need to be dealt with. i think -- as i've said the right combination is, you need to have the deaf significance reduction plans. you need to have an active monetary policy, and you need structural reforms. in the end, it's going to be for the greek people to decide whether they want to do these things inside or outside the euro. clearly a disorderly exit would be bad for britain, and we should do everything we can to avoid that. we need to plan for every eventuality and have proper contingencies in place. >> in the absence of much needed supply reforms in the eurozone, i suggest the day of reckoning is fast approaching. in the vast majority of those cases, the countries have benefited. does the prime minister think we are fast approaching the time where we should stop talking about the need to save the euro, because this can create uncertainty and hit confidence and investment in this country?

>> you make an important point. i'm not entirely sure i agree. have you examples of countries that have left currency pegs and suffered in the short term, but then recovered. also, you've had countries like czechoslovakia. i think there is a substantial difference when you have a currency zone with a single currency, and you have a potential breakaway from that. i think it's a different situation because the banks are so intertwined. that's why we have to think very carefully about it in terms of the con sing enscy plans. >> jim mcgov earn. >> thank you, mr. speaker. >> very recently my wife with and i welcomed an italian home to dundee.

could the prime minister assure me and personnel, my family and constituents that on his watch there will always be a black watch. >> i want us to keep the regimental structure we have. i think it is important. obviously, though, at the same time, we need to deliver this big change in our armed forces, which is going to deliver a larger army, but a better balance between a professional army and territorial army. we're looking at how that can be done while saving the important regiments that people write. >> mary mccloud? >> after the g8 summit, the uplifting 50 million people from poverty in the next 10 years, could i urge the prime minister to do even more financing as a way of creating long term sustainable economies, and to use charges like the foundation

in chisolk, that gets a 99% return on the money it gives to women in africa. >> i think you make a very important point. we have committed to aide and development, we're committed to expanding this program that barack obama launched in terms of the new lines for food security. i think the point about micro finance is important because this not only helps to grow small businesses, it also means empowering women, which can make an enormous difference to the success of the development. >> was there any discussion about the situation? on monday in the middle of unity day celebrations, killing six. this morn thanksgiving said half the population are going to starve to death. i appreciate what the prime minister and british government have done, indeed successive governments. in making a priority, and i acknowledge your champing the cause of burma for his

chairmanship of the g8, can he not find a little space for yemen? a stable yemen is in our interests. if we don't support this country, al qaeda will take it over, and it will bleed to death. >> the gentlemen knows i agree absolutely with him about this. and my contribution in the g8 talking about the next g8, as it is very important we look to the security and development priorities of the future. and i think yemen and somalia are both squarely in that bracket. in yemen it was extremely distressing what happened in terms of that absolutely hideous bomb attack and the loss of life. i think we have to focus a huge amount of effort. there is a development effort that is going in with i think 26 million pounds being announced by terms of investment in that country there is also an enormous amount of security assistance we need to give that country. >> andrew stevenson? >> speaker, can i echo what the prime minister said about our

brave servicemen and women who continue to strive to bring peace and stability to afghanistan. sadly, agreement wasn't reached on reopening the supply routes through pakistan. so i'm wondering if the prime minister can comment more on this and the role of pakistan as a key ally in leaving afghanistan on a stable footing at the end of 2014. >> i think this is a key point. obviously we need to make sure that we have northern routes as well. and i had a good meeting with the president of azerbaijan to discuss that issue. in terms of pakistan, of course all members are absolutely entitled to feel frustrated. we're enormous aid donors to pakistan. we have a strong relationship with that country. and it is frustrating that the lines of control are still closed. but as i say, i think we're ongoing discussions are under way, i'm confident they will be reopened. and we do have to show an understanding about how this country suffered from terrorism about the complexities of its politics and the need to show

