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[applause] i am a ukrainian-american. this is the woman i am here for. [applause] internationally acclaimed top singer does not begin to describe her. she is a patriot. she cares passionately about her

country, its democracy, its independence and read him. -- freedom. when ukraine was threatened with a sham election, she used her celebrity during the orange revolution. she joins millions of her fellow citizens in independence square to stand with them and rally them on behalf of a democratic ukraine. andhas served in parliament she has fought for the reform of ukraine's criminal justice system. she has championed human rights. she has led the fight against human trafficking. a terrible scourge that extracted a toll on women and girls in ukraine, as it does in so many countries. they are enticed with the prospect of good jobs and

instead they are thrust into the nightmare of modern day slavery. they disappear, never to be heard from again. she produced video clips to alert women and girls to the danger posed by the traffickers. she worked at the united nations on a campaign of which her song became ansale" anti-trafficking rallying right -- cry. [applause] last year, when ukraine was threatened by pro-kremlin forces, she became the protest leader on the my don. -- maidan. she rallied her fellow citizens right after night for hours on end.

in the freezing cold. she kept up her spirits as they stood or ukraine's integration of europe. they stood for justice, for dignity, for freedom of stop what you saw in the video is true. grave,situation became and the crackdown began, and with it, violence, that still lives, it was her voice on the loud eager. in the midst of the chaos and the horror, she was singing the ukrainian national anthem. she was him bolding her countrymen and women. she received death threats. she was told she would be killed if she did not leave the road test. she kept singing. she kept believing in a that are future for our country. she has been compared to john

apart. care -- compared to from the hunger games -- katniss from the hunger games. she is a true heroine of ukraine. last month, the first lady presented her with the international woman of courage award. it was for her steadfast commitment to nonviolent resistance and national unity. in the fight against corruption, and human rights abuses. and now, you will learn even more about this courageous woman. i am proud to call her my dear friend. [applause] >> thank you.

thank you so much. role, sheat in that has done the most extraordinary things. it is one of the great undocumented things. [applause] welcome, ruslana. morelow me to explain about this. it is a symbol of freedom. maidan, you on the have to understand how it would be. night, people were on the m aidan with these lights. it means that we are powerful. we are free. [applause]

if you won't support ukraine, switch on this light. everybody has that. it means that we support read him. >> i see some lights going on here. cell phone lights in the audience. we have a small maidan here. thank you very much. [applause] >> i love it. i will treasure it. thank you so much. you have just come from ukraine. you are on the ground for the last four months.

you are an iconic these of the revolution. give us just a sense of the feeling of what it has been like and what it is like now from the inside. all, allow me to explain more about the situation right now. -- the war is about ukraine choosing democracy. they do not want the power of putin. we lost crimea. there was a referendum. we call it the kalashnikov referendum. >> i like that. we have not heard of that before. also, we have a part of ukraine in the same scheme. putin proposed a new

constitutional right. sorry. you go to the past. not the future. [applause] thank you. nobody supports you. chooses the bad things that you destroyed our lives. -- putin destroyed my life and my country. that is why i was nervous. thank you for this possibility to talk to you and explain more n.out the maida it is not just a place. it is the center of kiev. it has been everything for we lost a lot of people. people were killed by snipers.

everybody knows what is happening on the maidan. even now, every day, every night, people believe that they will change our country. we will change ukraine. we do not have results right now. yanukovychthat disappear. i am focused on the new election. putin willre that agree with the new president. that is why we understand next month that it is a dangerous time for ukraine. for months, peace protests were everyday and every night. tore were about 5000 people 100 people every night.

100 nice i was on the maidan. [applause] it was cold. it was dangerous. >> at one point you were singing the national anthem. were you not afraid? >> i have two stories. i was on the stage. i was on the stage with a microphone. i was trying to support people with a good song and good words. we wanted to explain what was going on. i remember my friend asked me

why? snipers are looking for you. we checked the buildings around. snipers are looking for you. i had a jacket. i took it off. i left. i was not strong enough. snipers can see me. the second story was on the stage also. nightmber the last bad where people were killed. there were a lot of bombs. they happened at the same time. i was so nervous. i ask this military guy to shut up. give me time to say something.

i have a lot of stories like that. [applause] have we in the united states pen naïve about who can -- utin? it wrong every time. he is out boxing us. what do you think. about theur idea psychology of putin? >> you will never understand putin. bad it is.know how i remember the soviet union. it is gone from this fewer. -- period.

human lives mean nothing. power means everything. there's a lot of fear. there are a lot of bad things. you will never understand putin. we understand how he is dangerous. >> you are very active in the orange revolution. what has driven you to your activism? disintegrated into political scandals and corruption and bad government. what is going to be different this time? we have been through that. you went through that. why should this revolution be different? >> we never lost maidan. that is people power.

it is a human movement. to control government, to change our country. that is why we never lost it. we lost it after the orange revolution. these guys will change our country. now, i feel that way now about putin. even the election could change our country. we unite how -- all countries. the western part, the eastern part of ukraine. south together. i think that he worries about our. -- power. i have bad news for him. now,u talk to putin right

your guys will send this statement from the stage. i have bad news. we will see one day that the russian people will switch on lights of freedom. will win inan russia. [applause] >> do you think that putin was acting not out of a show of strength, but an active fear? he's always happened in maidan and he worried that it could come to russia. >> you have to understand that it is volatile. it is between big money.

had a lot ofutin power. no one can stop them. he has propaganda. it is bad for all of us. it is a battle between money and truth. between war and peace. ukraine chooses peace. no weapons, no war. >> what do you want us to do? [applause] everyone in this theater would like to ask you what the united states should be doing. you know that we are not going to go to war with russia over ukraine. what should we be doing? ask -- we we would wait for your help as a guarantor of our independence.

