carol: welcome to "bloomberg businessweek." i'm carol massar. julia: and i'm julia chatterley. this week trouble for justin , trudeau. companies catering ppers.parat onia: all that ahead "bloomberg businessweek." ♪ carol: we are with the editor in chief megan murphy. , we kick it off, taking a look at canada which i feel has largely escaped the populist movement we have seen around the globe.

megan: what it has not escaped is an economic slowdown or perceived economic slowdown which is really affecting justin trudeau, the prime minister who could do no wrong. his support has slumped a little bit and he is facing an angst among his people not too dissimilar from the populism we in terms of people saying canada needs to return to its roots. i want to feel like it is supporting us out in the heartland and the western parts of the country in particular. julia: they have knockout growth. he has had challenges. the paradise papers have been an issue. politically there has been noises surrounding him that have not been very helpful. megan: he has had a few domestic scandals with both his chief fundraiser and finance minister under scrutiny. but the core concern is that, this 4.5%ve had growth. but as oil

prices have declined in projections for growth are hovering around 2% he is facing pressure. people are facing the same amount of concerns about their wages, lack of wage growth, how they will afford things going forward with oil prices being what they are as well. there is a conservative movement in canada. justin trudeau is well known globally for embracing diversity and embracing syrian republic refugees andsyrian being a supporter of diversified fema candidates. he is one of the most diversified political leaders in the world. at some time the rubber will , meet the road if you're fulfilling your promises. another big thing is nafta and president trump and renegotiating that. canada is incredibly reliant on the u.s. as a trade partner. nafta has benefited canada and mexico to an extraordinary extent. the longer this goes on with donald trump hanging this sword over their head about what will anden leads to concern these two rivals trying to

unseat him. carol: he is responding to some extent. megan: he has cut taxes, really looked at how i can deliver a more middle-class package, taking taxes down for those making less than $75,000. similar to the republican proposal. and hiking rates on those over $157,000 a year. those are popular. people like to see a redistribution of income. but whether or not he will be able to put in place the measures that jumpstart growth in falling oil, get the investment he needs, particularly with snap multilateral companies are , looking and saying, is this where i want to invest and put workers right now? julia: the next elections are in 2019. he has got a bit of time. you started this by saying he was vibrant, young, a globalized vision in was so exciting for the rest of the world. but if you look at some of the rivals, as you have mentioned, there are some similarities there.

megan: absolutely. one of his is a person on the left, even implement a harder against the rich platform, and a conservative supporter of brexit. these are interesting times for him. what is interesting is he is incredibly popular around the world. he is popular in canada. we should not say he is not. he attracts a lot in a aggregate polling of a multiparty system. that is not something to sneeze at. but look, the shine has come off a little bit and whether people will start paring down if he can deliver on his promises, whether he has control over his own house in terms of scandals, and whether or not if you look at the economic times, is this the prime minister with the kind of intellectual heft to deliver. julia: a few concerns about support for justin trudeau going forward. certainly not worrying about any kind of armageddon scenario. carol: that leads us to the cover

story. we love this story. megan: this is one of my favorite stories, the real emergence of survivalist foods. it is a juggernaut now in terms of business at this movement of people basically preparing for -- we should not pull punches -- people are preparing for armageddon and where that is spread out. what is so great about this story is it shows everyday struggles people and families are facing. everyday struggles families are facing. every day struggles of hurricane victims. kids stuck in dorm rooms because of severe weather. survivalist foods wants to provide foods that provide 300 calories, $7,000 for a year's supply. they are now everyday potential lifelines for struggling families, struggling parts in

the country. of course, it is tongue-in-cheek. there are many humorous elements. but it is also a real story of what going on in the country. carol: we have more on this story from amanda little. amanda: he's a 42-year-old entrepreneur. his company is producing survival food. it is freeze-dried, long storage food you can keep in your pantry for about 25 years, probably longer. he is selling about $75 million of this product a year. he is part of an exploding market in survival food. carol: we have a couple of packets. here is the beef chili packet. you can hear it. it is freeze-dried. you just add water. it is interesting. this is a growing business and is not just about selling it to those folks who had to deal with disasters, which we have seen a lot of because of recent hurricanes. but he is trying to get this stuff into suburbia. amanda: i really see it as a

suburbanization survival story. i came into this with a lot of skepticism. i have some family members who were beginning to develop their own sort of basement stores of this kind of product. that got me interested in it. aaron had an interesting take. he is not what you would expect to be the kind of prepper guy. as i described, he is kind of a clark kent figure. he drives a bmw. he golfs. he worked at tyson foods, post foods. he's a corporate guy and saw this opportunity to take the product that was this extreme, zombie apocalypse product and get it into the mainstream.

