptions, of course. And like I said, there'll be the odd Latin that spent a dozen years or so up in the States. And even then, it's not enough for a Latin guy like that to be curious and open-minded.
[18:51] They had to have somehow stumbled onto the alternative media and had some kind of epiphany. Or not. I mean, come on. How did you and I stumble on it? Well, we all have our own stories, right? So what makes me so sure that the average Latins and educated Latins down here pay almost no attention at all to first-world media? Forget about the alternative media now. I'm talking about just regular old manipulated corporate media like Fox TV or CNN. Unless, of course, it has anything to do with sports. And regarding sports, I'm talking about the Latin male total obsession with it. Now, as for sports and Latin females, although they might say they love their national soccer team, they have absolutely zero interest in attending a game
[19:36] or watching it on TV. But you'll see them at the events in the stadium games anyway, because it's something to do on the weekend in a way to keep an eye on their guy. And sure, down here on TV, you'll see Latin beer and booze commercials and girls in skimpy outfits cheering their local sports teams as if they really knew what the hell was going on. Well, they don't. If you really knew what it was like down here, you'd know that the average Latin woman that's rooting and screaming at the soccer game, she knows the colors of her national team and therefore who should be winning. But ask her about the rules and regulations and she just won't have a clue. But I'll tell you, there's one thing Latin women know about their sports teams, at least the young Latin women, they know exactly the names
[20:21] and the conjugal status of the one or two most handsome players in the league. And that's the only sports data that most Latin women have down pet. But where was I? Oh yeah, I was about to give you a little proof why so many of us long-term gringos are sure that Latin's even educated ones pay almost zero attention to what's happening in the news up in the first world, the controlled media news that is, financial and otherwise. First of all, if smart Latins were paying attention to what's happened in the first world at all, there wouldn't be a huge real estate bubble down here, practically ready to pop in every medium in large Latin city. And that's both on and off the gringo tourist trail now. Though much more bloated in traditional tourist areas like Costa Rica,
[21:07] Panama and Cancun and such. You'd think real estate agencies and developers down here would be quite aware of the blowout that happened in the states, not so long ago, back in 2007-2008. And therefore, would be extremely cautious, knowing that what happens in the first world nearly always trickles down to the third world eventually, you know, the lag time effect. So then, are Latins down here in the real estate and development business watching first world trends? Nope. But they do watch the Latin CNN channel. You didn't know there was one, right? It's just as manipulated if not more so than the parent company in the states. Latin real estate people and developers are oblivious to the enormous real estate problems the first world is still having.
[21:52] And they believe the company line they see on Latin CNN that says, the US housing market is rebounding and all that. But they're totally clueless about all the billions in foreclosed real estate that's being held off the market by the banks. And they're clueless about all the billions or is it trillions in upside down mortgages in the states too. Not to mention, they have no idea that if you quit paying your mortgage you can still live in your house in the states for sometimes years and years. And Latins laugh and they just don't believe it when you tell them you can buy a house in Detroit for a hundred bucks. Or is it a buck now? I can't remember. You mentioned that and they either wait for the punch line to a bad gringo joke or they just think you're nuts. In fact, I've spoken to a few Latin realtors
[22:38] and they don't even know what an upside down mortgage is. But I can tell you this, they're going to find out in a hurry. Since, like all realtors in the bubble believe, prices and valuations only go up. And get this, even college educated Latins are clueless about the trillion dollar student loan crisis in the states. But you know on that one you really can't blame them because down here there are no student loans. Thus, there can really never be a government-backed student loan crisis. Again, it's a concept that's just not on the radar. Now, Latins are understandably clueless about the unemployment problem in the states. And even though we know that it's really around 20% or so, well, the government changed the way it calculates the parameters
[23:23] and basically lied. So they say it's 6 or 7%, right? Seems like every single Latin I've spoken to down here believes it's at 0% up in the states. Zero percent. Meaning full employment. So you might ask, how do they come to that conclusion? They've all, and I mean all, have friends and relatives up in the states. Illegals we're talking about here, of course. Who always seem to get jobs right away. And they seem to make so much more money than they really need that they start sending it back to the family by way of remissas via mostly Western Union right away. So, Latins down here don't even look at all at US unemployment statistics. Whether their government lies or not, they just don't care. For them, it's the American dream
[24:10] because all the stories coming from their illegal buddy and family members indicate that it's full employment up there. Now, I bet you didn't know that there was zero unemployment in the states, did you? At least for gardeners, maintenance men, and drywallers anyway. So then, how does the average Latin businessman view what's happening up in the first world because obviously little snippets of first world news mostly the bad news do show up in the tiny international sections of the Latin newspapers and in sound bites on Latin TV. For example, a couple of months ago when the US had that budget crisis and had that false alarm shutdown for a while. Well, just ask any Latin business person about that not event and they'll say the US, they've got it together. They've got things under control.
[24:57] Yep, they always say that. They're unconcerned in fact with any crisis they might see popping up in the local news. For them, somehow the US is like Superman or Iron Man or the Michelin Man. But unfortunately, as we all know, he's more like the Pillsbury Doughboy on steroids all puffed up with intestinal gas and all the Beno in the world is not going to help. And soon enough, someone's going to light a match. And believe me, you don't want to be anywhere near that when it happens and no amount of Beno is going to help. But let's get back to those Latin developers and real estate folks for a bit. Now, like I said, I know a few Latin realtors and rental agents. And in a few small time gab sessions, I have mentioned that United States banks are purposely withholding foreclosed real estate.
[25:44] That's hundreds of billions in dollars worth of the stuff they have on the books that they're holding back and don't put on the market. Now, when I mentioned that, Latin realtors look at me like there's going to be some kind of punchline to the joke. They just don't get it. They really don't believe me or they don't want to. Now, we know why that is because as if all those foreclosures went on the market, the glut would destroy any kind of real housing rebound. Maybe for good. Now, you and I are aware of that. But again, for Latin developers and real estate agents, it's just not on their radar. They have no clue about that stuff. And it's not like they're thinking it can't happen here. They don't believe it's happened anywhere else. I can only imagine when I mention that kind of stuff that they must think
[26:30] I just dropped in from another planet or something. And then get this, right after I've explained the boom and bust bubble up in the States and how it's pumped up again artificially that it's unsustainable as it is and in for another fall and that Latin America is following exactly in the same footsteps. Well, after I've gone through that rigmarole and I don't do that anymore, by the way, these days I rarely get into discussions on that anymore except with first world people because with Latins is just wasted breath. With them, it just doesn't register at all because they're trying to suck you right into the bubble with them. Since you're the gringo who obviously has money, right? Anyway, in the next breath, they're saying you better get in right now. Don't be left behind.
[27:16] Things are only gonna double again in the next three to five years. Man, I'd like to have a peso for every time I heard that. And folks from the first world like us, we know talk like that itself is a sign of the bubble. Whoops, lost track of time there. Be back next week. So stay tuned. South of the border down Mexico way You've been listening to The Expat Files living in Latin America coming to you twice a week from somewhere south of the border. Email me theexpatfiles at gmail.com and don't forget to check out expatwisdom.com to sign up for your free reports on Latin America. See you next time. Nos vemos.