that goes back to the budapest agreement. not from russia. it is a bad example. we spoke about you. it is a bad example putting us in the power. some young boy may be strong. he's may want to be the same as putin. that is why we need to stop them. understand how it works. support our light. . >> thank you so much. everyone who has a light, put them onto some or -- support ru

slana and ukraine. >> thank you. [applause] [applause] i thank you. >> now for epic doubleheader. definedn who have rights for women. a super woman of the world economy and managing director of the imf. administrator of agricultural affairs and of trade. she was the first woman to become finance mr. of the g8 economy. she is the first french head of the imf to behavior productively

in a hotel. wanted, should she ever she has everything one needs to be president in product fast in france except for a motorcycle helmet. former secretary of state hillary rodham clinton needs no helmet. [applause] she has been hit with everything and never broken stride. of notable own share firsts. she was first lady of arkansas and the first commencement beaker at wellesley. she was the first female chair of the legal services corporation. she was the first female senator from new york. she is first in the heart of democrats to be the next presidential candidate. [applause]

now i know why this grant says caused -- script says pause for applause. the only person more qualified with abraham lincoln, and the tea party would not have them. let's show our appreciation. hillary rodham clinton. [applause] >> hello.

other thing. to have soy tonight many people joining us. have not just a man, but a sensitive man. be nice to him. where are you? [applause] >> what was i thinking? [laughter] i just have my girls in my head, don't blow it down. begin first of all by saying that there has been some remarkable testimony from all of

these women. i want to pick up with what ruslana was saying about ukraine. you have both had to negotiate with vladimir putin. but he does not strike me as the most people friendly guy, let alone a woman-friendly guy. what have you learned from that is area? what should we know about him as a person? >> well tom, it is great to see you. . am thrilled to be back here this is a wonderful conference. [applause] i think tina and everyone who put it together. here with be christine lagarde. she has shown great leadership. ukraine is one example. there are so many more through the imf. we could be here until breakfast talking about what is going on with russia and in particular

what is going on with vladimir putin. i will try to be brief. view is putin in my motivated by the past. he wants to re-create it. he wants to reclaim it. he wants to restore what he views as the proper place of russia in the world order. looking backed by at history and going back to the czars. he is currently said that the collapse of the soviet union was a great catastrophe. is alieves that politics zero-sum game. that means that russia cannot do of itscause all resources and assets, starting with its people, -- if other people are doing well, therefore he wants to do what he can to elevate the russian position, particularly in its neighborhood.

among those countries that used to be part of the ussr. or they were part of the warsaw pact. what he seems to be doing is looking for ways to score points at home and built up his political base, relying on nationalism and the appeal to greater russia. he wants to avoid the kind of protests and seven rations that were beginning to raise questions about his legitimacy and the direction he was taking. one of the surest ways of diverting attention is to cause a ruckus somewhere else. the europeantop opeanization of those parts of europe. he wants to create a competitor to the european union. he calls it the eurasian unit.

countries like belarus and context on -- has expand -- kazhakstan would be involved. he wants to redraw the boundaries of world war ii europe. i believe that over the long run, this is a losing strategy. i think that the united states and our european allies, we have to be strong and patient. restore theelp opportunities of the baltic nations and other eastern european nations to feel free from intimidation. that is largely a question of energy supply and preventing the subversion of their democracies by influence peddling. that would start in moscow. forink that this is a time

the west, led by the united states and international organizations, to be very clear that the takeover crimea was illegal and illegitimate. united nations general assembly has overwhelmingly condemned it. we need to be putting together financial and technical assistance for ukraine so that they can emerge from this crisis stronger and unified. we have to play a long game ourselves. part of our problem is that we are a rock is democracy. budgettrying to get our houses in order. we trying to set up our own priorities are our own people. we would like previous generations and say to ourselves , it is important that we say no to someone vladimir putin. we must do it in a smart way that makes them think twice about what he is trying to achieve.

>> thank you. [applause] christine the ground -- christine lagarde, the two most important people that vladimir putin has to wrestle with right now are women. yourself and angela merkel. that will determine more how the story ends and whether it ends well. bring us up to date on your negotiations about ukraine. you are central to providing the economics of work that they need. >> thank you very much. i am also delighted to be with the two of you. very much so. on ukraine, we have been on the ground as soon as the authorities called us. knowing where -- what was in the books. we had to know how much was in the central bank.

[laughter] complicated is that you had all the normal authorities you could think of. you also have parallel entities. legitimately,ting but they have a second set of books. we did that. converted as soon as possible. it became a negotiation mode. i am so proud of the team that was on the ground. there was a group of men and women. they stayed there, stationed in hours.orking 80 they concluded the negotiations and we will be submitting to the board of the imf, which includes all member states, cleaning russia, a program under which we will lend to ukraine anywhere

between 14 billion dollars and $18 billion. and more are they, there is a need for money. not just the imf, but many others. we will expect the ukrainian authorities and the ukrainian people to take their destiny into their own hands. they must deal with it in a transparent, honest, manner. they must go in the direction that the people want. to do that, there are lots of things. i will not bore you with the budget and the truth of the price of energy. there is a the right exchange rate. go of those things have to and happen over time. it does not happen overnight. it needs to happen. it needs to be implemented and

checked in the name of the people. are we doing our share to support the imf in this mission? tell the truth. [laughter] >> you are asking the truth. >> no. [laughter] [applause] who doesn't know the inside story would be interesting to know what are we doing? >> the imf is in three businesses, surveillance where we go to see if the numbers are right and how the economies are doing. we lend money to countries and difficulty. we have done that over the last 70 years. we have been to latin america, asia, all of central and eastern europe at a time when the iron curtain fell. that is what we do. that is our business.

to go strong, and we need to do that for some countries, we need to have a very solid base. renewably.ive you cannot be a firefighter and have little [inaudible] . that is what we need. the imf has ratified reform. it was agreed to. it was supported actively by the united states back in 2010. now the congress has not taken the opportunity to ratify this reform. because the united states has a veto right, it can block everything. i am a firefighter and i have a type that works, but it is not a big hose.

senator -- secretary clinton, you went to beijing and participated in the women's summit. they said, never again will we suffer -- a women's rights from human rights. [applause] how are we doing? >> we came out of beijing with a platform or action that was agreed to by the 189 countries that sent official delegations. that platform for action called for the full participation of women in their economies, and their political systems, with access to health care and education. they had to be fully functioning, equal citizens. i think we have certainly made progress. there's is absolutely no doubt about that.

