>> welcome to the journal -- the "journal," coming to you live from berlin. coming up, time is running out for democrats and republicans as washington heads towards its first shutdown in 17 years. >> she won the election, but can she form of government? -- a government? >> and the intriguing film that takes us back a century into history and explores the meaning of home.

america is facing the threat of a government shutdown that would keep federal workers at home and affect millions of people dependent on federal services and payments. >> there does not seem to be all that much hope right now. we will have more on that from our correspondent in just a moment. >> u.s. government offices not considered as essential to national security might be going dark in just about nine hours. >> deadlock in the u.s. capital of washington. neither party shows any sign of giving ground ahead of a looming government shutdown. most americans say they are tired of the political quarreling. 800,000 government jobs are on the line. >> we are here. a lot of us live paycheck to paycheck. we are concerned about it. what can you do?

>> it is really scary. i am sorry for the federal worker to be penalized by people who cannot make up their minds in congress. >> publicans say they will not sign off on a spending bill unless -- republicans say they will not sign off on a spending bill unless democrats agreed to delay obama's health-care bill for another year. >> the economy is not growing. one of the issues standing in the way is obamacare. >> republicans fear small and midsized companies won't be able to afford health care benefits guaranteed under obama's nationwide insurance program. democrats say a delay is not up for discussion. the political battle threatens to shut down the government in the near term. in mid-october, tongass must raise -- congress must vote to raise the debt limit. failure to raise the debt ceiling would force the united states to default on its payment obligations.

>> the clock is ticking. let's go live to washington and our correspondent. is there any chance at all that congress could pull a rabbit out of a hat and avoid a shutdown? >> absolutely, theoretically at least. technically speaking, it is no problem whatsoever. the house would just have to pass a clean spending bill and send it to the senate. what is probably going to happen is the house will try to pass another bill, attach something regarding what is widely known as obamacare, officially called the affordable care act. that is the thorn in the side of th republicans. that is what they are trying to get rid of or delay it. and to see how the senate reacts to that. it is always a question of boarding. -- of wording. if there is some kind of wording that could hurt senate

democrats, they could pass it. >> what are the consequences? what would this look like? >> first, the federal agencies would sit down and divide their workforce into essential and nonessential. the essential people keep getting paid. the nonessential people have to go home, furloughed without any pay. medicare would not be affected. medicaid would be kept up. social security. police would be upheld as well. other things, for example, the national parties would shut down or the visa stations abroad. -- this could hurt your visa requests. it would also hurt the economy, but how much? that depends how long this would go on. >> thanks for that from washington. >> a lot of question marks there.

and that means plenty for the market story about in the u.s. and around the world. >> doubts about the ability of the united states to meet its financial obligations -- that is the sort of stuff that makes investors sell risky assets. stocks were sold at most exchanges on monday. american treasuries were also sold, which means the yield of risk premium on u.s. government bonds was rising. investors are concerned that these bonds might be, less reliable asset if politicians -- might become a less reliable asset if politicians fail to reach an agreement. the perspective another government failure made stock prices slump and the yield on government bonds rise. the crisis is far from being over. >> we will have an update on italy later in the show.

first, let's check out the closing numbers for you. in germany, the dax ended the day about 0.8% lower. not massive losses. similar picture on the euro stoxx 50. in new york, let's pull that number up for you. the dow currently 0.8% down, 15,133. the euro putting on some gains against the dollar. president obama has told israeli prime minister benjamin netanyahu that he will remain clear-eyed in negotiations with iran. >> netanyahu travel to washington to urge the u.s. president to keep sanctions against iran in place until iran makes " real changes -- "real changes to its nuclear program." last week, obama called irani and president hassan rouhani -- called iranian president hassan

