and broadcasting live direct from our studios in central moscow this is r.t. thomas glad to have you with us the e.u. may soon be getting an upgrade which critics say could put it on the road to becoming a single country under the premise of fighting the euro debt crisis the blocks to dominant members germany and france have said they will push for closer economic integration with deficit rules between written into member states constitutions investors didn't take the news well with u.s. markets closing in the red over fears of euro zone viability and new figures showing economic growth in the region had almost ground to a halt even before last week's turmoil daniel bushell is in brussels for us. the key decision is they have announced a single united eurozone government they also announced a corporation tax to unite the corporation taxes of germany and france so we're moving slowly towards a fiscal union which is what many had predicted but of course there's one small

problem which is the people of europe have been. because the the president of france faces an election next year where he's already trailing behind his rivals and suspected this may make him even more unpopular because the people of europe between polls in opinion polls they say that they don't it won't close the european integration angela merkel the chancellor of germany says they showed great courage to do this but they dismissed the use of your abortions which many have said would be the solution agreed eventually they said that you are not a miracle they're not a cure and france and germany won't guarantee other countries that so they refused to bail out the rising problems in countries like italy and spain they also denounce the rumors and speculation and said they'd fight against this the rumors that they say are trying to bring down the euro so there will be

a single government they'll elect the president be very official attacks on financial transactions was also announced. that the purpose was to home annoys economies and taxes across europe so a very wide ranging proposals on offer here today. dr raymond shares zada professor of business and international affairs at the george washington university says the decisions taken at the meeting reflect only the political aspirations of german and french leaders and not market demands. unfortunately this is not going to make much difference for the ongoing crisis all the news that came out of this press conference was quite negative for the market the most negative i believe was the fact that it was announced that the european fund a full stabilisation facility that bailout fund for the european eurozone members will not be expanded and they believe it's enough as it is for the moment the

second thing there's no common euro bond that was going to be issued and there was very clear about this when the markets were not expecting this other bad news for the market was that taxation is going to go up especially in terms of corporate taxation where harmonization and then down the road they also want countries to have a balanced budget so the european leaders unfortunately have done it again they haven't really addressed the markets needs for clear concise action but what they are doing instead is looking at the long term political solution to this dilemma that they have it doesn't seem as they understand the markets seriousness about what's going on no one is asking the taxpayers to pay another bailout instead they're using the european central bank as a mechanism to buy the bonds for italy and spain for what most europeans don't understand is down the road when the greeks cannot pay their money back it will be the taxpayers from germany and france that will end up paying for these bonds down

the road the bad news is that we're not going to see any growth and i think everybody understands that and with that joblessness will not get any better and not any time soon. and later in the program we take a closer look at one of the worst hit countries of the european financial crisis as clouds gather over spain many are going prepared to swallow a bitter pill to cure the economic ills of the credit crisis. and taking military might to a new level we'll look at what lies behind china's move to revamp its massive war machine. the world's high flyers are soaring to new heights in the moscow region where the international air show has taken off max two thousand and eleven presents cutting edge technology for both civilian travelers and air force bases while top gun pilots test the planes to their limits with spectacular aerobatic displace testers are silly goes airside for r.t.

. well it's been a very eventful day here the first day of the max two thousand and eleven we've seen some pretty impressive individual shows of some of the aircraft here we saw of us who are thirty we also saw a modified version of the savoy twenty seven as well as the f. fifteen of the u.s. air force again very impressive performances and one interesting one was the airbus a three eighty which is the largest commercial aircraft out on the market right now flying in the sky like it was a small plane that was interesting to see but again it marks two thousand and eleven that's what it is here for it's basically for these companies to showcase their latest innovation their latest technology what their aircraft are capable love and as far as the russian the participation here is concerned there is one model that's really highly anticipated a lot of build up towards it that's the savoy fifty now this is a russian made fifth generation military aircraft and it's the first of its kind that is made as far as russia is concerned also the first at the country has done