i am working on a project called no ceilings to try to assess what we have achieved and where the gaps are. what the agenda for the future should be. 19 years ago, we did not really imagine the digital world in which we find ourselves today. a glassooking at half-full. it is not half empty. there are different challenges depending in part on different levels of development in different cultural and religious and social attitudes and practices. fors important particularly a fabulous gathering like this one to be part of the international taking stock of what we have achieved and what more we need to do. there are still some horrific

situations. whoe are girls were born are not even registered at birth. they are considered secondary. there is still a disparity, particularly in asia, in china and asia, because of their large populations, between the population numbers of girls and boys. there is a 3 million cap. girls are still the last to be fed. they are still denied health care. ,hey are still forced to labor unable to go beyond primary education. they are married at very young ages. we know that we have those obvious discriminatory laws and regulations that we still have to tackle. but then there are more subtle obstacles, the ones that we have talked about and that she has

been highlighting through the work of the imf. the u.n. and so many other organizations in the public and private sector. reallymportant that we look at this broadly and we say, yes, we have made progress. let's be proud of that. we cannot rest. we have a long way to go before in 1995 isat was set reached. menem --madame lagarde, are you seeing your investment in the developing world? is it the multiplier you have expected? >> i brought a present for you. [laughter] >> my column for sunday. >> it is called women, work, and the economy.

[applause] back to the numbers. it is really important to measure. we must identify what policies need to be fixed in order to have access and open up the economy. andust remove the barriers not just the cultural barriers, but the economic barriers. what we did is we identified in many countries what the -- what input women can bring to generate more output. this is economic jargon, but if you bring more women to the job market, you create value. that makes economic sense. growth is improved. in countries where it is a no-brainer, korea, japan, seem to be china. certainly germany, italy.

they have an aging population. in countries like japan or korea, immigration is complicated. what's the deal? open up the market for women. they are very interested. the levels can be significantly improved just by letting women access the job market. we are very pleased. there is very detailed work. the prime minister of japan has decided to put in his budget a big delegation for china. he has set targets. [applause] in addition to measuring, you also have to set targets for top they are really important. there will be 70% women in the workforce.

70% of the women will access the workforce. when you have the prime minister thing,aying the same there are measurable results to be had as a result of that. if you look at with the netherlands have done, they have eliminated discrimination. they have improved the situation. when you look at what the , to actually andrdinate the benefits other welfare to the fact that women can go to work and show up have to, so people admit that there's money at stake. it is working. we look at numbers. we look at the barriers.

i will give you a final example. countries, taxes assessed on the family unit. taxationnal rate of applies much more heavily on the secondary range. women are generally paid less than men for the same jobs. there is a secondary wage. they are taxed much more heavily. that, instead of having a family unit, you have taxation on the individual. disincentive that goes away. those are the kinds of things that the imf is being. [applause] >> if i can just add, for many and before the light was

in my eyes, i could people i knew out there, the argument or women's equality was first and foremost a moral argument. it was a political argument. i think that where it is now as an economic argument is in many respects the maturing of the case that women's rights are human rights. it is also a very important way of enlisting greater support. you are well known for your writing about the world being flat. the world cannot be flatted half the population is either discouraged from work is terminated against when it comes to economic activity. you will not be as productive. >> is strategic. >> it is very strategic. where women are more equal, you have less instability, fewer

conflicts, greater democracy and accountable government. these go hand-in-hand. [applause] part of what christine has done, and i will to her court, the imf has only recently begun looking at these specifics. the imf has these principal mission. governments listen to the imf. when they make the case that access to theen's economy will raise your gross , and that isdp true in united eight. the percentages are not as great here, but even in the united eight, what we are learning with sheryl sandberg and lean in and it worked for a google -- the way that women are treated is often much subtler, but no less

damaging. the individual woman, but for the economy as a whole. that is a profound message that i hope people will make. [applause] from the public to the personal, is there still a double standard in the media about how we talk about women? [laughter] specifically, because i came across this story that i could not believe is true. you had flown all night and you type your hair back and when you came into the room, he was frightened because he had heard that when your hair was back, it meant you would deliver unpleasant news. your hair is short, you will devalue them. [laughter] >> i had my hair longer last october for the annual meeting.

they wrote a story on the front page saying that because my hair was longer, there would no longer be haircuts. [laughter] i guess that answers the question. >> really tom. [laughter] >> i am a human sacrifice. >> there is a double standard. we have all experienced it. we have all seen it. there is a deep sense of cultural and psychological abuse that are manifest in this double standard. lawyer,er as a young and this was many years ago, i read a column in the paper in arkansas. it was advice about the workplace.

one of the questions that i read one day was a man who wrote in. the writer said, i got a promotion. i'm going to have my own office. i do not know how to decorate it. do you have any advice? it was initial. the answer was, i cannot tell if you are male or female. recommend male, i that if you have a family, put the pictures in your office. everyone will know that you are responsible and reliable. female, don't have any pictures of your family. they will think that you cannot concentrate on your work. i remember reading that and it was so long ago. but some of those attitudes persist. andhey persist in as open in many ways, transformational

societies as ours is, you know how deep they are. that is why it is ordered that we deal with that and talk about it. we have to help men and women recognize when they are crossing over from an individual judgment, which we are all prone to making an have a right to make, into a stereotype. into applying some kind of gender-based characterization of a person. is alive andandard well. ismany respects, the media the principal propagator of its persistence. i think the media has to be more self-consciously aware of that. [applause] >> i want to ask you to answer the same question, but you also had a major international law firm involved.

as a european woman, is the glass ceiling different? figure were thinner? how is it different trying to be a high near -- pioneer there is hum? [laughter] >> the glass ceiling is different. yes. there is equally a glass ceiling there. i think it is different because i was privileged to grow up in a country, france, that has always women going to work at --ething that was necessary right after the second world war, there were so many casualties that women had to participate in the work in the factories and the schools and the civil service.