real respect for its sovereignty. and the message we have to give afghanistan and pakistan is long after this war is over, we are there supporting both of you as strong independent countries, diplomatically, politically, through trade, through aid, through all the means that we have, and that we will not desert them. >> meg hillier. >> mr. speaker, a recent visit to nigeria, i saw first half the opportunity for agri investment in that amazing country. but group which i chair has heard a lot from british businesses about the logistical and security concerns about investment in nigeria. while it is a good step, what support will the prime minister pledge to british companies looking to invest so that we get a win-win for both growth in british business and food and jobs for nigerians? >> first of all, when i went to nigeria and met the ukti team in lagos, i was hugely impressed by their work, their dedication and

the incredible links there are between british nigerians and nigerian british as it were working between the two countries. we work very closely with the government in terms of security because there are real challenges, particularly in the north of the country. and i think it's one of the areas where security training and counterterrorism cooperation between our country and nigeria can really help some major dividends for that country, but also for trade investment as well. >> mr. sharma. >> thank you, mr. speaker. given the increasing exports, the emerging economy needs to be a part of the key strategy of the g8 nations, can the prime minister interrupt the house with any discussions he may have had with other european leaders on progress of the pending free trade agreement between the eu and india? >> we had a number of discussions about these free trade agreements because obviously there are a series of ones. the indian one, the canadian one, the chance of getting one going with japan. my view is all of these are good news. the korean one has been a success, and we need to drive them all forward, and we're

certainly in the vanguard of doing that. >> can i join with those colleagues who have expressed concern at the scale of the cuts being forced on greece, the ordinary people of greece, not the greek government. can i suggest to the prime minister, one, i agree with him. there needs to be structure reform which we have indicated. wouldn't it be better to have a bit more flexibility, a bit more european solidarity than end up forcing greece in a situation that ends up collapsing that country, but indeed immense consequences for eurozone and the entire world economy. >> obviously, we're not a participant in the eurozone bailout of greece. we are supporting greece through the imf. i think the point that he has to consider is that other european countries and eurozone countries, some of whom are not particularly rich themselves have had a series of agreements with greece about what needs to be done and what money will be

put in. and effectively, he is asking them to go back repeatedly to their own parliaments and i said i wouldn't ask for any more for greece, but here i am again asking for more. so it is very, very challenging for them. this i say in the end is going to be a matter for the greek people to decide through their election about whether they want to stay in the euro and keep the undertakings that they have given, or whether they want to choose a different path. it's for them to decide. we must be clear in this country that we should support all and any contingency plans to make sure that either scenario can be safely delivered. >> mr. robin walker. >> the prime minister in his statement quoted the extraordinary statistic that the eu and the u.s. together make up more than half the world's gdp. will he accept that this may be the last generation that this is the case, and it is more vital than ever that we reach out further and faster into developing markets to support our exporters, build on our strength as a country? >> i think my honorable friend is right. the share of trade and economy taken by the eu and north

america together is likely to decline as china and india rise. i was always taught in business, going back to your best and biggest customer to get that extra deal is often a very good strategy. so we should be thinking exactly by that in terms of eu/u.s. trade. >> mr. hugh bailey. >> at a time when the defendant's budgets is constrained across the alliance, is it not important for nato itself in the same way as nato's member states to demonstrate that every pound they spend is well spent? and will the uk therefore support proposals being considered by the nato secretariat to insure that the external audit is independent of nato? and that they're available for polltarians in this government and others to scrutinize in the same way we scrutinize our own defense expenditures?

>> my friend has great knowledge of these things i think makes a series of sensible suggestions. and i think we should look carefully at them. let me commend secretary general rasmussen for what he has done in terms of reforming the huge number of command posts and headquarterses posted on nato. i suspect there is more to be done on that as well. >> currently 3% of the european market in services. can the prime minister confirm just how important completing the services market is for british services? >> well, i think the point i make to my honorable friend is completing the single markets in digital and energy, each can add i believe over a percentage point on european gdp. the services market is particularly important because it is an area that britain excels at in terms of not just financial services, but everything from construction and architecture and what have you. so opening up services in other countries, and there are a number of countries that are currently in breach of their undertakes, and so the pressure of this, particularly in