a produced in the last twenty years now the only other fifth generation a military aircraft out there is the f. twenty two raptor which belongs to the u.s. air force and now we're talking fifth generation we're talking about faster more efficient aircraft as well as those with better stealth capability so that's something to look out for this is the first time they will be unveiling it to the public it's made its maiden flight already but again unveiling to the public so interesting to see how it will fly in the sky but it's not just military of course we have some a commercial aircraft here we've seen some of the bigger commercial aircraft in the market of course the boeing dreamliner the airbus a three eighty i mentioned earlier and of course a so why superjet have people just going inside trying to find out exactly how big it is but i actually was looking for a smaller plane this plane right here the one i'm sitting in is one of those i'm not military not commercial it's called an experimental plane it's traveled a thousand kilometers to come here to russia from the united states the first time it's been out of the united states and it's actually also home built basically can

build it at home. are these tests are silly reporting for us there now stay tuned we will be at the max two thousand and eleven airshow throughout the week and of course we will bring you top class flight action as well as first hand thoughts from the captains of international aviation all here in russia to show what they can do. and as the world shows off the very latest in air combat developments at russia's mack's air show one of the most recent participants has been picking up the pace hoping to become a new world leader in the field beijing has only just finished a round of sea trials of its first ever aircraft carrier heralding a new era for china's naval fleet and as author and forbes columnist gordon chang says its neighbors should keep a close eye on developments in the communist led superpower. it said that its new aircraft carrier is for scientific research and training well of course it's not it's meant to try to intimidate countries in the region especially in the south china sea where china is claims the entire body of water as an internal chinese

lake and of course china wants to project power not only southwards but northwards towards mongolia and russia they talk about the last territories clearly beijing wants to get these territories in a later date but no country right now threatens china and that really is what is bothering the countries in the neighborhood and the united states and basically what's going on is there is a military build up which really is the big sin the past is in the world today its most recent white paper it talked about information technology and cyber war also clearly they're putting money into their navy and to their air force the only laggard really is the army the army used to get almost all the money but now clearly china wants a big air force and a big navy so that's where a lot of the money is going into as well as strategic forces in other words nuclear capable missiles well china has probably more debt than the united states you know

the chinese like to lecture washington about the dollar. is to g.d.p. ratio is at least as bad as america's it's probably almost double and when you add that hidden debt to the acknowledged dead china probably has a debt to g.d.p. ratio of about one hundred fifty to one hundred sixty percent nearly the military has become much more popular for college graduates because they have not been able really to find work in the civilian economy so the people's liberation army will do and has actually done better on recruiting in the last three years eventually it is going to really undermine chinese foreign policy because all the countries on the periphery in the south and the effects are now very very concerned the only countries that are complaining are north korea and burma. a recent report by the bureau of investigative journalists says that u.s. drone strikes in pakistan have killed at least three hundred eighty five civilians almost half of them children meanwhile estimates by washington are much lower and

as chris woods a senior reporter at the bureau says the cia is getting in the way of comprehensive research on the topic. a minimum of three hundred eighty five civilians we think and as many as seven hundred seventy five civilians are among those killed just to be clear the cia has now admitted that they have killed around fifty civilians in pakistan during the duration of the seven years of the drone war but they say they haven't killed a civilian since may of last year and our evidence suggests entirely the contrary we were hearing rumors of us officials in washington trying to cast aspersions on our study before it was even published and for example trying to link us to someone they were claiming was a spy in pakistan and also raising doubts about the validity of our research itself we went back and looked at over two thousand individual media reports from pakistani us u.k. international media looking at the strikes and then once we did actually untangled

that process and got the clearest idea of what had taken place we don't cross-reference with a host of material which included legal studies case notes of lawyers who were fighting cases on behalf of civilians in pakistan leaked intelligence documents us secret cables there were leaks point wiki leaks earlier this year and so on so we're trying to build up really as comprehensive a public view as we could of what's actually been taking place with the cia attacks despite being the fourth largest economy in europe spain is definitely living through a rough patch with a host of economic problems waiting to be solved as hopes for the country's eurozone survival fade more and more reach the conclusion that the best strategy is to simply leave the ailing currency are easy to negotiate reports from madrid. some work to live are theirs live to work the market combines the two today he and his nephew run the picture frame shop set up by hawking father almost