history, bute general de gaulle was convinced it was necessary to bring the woman in. they gave the french women the right to vote. he was not in power long enough to make a mark. it has always been there. there is a solid society that helpinstitutions families, not just mothers, but families. both men and women, fathers and mothers, to go to work. that is like germany and italy. in that way, i am privileged. but there are equal glass ceilings. when i was hired as a young associate -- or rather, i was said, we willhey

give you a job. i said, great. what can i expect? they said, don't expect to make partner. i said, why not? they do, because you are a woman. that was many years ago. i am not sure it has changed in the last 30 years. there are still that element of glass ceiling. myself so often in board meetings and discussions when there are many great suggestions on the table. i speak about women's issues and their share in the economy and i see a perceptible smile. [laughter] say, i am a woman who talks about women. [laughter] [applause]

>> given what you have both said, i know there are so many women here who would be interested in what is your best advice to young women who want to rise up in this world and happy kind of careers that you have. there is sexism and biases. but i can ask that question quite often. telling that is on the minds of so many young women. tolways say that you have play on outside and inside game. on the outside, you have to find thatto raise these issues are truly rooted in sexism or old-fashioned irrelevant expectations about women not in a -- in order to change a mind

stop when christine was talking about sitting in the room, and i have often been the only woman in a room, and i have had that experience of talking about women's issues. you see the eyes glaze over. the mind is wandering. you have to think of some way to bring it back. i know you have a daughter. you must be so proud of her. you have to think of ways to keep the focus on what it is you are trying to convince the other person, predominantly a man, to believe. there's a whole outside pisa. the inside is equally of work. when my predecessors and heroines was eleanor roosevelt. she said that if a woman wants to be involved in the public, and her case she was talking about politics, and it is true in many arenas, she has to grace can as thick as the high -- grow a skin as big as the high they

were not service. rhinocerous. to many young women are harder on themselves than circumstances warrant. they are too often selling themselves short. they take criticism personally and that it seriously. you should take criticism seriously. you cannot let it crash you. offhave to be resilient and -- enough to keep moving forward no matter what the personal setback or insults that come your way might be. that takes a sense of humor about yourself and others. it hard-won advice that i'm putting forward. [laughter] [applause] it is not like you wake up and understand that. is a process.

you need other women. you need your friends to some argue. you need male friends as well as female ones. you need good role models. all of that is true. but at the end of the day, you have to be good. you have to be well educated, well prepared, and willing to take your chances when they come your way. you must cut yourself a little bit of life. at this point in my life and career, i have employed somebody young people. one of the differences is that whenever i would say to a young woman that i wanted her to take on an x the responsibility and invariably they would say, do you think i can as to mark do you think i am ready? -- ild not think you were would not ask you if i did not think you were. that is often the first response from a young woman. , he i asked the young man

goes how high? how fast? when do i start? there is a hesitancy about women's work and work that we will continue to address. more young women should feel free to pursue their own ambitions and be successful. >> a quick follow-up on that. [applause] you talked about all this media attention. there is only one person in the world who gets to call you mom. what did you learn from her? >> oh my goodness. worked very hard and very well. i think she has taken the best from bill and me. thankfully. [laughter] she has high standards and she also is passionate about her work.

friends, when i have learned and what i have seen is how much they support each other. it was still somewhat rare when i was a young lawyer. there were not that many young women lawyers. now there is a very substantial group of young professional women that my daughter and her friends are part of. they really do have each other's backs. i think we need to see more of that and encourage more young women to support each other as i have seen with my daughter and her friends. >> i want to take on the advice question and what did you learn from your son? i agree 100% with what hillary has to -- said. i would add three things. , you must get yourself the best education you can.

as a young woman and throughout your life. good, but be importantly, we have to be better. that is the reality of life. we have to be better. the third thing is, i honestly believe that women are better equipped than men to deal with all sorts of situations. i am not saying that they are better than men, but they are better equipped to deal with all sorts of situations. they are better able to adjust. as a sign of intelligence. [laughter] we are a threat. we are a threat to man. i'm serious. when we progress and affirm ourselves, we should not threaten them. they are ok.

but they should not be terrified of what we can achieve. we can achieve lots of fabulous things, more than they can. [laughter] [applause] that is something that i learned from my son. [laughter] >> i set that up. it is a perfect segue to my next issue. you have both risen to these amazing heights. , is there anyy other job you would be interested in? [laughter] [applause] comptroller of the state of illinois? you know what i mean.

>> not right now. not right now. >> let me ask you in a different way. country think about the and americana right now, and i worry about our country. you think about what we need to accomplish in the future. what are the priorities? >> that is the right way to go at it. we need that kind of discussion in our country. i went to 112 countries. i came away from that experience even more confident and positive about our model and our potential.

proud to represent the united states. having said that, leadership is not a birthright. you do not inherit it and it keeps going. you have to work hard and you have to be prepared. so do nations. we have got some work ahead of us. it will require reaching something of a consensus. aboutreement particulars, but we have to figure out so that young people ive a ladder of opportunity am grateful for everything i was

to prepare meld to have a fascinating life. i don't want to see other children denied that opportunity. it's a moral issue. >> and behind the political is we ared the result kind of marching backwards instead of forwards. we often reach these points in american history where we try to , whether we we go embrace the future, how we go

about doing it. if we are going to be true to an electione have year, we ought to be paying attention to that. that will set the parameters for a lot of what should be done. administration certainly supported imf reform. we think they are in our interest. we think they are in the world interest. congress got wrapped around misconceptions and political infighting, mostly against the white house. we need a very open, evidence-based, mature competition. this may lead to places i'm not enthusiastic about that wouldn't but compromise is an essential part of running a democracy.

we cannot afford to people who deny the right and the need for compromise. see it start not just in the editorial pages where you and try to make the point that i think are important. we meet in the kitchen and the fields and watching people play soccer and not be afraid to talk to people who disagree with you. this is one of the biggest problems i see. if we don't begin to talk across the lines that divide us we will get further and further separate, and we can't afford to do that. >> a quick follow-up, and then i want to conclude. look at your time as secretary of state, what are you most out of, and what do you feel is most unfinished and would love to have another crack

at one day? >> that was good. that's why you win prizes. role as see my secretary and leadership in general as a race. you run the best race you could run. hand off the baton. some of what hasn't been finished may go on to be finished. when president obama asked need to be secretary of and i agreed, we had the worst economic crisis since the we had twossion. wars. we had continuing threats from all kinds of corners around the -- hade had to do what, to deal with, so it was a perilous time. me was i have to deal with the economic crisis. i want you to go out and represent us around the world. it was a good division of labor.