i was curious as to whether this was successful and what it says about us as a culture. how the response to this product which he has now got in walmart, target, home depot, bed bath & beyond, home shoppers network, how this trend in sales reflects an area of the culture -- reflects who we are as a culture and our broader anxieties as a culture. julia: i love that. i never even heard of the term "preppers." we build air raid shelters in the u.k. do we don't have same kind of mentality. you make a good it is just a point. tiny portion of the american population buying into this, around 2%. yet if you look at the number of americans who have first aid kits, that gives you a sense of the opportunity here. amanda: 2% is a small percent, although that is a lot more than was buying this product five years ago. right? so, his sales have more than doubled

in four years. i spoke to folks at emergency essentials and some of his competitors and they are also seeing this trend. i mean, the whole category is growing. they are describing it as a response to the increase in natural disasters on one hand and this fear there are diminishing government safety nets. basically, that people have to take their own safety and security in their own hands, which is an interesting reflection on both our environmental moment and our political moment. 2% is still a fringe category but it is growing really fast. carol: turning survival foods into a cover image was a job of our artistic director. alexander, the cover story is about survival foods. i did not realize this was an industry. you had to make a cover image out of it. what went into the thinking? >> we worked on a number of

this of how to visualize which included trying to create a bunker scenario, or trying to imagine what kind of context you eat this in. we thought it might be interesting to figure out what it does not look like which is appetizing. something like one of the holiday meals. carol: it looks like a lot of dry stuff. >> that is the real food before it gets water added to it and becomes a complete meal for you to eat. carol: interesting cover. very stark and it really does contrast with everything before the holiday. >> thank you very much. julia: ground zero of fake news, silicon valley, and what needs to be done about it. carol: plus, how fake news artists have figured out how to beat google. julia: this is "bloomberg businessweek." ♪

♪ carol: welcome back to "bloomberg businessweek." julia: you can catch us online at businessweek.com, and on the mobile app. opening the magazine this week in "remarks," paul barrett writes about what google, facebook, and twitter need to do to fight their common enemy, fake news. paul: for the first time, there is at least the beginnings of a rift between washington and silicon valley, which up until now has really been immune to a serious regulation. now there is at least, in there he, the threat of greater regulation of the big internet platforms. carol: it is hard to believe some of the numbers put out by the social media companies when they talk about russian meddling. what number, what was it, 126 million facebook users may have seen the kind of content, divisive content created by the

russians. paul: you can add 20 million more if you counted instagram which is owned by facebook. the numbers are bigger than we previously understood, than the companies previously disclosed. i think for that reason, we have to post an answer the question, how do we move forward here? do we have to draft some kind of regulation that causes government control of content on the internet? i don't think that is a promising path given the first amendment and our free-speech values. in the absence of that kind of sweeping regulation, the companies have to step up and do more. carol: let's talk about their responsibility. these are companies that are all about data and data collection, and they use it effectively to make billions of dollars. should they not have had some awareness sooner rather than later about what was going on? paul: i think the obvious answer is yes, they should have been aware that would be vulnerable to being used by malign forces, whether it was the russians in

the 2016 election or the longer-term issue of use of the internet for terrorist incitement. i mean, while the hearings were going on in washington, up here in new york we had the latest terrorist incident involving a guy who mowed down people on a bike path, killing eight people. the authorities very quickly determined he had been radicalized online, looking at isis videos and other material. carol: what has been the oversight by a facebook or a google, youtube and twitter in , terms of this kind of content so far? paul: they definitely have some issues. they have some mechanisms in place that allow them to take down objectionable content. they have both algorithms that search for the content. they also have human oversight of their sites and they look for , it that way. but they are clearly not at a point where they are catching a lot of

