this is really kind of a lonely where i look back and say this is the chance where virgin markets finally got their opportunity to be like bigger players much bigger ours around the world and with that brick by brick five countries saying they're ready to help the i am by will prices so what will their voices need. for it since it is fun fortunately regrettably still have the earth a little doubt about it so why then is the u.s. boycotting a conference at the united nations on that in this issue. or just really. easy to see if we are disagreeing right. he's got ninety nine problems but any one will speak with this hip hop artist about economic and racial inequality and just how

inconvenient is his ball fare card really. good evening it's thursday september twenty second seven pm here in washington d.c. i'm lauren lyster and you're watching our team now on a day where we saw financial markets tank with global growth expected to stall the eurozone crisis hang in the balance the major emerging nations today brazil russia india china and south africa and ironic twist talks about coming to the rescue of the developed world the brics said they are considering giving money to the i international monetary fund to help with the eurozone crisis finance ministers of the brics nations met in washington today as the i.m.f. meetings are underway and our two lives well look at what this could all mean. less

than a decade ago clear economic world powers are spending is still growing our share their spurs expected her economy will contain. over the coming year but today's signs the power scale is tipping toward the bricks that is brazil russia india china and south africa the remarkable aspect of this is that these were of course former colonies of the european nations that are now stepping up and saying we may be able to help. the colonizers not. last and that the united states again the g seven led the world's economy but with the value of the dollar shrinking china trillions of our dad and a stubborn global recession the country's one of the last may now be coming to the rescue it's a concept economists even sedate you find absurd why would be. middle income countries. pretty poor actually. come to rescue

some of the richest countries in the world bric finance ministers came together today for a meeting at the ensor national monetary fund on the agenda rescuing the eurozone we are in a position to establish greater solidarity amongst ourselves we decided therefore to step up solidarity among brakes russia's deputy finance minister says the countries haven't yet committed to bailing out the eurozone by buying euro bonds these plan does not exist yet we. already what we're going to do is to work through armor. we must have a greater integration amongst ourselves the brics does this union signify the rise of emerging economies and the demise of the us and europe this is really kind of a boom and where you might look back and say this is the chance where emerging markets

finally got their opportunity to become much bigger players and much bigger powers around the world perhaps the. magnitude of brics power can be seen and their numbers the four countries account for forty percent of the world's population and more than a quarter of the planet's land and the recently released report estimates that combined ranks g.d.p. will surpass that of the united states and two thousand and fifteen and while the emerging economies are growing the u.s. and the eurozone are shrinking they're making a mess and that mess is spreading to the world economy and so they think you will will help you clean up your mess and while some question the feasibility of the group rescuing bigger ozone bricks once consider the economic underdogs seems to be gaining respects on the world stage from washington liz wahl r.t. and here now to talk about what this all could mean for the brics is pepe escobar

correspondent at ages five type have a fear is good to see good of rio ok so why would the brics want to help with a bailout for the euro zone no it's more complicated than that. last week the brazilian finance minister google months ago he launched that bomb shell we're going to discuss today in washington how we're going to help european solve the situation put effect what the brics want is more participation at the i.m.f. so some numbers are essential europe is still the largest economy in the world the real twenty four percent of global g.d.p. in the brics they are at twenty one percent and reiss. but in terms of the i.m.f. quotes two pricks have eleven percent and western europe have slowly two percent so if europe once some help from the i.m.f. and if the brics have a more say and larger quotas out at the i.m.f.

you we can see for instance china brazil or india putting more money in the i.m.f. they are more stakeholders at the i.m.f. and then this the i.m.f. distributors to snelling to european countries but this is not going to happen tomorrow or even maxed year it would imply a visceral reform of the i.m.f. which is being fought by i guess what the europeans and the americans are venona it's been a western dominated institution however i think in that sense help why would the bracks want to work through the i.m.f. an order to get more authority like any institution as opposed to just going around it no because that's the problem the way the breath of war it's a system is still in place there's no other replacements there's no plan b. terms of economic help and that leads us to the second bric strategy which is they want the reform of the whole world financial infrastructure and that means among

