my conversation with bill clint clinton, what he says about donald trump, hillary's run and america's economy. collecting social security. does it pay to delay. navigating the tricky rules to make sure you get the most you can. the tiny company helping giant companies figure out more about you and how they make money using free software. and is america falling behind in the digital race? why the chairman of one of the esh most important technology companies is issuing a warning. "on the money" starts right now. >> this is "on the money, your money, your life, your future.

now becky quick. >> if you want to know what bill clinton thinks about the state of the world all you have to do is ask. that's what we did. we spoke about politics, hillary clinton's run for the white house and america's economy. that is our cover story this week. >> if you look at how the american economy is doing compared to most other big economies in the urlworld inclug developing economies including the bric we are doing quite well. we have more than regained the jobs lost in the recession. it was a big crash and usually those things take a decade to get over. so we got jobs back more quickly sflmpt kw can we go back to the federal reserve. they decided not to raise interest rates and cited a couple of factors that aren't in the dual mandate, china and the

stronger dollar. were they right to look at additional conditions? >> i think so. i think that in a world where america looks like a good news story compared to the current problems in china and the slow growth in russia and the uncertainty caused by the massive move of the refugees into the european union i think they didn't want to take a chance on not only slowing growth in the united states but having a bad impact obthe rest of the world. >> can we talk about the political season. it is that time of the year, the silly season hillary was on meet the press and talked about the drip, drip coming from the e-mail servers cht watching this with your spouse of 40 years how do you feel? >> it is similar to the strategy that republicans employed with

white water. who do we not want to run against. then they dribble out stuff and attack. for the first time in american history ever this is the eighth congressional committee all chaired by republicans to look into benghazi. the first seven said she didn't do anything wrong. i'm glad it happened in 2015 instead of 2016. i believe it will burn itself out. i trust the american people. i think maybe it is because i'm a goofy happy grand father now, but my life turned out pretty well. just trust in the innate sense of fairness. >> joe biden things you are the canniest politician of his lifetime. what do you think about joe biden? >> he has been a friend of mine and hillary's for a long time. my first encounter with senator

biden was way back in the 1980s when he was chairman of the judiciary committee and he wanted me to file testimony opposing nomination of supreme court justice robert bork because judge bork had been my constitutional law professor in law school. i had known him a very long time. i like him. we have always been friends. i didn't stop liking him when he and hillary ran against each other in 2008. if he runs again i won't stop liking him then. >> donald trump was interviewed and talked about nafta, the trade deal you put into place. he said it is bad for this country and if he were elected he would dismantle it. is he right? >> no. look, trump and i have been friendly for years.

george h.w. bush negotiated nafta. we tried to enforce the trade laws. most years when i was president we gained manufacturing jobs. we were growing so much faster than the rest of the world. if i had not signed that bill think what would have happened. no one ever has to go back in time and say what was it like then? if i had walked away from that it would have been devastating to mexico's economy. we would have had probably another million illegal immigrants coming into america, something mr. trump says he doesn't like. we would have been literally despised by all of our neighbors south of the border and people would say america is running away from this. did it work out all right and

every decision made about whether or not to bring action under me or my successors? >> my thanks to president bill clinton. a disappointing jobs report for the month of september. the economy created 142,000 new jobs well below expectations. perhaps more concerning, though, the numbers for the previous two months were revised lower, as well. that means this isn't just a one off disappointing number. the unemployment rate held steady. this is a closely watched number and will play into the feds decision about if and when to raise rates. the weak numbers sent stocks lower on friday. the markets finished on an upnote friday auto sales continued in the fast lane. chrysler up nearly 14%. ford 23%. gm almost 13% and toyota 16%. that's an annual sales rate of

18.7 million. that is the best in a decade. if you are looking to buy apple tv on amazon.com amazon says it will no longer allow sales of the devices which compete with prime video. those sales will no longer be allowed starting october 29. we are on the money. how does netflix know what movies you like? meet the small tech startup. a big decision you can only make once. when should you start collecting your social security? we will help navigate the tricky waters of retirement. take a look at how the stock market ended the week.

