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tv   Counting the Cost  Al Jazeera  November 8, 2022 8:30am-9:01am AST

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they can be trained to do better and better. first of all, they are very, very happy to be part of this team. it is obvious when there we tell them where we have guests. we need your help. let's go to the hotel. it also raises their self esteem. our rare goal is not just to hire a few people with disabilities, death at the hotel, but also to change the idea and the whole society and the families as well. many of the families a hide their children. they don't want to speak about them, or we can be an example we can be assigned in the society. and this sure. people that there, people with disabilities are able to be part of their working team. ah,
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this is al jazeera, these are the top stories. now, democrats and republicans are making last ditch appeals on the final night of campaigning for tuesdays, crucial midterm elections. votes could up and jo biden's presidency if republicans on is to reclaim control of both houses of congress present. joe biden has been dr . rowdy in maryland. he assured boats as the country is heading in the right direction. remember the powers in your hands? no one of the res, right? never been more optimistic about america future look, america's reasserting ourselves, leading the world the 21st century. as i travel this country around the world, i see great nation because i know we're a good people. we just every member who are not, how we are, we are the united states of america has nothing, nothing, nothing, nothing beyond our capacity. if we do it together, so vote,
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former president donald trump has been campaigning in ohio, but he's promised to make a big announcement on november 15th from passed strongly hinted at another run for the white house in 2024. but as yet to officially confirm his candidacy. un chief antonio cherish has warned that the world is losing the battle against climate change. speaking of the cop $27.00 conference in egypt, he told leaders that locality is approaching tipping points that will lead to irreversible damage. at least government is being sued by humanitarian organizations for rejecting refugees and migrants rescued at c to foreign own ships are refusing to leave the sicilian port of catania until all on board are allowed to disembark. a 3rd ship has been given the go head by a talent authorities to proceed to port some of those killed in a plane crash in turns, and there have been laid to rest. a massive funeral. it was organized to honor the victims of the crash which killed at least 19 people on sunday. the aircraft
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operated by a precision air crashed into lake victoria as it attempted to land in there by town . and the u. s. aid worker has been killed in central baghdad. and what police say could have been an attempt to kidnapping the man was fatally shot in his car after being cut off by the sentence or minister mohammed cheer elsie, donnie says the incident is being investigated. there's the headlines. news continues here in al jazeera. that's after counting the cost with the city and it's a 0 world meets the italian photographer, exploring the long lasting love story between the city of naples and football. like on diego morrow, i left with endless and unconditional merit donna in naples on i
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lose . hello, i'm molly inside. this is counting the coast on al jazeera, your weekly look at the world of business economics. this week left us leader looted silva has made a historic come back in brazil that to govern latin america's biggest economy for a 3rd time pledging to tackle hunger and poverty will have succeed. also this week spending big to tackle inflation in japan will cuz she does 200000000000 dollars stimulus package, ease high living costs, or will be forced to move away from the ultra loose monetary policy. plus lab grown diamonds are taking the shine of more expensive mine, jen. we have
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a look at why the man made jewels that becoming increasingly popular among confuse louise enough lily to silver lead brazil during its economic boom in the 1st decade of the century. he is now back as its president for a 3rd term. also, the facing j. u both narrowed by a narrow margin. but running the country now could prove much harder than the last time he was in charge. politically, it's hugely divided. it's short of cash and economic growth. house load and louis has made it clear. his priority is pulling millions of brazilians out of poverty, which he's done successfully before. he won international fame for building an extensive social welfare program during his 200-320-1010 year. but it wasn't all rosy. he will also be remembered for his administration's involvement incorruption, which led him to being jailed for $580.00 days. his convictions were later nulls by