rouhani on the phone. >> december of next year, the last american combat troops on the ground in afghanistan are due to go home. it is part of washington's plan to get out of afghanistan after more than a decade of war. >> it is not only the troops that will be going home. there is also plenty of military equipment. how the logistics play out will depend in part on cooperation from moscow, as the u.s. secures routes to remove a massive military machine. here is more. >> the u.s. military mission in afghanistan is not over yet but the end is drawing near. by february, half of the american soldiers here are to be brought home. the biggest logistical challenge for the u.s. will be transporting its military equipment back. that will cost the american taxpayers at least 5 billion euros. >> most of the shipments are

going out by plane, either directly to the united states or stopping off imports in the middle east -- stopping off in ports in the middle east. >> the original plan was to send it through karachi. pakistan's government has objected, saying they would only let some of the weapons pass through its borders. pakistanis are still smarting from the 2011 mission in which u.s. forces killed osama bin laden on pakistani soil without consulting pakistani authorities . relations between the two countries remain tense, despite massive financial support from washington. >> the u.s.-pakistan relationship is very compensated. sure, we give them some money, but they expect it because they feel like we are using a lot of their infrastructure to supply our war effort. they also feel like we have helped bring the war to them -.

>> washington has had to look for alternate routes. one possibility could be transporting equipment over afghanistan past -- afghanistan's northern border. >> one of the reasons the obama administration is trying to keep the u.s.-russia relationship intact is rice -- is because of the problem in afghanistan. >> the u.s. will have to use every means possible to get its equipment back home, and the clock is ticking. >> the turkish government has introduced a raft of reforms which it says will make the society more democratic, which includes lifting the ban on women wearing headscarves in public office. >> some critics say the reforms are another step away from turkey's long-standing secular principles. >> many women in turkey choose to wear headscarves. up until now, those working in

state jobs have not been allowed to do so. now, prime minister recep tayyip erdogan wants to change that policy, which has been a source of dispute between secular and islamist turks. >> we are lifting the ban on women wearing headscarves. the regulation that restricts women's and men's appearances is discriminatory and a violation of the freedoms of thought and religion. >> erdogan also aims to give more rights to turkey's minorities, like these students. soon, private schools will be allowed to teach again in the kurdish language. until now, that has been banned. there is a plan to relax the 10% threshold required for political parties, including kurdish groups, to enter parliament. many kurds say the reforms do not go far enough. still, the government posta bs plans have widespread report -- the government's plans have widespread support. >> we are grateful to our prime

minister for taking this step, although i think it should have come earlier. >> it is a step towards more democracy. it will have a positive impact and lead to more improvements in human rights and freedoms. >> the eu has long pressed erdogan's government for more democratic reforms. on monday, brussels welcomed the plans. >> the critics are saying that mr. erdogan's rule has left turkey's societies more divided than ever -- turkish society more divided than ever. what do you think about these critics? are they right? are we going to see more islamic and less secular -- a more islamic and less secular turkey in the future? >> that is a concern that will be raised by the main opposition. they had been deeply suspicious of any steps to give greater religious freedoms. having said that, the reforms

have not -- won't be extended to allowing judges to wear a headscarf or prosecutors. that will be seen as a gesture to those who have expressed those concerns. but having said that, the debate over headscarves has been going on now for so long that, in many ways, the initial concerns of easing the restrictions on religion have somewhat eased in the last few years. >> what about the peace overtures to the kurds? is there anything new there? >> there have been some symbolic moves, the lifting of a ban on the use of kurdish alphabetical letters. that is seen as symbolically very important. also, the reform allowing kurds to use kurdish in private schools. that is seen as important.