have you ever wondered how netflix recommends movies or how uber determines pricing in real time? in part it is thanks to unusual software apache kafka giving recommendations in prices instantly. when you log into linked in you see former colleagues and classmates you may want to network with. it uses software to analyzes over a trillion pieces of data. financial companies prevent fraud which is free to use because of open source software meaning anyone can download it or modify it. even big companies need help figuring out the best way to analyze data. that is where con fluent comes in. the founders created apache

kafka. whether tracking weather, monitoring your health or calling a cab we are making big business every day. cofounders have created a company to try to help other companies gain digital insights. they join us on set. thank you for being here today. what is the software you all create snd. >> we created the software. we made it at linked in and used it to help take care of these real time streams of data that are part of every -- when we were at linked in we had software that handled big data but only kind of very slowly. we select it and put it in a data warehouse. you put your data and it sits there. >> and never look at it again. >> you write a report every day. but increasingly companies react to data much more in real time. data gets used in a way that is

more like a central nervous system. we didn't have a way to do something like that. to solve that problem we built and put it into actual production at linked in and scaled it up to handle over a trillion messages a day. it allowed linked in to react to everything happening in business and get data to different systems. then we open sourced it and put it out in the world sfwlmpt can for people who aren't familiar with open source think of it like red hat to expand and put things on top of the software. >> open source is freely available software. it does a great job of creating essentially better software. >> you can have lots of different people operating and making improvements and changing. >> it collects some of the best engineers to solve some of the hardest problems in computer science. because it is freely available companies adopt it. it creates a lot of value for everyone involved in the community. >> and that sounds like a very

youtopian way and best way but brings the question how do you make money? >> what this produces ends up being an engine. technically very difficult but most people don't want to buy an engine. you want to buy a car. you want a more put together product. you want to have a high quality engine so it is like the engine. it is very technically difficult to make that hundreds of people collaborate on. what con fluent does is puts it into the company and run it as a production data system. then we provide support so people can depend on this. >> is that a subscription-based support system where you don't pay a lot up front? >> this is exactly how it works.

we offer what we call the platform. our customers pay us a subscription on that and that gives them access to all the stuff we make as well as all the open source bits and the people who made it are there to pick up. >> what are some of the most common uses? we mentioned linked in and wal-mart. >> so it has widespread adoption across a number of different industries from financial services, consumer technology, retail to large-scale websites. news feed is followed. netflix movie recommendations. what's more, credit card companies are using it to detect and prevent fraud within seconds. >> all really good uses. when it is open source you start to think about who your competitors are. >> we kind of created this software and this thinking around turning data from something that sits to something living and breathing and

reacting to something we contribute to. really helped us create differentiated product. it turns out people want to work with the company that made it. and so you have started to see an emergence of successful companies. >> i want to thank you both for being here today. it is really a pleasure. up next, we are on the money. it has to last you a lifetime so how do you know if you should collect social security sooner or later? the digital revolution reaches every corner in the world. the one thing young people say they want in their life.

social security is one of the most important sources of income you will have in retirement. would you be willing to give up 30% of it? if you decide to collect early your monthly check could be reduced that much. more on how and when you should claim your social security and how that all can impact your money and your future. >> it's a very important issue. last year 36% of men and 41% of women claimed benefits at the age of 62. that's the earliest you can collect. you only get full social security benefit until you wait

until your full retirement age. a huge upside to delayed dpratification. >> if they can delay it to 70 they can increase their social security by 80% per year. it's a big number. that is a huge number. it could increase your payment over your lifetime. >> i knew there was a penalty. i didn't realize how big of a penalty it actually was. you just wonder when people start claiming for this and going into this who should wait and how realistic is it? >> people will say it is not really a penalty. you get a lot of debate on this. at 62 i can take it. it's my money. what they don't consider is how much more money they can have if they waited until full retirement age. a woman 62 years old if she collects at 62 then she will get $1,200 perhaps as retirement benefit. if she waited until full