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brazil's top court. when the president selected the no graces in january, he will take control of an economy that faces numerous challenges below that has given only a few details on his economic plans, he's expected to put the state back of a center economic policy making and move away from the pro market model of the both in our administration, the president elect said he would push congress to approve a tax reform, which would exempt lo, ernest from paying income tax. he's also pledged to abolish a constitutional spending cap to allow the government to spend more on social projects and infrastructure. the president elect has also promised to combine responsible fiscal policy with social responsibility, sustainable development. he's also pledged to put a halt, illegal deforestation in the amazon. joining us for a massage job in u a. e is hydro luko, a condo dean of the college,
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a communications at the university of georgia and a latin american analyst. when he, thanks for joining the program now on the campaign trail lula offered rather broad short strokes of his economic vision that was putting the space at the center of the economic development. what do you make of his plans so far? well, is it interesting? because mr. rule of the, the few who are the now is going to confront a completely different scenario from the one having his 1st government. in this case, we have more than the prices that have come down in the market, which is a stark contrast to the time in which he was pressing the 1st time in which commodity price prices are on the rise. the other thing in the debt, the brazilian national debt, which is to double in between now and 2 parking in 27. it's a huge problem which will demand measures of cutting, public spending and green will take in some of the international debt and
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agreements that you'll have. and also mr. rule. and we'll now confront the boat risk that is not in his favor. and also i see the governorships and policies which will be in the hands of the position. so it's going to be very tricky ride for us. and it will be a trying to prove himself. and he's a state person capable of managing the challenges in, in front of him. so i think, you know, there's always the risk that when your income pays, you tend to offer more than you can deliver. and it's all about managing expectations. and i've seen it, america can go very far, very quickly to mean we're elected for one the going to power. he's promised not to make the same mistake as his predecessor from the workers party delma recess, who was accused of economic mismanagement when you do things differently. do you
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think? well, i think we need to also correct the mistakes he made the 1st time were cases of corruptions were wrapped around. remember, the, you know, the 2 biggest scandals in latin america in the hall of luck in american, colorado and the over a construction company and, and also all the cases were groups who were around for his time. so i think one of the things that he has to be very careful is the management of public funds and making sure that he appoints the people who are responsible for this bond. making sure that transparency and accountability prevail because he's not only about correct and the mistakes done by the math, but all or mr. to was not able to make lots of mistake. what about his own mistakes government? so he's being elected on our great expectations and, but that also comes with a lot of responsibility. he's also promised to tackle poverty tackle inequality. i mean, that's his big thing,
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but can brazil actually afford to all that social spending? and he's promised, well, you know, it all depends how climmer and skillful he's negotiator of the international that are i think there's more, but i still have a strong industrial power in the global south in terms of some of the experts have still very well placed. some of the areas and the economy are relatively relatively good. so i think you have some maneuver, but he doesn't need to appoint the right people. and that's going to be very difficult because he came, you know, very complex arrangement with allies to power. so there's a lot of the confusion of power that makes it great. and the prince who, what they are proud of is dollars there. i think here we are confronting our case in which the challenges might overwhelm him if he doesn't have the right team. and if he doesn't empower this team to actually ask the say,
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the fact that me in particular area my, my main concern is about political capital that can go very quickly. i, if you revise my own kit, twitter a call back in the beginning of all was where most of the policies are saying that the document was going to win for a margin. 1757. when i was saying that the margin of victory will be just one percent, that i effectively predicted this because, you know, there's been a much more complex situation that people, p e, you know, the legacy. they left it in the book and the government over in the governmental d. my was a legacy that included huge cases of people have not forgotten those things and, and also in all the areas like even important people when we cannot forget that people protested in brazil by the fact they are building a huge stadiums. and we get all this money in huge