we needed to make it clear to the rest of the world we were going to get our house in order. we were going to get back to positive growth and work with , so i thinkpartners we did that. the solidroud of leadership the administration leadsed that i think now us to deal with problems like ukraine, because we are not so worried about the massive collapse in europe and china trying to figure out what to do with their bond holdings and all .he problems i think we restored american leadership in the best sense. american people began to look at us as setting the standards. i am finishing my book, so you will be able to read all about it. >> i think you raise the

predicate for the iran negotiations. it's something people don't see. >> i write a whole chapter about this. this is the kind of warring things max weber talks -- boring thing max talks about with politics. it is painstaking microscopic advantages and putting together coalitions to impose tough sanctions on iran is what eventually changed the calculus inside the iranian government and brought them to the negotiating table. effort on enormous behalf of a lot of us to put that in motion. it was part of the work we did. >> secretary clinton, thank you. i want to conclude with you. i was reading the economist and it said if the eu were a company

, its board would have been sacked, and if it were a football team, it would have and relegated to the second tier. it needs new leadership. christine do guard can be the change. president of the commission, which would be interesting. you are the president. [applause] seriously, when you leave your it you hope what is you will accomplish?

incrediblyrved at an critical time for the global economy. >> i hope we can leave behind an institution that is confident, proud of the work it is doing around the world, which has support of its membership, where women have a place and have a only around the board table, which has 24 men and no woman except me. >> i know how you feel today. >> but we are not threatening you. where we will have provided real, down-to-earth, practical value. in my mind. sticks when i went to myanmar a few months ago and when lady hong sung su chi said, i want to

thank the imf for what you have done to my country and how you have helped us improve the situation and go one more step in the improvement of democracy, i cried. if we can do many of those things around the world i will have the thing good. [applause] >> i want to thank you both for what you do. you are enormously decent human beings. and a been a real honor privilege for me to be here, and i thank you for the opportunity. [applause]

>> i want to say thank you, because the world may be flat, all the not. and for young women in the room, i want to say, if you want to know cool women, if you want to ask the definition of a cool one, it's unbelievable. the two coolest women in the world. [applause] madam secretary, madam do guard, we are not waiting anymore. thank you so much. we are deeply honored. i want to say good night and we will see you tomorrow morning

bright and early. an amazing panel on the arab spring. delegates, i wanted to go to the promenade for dinner. thank you so much. madam secretary, thank you so much. [applause] >> separatists have stepped up takeover's in eastern ukraine 16h insurgents commandeering armored vehicles along with their crews. the washington post says nato by deployinger more forces. rasmussen says, we will have more planes in the air, more ships in the water, and more readiness on the land. our decisions are about defense,

deterrence, and de-escalation. you can read more of the story at washingtonpost.com. things got heated at the united nations wednesday between the ambassadors of russia and ukraine as each presented his version of the continued standoff between the two countries after the annexation of crimea. here is part of the exchange. >> interesting. it's not the first time we are witnessing this here. for some reason some of our western colleagues believe if it's is an armed coup, better for it to be armed. it will always result in democrats taking power. theas jefferson will take lead in all of this, but where do you see these individuals, the people in authority now? they have a serious reputation as politicians who are

democrats. you won't find any such individuals there. pseudo-democrats. have they done anything to force something that would have the appearance of democracy? nothing but fight. they forcibly are eject and those who object to them. you have military camps. no one has been disarmed. democrats are trying to enforce democracy or a law and order as some of our colleagues have said through the deployment of armed forces, and they are trying to enforce this in southeastern ukraine. this is virtual reality. a number of colleagues have referred to the elections of may 25. we don't know how this will handout, but what is our concern? i do have to agree with is

i don't remember what his exact words were, but there would have to be an in depth change compared to the past. there has to be a break with the past. the ukrainian people are being asked to buy up page in the poke. in thee -- by a pig poke. goa liked a president, but what authority will he possess? what authority will he provide? or will perhaps -- go you liked a president, but what authority will he possess? now these elections are being ofhed forward, where members parliament are going to be elected. is this democracy? is this breaking with the past and building a new democratic ukraine? the but not least,

negotiations are taking place. we are preparing for them. if they are not undermined by ine sort of action southeastern ukraine, they will take lace. -- take place. are our western parties going to be ready for this? we saw ways of involving them. of course the response was negative. -- i see how all of this am referring to the geneva meeting -- we hope it will engage on the path of normal development where all the regions would understand clearly what is awaiting them tomorrow. all the ethnic groups would understand clearly what the future hasn't gore for them, and we would look at economic

problems of ukraine. this is dialogue which we invite the future -- has in store for them and we would look at economic problems of ukraine. this is dialogue which we invite our partners to undertake. >> the thought comes to my mind that sometimes there is no point in making comments, because our will stand bygues their position and their opinion, and they will represent the situation the way they wish it to be seen. reality, which my russian colleagues are demonstrating, everyone says one thing. they believe in their own model of the world. you will have to participate in a discussion on the issue of crimea, because this is ukrainian territory.

it is temporarily occupied, but until it is returned to us we will continue. we have seen this support demonstrated by the whole world to ukraine. it's unfortunate that when you are making your comments you are using words like this. it's a shame your representative and you yourself were not present at the meeting with the delegation, which was headed i a well-known human rights defender who fought in soviet jail for 15 years, defending the rights of the people. p hisd what i said. position. crimea will hear that you consider all of us to be lies and provocations. i have no further comments.