stuff. much of it gets through. inol: speaking of fake news, the technology section, why google is not trying to stop take nudist on youtube. julia: the so-called evil unicorns. mark: facebook has faced the broader criticism, but google has a problem as well. we have seen that after two tragic shootings, las vegas, there was a misidentified suspect. trump's created these posts about him online with blatantly false information. came up at the top of google search results. i was talking with you know, a former engineer, who said they have dealt with this problem in the past with spam and came up with a term, "evil unicorns." if there are unicorns, they are not evil. but it is a term developed to say someone has built this website or url page that would blatantly print false information, pernicious information, but it would only turn up for obscure queries.

the example might be childhood vaccinations where there's a lot of evidence on the benefits, but a lot more people are willing to create content about the evils of childhood vaccinations. because the way google search is structured, they tend to crawl back and service it high for search results. carol: how do they fix that? they know their technology, their algorithms can redirect searches. what are they doing about it? >> right. the problem is particularly stark with breaking news. what happened with las vegas and the shooting in texas, a lot of people are interested in something very newsworthy and searching for it and there is not much information online. what happens is people can go out and create false information that can spread and become very viral and surface high in search and it spreads on twitter and facebook. it is a vicious cycle. i think google -- one solution is to give more weight to authoritative sources.

if something is a news outlet, it should appear higher in the search. when they first launched google news, their search term for any news-related terms, it was just vetted sources. three years ago they opened that wider the blogs. google sees a trade-off between relying heavily on mainstream established outlets and what they see as the wider, long tail of the internet. they also want to provide searches for someone not just looking for information on a mainstream outlet. that is the trade-off google sees. i don't think they have come up with a solution to the problem. julia: next the pitfalls of , combining health care and tax reform. carol: and angela merkel plots her survival. julia: this is "bloomberg businessweek." ♪

♪ julia: welcome back to "bloomberg businessweek." carol: you can listen to us on radio on sirius xm general 119, and on a.m. 1130 in new york, 99.1 fm in washington, d.c., and in the bay area. julia: and in london and asia on the bloomberg radio plus app. the economics editor attempts to answer one of the big questions in the senate tax bill. carol: specifically what happens , when an individual health care mandate is inserted in negotiations. peter: the senate bill, which the senate will be taking up after the holiday, has in it a repeal of the individual mandate. they are not trying to repeal all of obamacare. but they want to take out a leg of a three-legged stool and some people think that itself good spell the end of obamacare. the concept being that the reason for the individual

mandate is to make sure everybody including people that are relatively healthy participate in the risk pool and that helps hold down premiums for everybody else. if you take that away, it becomes much less affordable to provide subsidies to keep everybody insured. julia: they basically want to save money on subsidies and use this as a financing tool to offset some of the other things , tax cuts in the tax-cut package. peter: the byrd rule -- carol: senator byrd. i hate to use that term. carol: senator byrd. peter: they cannot pass a tax cut beyond the 10-year window for deficits they are looking at. if they can't repeal the individual mandate, the bill will not cross that threshold and cannot pass without getting democratic votes which won't happen so it will doom it. this is an important discussion.

crowe: talk about the discussion not only among republicans but also democrats. but it is not very popular, this mandate. it is tricky for both parties. peter: for republicans the trick , is they love the idea of the congressional budget office everybody they can save more than $300 billion, but the reason that would happen is fewer people will be covered according to the cbo. they want to take the savings without acknowledging the expected decline in coverage. carol: and increased health care costs down the road. julia: republicans decided if they do this to get tax reform passed, it will force us to come back to health care in some repeal and replace of obamacare early on in the new year. they acknowledge it is not sustainable if we pull back on the repeal of the individual mandate. given the difficulties we saw

passing any form of repeal of obamacare, the senators said we're not going to do this, how can they swing this? peter: that has been an issue for the republicans for a long time. now that they control the white house and both houses of congress, they can't be in a defiant posture of just saying vote no, vote no. if obamacare fails and there is no sustainable replacement, it is on them. i think there are a lot of republicans saying we should be a little careful about pulling out one of the legs of this three-legged stool. carol: also in the politics section, angela merkel is planning her next move after failing to form a majority coalition. julia: here is news editor matthew phillips. matthew: for years now germany has been the center of stability, politically, economically through the european debt crisis, the refugee crisis. that is starting to crack now.