countries like germany, should be very great. >> the right davis. >> yes, mr. speaker, on greece we all know the expression give a man a fish and he can eat for a day. give him a rod and he can eat for life. so why in greece isn't some of the money used to pay down the debt instead invested in solar forests across greece so they can bring energy to europe. in rail links so we can boost tourism, in universal broad band so we can connect up greece to the rest of the world. so we have a politically acceptable and economically sustainable solution instead of putting half the fish on the table so hungry and angry by lunch time? >> the point i make to the honorable gentlemen is first of all, the greeks have had a very special deal in terms of an enormous private sector haircut on their debt that has actually asked creditors to take a share of the burden. and also, if you take the last decade and look at the money that greece has received from the european union, that is

money that could have gone into many of the projects that he points out. part of the problem in parts of the eurozone is that the early years of the euro was used to see wage rates and unit costs of labor rise rather than actually making the fundamental changes to make these countries -- make these countries more competitive. >> glen davis. >> it seems, mr. speaker, there is possibility, a rather strong possibility that greece may be forced out of the eurozone. we're obviously concerned about the impact on the economy that this orderly exit may have. and as my right honorable friend the prime minister agreed, we need to discuss with our european partners and develop contingency plans to energy the disorderly impact has the minimum impact possible on the united kingdom. >> i think my honorable friend is entirely right. obviously, this is not something we want to see happen. obviously, it's in our interests that the eurozone deals with its issues, strengthens its

firewalls, strengthens its banks and starts to see the high interest rates in parts of europe that we see come down. but it would be irresponsible not to prepare proper contingency plans. and that's what the treasury and others have been doing. as i say, whether greece stays in the euro is not within our power. and we must prepare for all eventuality. obviously there would be real difficulties if it was a disorganized exit. >> dan jarvis. >> thank you, mr. speaker. our country has invested a lot in afghanistan, a lot of sacrifice and a lot of resource. so along with many others, i'm now increasingly concerned at the lack of progress with the critical issues of politics and governance in afghanistan, which by nearly all accounts are getting worse, not better. so will the prime minister pledge to reenergize this process in order to give afghanistan the best chance of surviving as an entity post-2014, and assuring that our efforts and our sacrifice are not wasted? >> i respect the honorable

gentleman's views, not the least because he has served in the military and knows about what he speaks. in terms of the political surge in afghanistan, i think he is perhaps being a little too pessimistic, because if you take helmand province for what we have been responsible, you have seen an excellent governor make some real steps forward in terms of governance. you've got district governors in almost all of the province now. and you seen a huge amount of progress in terms of wheat seed distribution, in terms of building schools, hospitals, and providing basic levels of service. but clearly we need to do more. and it is going to be what happens politically and what happens in terms of r reconciliation that will determine the outcome of the nature of afghanistan. >> thank you, mr. speaker. i welcome the declaration at the nato summits about the interim missile ballistic defense system. russia, however, remains hostile to the scheme. has any progress been made in

persuading them that the primary point of the scheme is to protect europe from ballistic missile threats from rogue nations and not have russia? >> obviously it's still a difficult discussion between nato and russia. but i think there is a level of understanding that the point of the ballistic missile defense is to protect europe from potential threats, including, for instance, iran. and that's the point of having a ballistic missile shield. i think it is important to remember that this is not instead of nuclear deterrents. it sits along side nuclear deterrents, which remains a key part of our defense posture. >> mr. and drew love. >> in its article 4 report published yesterday, the imf confirms if we needed it confirmed that not delivering growth. they've also made a number of suggestions and recommendations many of which have been talked about around the chamber today. indeed some will be implemented over coming months. but the report then goes on to

suggest, recommend even a plan b to boost growth, to temporarily cut taxes. is the prime minister listening? >> i listened very carefully to what the imf says. to many two things stand out. the first is that they say reducing the high structural deficit over the medium terms, and they say the uk has made substantial progress towards achieving a more sustainable budgetary position. alongside the situation we inherited made them shiver. the second thing is the forecast for growth is the uk will grow fast their year than france, germany, or the eurozone. so they're not predicting that things will get worsement they're actually predicting that things will improve. >> mr. paul blackmon. >> thank you, mr. speaker. as our brave troops come home from afghanistan, one of the key issues is the sustainability long-term of the afghanistan economy. the biggest export in the past has been the poppy crop, which has fueled the illegal drugs trade worldwide.