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a parades and big events around the world come when they have a huge need to the company. people have really upset and really ghastly about. you paint a very, very bleak picture for him and the state of brazil's economy. what can he do to turn things round, tiny, bring brazil back onto the map. yes, of course. and i think one of the very interesting development is the new alliances . and i've been brick stage, i think that, but if you have the very important powerhouse of industry that they can do, i think that even if you need to do the program they can do be done in a very clever way without affecting the point. and with doing it in a way that it consists in the industry, i think the government will have lots of weight in the area that are not really dot and, and that of a priority. but there are other like indication hell and october deviation,
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which he can do a lot. and i'm sure the instinct that you are there are, but it's all depends on the ability to appoint our team that is used. that is comfortable that he's transparent and they're all oral deficient. i, i, i think you have a great opportunity all becoming of providing on leaving upgrade legacy over progressive government that can make important changes. sounds like he should be hiring you on his team. really could talk to you. hi to luka, a condo, dean of the college of communication at the university of santa thank you. ah, japan has been battling deflation for years and has kept interest rates near 0 to encourage businesses to invest small to help stop prices falling. now this edging globally and central banks raising boring costs to tame inflation, but japan is maintaining its least monetary policy. instead,
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the prime minister whom you casita has announced a $200000000000.00 spending plan. it can go, you know, my title grew up. these holistic economic measures ought to overcome soaring prices and to realize economic reform by addressing soaring prices and the economy holistically. i will protect the lives employment and business of this country and push our economy forward for the future. a good annuity, a g d, b, or young? then rock pass central or c. with these measures, i will push up the g d p by 4.6 percent by decreasing the electricity price by 20 percent, while keeping the price of oil from increasing. i will make the consumer price index down by 1.2 percent. your target or the prime minister says the overall size of the stimulus package is expected to amount to more than $490000000000.00. it
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includes subsidies for household electricity and gas bills and coupons for pregnant women. some money will be allocated to offering companies more incentives, increase wages, as well as boosting tourism. an export. the government will submit an extra budget to fund the plans parliament next month. it will be mostly financed by issuing government bonds, of whom you can see to unveil the stimulus package just hours after the bank of japan stuck with its policy of rock bottom interest rates. that's despite the countries rising inflation rate, which was at 3 percent in september, though much lower than the price rises in the u. s. in europe. the countries currency is hit 32 year lows against the dollar, and the japanese authorities have carried out at least 2 interventions to prop up the yen. joining us from singapore as myself, helium, so senior japan economist of capital economics, thank you for joining the program. why does japan have a relatively low inflation rate in comparison to the rest of the world?
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there's lots of factors behind it. i mean, rachel in japan is not very sensitive blue market conditions. so it's still just around one to 2 percent. the government is also pushing back hard against rising prices for some of the the price on is controlled by government policy decisions, their prices up at a rising and also in japan, the supply. sure. just that help back help are they crated be increasing goods, inflation, lots of bumps colonies. whenever that's pronounced, speak, supply chains operated better. so it's a range of factors that keeping the lower than elsewhere. ok, relatively to most other countries. inflation is low, but by japan standards it is high. so why won't the bank of japan raise interest rates like every other country around the world is during to keep inflation down. and it would also pop up yet wouldn't it,
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which is also been in freefall. it will probably pop up the little, it's a, it's not the that the currency of any major bonds economy has all the against the ball of this year with some of them for nearly as sharply as, as the yet even with center brand type rates, quite grasp lee, and the main reason why the banks, japan is, is not typing policies that is more convinced you find facial rates going to stay. when about, about one 3rd of the current inflation is driven by energy prices and those already coming off the boil. and the other big increasing pressure to be driven by the weekend. so one central banks elsewhere stop, stop hiking and straights which we expect to happen sometime next year. then again, we'll probably stop weakening and that up the pressure on the place is going to subside. right, it's the external forces that they think are putting up the prices. so what about the stimulus package? how is the stimulus package going to help reduce inflation?