we saw the early fissures in september with a german election in which chancellor angela merkel's party lost a significant number of seats in the lower house. she tried to form a government over the weekend. those talks failed. it is unclear what will come next in germany, whether she will be able to form a government. what is clear is this age of merkel as the unifying force in europe seems to be in the rearview mirror now. carol: what is interesting in reading some of the coverage, she has been in power for 12 years. this is her fourth term. some have said she has gathered a lot of political baggage along the way. matthew: this is somebody who has over 12 years formed three or four governments now. she has done very well to build coalitions and form compromises.

she is seen as a nonideological politician. as she has been able to form the governments inside germany, that has allowed her to look outward energy ona lot of her foreign policy. meanwhile, inside germany, she has made a lot of enemies, carries a lot of political baggage. parties have formed government with her and felt burned by those. the free democrats for example are putting the screws to her a bit right now and not coming to the table in a way that is allowing her to form a government. right now, it is very unclear whether she is going to stick around. she has said she would rather have new elections rather than be part of a minority coalition. carol: depending on how this plays out, it will have implications for germany and obviously for angela merkel. what does it mean for broader europe? she has been a crucial figure coming off the crisis and in terms of dealing with broader

europe and with the world as a whole. matthew: think about the last 12 years, going back to 2005. when you think about this family picture we get out of all these g7 meetings, she has been this reassuring presence both for americans who are familiar with her and also a lot of europe. especially against the recent aggression we have seen out of russia these past few years. that is on the wane. it is not surprising to look back at the battles she has fought through the european debt crisis, austerity, the wave of immigration that has come out of the syrian crisis when they took in over one million refugees it and did her a lot of harm domestically. julia: next how macy's plans to , survive the retail apocalypse.

carol: and hbo after "game of thrones." julia: this is "bloomberg businessweek." ♪ retail.

under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on comcast business to deliver consistent network speed across multiple locations. every corporate office, warehouse and store near or far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver.

welcome back to blab business week. >> macy's' c.e.o. looks for a light at the end of a bleak tunnel. >> and the c.e.o. of hbo talks to bloomberg business week about his streaming future and sexual harassment in the work place. >> and a sign we may all be drinking a little too much. >> all that ahead on "bloomberg usiness week."

we're back with bloomberg business week. i love this interview. the c.e.o. of hbo describing himself as an art gallery. whatever period genre they want to be the best of the best. >> hbo grew up as one of the first known of content but as time has gone on the brand has aced challenges. you have amazon, hulu, and these are all content studios. we did an interview earlier with richard dener yo talking about where you go with these best projects. the field is so competitive and hbo is working to maintain this remium content source. what is so fascinating is how they do it when they have a culture that celebrates content and talent and how you do that in this environment where directors, actors, authors, writers have so many places to take that content.

what are some of the things you have taken away from how that elationship evolved? you look at his trajectory of hbo. his first big break was being in charge of hbo and how he took the big brand. but then when you fast forward to when he became sole president of hbo and in charge of the whole shop it was those essons that he took. it's mobile, how you'll be competitive. this over-the-top, breaking free from the cable delivery system we have now. richard plepler has been saying for 30 years that when he

launched hbo sort of separate from the subscription package, he thought it would be complementary to cable delivery. it was controversial at the ime. you are encouraging cord cutting. you are encouraging millennials to not buy cable subscriptions. he has been a passionate advocate that that is in fact not the case. he says it's just 1% of business. that number is going to change radically and it will be interesting to see how they can balance that weak cable companies, particularly tying up with at&t. this is a big issue, and it is going to determine what their future is. carol: it has been fascinating to watch with the justice epartment, obviously the at&t-time warner deal with hbo being tied up with time warner, but marrying a content creator,

hbo-time warner, and a distributor in a form of at&t, and i do not think people thought it would be a concern. megan: a very similar type of deal went through. ow the justice department is suing to block the deal and richard plepler and others in the time warner family have been supportive of this deal. they believe it will increase the power to get hbo into the home of more consumers. the issue with that is this is exactly the kind of deal that the justice department sees as problematic. that the existing antitrust framework does not work. that it will eventually drive prices down. for example, let's hbo says we are going to limit access from other distributors and not particularly on mobile. at&t has such a large percentage of the mobile phone networking market. it is not good for them. obviously, he has a lot of money at stake in terms of share options as well. so we will have to seal it