there is disappointment over the fact that the anti-terror law has not been amended. that has resulted in thousands of kurdish activists languishing in jail, many of them convicted for nonviolent crimes. this is a particular area of concern for the kurds come and there has been a lot of criticism that has not been reform -- for the kurds, and theithere has been a lot of criticism that that has not been reformed. >> 10 people are thought to have lost their lives at the hands of the national socialist underground group over the span of several years. >> a key witness was called today. she claims seeing the main defendant, the other zschape, -- the main defendant, beate zschape, with her fellow gang members. >> she tells the court she saw her with the fellow gang members

and a skinhead. that man says that it is a case of mistaken identity. prosecutors say that the witness came forward only after the trial began. >> she said she did not want to draw attention to her self or t be a busy body. she was not even sure that her observations were at all significant. >> the testimony may have been a blow to zschape, who prosecutors say took part in all 10 murders. but her attorneys say it proves nothing. >> subsequent investigations by the federal prosecutor and federal police have confirmed our view. therefore, we are quite lax. -- relaxed. >> the evidence could prove explosive nonetheless. if the witness did observe what she claimed, it would strongly suggest the alleged killers and their codefendant did not act alone, but with the support of a

whole network of neo-nazi sympathizers. >> when we come back, the latest on angela merkel's efforts to form a government. >> despite her

>> thanks for staying with us. the elections just over a week ago in germany where a landslide win for angela merkel and her conservatives. but it could be months before they can form a new government. >> that is because they face a pretty tricky task of building a coalition. their former partners were the big losers. the remaining options are not that keen. >> the social democrats and the greens are both traditional opponents of merkel and the conservatives. the social democrats were thought to be the likeliest candidate, but issues like taxes could well be a sticking point. >> the conservatives came out of the election just a few votes

short of an absolute majority in the bundestag. now they plan to make their campaign promises central to any negotiations with the social democrats. these include increases -- include no tax increases. >> they are damaging and unnecessary. that is why we oppose them. as is the position that everyone has once again agreed upon today -- this is the position that everyone has once again agreed upon today. >> but the spd leadership says there should be no restriction on talks. the party leader has told her party to hold off on speculating publicly on the issue. >> we need negotiations, exploratory talks. that is where these issues will need to be discussed. everything else that is being said publicly is not helpful. >> spd leaders have decided that if coalition talks succeed, the

party membership will be asked to approve the deal. that could backfire if the membership votes no. in another unusual step, german president joachim gauck that with chancellor merkel -- met with chancellor merkel to discuss the coalition-building process. >> lets you on this with our political correspondent -- let's chew on this with our political correspondent. they are quite far apart on a few issues. how likely are we to end up with a grand coalition? >> a grand coalition does appear to be the most likely scenario at this point, but it is far from being a done deal. there are a couple of important things to keep in mind. first of all, chancellor merkel's conservatives -- chancellor merkel's party are just five seats short of an absolute majority in the bundestag. that makes them particularly

strong in any negotiating position. they are unlikely to make too many compromises. we are already seeing the policy clash on the issue of taxes, which the social democrats are insisting on. it is really unlikely we will see them make too many compromises. on the other hand, we have the social democrats, who are not inclined to play second fiddle to merkel's leadership. they don't want to see themselves as a gap filler in a merkel-led government. it is not clear what is going to happen. they have already said they will put any coalition deal to the entire party membership. that could be a risky move. at the same time, you have the social democrats wanting to be in power again desperately. a are tempted by the prospect of getting to be -- they are tempted by the prospect of getting back into government and they would like to influence the country's destiny. >> it is an option, but certainly not a done deal. what about the other theoretical option, the greens?

>> i don't think that is impossible, but it seems unlikely for several reasons. first of all, the greens and the conservatives are quite at odds when it comes to policy. there are major personality clashes between the leadership of the green party and the leadership of the conservatives, particularly the conservative bavarian wing within chancellor merkel's government. they are very opposed to getting together with the greens. the greens know that if they were to join a coalition with merkel's government, it could cost them politically quite a bit. it does not seem terribly likely at this point. >> thanks for that from our parliamentary studios in berlin. well, likening the weeks of talks that lie ahead to -- some are likening the weeks of talks that lie ahead to political poker. >> the cards are shuffled. the players get ready to begin a new game.