everything that was said was nothing but manipulation and distortion in a style that is well known and familiar to all of us. thank you to all of you for your attention. >> thank you for your patience. >> the white house said wednesday it has prepared new sanctions against russia, and more talks are scheduled in geneva thursday between russia, the u.s. he eu, and you can see the entire un security council meeting at c-span.org. >> next on c-span, federal reserve janet yellen speaks at the new york economic club. after that the former british defense secretary discusses in assay surveillance programs and the effect of the edward snowden leaks. we do remarks from the fifth annual women of the world summit.

federal reserve chairman janet yellen spoke about economic recovery at an economic club of new york meeting wednesday. was her first speech at the organization since becoming fed chair. it's an hour. >> thank you and welcome to the 435th meeting of the economic club of new york. i am roger ferguson, chairman of the club. throughout the history of the economic club of new york we have had over one hundred thousand guest speakers appear before us, establish a strong tradition of excellence, which we continue today. i would like to begin by members whothe 211

have contributed their support to a sound future. thanks to all the centennial members who have helped fulfill the mission well into its second century. i would also like to welcome our special guests. we have students with us. our members have made the attendance possible. we are pleased to welcome our speaker, janet yellen, who became chair of the board of governors of the u.s. federal reserve system on february 3. fedr to her appointment as chair, dr. guillen served as vice chair of the board of governors. she is a professor emeritus at the university of california at her clean. she served as ceo of the bank of san francisco and share of economic advisers. from browngraduated

university and received her phd in economics from yale. speech, toer designated club members will ask questions. we are pleased to welcome you back to the economic club of new york. the floor is yours. [applause] >> thank you so much, roger. nearly five years after the expansion that began with the great recession, the recovery has come a long way. more than 8 million jobs have been added to a roles since 2009. all most the same number lost as a result of the recession. led by a resurgent auto industry, manufacturing output has also returned to its

prerecession peak. while the housing market still has far to go, it seems to have turned a corner. far theign of how economy has come that the return to full employment is for the first time since the crisis in the medium-term outlook for many forecasters. it is a reminder of how far we have to go that this long-awaited outcome is projected to be more than two .ears away today i will discuss how my colleagues on the federal open market committee and i view the state of the economy and how this view is likely to shape our efforts to promote a return to maximum employment in the context of rice stability. price stability. i will start with the outlook,

which foresees a gradual return over the next two to three years of economic conditions consistent with its mandate. while monetary policy discussions naturally begin with the baseline outlook, the path of the economy is uncertain. an effective policy must respond to significant, unexpected twists and turns the economy may take. my primary focus today will be policythe fomc monetary framework has evolved to best support the recovery through those twists and turns and what this framework is likely to imply as the recovery progresses. forfomc's current outlook continued moderate growth little from last fall.

in recent months, some noticeablyhave been weak, requiring us to judge whether the data is signaling a material change in the outlook. the unusually harsh winter weather in much of the nation is judgment, butis my fomc colleagues and i generally believe a significant part of the recent softness was weather related. the continued improvement in weather -- and labor market conditions has been important in this judgment. at 6.7%ployment rate has fallen 3/10 of a percentage point since late last year. broader measures of unemployment that include workers marginally attached to the labor force and those working part-time for have fallen ans bit more than the headline unemployment rate.

labor force participation, which had been falling, has except this year. by theon is measured price index for personal consumption expenditures has flowed from an annual rate of about two and a half are sent in early 2012 to less than one percent in february of this year. this rate is well below the two percent long run objective. many advanced economies are observing a similar softness in inflation. to some extent the low rate of inflation seems to to influences likely to be temporary. and including a deceleration in consumer energy prices and outright declines in import prices in recent quarters. longer run inflation expectations have remained remarkably steady.

effectcipate it is the -- as the effect of transitory factors subside and labor market and inflation, will gradually move back towards two percent. in sum, the central tendency of participant projections for the unemployment rate at the end of 2016 is 5.2 to 5.6 resent. for inflation the central tendency is 1.7% to two percent. to become acast was reality, the economy would be approaching what my colleagues and i view as maximum employment and price stability for the irst time in nearly a decade. find the baseline outlook quite .ossible

if the economy obediently followed our forecast, the jobs of central bankers would be a lot easier. their speeches would be a lot shorter. the economy is not often so compliant. i will ask your indulgence for a few more minutes. course of the economy is uncertain, monetary policy makers need to carefully watch for signs it is diverting from the baseline out of it and and respondutlook in a systematic way. let me turn first to monitoring and discuss re-questions i believe are likely to loom large in the assessment of where we are in the past to maximum employment and price stability. the first question concerns the extent of slack in the labor market.

the fomc's objectives is to promote a return to maximum employment. aretly what conditions consistent with maximum employment can be difficult to assess. in the recovery and to this day, there is little question the economy has remained far from maximum employment. measuring difficulties were not our focus. as the attainment of our maximum draws nearer, it will be necessary for the fomc to form a more nuanced judgment about when the recovery of the labor market will be materially complete. as the fomc statement on long-term goals and policy strategy emphasizes, these judgments are inherently uncertain and must be based on a wide range of fact are's.

-- of factors. i will refer to the short-term as labor markets slack. there are a number of different indicators of this black -- slack. probably the best single indicator is the unemployment rate. at 6.7%, it's slightly more than one percentage point above the 5.2 two 5.6% tendency of the committee's projection for a long run normal unemployment rate. the shortfall remained significant. it will take more than two years to close. suggests there may be more slack in labor markets than indicated by the unemployment ate. for example, the share of the workforce working part-time but would prefer to work full time

remains quite high by historical standards. the share ofile workers in the labor force who ed and have been looking for employment for six months has fallen from its peak in 2010, it remains as high as in a time prior to the great recession. there is ongoing debate about why long-term unemployment remains so high and the degree to which it might the client in a more robust economy. were fully in a recent speech i believe long-term unemployment might appreciably if economic conditions were stronger. the low-level of labor force participation may also signal an additional slack that does not -- is not reflected in the unemployment rate. participation would be expected