-- see how it plays out. he is remained steadfast throughout the deal that whatever is good for time warner would be good for hbo. julia: you did talk to them about the industry and scandals we've seen, and obviously harvey weinstein has been very much a prevalent subject. what did he have to say on this point? how has it evolved now? megan: i'm glad you brought that up. he did say one thing that surprised him was how senior it went and how many have come forward. we're talking about hollywood household names that have come forward. gwenyth paltrow. and i think for richard plepler and others, they realize how deep that rot was, and he wants to be part to bring a balance supporting female writers, authors, but i do think it was an extreme eye-opener for him bout how pervasive this kind of behavior was.

carol: so disturbing. megan: incredibly. julia: also, macy's new ceo is trying to reinvent the department store in the digital age. carol: so far, they have not accomplished much. here's reporter susan berfield. susan: a lot of people say we do not need a department store like macy's. because isn't that sort of what amazon is? so you know, the way i look at it, macy's has closed 100 of them, but still, they will have a number of stores, and what can they do with them to draw people in? jeff has some ideas, but most people i spoke to thought he needed to have much bigger ideas to save macy's in the face of amazon, but also a lot of the other retailers, you know, that are kind of taking macy's place at the lower end.

the off-price. kind of tj maxx and like hat. so macy's plans to do a lot, but it has not done much yet. carol: do we need department stores? what do experts say, susan, about department stores? do we need them anymore? susan: one way to think about it is amazon is very convenient, or shopping online is convenient, as we know, you can buy anything. you can do it from anywhere and you can buy anything. but what we've also seen is that some newer brands that do not have any physical presence want a very small physical presence, and why is that? people still do want to touch hings. they still do want to try on things. they might want advice from somebody. so, they might just want to be around other people. crazy idea, but you know, it could still be true. malls used to be the social

experience. as we know they're shrinking. there will still be some super malls and macy's will probably be in them but i think the idea over all is to make going to macy's an experience. and that is a very hard thing to figure out these days and macy's hasn't done it yet. julia: they own bloomingdale's stores, and i was just saying before whenever i go into bloomingdale's, is something is not on sale, and as a loyalist customer, if i cannot get 20% off, i will not do it because i know the next weekend or the week and after, they will be on sale. he general payoff is something being a problem for them. i know they are trying to get away from the idea of being permanently on discount because it is a race to the bottom if they are permanently on discount. susan: and i know we feel kind of like a sucker if we pay full price for anything. how do they get out of

this? they can't. julia: does he understand that? susan: yes. julia: you spoke to him, didn't you? does he understand that? susan: yes. they are going to continue to try to discount, but what they are going to try to do is simplify it a little bit so there are not discounts on top of discounts -- i have this 40% coupon, and i am shopping on wednesday after 4:00. so i've got a 10%, you know. they want to say here is the price, it is discounted by this much. here is that kind of fictional suggested price. and you're getting a deal. i think they have to embrace that. at the same time, they are doing two things, trying to push themselves, and they are also trying to cater to those who want even more of a discount. carol: up next how the mobile home industry went upscale and left low-end customers in the dust. julia: and its stock recommendations courtesy of artificial intelligence. carol: this is "bloomberg businessweek."

♪

julia: welcome back to "bloomberg businessweek." i am julia chatterley. carol: i am carol massar. you can also find us online at usinessweek.com. >> and our mobile app. in the economic section, sales of mobile homes have been booming but the industry has been shifting to higher margin manufactured homes leaving many of the poorest consumers without options. >> the affordability has gone up because manufactured homes as they're now called have been sort of a key source of affordable housing in america. but now manufacturers are building an sort of interior designer touches, and the costs have increased as a esult. julia: warren buffett has been