other sings a freer climate for investment china they want to invest in the u.s. they can't first of all because of american protection is one second because the republican party would start calling for a nato airstrikes and turn of the next morning but last week effective two weeks ago i'm sorry at the world economic forum valient in china advisor to the chinese central bank he spelled out what the chinese want he said on the record we want to buy shares in intel boy and apple. so you can imagine this happen united states and the chinese i remember when that to buy wanted to buy if you were american. ports were added three four years ago so it's out of the question brazil from europe brazil wants to export more caught it is to europe it's impossible because the european union's extreme protection is they you know pals in the european union believe better than most of south america and africa and asia so if you don't if

the whole system doesn't change is impossible even if you try to help in fact that china has been buying urals for years now they are diversifying their people like. they're holding three point two three and dollars so now they have eight hundred billion in europe but still is not enough for europe brazil is also diversify its reserves as well so if you by your rules loans what's going to happen suppose if greece defaults then you don't even make a profit well that's one thing i wanted to ask you again is country the bracks fire out of the sex of on rank very high end terms of having a most foreign reserves of nations on a glow so certainly they have a cast but you're saying something that one of my earlier guests pointed to which is the return on the investment for there might not be any return on investment would that be impliedly would that be the price the bricks are willing to pay to

have more political influence with i.m.f. you know out let's let's wait for a few weeks because one of the key problems at european prize there's no political will you don't expect such cuisine cameron noriko or booga booga berlusconi to sort this present same possible do you only this is what of me discussing with my european context your only solution would be. less national eagle is from specially to north and european countries and a real european central bank in a real era paean financial system where the best of each country would be and european debt so all busy you would have a central bank that will help the periphery like the p.t. the so-called pigs right but this is not what's happened look at what's germany saying we're not going to bail out anybody anymore well and

a lot of our people had lost like six retail elections recently though it's getting more politically difficult for her to get sappy and second so that's my point there's no pull it unified political will and you'll have your opinion leaders with enough expertise and charisma to convince the europeans look if you want the european union project and european unified. monetary system to succeed this mean second fastest for everybody but that's not the kids and it won't be anytime soon oh i really think it's going to happen here. look the bricks like a what to do don't think of the prisoner finance minister said today it's very important he said that we are more or less organizing our strategies this is what he said today at the i.m.f. which means they're going to press for internal changes at the i.m.f. and they going to say that europeans look we cannot buy your rotten euro zone but letters infest in your country is in your interest let's see the european response

i doubt it's going to be positive ok let me ask you guess you doubt it's going to be positive you don't see that happening when i have been covering i covered this meeting last year when when the same argument ments were being made that the world is changing and that the i.m.f. needs to better reflect the fact that developed nations western economies are not rising anymore and are saddled in debt and brics nations are rising it was the same issues that came up at a actual conference that without the original bretton woods establishment that george soros is thanks think tank held in spring so when are we going to see that actually happen in these institutions like the i.m.f. if there is a crush the big one which will evolve europe and the problem is if there is some economists are saying that the big one the around the corner they're seeing that

knowledge single worst in two thousand and eight can you believe that i can't as i've heard a lot i've heard it a lot do you think that that crash could happen october seventeenth when i. need the cash to not disrespect that they will default but there is defect default you think you are going to get all. look if the germans don't give them three hundred million dollars dutiful it's simple as that french banks look it up a little because french banks are practically insolvent what it means and so i was going to look to an important point make you have another minute here yet so only the rich like indonesia certain cells korea argentina discourtesy are allowed to in first in your war they are currently allowed to this could change as well just leave more jobs for europe because europe oh it's a it's a dome courtroom it's we look we have no money we're in bed and we're losing jobs and there's no way to recover well we'll see what happens with this brick summit

and we'll see if that october seventeenth date becomes the tipping point where we actually do see the shift in these institutions for the developing nations that we're talking about right now that with asia times correspondent pepe escobar thank you so much. they can. now also on the world stage today the sixty sixth annual united nations general assembly continues the durban three is an anti-racism conference going on at the u.n. today however the us israel and some other countries are boycotting it because they say the anti-racist manifesto is in fact racist critics say that the durban three have an anti israel agenda the durban declaration describes palestinian suffering from israeli racism but what race issues is the u.s. struggling with at home as it ignores this conference artie's anastasio church and