a century ago but the family firm is in a rough spot. my business has been struggling though it is not visible and not all areas of business at all times have been very hard. consider this unemployment at more than twenty percent one of the highest in the eurozone against your own sovereign debt ever cross their bonds and the country's problems don't stop there despite being the fourth largest the problem in europe spain is definitely feeling the bite of the credit crisis and that many ask the question is the eurozone such a great idea after all the answer may just be no the country's rating has been downgraded twice in september of last year with moody's agency threatening to do so again in the future in fact some in spain believe the best strategy in the current climate may be an exit one. this would give us a certain autonomy it would affect positively internal processes in the country the

purchasing power would give citizens access to all sorts of benefits and would have been good for the wages very well could lead to the improvement of situation in spain. a key factor here is distance while the spanish struggle with debts and unemployment their fate is largely being decided by the masters in chief in brussels. with what we're witnessing here major internal problems which you cannot solve brussels because it's outside of the e.u. competence they have neither the finances nor the labor capabilities to help spain of course many people are unhappy with the place spain takes in the european union . but hook him isn't losing hope that his country and his business will eventually climb out of the slump. it will stabilize in the end it's the small businesses like mine that will do the job because three or four people take work close to heart in

large corporations something which may only be possible if spain quits the foundering federation own and puts its own house back you know what are we going to lose carty hundred. after the two thousand and four tsunami hundreds of thousands in india lost everything they had and are still struggling to make ends meet as preassure their reports many are so desperate that they've resorted to selling the only thing they've got left their own organs. cala a room again is alone in her tiny empty apartment in chennai like many indians who struggle to make ends meet kala is constantly in debt despite selling pretty much everything she has including her own kidney and i'm not. going to group her he told me that i could sell my kidney i agreed because i was in a bad situation and my children were small we did not even have any food to eat when the two thousand and four tsunami hit the coast of south asia kala was one of

hundreds of thousands of people who lost everything in order to get back on her feet she got a loan that she was later unable to repay. we had a lot of debt i had to borrow money to buy the fishing boat the people i borrowed money from started asking me for money they said they will come home and embarrass us if we didn't pay the money desperate and vulnerable tsunami survivors soon became the perfect targets for the illegal organ trade in india it's become known as the red market every year one hundred thousand indians need organ replacements a demand that drives an illegal supply with some organs even being sold to a small percentage of desperate transplant tourists in one thousand nine hundred four the indian government hospital law meant to regulate organ donation in this country each recipient was supposed to get an organ from a donor who was in some way known to have even though each transplant was supposed to be approached by

a committee of doctors it's almost impossible for anyone to stop money transactions from happening under the table in general when a recipient finds out that he or she needs an organ donor they normally approach friends or family for a match when those options are exhausted rogue doctors or hospital staff can introduce the recipient to a broker usually a former illegal donor too who can scout nearby poor neighborhoods for someone who is willing to see. well their kidney and go under the knife really falls through by good news for the most a part of it so there's got to this the law. doctors also done a blind eye to this happening to transplants from the donor to the recipient take place in the hospital simultaneously the donor ends up making a little over a thousand dollars while the brokers can profit almost double that. i went to the broker he said he will give me fifty thousand rupees for my kidney it was supposed

to be much more but the broker cheated us the generous also frequently are robbed of their health by before i used to run around and work a lot but now i can do as much work as they used to i find it difficult even to leave the part of what i can go to work i have severe pain in my abdomen and my chest. and while horror stories of the red market are exchanged among locals those with no options left are forced to take extreme measures sacrificing their health just to stay alive preassure either party chennai india and developers have a look at some other international news for you. a french court investigates allegations that the new i.m.f. head abused her position as france's finance minister christine lagarde is accused of wrongly approving a four hundred million dollars compensation package to businessmen bernard tapie back in two thousand and eight tapi a friend to nicolas sarkozy claims that he had been defrauded by

a former state owed bank when he sold a stake in sports giant adidas miss guard denies misconduct saying she made no personal profit from the deal. i yemeni president ali abdullah saleh was vowed to return to his country that's two months after leaving for saudi arabia to be treated for injuries sustained in a shell attack on his palace compound yemen's that been torn by six months of massive street protests calling for cell a to be ousted and there are fears that his return might spark a civil war the u.s. has frequently urged president saleh to step down over concerns that a renewed conflict could encourage the yemen based wing. the syrian government siege of the port of latakia has continued into its fourth day despite demands from neighboring states that damascus stop shelling civilians and withdraw its forces from the country's towns and cities according to the u.n.