to fall because of the aging of the population, but the declines deepens in the recovery. although economists differ for what share of those currently outside the labor market might join or rejoined the labor force in a stronger economy, my own view is that some portion of the decline in participation likely reflects labor market slack. looked economists also to wage pressures signaling a tightening labor market. at present wage gains continue historically a slow pace in this recovery with few signs of a broad-based acceleration. -- is theent of slack extent of slack diminishes, the fomc needs to monitor these and other indicators closely to judge how much slack remains and

therefore how accommodative monetary policy should be. a second question likely to our assessmentin of recovery is whether inflation is moving back to the two percent long run objective as envisioned in our baseline outlook. as the most recent fomc statement emphasizes, inflation persistently below two percent could pose risks to economic performance. avoidmc strives to inflation slipping too far below because the low and economices developments could more easily push the economy into deflation. evidenceed historical of deflation shows that once it starts, deflation can become entrenched and associated with

weak economic performance. a persistent bout of very low inflation carries other risks as well. ratethe federal funds currently near its lower limit, lower inflation translates to a higher real value for the limiting the rate, capacity of monetary policy to support the economy. with long-term expectations anchored near two percent, persistent inflation well below the expected value increases the real burden of debt for households and firms, which may put a drag on economic activity. twoll mention considerations that will be important in assessing whether inflation is likely to move back to two percent as the economy recovers.

first, we anticipate as labor , it willack diminishes exert less of a drag on inflation. during the recovery, very high levels of slack have seemingly not generated strong pressure on inflation. second, our baseline projection rest on the view that inflation expectations will remain well near two percent and provide a natural pullback to that level. but the strength of that whole and the unprepped -- of the po ull an unprecedented levels we continue to face is something we must continue to assess. inflation could also threaten to

rise substantially above two percent. at present i rate the chances of this happening as significantly below the chances of inflation persisting below must always but we be prepared to respond to such unexpected outcomes, which leads to my third question. myriad factors continuously buffett economy so the committee whatalways be asking factors may be pushing the recovery off track. for example, over the nearly five years of the recovery, the economy has been affected by the greater than expected fiscal drag in the united states and by spillovers from the sovereign debt banking crises of some euro area countries. changedline outlook has as we learn about the degree of

structural damage brought about by the crisis and subsequent healing. let me offer an example of how these issues shape policy. outlookrs ago the appeared fairly bright. the lending programs implemented at the height of the crisis has been largely wound down. they were soon to complete the first large-scale asset purchase program. private sector forecasters polled in the april 2010 blue chip survey were predicting the unemployment rate would fall steadily to 8.6% in the final quarter of 2011. this forecast roof quite accurate. the unemployment rate averaged 8.6% in the fourth quarter of 2011. this was not the whole story.

they expect the fomc to soon begin raising the funds rate. with the fomc expressing concerns about softening in inflation, the fund rate had fallen to 0.8% and by october the forecasters expected the rate would range from zero to 25 basis point throughout 2011, as turned out to be the case. not only did expectations of .olicy tightening reseed

plus, while it was roughly as -- 2010,in early 20, this came about i providing a more significant accommodation then anticipated. the followingted year. 2011, lou chip forecasters expected unemployment to fall to 7.9% by the fourth quarter of 2012. with the fomc expected to have rate byraised the mid-2012.

this was associated with thanderably more anticipated. in response to signs of slowing economic activity, in august of what the 11 the fomc expressed -- august of 2011 the fomc expressed it forward guidance, stating it would warrant exceptionally low levels for the federal funds rate at 2013. through mid- the following month, the committee added to accommodation by adopting a balance sheet policy known as maturity extension program. thus in 2011 and in 2012, the unemployment rate actually declined by about as much as had been forecasted the previous year, but only after unexpected weakness prompted additional accommodative steps by the federal reserve. i believe the

fomc decision to respond to signs of weakness with significant additional accommodation played an important role in helping to keep the projected labor market recovery on track. these episodes illustrate what i vitalbed earlier as a aspect of effective monetary policymaking. monitoring the economy for signs int events are unfolding different manners than expected and adjust response in a systematic manner. now i will turn from the task to monitoring to the policy response. fundamental to modern thinking on central banking is the idea that monetary policy is more affect of when the public better understand and anticipate how the central bank will respond to evolving economic conditions.

importancey, its with the central bank to make clear how it will adjust its stance in response to unforeseen economic developments in a manner that reduces or blunts potentially harmful consequences. andhe public understands expects policymakers to behave in this systematically stabilizing manner, it will tend to respond less to such developments. they will have an effect that operates through private expectations. it makes the fund rate uncertain. changingding to

circumstances, policy can be most effective at reducing uncertainty about the course of inflation and employment. recall how this worked during the couple of decades before the crisis. a time sometimes known as the great moderation. the fomc main policy tool, the federal funds rate, was well above zero, leaving ample scope to respond to the shock that buffeted the economy during that time. many studies confirmed the appropriate response of policy to those shocks could be described as a fair degree of .ccuracy or a simple rule the rule provides one such .ormula

should blood they those shocks has remained central during policymaking during this recovery. the application of this idea has been more challenging. with the federal funds rate paid and to near zero, the fomc has woen forced to rely on to less familiar policy tools. the first being forward guidance of the funds rate and the second being large-scale asset purchases. time-tested guidelines for how the tools should be adjusted in response to changes in the outlook. as the episodes recounted earlier illustrate, the fomc has continued to try to adjust its policy tools in a systematic manner in response to new information about the economy.

andbecause both the tools economic conditions have been also been, it has critical that the fomc communicate how it expects to deploy its tools in response to material changes and the outlook. let me review some important elements in the evolution of fomc communication framework. when the fomc initially began tools,ts unconventional policy communication was relatively simple. eight, the, 2000 and fomc said it expected the conditions would warrant keeping the federal funds rate near zero for some time. this time before the liftoff in the federal funds rate was described in increasingly

specific and as it turned out longer times over -- longer periods overtime. late 2014 and to then mid-20's 15. the six calendar-based guidance had the virtue of simplicity, but it lacked the overall communication that would signal how and why this policy and forward guidance might change as developments unfolded. extentearned about the ,f the need for accommodation more recently the federal reserve and other central banks around the world have sought to incorporate this automatic stabilizing feature in their

communications. committee formulated its forward guidance, stating it anticipated the federal funds zero atld remain near least as long as the unemployment rate remains above six and a half percent. one and twotween projected to be over half a percentage point above the age at -- the objective, and it continued to be well anchored. public, itted to the could count on a near zero funds until recovery had been , however long that might take. the unemployment rate was reported to be seven point eight

percent. the six and a half percent threshold would not be reached for another two and a half years, in made 2015. the committee emphasized the were not criteria triggers for raising the fund rate. chairman bernanke said any decision to remove accommodation would be based on a wide range of indicators. our communications about asset purchases have undergone a similar transformation. the initial asset purchase programs had six times in quantity limits. although they came with the proviso they might be adjusted. fall of 2012 the fomc launched its current purchase program. tying theexplicitly program to evolving economic conditions.