i looked into that. a big fat no to an anti racism need out at the un from the us and some of its friends with benefits they want to protect each other the united states because of its original sin and genocide against me. and the europeans because of their own going. to africa and asia is original sin all there is to it more skeletons in the closet maybe to bring for america's refusal to participate in a german free conference bigoted racism or hatred for jim crow type of racism it's very much racism and racism is unfortunately an regretably still alive in america about. signification between black and white is long over at poppy's technical slackly admission but often not for people in neighborhoods like this one i

definitely believe racism is alive and kicking racism is is a situation where. one individual or group of people make decisions to control the destiny of another group of people based on their race commander i tried to spread the word because merchandize we live in a capitalist system all right now in order for capitalism the function you have to have haves and you have to have have nots right so thieves better have nots in a capitalist system minutely black one in six americans live below the poverty line for african-americans and latinos it's one in four black on employment it's twice that of the white population at the over sixteen and a half percent a right job applicant atrazine background that is a white x. in that it's more likely to get a callback for which all. blacks applicants wes no christian record. whatsoever the

setbacks start from early on the right rather blank looks at the future of black children in her latest play if you look at the achievement gap and a number of black children graduating from high school going on to college compared to those of white children it's it's very disparate. the dark chapter of slavery has closed the u.s. now has the first black president in its history the present remains disturbing look at what we have inside man i think we have young african black and brown subjects community colonial subject sat down in history and an obsessive kind of way fifty shots sixty starts laying on our stomach in our back even in terms of. the racial disparity in capital sentencing you know there's so much so many more black men on death row only twelve point six percent of the general population.

blacks make up nearly half of the prison population in america the way that works out globally is that nearly one out of every eight prison inmates. is an african american that is not. evidence of a. problem in the united states i don't know what. percent in some cases what lands them in jail it's actually our entrapment the nephew of elisa mcwilliams is serving twenty five years behind bars he wouldn't be she says were he not lured in by official provocateurs looking at what our government we do when no one was you know look at what this. is doing you know any want to justify. is that. i'm missing the incarceration pandemic has a ripple effects many states ban experiments from voting sometimes for life to be

one point four million or thirteen percent of black men can't vote because of these laws right if it were. you know white women with red hair. you know what if it were jewish people it's an astonishing kind of. gulags are discussed once they're history the u.s. is apparently not prepared to admit to truth here america wants to put out this piece did a good guys that did all this but neville it is going on here and we take good care well people here would actually why would they go out of sight out of mind is an approach that you want seems to be taking when it comes to racism metaphor turning an anti reeses meeting would be the simplest way to begin taking action but with domestic details too embarrassing to reveal their cause truth to turn a blind eye instead as it turns parts. now from racial struggles to

financial ones the u.s. and europe are hurting and global markets today and market volatility in august in fact was the highest since the spring of two thousand and nine growth estimates for the globe in the u.s. have been cut more and more people think the us is headed towards or is in a recession already unemployment is still nine percent and that's being conservative despite this the rich are still getting richer look at this forbes has just come out with its richest americans list and their pay is only getting higher their net worth actually i should say so there's bill gates who's number one founder of microsoft net worth of fifty nine billion number two warren buffett billionaire investor who helped out bank of america given him five million dollars cash just last month has net worth is thirty nine billion dollars now number three is larry ellison another businessman c.e.o. of oracle that worth of thirty three billion number for the infamous or famous depending on i guess or political persuasion charles koch of the koch brothers

twenty five billion dollars head of koch industries number five the other koch david koch twenty five billion dollars executive pete of koch industries now the interesting thing is that number seven we have to go to because he's a big name george soros twenty two billion dollars net worth up from fourteen. last year so he made quite a lot of money on what he did but the interesting thing is that all of those guys except for warren buffett who is network is a little lower than last year their net worth is all higher this year and it's not just the richest of the rich executive c.e.o. pay in two thousand and ten for example increase the median went up twenty seven percent according to a usa today analysis and then there's this floor of the five richest counties in the country according to the census data that just came out are in the d.c. area right around the nation's capital four out of the five meanwhile statistics have gotten worse across the board for middle class americans so for more earlier i