at the forefront of upgrading these, and they are upgradable, incredible from what i have seen from the inside. carol: they are incredible. prashant: yes, someone took me around the high-end communities, and you cannot tell that they are manufactured homes. pitched roofs, even from the outside, you cannot tell they are manufactured homes. n the inside, they have custom bathrooms now with benches in the showers and you have vaulted ceilings and kitchen islands. quarts countertops. everything you can imagine you now have been manufactured homes. >> along with the incredible upgrades you're been describing have also been price rises. you mentioned a 25% in the last five years, which is ok until you have your home destroyed by a hurricane, and then they come back to the market, and they are like --

prices have just moved away from them. carol: like judy goff, who you rite about in the story. prashant: in the 1970's, her mobile home was actually ripped apart. i walked through with her, the ceilings were gone, the walls have folded in, it was a complete disaster. she paid $48,000, including the land, back in, i think, 000. now she needs to buy a new one because her community requires anything going in is brand-new, and it has to be double wide, it has to have a carport -- there are a lot of guidelines that the communities have because they do not want to be the cheapest trailer park on the block. right? but to her, it is a disaster because she went in looking for what she could afford, and they priced it out at $140,000. she wants something basic.

and that is kind of not what they are peddling now. julia: a veteran internet analyst has created a self learning program that can do his job better than he can. >> we talked to alistair barr about having ai-recommend stocks. alistair: downgrading facebook to sell, which is pretty unusual, and the more unusual thing is it was done by a robot, an ai analyst. that the internet analyst developed with the help of a former analyst. carol: tell us about this robot, what is it called and how does it work? alistair: it is called aeira, it stands for artificially intelligent equity research analyst. it scoops up hundreds of thousands of articles on more than 500 companies each day and uses a lot of the machine learning techniques, one of which is natural language.

it basically takes the words and no stories and turns them nto a sentiment score. one being really, really great. zero being absolutely terrible and it basically uses those sentiment scores and checks the stock market to see if that sentiment moved the stock or not. if it sees a correlation it uses those patterns and correlations to make calls on stocks whether to buy, sell, or hold. carol: it is interesting. what is interesting about the downgrade, as you mentioned, it feels like nobody on wall street or financial analysts ever seem to put a sell rating on company, certainly not on something like facebook. if you go to an analyst like wells fargo, they did not have a sell rating on it. i think more than 40 analysts cover facebook and only three have a sell on it if you include

aeira, so they have to be ready to explain to clients what this meant, and basically the main reason for the sell was that there were so many stories about russian ads on facebook and google trying to influence last year's presidential elections, so basically the system sucks those in, and they were so negative, in that they outweighed all of the other stories that were written during that time so they made a call, which is to sell. errol: well, it is interesting. here is a research analyst. this man, this is what he does. he researches companies, makes calls, makes recommendations. yet he was instrumental in creating this artificial intelligence analysts, it if you will. alistair: that is right. basically ken came to this about a year ago. he became very interested in artificial intelligence because google and others were

improving their open own products so he felt he needed to understand it. so he put together this ai conference in 2016, and where one of the people who came to it was brian healy, who helped develop alexa, digital voice that goes into the amazon echo speakers. they really hit it off, and then brian started helping ken advise wells fargo clients on ai. the more they got into it, the more they realized to really learn this and improve some of the benefits to this, we should build when ourselves. carol: up next, legendary music executive irving azoff tells bloomberg how he plans to get musicians bigger paychecks. >> and big expectations for britain's new museum and why britain's famous bartender is pushing for an earlier last call. this is bloomberg businessweek. ♪

carol: welcome back to

"bloomberg businessweek."

i am carol massar. julia: and i am julia chatterley. you can also catch us on the radio, 106.1 in boston, 99 .1 fm in washington, d.c., and a.m. 960 in the bay area. and in london and asia. carol: and in asia on the bloomberg radio plus app. in the business section, bruce springsteen and jon bon jovi have signed up with irving azoff in hopes of earning more money every time their songs re played. julia: we spoke to editor chris about the new scheme. chris: irving azoff is a legendary manager. he got his start in the 1970's ith the eagles, and he has always been one of the toughest guys negotiating in a difficult business. he is now tackling radio because he sees the format is being outdated.