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the, the main factor here is that the government has pledged subsidies to, to electricity prices. now we're not interesting gas prices alone, contribution about one percentage point to the 3 percentage on price in place to buy $1.00 3rd of all information is driven by this. and as it happens, the government will will introduce a subsidy or on 20 percent or 30 percent, which will fully offset the current increase in prices and will, which will take off this. this one percent increase in price for inflation will be back below 2 percent on our for cost by and maybe the 2nd quarter next year. and that in turn, will also pushed on inflation expectations and should help to prevent all, well, should, should, should help prevent a strong rising wages even though so, but it's not happening. but will this package stimulate growth at the margin? yes, i mean be, if households have more money to spend, they might spend,
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solve it at the probably the savings, right, is still quite high by, for benefits at the moment. households are not, not sticky in the mood to spend consumer confidence is very low. so it's, i wouldn't expect fibers from japan as a huge public debt. can they afford this huge funding package? yes, they can. i mean, this is, it's a bit of a confidence trick. as long as the bank can, can convince investors that he can defend, it's tend to your target and keep interest rates to 0. then even very high debt levels are usually affordable. but obviously, if investors to test the commitment and the bank were to let loose of the target, then the that that level could quickly become unsustainable. now our view is that the bank will be able to defend the targets because of the pressure on overseas constraints will start to subside sometime next year. and that in turn means that the, which probably deadlock is sustainable. the bank of japan has stuck to this policy
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if ultra low laid low rates for a very, very long time. haven't really worked for them. i think it has. i mean, when, when the bank started, we had, we saw consumer sizes falling before wasteful negative. now we leased and we saw this from its way 12 and 25 years. inflation is finally started to pass the, the 2 percent inflation time if only for, for mostly because of the weekend, obviously high energy prices. but clearly things are moving in the right direction . so be the deflation that has plate or which kind of the last 3 decades is not clearly behind us. what about the depreciated? yet it's not putting political pressure on the government. yes, i think that's the, the one area that could potentially trigger a policy change because obviously we have gone to the current back japan governor wrote us 10 will and next april. and the government has to appoint a successor at the moment. it looks like becoming will appoint someone in the
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similar mold to govern across to someone who would continue to, to keep monetary policy lose. but with the weekend pushing of inflation in the public increase the unhappy about that it a, it's an outside chance that the government will nominate someone who ends this whole policy experiment and starts to tighten policy ever so slightly globally. and we're looking at many of the big countries heading towards recession in 2023. what if you look for japan or growth is just going to slow. but i think japan is, is catching up with the rest of the world because it had a much tighter stance on, on the virus for a long time. only recently started to live with the wireless. so households have yet to, to please return to normal ways. this house is ready for quite high. so that will mention will, will keep the economy going into next year, even as other other countries and recession muscleteo senior japanese economists
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a capital economic. thank you so much for your time. diamonds all forever diamonds are a girls, best friends with all heard the expressions they are the ultimate accessory if anyone who can afford them. but they are facing growing competition from lab grown ones which are chemically identical, but up to 10 times cheaper. the man made gems are increasingly attracting consumers is what is the wealth biggest jewelry makers and the share in the market is growing fast. well, the industry is estimated to be worth more than $6000000000.00 and sale a figure that is expected to double in 2025 days from march show. the sales of engagement brings made with lab diamonds, jump 63 percent compared to last year. the u. s remains the largest consumer market for lab growth, diamonds by far more than 80 percent of the demand. india is among countries that
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so a sharp rise in the exports of the man may gems in 2019 west $443000000.00. that's up by more than a 100 percent year on year. to discuss all of this, i'm joined now by ellen young connie allen is the chief executive officer. i have a tardy antoinette, which grades lab grown and natural diamonds. thank he so much for joining the program. ellen, i have to admit when my producer told me about this topic, this was the 1st not ever heard of loud groan. diamonds, can you tell us exactly what they are? are they real diamonds? well, they actually are from a military perspective. so natural diamonds formed naturally 150 to 2 under kim is deep within the earth, approximately 2 to 3000000000 years ago. oh, even at that time when the data source walked on the earth. so a diamond needs and you have to and found these combination of high temperature and high pressure to form. it's actually the purest form of carbon. now what is