as well as luck, they will need to accurately assess their opponent's chances to up their own odds. a common strategy is bluffing, both in poker and politics. >> my opponents do not know what cards i have. i try to make them think i have the stronger hand. that may or may not be true. it is a gamble with political parallels. >> spd leader sigmar gabriel is a seasoned player. his party is still considering whether to seek another grand coalition with the conservatives. the party will vote on it. gabriel insists they will deal equally well with any outcome. >> we are not afraid of being the opposition, and we are not afraid of being part of the government if that works out. neither are we afraid of new elections if talks fail. >> gabriel is well aware that

new elections could backfire for the spd, but their show of strength and unity is likely to put pressure on the conservatives, upping the st akes. >> the trick is that neither party knows how far the other side is prepared to go. that's the definition of taking a gamble. >> the main bone of contention between the two parties is tax policy. the spd wants tax hikes for top earners. the conservatives do not. in the upcoming coalition talks, that could prove to be a dealbreaker. on other issues, their policies are more compatible. they both favor higher pensions, benefits for stay-at-home parents, dual citizenship, and a minimum wage in some sectors. as the elections clear -- elections's clear victors, the conservatives can't choose. the-- can choose.

they do have to pick one, which is easier said than done. the greens are still in the game, but the parties would have to compromise on similar issues. and the greens are very busy dissecting their own problems. >> who are we? where do we stand? what are we here for? >> the party is in the process of re-examining itself, both in terms of policy and personnel. that could further complicate coalition talks with the conservatives. in poker, the winner takes all. that is where the similarities with politics end, because building a coalition involves give-and-take. >> to italy now. the former prime minister, silvio berlusconi, could be facing a revolt by lawmakers in his own party. >> sources say that some 20 senators from his own party are ready to form a breakaway group if he does not give up his bid to bring down the coalition led by prime minister enrico letta. on saturday, berlusconi ordered his five parties -- his party's

five ministers in government to resign. he is famous on the art-house movie circuit for his epic work, "heimat." >> we will be looking at the newest addition to the series by edgar reitz. at least 55 people have been killed, more than 100 wounded in a series of 11 car bombings across the iraqi capital, baghdad. most of the targets, shia- dominated neighborhoods. or has been a sharp rise in sectarian violence in recent months -- there has been a sharp rise in sectarian violence in recent months. >> unnamed intelligence officials say the strikes targeted militants in the north waziristan region. there has been no word on the identities of those killed. >> russian court has detained

the eight remaining crew members of a greenpeace protest ship for two months while they are being investigated for piracy. the 30 activists on the arctic sunrise ship were arrested earlier this month during a protest against oil drilling in the arctic. thanks to a new hit film here, germans are rediscovering the contributions made by the many thousands of their ancestors who were immigrants in the new world, from argentina to america, a century ago. >> it is the fourth installment in the hugely popular "heimat" series. at the center of his work, a small, fictitious village. >> for many people, the concept of home is something that has been lost. that is what edgar reitz once said. in this film, he takes us within search of it -- he takes us on a search for it. it is a protected search.

scenes are slow. the film clocks in at almost four hours. "home from home" takes the long view. the scenes may be mostly black and white, but the film is alive with color. instead of a studio, it was filmed in a real village near frankfurt. reitz turned reality into fiction, renaming the village schabbach and rewinding the clock to the 1840's. the son of a poor blacksmith, a voracious reader, who envelops himself in a better world away from poverty. >> i am telling a story, and i look for the right setting for the story itself and the right atmosphere. that is why it is not really a film about the 19th century. rather, a film about human nature and how it. -- how it works.

>> now 80, reitz -- now 80, reit reitz believes that home is afeeling -- a feeling, a longing. he wants to make a new life for himself in brazil and never return. where is home? where we come from or where we are going? "home from home -- chronicle of a vision" patiently explores that question. >> it certainly is one for our time as well. >> a fascinating film. thanks for watching. we will be back in half an hour with more news. bye-bye. captioned by the national captioning institute --www.ncicap.org--

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