retirement age it could be $1,600. if she waited until 70 it could be $2,100. >> if you are single and making the decision and married, does your spouse's decision have an impact? >> there are thousands of different strategies that they can take part of. there are spousal benefits. that can be a really important factor for a lot of spouses. if you are 62 and can claim as early as that as an individual you could do. you is to look at whether or not your spouse is eligible for benefits. but the great thing is it could be about 50% of the benefit. >> do you get penalized if your spouse retires early but you wait and hold off or is that a way of hedging your bets? >> it depends who is the higher earning spouse cht what is really interesting that a lot of people don't realize when you get divorced if you get divorced you are able if you have been

ma married for ten years to have benefits, as well. >> so it sounds like the biggest thing is it is pretty confusing. you need to make sure you are aware of what you are entitled to. >> absolutely. when you look at the lifetime benefits that you can get from social security and it could be as much as $230,000 to $700,000 over your lifetime depending on how much you earn. it is a significant amount. there are a lot of resources people should be aware of because it is very complex and confusing. social security administration will say government websites are no good. they have a lot of great information. go to ssa.gov. find out your retirement age and also financial engines is a good tool. they have a social security planner and aarp great resource.

the main thing is really figure out what your potential benefits might be now while you are working to figure out how much you should be saving on your own and how long you will need to work. >> thank you. up next on the money a look at the news for the week ahead. and as the digital age goes global cisco's chairman has a blunt warning for this country. surprising words when we come right back. the gillette mach 3 turbo

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website, otm.cnbc.com. here are the stories that may impact money. on monday the ism non-manufacturing index for september a measure of how ursh services sector is doing because that is the largest portion of our economy. the u.s. supreme court starts a new term. on tuesday mcdonald's will start serving breakfast all day. on wednesday the consumer credit report for the month of august. on thursday the minutes from last month's federal reserve open market committee meeting are released. on friday this year's nobel peace prize winner is announced. >> i spoke to a panel of innovative leaders from big companies and international organizations about how they are going small and going fast in the digital revolution. >> this digital age will change every person's life in the world at a much faster pace.

just to give you an example you are going from a thousand connections to the internet in 1984 to 14 billion today to 500 billion in 15 years. it will change every model of business, every government, every city, every home and if carried out the right way you will see it bring the power of job creation, health care and education to every citizen in every part of the world. >> this question for the panel whoompt is most responsible for making sure the economy works for most people? is it the government? the private sector? >> i think we are seeing a shift towards especially as technology companies start to have more data they also have to have responsibility to be using this in a positive way. i think most importantly we have the ability to hear from people. we started you report. we ask them what is the one thing you would like to tell

world leaders that you need in your life? overwhelmingly everyone said education. >> it's scary because as the transition takes place you are going to have to re-educate the world. that is what modi is thinking about in india. this is where government leaders have to work with business and others and try different ways to get the skill sets. young people know we are not training them for the future. we will have social unrest if we don't do a better job on the education. >> that requires long term thinking. for corporates it requires long term thinking on the quarterly earnings call. >> and politicians, too sdplmpt with you made the point that you are very impressed by what india is doing and didn't sound as optimistic when you talked about the united states. >> we are behind. our businesses are remarkably effective and moving rapidly and doesn't matter if it is air bnb. they are changing. they are going to become digital

companies and they are going to get left behind. our government does not have a national program yet. we need to move faster. i think we have to hold ourselves accountable. with information we led on the business and the government side. we created it all. >> my thanks to the clinton global initiative panel and president clinton. that's the show for today. i'm becky quick. next week, would you believe 40% tuition cut. we'll tell you which colleges are putting education on sale and why. each week we're on the money.

>> ever wish you were a kid again? well, how about being a kid again with billion-dollar allowance? like these guys. every toy they ever coveted, they buy, build, and ride in big-boy size. >> bill koch is the boy who played cowboys and indians and grew up and decided, "you know what? i want to keep doing that. i'll build myself a town." >> every dream they ever had becomes a dream come true. >> this is a plan from a 5-year-old. "golf is boring. let's add dinosaurs." >> and every superhero fantasy is now a few million bucks within reach. >> he is a better spider-man than any spider-man in any movie we've seen so far. >> but to understand how the world's richest use their wealth to stay perpetually 12 years old, you'll need a gui.