representatives of both syrian gun boats and tanks are shooting at anyone seen trying to escape so far thirty four people have been confirmed dead and house to house arrests are made by government troops the un human rights council plans an urgent meeting on the syrian crackdown but the u.s. claimed it is not going to demand president assad's resignation all it wants is to stop the violence. reporter on the scene is one of the few journalists in syria and you can read her take on the latest developments directly from our twitter feed.

and i'll be back with a summary of our main stories in just under ten minutes from now but first the classic english summer took a dark turn this year as riots and looting flared up across the country now lifts the lid on what happened and why it's our exclusive interview next.

france's teacher and author has written a book called the nation and is a frequent commentator on youth culture francis thanks for speaking to r.t. so what was your reaction to the riots and surprised i was shocked when i heard of happening in the near where i live but i was not surprised because a lot of commentators have said this sort of thing. has been waiting to

happen for a number of years now why is that. i think it's complicated i mean i suppose you could articulate a few factors firstly we have had a kind of run of disaffected socially disadvantaged. young people in all open areas. and maybe a couple of decades and they have become more honest that become angry. divisions in society you've got. and they've become less frightened of the consequences of misbehavior because actually they've been getting away with this sort of behavior for many many years what about the education system is it failing this generation i actually argue very forcefully not know that said education isn't everything as i've been hinting at you know once you've got rather

highly educated group of people who know that they're not there haven't got huge prospects then you've got perhaps even more of a problem than if they were totally uneducated we also know we have a small minority of very disaffected illiterate poor so the education system has done well and i think it's that mix it's a sort of toxic mix of the bright working class kids and. a group of people a community play perhaps very easily educated or not though surely these kids should know that violence is not the answer people brought up in a context where they have a kind of conscience perhaps you wouldn't be doing this with they do this is a one off or is the energy more to come the underlying rumbling kind of disaffection of your brewery that kind of affects all of us in the day to day level i don't think that's going to go away. for many years unless we kind of reorientate

the prospects for a lot of these young people to spread to europe do you think i don't know are i personally not i mean i say this in my your nation book. you know french italian cultures so-called have a different kind of attitude to social behavior and it doesn't seem to be so much of a problem because of the way for example a treat things like alcohol which again we have. alcohol in britain plays a huge role in the actuation of anti-social behavior and causes mass kind of problems throughout the u.k. every weekend what is it about british society then the with the means your vicious flourishes and has it always been the case i mean i argue in the book how to mean our mascot in britain used to be john ball who was this drunk fierce sort of

yeoman type character who would bash the foreignness of broad and that was a. cologne. and that's that was two hundred fifty years ago even people like david cameron were members of the thing called the bullingdon society which actually actively encourages young man to get drunk and trash property. you know the deputy prime minister. a few years ago i punch someone in mouth a reined in posting actually was celebrated for you know we have kind of as a culture an attitude to violence we've always joined in whatever was going on you know we kind of quite an aggressive adversarial culture and not. really influences things as well it permeates into every level of our society the reaction in many parts of the country from communities to launch vigilante groups clearly they're angry and they want a heavy handed response is that the answer i don't think the public are very well

educated about how and why children come to do this so for example there's a lot of discussion around how parents should be teaching their children and you know disciplining them more is so much evidence and all my experience as a teacher is that the children by their parents are the ones who are the worst behaved you know and that just doesn't come out in the kind of general conversation and sort of media reaction you know we need to be much tougher when we. no it doesn't walk in the long run ok so what should we do then if we say see thirteen year old hoody walking down the street so we give him a hug i think again if it's a much more. perhaps he should say hello to the building relationships winning community is very important this is something i've. you know quite strongly on the website are my writing you know we have very socially set very to communities and

socially segregated schools you know that if you do where you have schools where all clean she come together we have communities that actually now each other these sorts of problems are dealt with in a bit better fashion francis thanks very much thank you. wealthy british style it's a pastime to. the. markets why not. find out what's really happening to the global economy is cause a report on our. hands. closer. approach.

shaping the future like try our team takes to the max their show.

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