when the program began, the rate of purchases was 85 lien dollars per month. the committee indicated purchase -- 85 billion dollars per month, and the committee indicated the purchases would continue until there was a substantial improvement in the outlook for the labor market. based on the cumulative process towards maximum employment since initiation of the program and the improvement in the outlook for the labor market, the fomc began reducing the pace of asset , stating last december that if incoming information broadly supports the committee's ongoingion of improvement in labor market conditions and inflation moving back toward its longer-term objective, the committee will purchasesuce asset and further steps in future meetings. purchases are currently

proceeding at a pace of $55 billion per month. with my theme today however, the fomc statement purchases are not on a preset course. the fomc stands ready to reject the pace of purchases as warranted should be outlook change materially. meeting in recent march, the fomc reformulated its forward guidance for the federal funds rate. one of the main motivations for this change was that the unemployment rate might soon cross the six and a half point threshold. the new formulation is also well-suited to help the fomc explained policy objectives that may arise in response to the outlook. i should note the change in forward guidance did

not indicate a change in the committee's policy intentions but instead was made to clarify the committees thinking about policy as the economy continues to recover. the new guidance provides a general description of the framework that the fomc will apply in making decisions about the timing of liftoff. specifically in determining how long to maintain the current target range of zero to 25 basis points of the federal funds rate . the committee will assess progress, both realized and its objectivesd of maximum amp limit and two percent inflation. words, the larger the shortfall of employment or inflation from their objectives and the summer the projected progress towards those object if, the longer -- objectives,

thelonger the range for federal funds rate is likely to be maintained. this approach underscores continuing commitment of the fomc to maintain the appropriate degree of accommodation to support the recovery. guidance also reaffirms the fomc view that decisions should not be based on any one indicator but that it will take into account a wide range of information on the labor market, inflation, and financial developments. along with this general framework, the fomc provided an assessment of what the framework the path ofes for policy under our baseline outlook. at present the committee indicates that economic and financial conditions will likely weren't maintaining the current range for the federal funds rate

for a considerable time after the asset purchase program if projectedally inflation continues to run below the committees two percent goal andn go all -- provide that expectations remain well anchored. finally, the committee began explaining more fully how policy after liftoff, indicating expectation that economic conditions may for some time warrant keeping short-term interest rates below levels the as likely to be normal for the long run. fomc cited different reasons for this view but many involve effects of the financial crisis and the possibility that the productive capacity of the

economy will grow more slowly, at least for a time, than it did on average before the crisis. the expectation that the achievement of our economic object is will likely require low interest rates for some time is not confined to the united acrossbut is shared economies. evidence gain further about how the economy is operating in the week of the crisis and ensuing recession. the policy i have described reflects commitment to respond to unforeseen economic developments in order to promote a return to maximum employment in the context of rice stability.

news that aelcome return to these conditions have thelly appeared in medium-term outlook of many forecasters, but it will be much better news when this objective is reached. my colleagues on the fim -- fomc and i will stay focused on doing their part to support this goal. thank you. [applause] >> thank you very much. a question conduct and answer session. the senior director of strategy at goldman sachs and marty , chairman of the club. the first question is yours. >> inc. you again on behalf of

everyone here for your decision to give this important presentation today in new york. -- thank you again on behalf of everyone here for your decision give this important presentation today in new york. take you for that. i would like to go back to the problem you discussed earlier, and that is the vexing and long-lasting nature of unemployment in the united states allowing the financial crisis -- following the financial crisis. we see beneath the financial data, which is improving, there is a wide dispersion in labor market performance. the differences by geography in what some cities and some states are doing far better than others and also a very dramatic difference by education. much depends on how much educational and vocational training a worker may have.

what is the role of the federal reserve in addressing these of unemployment? what other government policies might be helpful, and what other by the actions might be helpful -- private actions might be helpful in getting an employment i don't to more comfortable levels? >> thank you. down to more comfortable levels? >> thank you. you are right that the recovery in the labor market has been exceptionally slow. crisis i think left us with a lot of headwinds that the economy has been to overcome, so we have indeed had a ,isappointingly slow recovery and our consistent expectations for a pickup in growth have been dashed over a number of years,

and the labor market is behaving in some perplexing ways and showing patterns that are novel. i agree with the points you mentioned, and i mentioned some in my own remarks. part-time employment that is y is a remarkably high compared to any past recovery. the length of unemployment is higher than we have seen it during the postwar period. participation has declined a lot. for our part you ask what role the federal reserve can play, and it is as i emphasized to continue to use monetary policy and to adjust it changing economic

circumstances as we have over all these years during the recovery to foster healing of the labor market, a return to so-called full employment. think that's the best contribution we can make. i think we are seeing meaningful progress, although clearly the goal has not been achieved at his point. you ask me what role the public and private sector can play. think we all know there are problems in the labor market that run deeper than merely a weak economy. they are not just cyclical problems. we have seen a rise in inequality and pressure on wages at the middle and the low income gapsrum rising and skill in wages at least going back to the mid-1980's.

a economist debate exactly what are of those unsettling labor market trends, and there are a lot of ideas put by the trends in the global economy and institutional changes. what could be done is greater training and education and clearly there is a great deal the public can do and also i see state and local governments and private individuals obviously in making their own decisions about training are responding to those differentials in ways that will be helpful over time.