however, that self-same product could be used to alleviate medical suffering. >> here here. >> what consideration has been given to purchasing the poppy crop so we can use it for beneficial medical aims and then sustain the afghan economy as well? >> have i looked at this issue in some detail. i think the key thing is that if you can deliver in the country proper governments, proper rule of law, proper transport networks, then you can consider what you might do with the country's ability to grow poppy. that's what happened in turkey. i think if you suddenly introduced a poppy purchasing project now, i've got a feeling rather like blue peter, you would buy one and then produce another one made earlier. i don't think it would work. but i do believe the afghan economy can develop. and that's one of the reasons why we are spending a serious amount of money not just on supporting the afghan national security forces, but on the economic development in afghanistan. and clearly that is going to be key to its future.

>> thank you, mr. speaker. recently i met with afghan sikhs in my constituent it is. under the taliban they were forced to wear yellow ribbons and were prohibited from cremating their loved ones. they have raised with me grave concerns about their freedom in the future, and also women's freedom in afghanistan. could the prime minister update the house on any discussions that took place in chicago on minority rights and women's rights so that we do not see a rolling back of social progress? >> i think the honorable lady raise as very important point. and i had a good meeting with president karzai in chicago. one of the points i made to him was that the quality of afghan democracy and afghan rights and afghan justice will be absolutely key in delivering success. the afghan constitution does guarantee some basic rights. and that's why we say that of course if the taliban put down their arms and stopped fighting, they can discuss a future political role rather as ira and sinn fein has done in northern

ireland. but they have to accept the tenets of the afghan constitution. >> amber rod. >> thank you, mr. speaker. i'm immensely proud of the commitment to international aid made by this country. the concern about the levels of some other members of the g8. can i urge the prime minister to next year to remind some of the members of their commitment. >> i would be delighted to do that. one of the strengths of the g8 is that it does produce this accountability report. and i will make sure that a copy is put in the library house of the commons. it is very compelling. it really holds the promises they made about aid, about spending and about the different bits of that spending. a and you can see in black and white who has met their promises and who hasn't. we'll continue to do that next year. >> thank you. there are nearly 25 million people unemployed across the eu at the moment, and economic demand is continuing to fall in the eurozone and in this country, where as in america it's rising this year. will the prime minister therefore follow the lead of the u.s. and japanese governments and the advice of the if

yesterday and bring forward much needed capital spending to boost infrastructure and get construction sector off its knees? >> we've said that we want to use the harder-won credibility we have, the low interest rates we have, the strong as it were national balance sheet we have to encourage that private sector vet. we made a series of important announcements about housing, including backing mortgages up to 90% loan to value to try to get the housing market working again. because the housing market is not functioning. i would just say with reference to america, if you look at their deficit reduction plans, they actually have plans to reduce their deficit faster than we do. >> gavin williamson. >> mr. speaker, does my right honorable friend agree that the g8 decision to create the capital market access initiative will help arab spring countries tap into international capital markets, bringing them both stability and prosperity? >> i think my honorable friend makes an important point. it is still i think a net bonus to the world that there has been the arab spring, and we need the

wealthy countries of the world and the european union to get behind it. i think one of the problems that we face is that those north african and arab countries that have set themselves free, they were told in the past that it experienced a free enterprise economy, when in fact they've been having really a sort of crony capitalism economy. and we need to work very harder with them to encourage them to make a path to insure that their economies grow for the future. >> can i welcome the prime minister's alert on levels from the richest to the poorest countries? and following through on the commitment to sustainable hunger reduction, will he promote more report for small holder farmers who number over half the world's billion hungry people so that they and their families can grow and eat more and better food, and employee others, helping communities to thrive? >> i think the honorable gentleman makes an important point. and that was part of the presentation that was given to the g8 by the new alliance for global food security is through the proper use of fertilizers,