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lovegrove diamonds? we go use man, mate. so we going to imitate nature. we going to create the same circumstances that is what happens in the earth starting of that carbon ion mineral. are we going to create high temperature and high pressure? and we create a kind of ra diamond will be mutual for the same process of natural dancer will content while a shirt and her and her and put it on my to, to live in a jewelry. so actually interesting thing is that it has the same physical, chemical and optical properties as a natural diamonds, except that they are grown in a lap. not really in nature. are they in investment though? we talk about say gold being an investment is, is it the same sort of thing? we're talking about value here, and this is actually a personal matter and depends on the purpose of the wishes of the buyer to consumer . the only thing we now today is friends with other laptop diamonds is around 30
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percent of the value of a natural gas, which means 40 percent cheaper. but what their value will be true or the years remains uncertain. in case of natural dimes, we can more easily conclude from stock. it's figures that to day that they are pretty reliable, long term investment. so at h r b, we don't take a standard, what it's better, what is more words? but it's like i said, it depends on your personal wishes versus the most important is to offer transparency to worse or final tests that they know what i did. and by a lap grown or do they buy a natural what about the carbon footprint? i mean he using all this heat in order to tend the carbon into a diamond. it does it have a good carbon footprint or a bad come footprint? this is also all about marking to bleed lagoon diamonds are marketed or the marketing people are putting them in the market. ringback is stuffs rattled about part about it because it's not transparent. so you have to look at the complete
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value chain. so how is the diamond produced? so if you have a electron diamond factory and a use sustainable or renewable energy that it could be compared to a natural one, that it's a carbon footprint is slower, but in many cases it's not. so it's really not the case. but it has a need of to man, but of, of huge amount of energy and heat to create electric. regardless, we are seeing a demand for lab ground diamonds grow up. what's behind that growth? well, i think i'm become denied the power of marketing. in this case, so he especially see an enormous growth in the us and i think many factors can contribute to that. also difference in market share because the growth in the u. s . is much higher. frances, that in europe, and i think the lobby in the us is very well organized. lobby has been huge budgets of the promotion of lateral. and a 2nd reason is pricing. so the growth of the lab drone in america,
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they're much more sensitive to the price when they buy a dietary and corporate comparison with the u market. where sustainability, the story, the exclusivity of diamonds are part of the buying process. what about the ukraine war? has that pasted demand for lab going diamonds? yes. well, we're definitely had an impact on both products at russia is the largest producer of natural diamonds in the world. not in value, but in currents, and to produce approximately 40 percent of the worldwide production of natural islands. so you to the sanctions that the u. s. h, u. k, and canada. many other big country. so large countries, they have an impact on the big retails who so who to stop using russian diamonds in the jewelry. so i don't have to tell you that the price is that we're already historical. hi. kept going, kept going up. so this was an opportunity for the lab drone, a tremendous opportunity for the lab drone diamonds are so they had
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a sales bump of 40 percent it 1st quarter. but at the same time, we noticed that the lead broke producers were not prepared for such a bump. especially in india, where they had to switch back to the using natural diamonds because of massive, so shorted at. so what do you see as the feature of the industry will lab grown gems overtake natural ones at some point to all that's just not possible. no, i don't, i don't think that's my personal opinion. i don't think it will. so there are no indicators today that the diamond industry will fall back in the long term. so they're, you know, the multi faceted literally and figuratively, ah, ah, and they're, they're really deeply rooted in our culture. and in many cultures as a symbols of love and purity, a mandate diamonds, it's not the same. and then also, more recently, we also see that a dance are becoming an investment product. so in china, for example, it becomes more and more a trends where people invest in diamonds because they're very easy to keep on hand
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. so the volatility of the stock markets and the uncertainty of economic changes make diamonds a good investment in the long term. that was ellen, young, cree allen, as the chief executive officer of a $20.20. thank you. you're welcome. thank you. and that is our say for this week, get in touch with us by tweeting me app, money inside, and d is the hashtag a j c t c. when you do or job as an email, counting the calls to al jazeera dot net east address. but there's no fee on line out, is there a dot com slash ctc website that will take you straight to our page, which has individual reports, links, an entire episode, figure to catch up on that's it for this edition of counting the cost. i'm money inside from the whole team. thanks for joining us. the knees and our desert is next .
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