the compensation for artists was really hashed out in the 19350's and 1940's and has not changed at all since then. that is his push lately. carol: what is his push specifically? chris: he has a group of artists -- some of the biggest names in the business, pharrell williams, bruce springsteen, on jovi -- and he says this is a key part that radio stations play, this is where you are generating your advertising. and instead of the 4% you're collecting for songwriters, we want a lot more. maybe as much as 25%. carol: let's go into all the streaming services that are out, right, because it has been contentious about what they should be paying. whether we are talking about pandora, spotify, apple music. how does that fit into it, because we think it does have several different avenues today? chris: it does fit into it because azoff has said he has been able to get deals he is happy with because of the new streaming services.

we are seeing the powershift a bit. the music industry was on its back for years, when the cd collapsed. ut now it is growing again thanks to spotify and the other streaming services. the artists are seeing they have more leverage than they used to. carol: the radio stations play music, they need the content, and the artists want to be play because that is truly the biggest audience. chris: yes, it has always been a sort of love-hate relationship with radio. i mean, this sort of issue of payola going on for years and artists always felt like they were, you know, taken advantage of. so you know, think with this new deal, it is actually creating, you know, a competitor in radio that radio has to take notice of. julia: a profile of maria balshaw, the new director of britain's tate museum.

james: we are at a bizarre moment in the culture wars where things that would normally not be noticeable in museums or galleries are suddenly getting picketers and people trying to shut them down and national and international press, so at this particular juncture, a lot of museums are looking for directors who can really steer them and kind of respond to the public but also guide the public. so the new director, maria balshaw, is sort of tailor-made for the times. he is an incredibly savvy, engaged, thoughtful person who has pioneered this methodology of integrating art and politics in really novel ways.

carol: one of her missions is to bring art to even more people. how is she going about that? james: she is talking about xpanding museum hours. she really wants to bring in diverse artists or artists from diverse backgrounds, because she firmly believes that will attract a more diverse audience. most of the famous artists in the 20th century are white men. so that is a pretty specific demographic. the people interested in that are much broader. she thinks that by acknowledging many other different timelines and groups that there can be a kind of bigger impact. carol: also in pursuits, it may be another sign of the times. julia: we may be drinking too much. here is editor chris rouser. >> jim meehan is the bartender

at pdt in manhattan. it stands for please don't tell. he opened it in 2007 before the financial crisis, and over the past 10 years, he noticed the way people have been drinking have changed. around the financial crisis, people were sort of, you know, savoring these $15 drinks. it really started cocktail culture in new york, people wanted to cozy up and really experiment with these fine drinks. now that the economy has recovered and it is sort of go-go time, people are not just sitting down for one or two of these cocktails but five or six. his thing is, let's enjoy these drinks but let's back up a little bit. julia: some of these drinks are really fierce. carol: potent. julia: yes, potent is the word. 125 proof. chris: yes. 125 proof. it is navy-proof rum -- for sailors.

but yes, it is those kind of old-school liquors and spirits are coming back in style. used to be you could not get anything over 100 proof, and now these are really trending. the same sized cocktail really packs more of a punch, like double ipa's our popular, the high-end wines are pretty boozy. you cannot realize how much you're getting. julia: he is a business though. not like he is saying don't come. he is saying just come and drink a bit less. bring your friends. chris: exactly, bring a friend, introduce them to cocktails, but don't have five drinks. drink together. carol: what used to be maybe a nice environment has gotten messy because people are getting drunk. kind of a little vulgar. chris: it is true. he wants his place be a safe space and a fun place. he wants people drinking, obviously, but he does not want it to be out of control.

and he sees that happening. carol: "bloomberg businessweek" is available online. and at news stands now. and on mobile app. more bloomberg television starts now. ♪ .. .. is this a phone?

or a little internet machine? it makes you wonder: shouldn't we get our phones and internet from the same company? that's why xfinity mobile comes with your internet. you get up to 5 lines of talk and text at no extra cost. so all you pay for is data.

see how much you can save. choose by the gig or unlimited. xfinity mobile. a new kind of network designed to save you money. call, visit, or go to xfinitymobile.com. ♪ after, bitcoin surged past $9,000. >> republican scramble to lock in their tax bill. the cbo says they will raise the deficit by one point oh trillion dollars. -- $1.4 trillion. >> increasing doubts about inflation. delivered forhas jeff bezos.