through the proper use of things like exchanges, you can actually make sure that smaller farmers become more sustainable, grow their yields and actually feed not just their families, but can also build a small business. >> last but not least, we must hear from the voice of west worcestershire. >> i'm so pleased to hear the prime minister announce a day for discussing global hunger during the olympics. does he agree that the agenda should not just cover food security and food production, but also the hidden crisis of malnutrition, which literally stunts the growth solve many children around the world. >> i think the honorable lady is absolutely right. it just it seems to me that while we have the eyes of the world on britain for the olympics, and many african leaders will be coming to support their olympic teams, that it's a good opportunity to bring people together to say here we have a great initiative in the new alliance for food security. let's take it to the next level. let's encourage more countries

to join. let's make sure that we lift more people out of hunger, out of poverty. the point she makes about nutrition is absolutely crucial for the future of the planet. >> next here on c-span 3, the senate appropriations committee looks at national guard spending and efforts to keep troop levels steady. in about two hours, new york university law school hosts a discussion on race and law enforcement. that's followed in 3:20 by a forum looking at terrorist financing since the 9/11 attacks. on friday, a debate between the candidates running in wisconsin's june 5th recall election. incumbent republican governor scott walker debates milwaukee mayor, democrat tom barrett. voters in that state will decide whether to recall the governor less than two years after he was first elected. live coverage friday starting at 9:00 p.m. eastern on c-span.

yee-ha! >> welcome to old cowtown museum, wichita, kansas. yee-ha! >> here in the city of wichita, and trace of course waking up the city for 22 years. well think we have a heck of a start. that's why the mayor comes in every wednesday. today he is going to be talking a little bit about the problem we're having in the city with taxi cabs. so 9:20, hang on for that, if you will, okay? >> june 2nd and 3rd, book tv and american history tv explore the heritage and literary culture of wichita, kansas. >> a rather modest looking paper-wrapped binding. but what it contains is an alphabetical list of the members of telephone senate and the house of representatives done in 1831. i believe this was issued only as it says here for the members' immediate use only. not that they had xerox machines, but they were not supposed to loan this out, because, as you can see, it would tell you exactly where

everybody lived. so you could go and button hole them and punch them if you didn't like it. >> watch for book tv and american history tv in wichita on june 2nd and 3rd on c-span 2 and 3. this is c-span3, with politics and public affairs programing throughout the week and every weekend, 48 hours of people and events telling the american story on american history tv. get our schedules and see past programs at our websites. and you can join in the conversation on social media sites. now the senate defense appropriations subcommittee looks at national guard spending and efforts to keep troop levels steady. last month defense secretary leon panetta said he'll restore some of the cuts in the budget proposal sent to congress earlier this year, including at least 22 guard positions. this hearing is just under two hours.

>> this morning the subcommittee meets to receive testimony on qy 2013 budget of the national guard and reserve components. from the national guard i'd like to welcome chief of the national guard bureau, general mckinley, the director of the army national guard, general ingram, and the director of the air national guard, general wyatt. our witnesses from the reserve include the chief of the army reserve, general stults, the chief of the navy reserve,ed a dirl debbinnk, steven hummer, and the chief of the air force reserve, general charles stener. and i would like to think all

for joining us today as the committee reviews fy '13 budget for the components. this year's budget proposal significant force structure changes for the air national guard, reducing end strength by 5100 bill lets and aircraft inventory of 134 aircraft. this proposal has come under intense scrutiny from the members of congress, the council of governors, and many eyes and generals. and i'd like to hear from you on how involved you were in the deliberative products that preceded the announcement and what input you were asked to give. in addition, over the last several years, the guard and reserve have made important changes as they transitioned from a strategic to an operational reserve.

this shift requires you to have deployment-ready units available at all times. as we draw down our military forces in afghanistan, the defendant will need to figure out how to best utilize this view operational reserve. many challenges remain for the guard and reserve. reserves and their families lack the support network provided for active duty installations. so it is important that our reserve families get the support that they need during the deployments. and as a reservist transitioned back to civilian life. the guard and reserve still face significant equipment shortfalls. congress has provided additional equipment funding for the guard and reserve in each of the last 32 years, because year after year,