spoke with the new trick of beingness economics blogger and r t contributor and i asked him to connect the dots to see if he saw any connection between the richest counties being near the nation's capital and that c.e.o. pay and the net worth of the richest in his country is just going up here's what he said. anecdotally i'd say just i've tried to find apartments both in the c.n.n. new york and i would tell you that in d.c. the property market is much tighter that may have to do with the fact that the government has become increasingly important in terms of spending on things like that so i think it's an insurance is a great you bring up i think there is a connection between government spending and. wealthy districts around the d.c. area that makes sense but what i'm getting at is you have d.c. government contractors that maybe benefit in the d.c. area from government coffers you have corporations that you could argue have benefited from fed policy of cheap money made banks you know their c.e.o.'s that have benefited from bailouts is the trend that the people that are making now well are benefiting from government coffers and programs and policies well some people

are for sure i mean you definitely have you know contractors for example the u.s. is building up to one hundred million dollar base or prison in afghanistan so obviously contractors that build prisons are benefit from that of people and in military contracts are going to benefit banks are going to benefit from policies from quantitative easing from government fiscal stimulus things like that but there are certain people are are thrown in that pile where they shouldn't be and i think that's part of the problem we're hearing rather rhetoric about raising taxes on the rich because i think that that's a very broad term rich it has to be you know has to be specified yes there are people who certainly do benefit in this system there are certainly people who do benefit it seems to be the people that are that are doing and that as the middle class are not i want to follow up on on the idea of bank bailouts because some people the ratings agencies seem to think that that era is over we saw a number of u.s. banks get downgraded for that reason new d.c.

downgraded bank of america wells fargo. and somebody else they believe that it's because u.s. bailouts are not going to happen anymore do you buy that i don't know i'm going to sort of guy that on the show i think it's the. because they don't believe that the fed is going to try to bail out any more banks i think there's just a panic at this point because there's always a psychological effect too and there is a concern about the leverage in the con of the of the amount of leverage in the financial system and can the fed really stop at the leverage in a disorderly leveraging of the financial system and i think that's what people are responding to that's what you see for the case in french banks as an example or european banks in general that's why you had a lot of foreign central banks open up swap lines dollars swap lines to the c b which basically means that the fed and other central banks are helping these dollars to their their their european banks which are having a hard time getting funding in the markets so you're saying bailouts are

essentially still continuing yeah yeah i think the central banks are trying to bail out the banking sector as best they can and the i think that if there is anything the concern is that they can't it's not that they're not going through it's that there's only so much you can do ok speaking as there is only so much that you can do as you're arguing and as a result we've seen banks barracks that are believed to have a lot of exposure to for example greek debt downgrade we saw the ratings agencies grade two large french banks incidentally american banks are exposed to different banks we saw that just today zero hedge posted a quarterly report from morgan stanley a big u.s. bank showing that their liability for french bank debt is sixty percent more then their market cap sixteen percent more than their entire value of their company what happens to us banks if french banks go under well i think the concern is that there are certain banks in the u.s.

that are more exposed than others and i think those would be targeted in a perverse sense one of the benefits of having a european bank collapse for certain institutions around the world is that they may see capital flight so you may get actually deposits from french banks or other social investors that are in europe moving to certain. american banks it depends which banks are most exposed which banks are most leverage we've had a lot of play on like bank of america i would say in the u.s. and other banks so it's true you said about morgan stanley and their quarterly report and the stock is down today i think was about six percent but does it go down if a big french bank goes down if they have counterparty exposure to the point that it's going to affect their leverage ratio then yes absolutely. but again the thing with these banks and the thing with with counterparty risk and leverage ratios is that there is so much exposure and there's so much hedging that goes on in the river this market that's supposed to protect these banks from possible devaluations or be leveraging that no one really knows no one's fully confident so when a bank run ensues leverage is the is the pancake effect so watch out.

economic blogger n r t contributor now as we just saw the rich are getting richer and america but the poor and everyone else are struggling a record proportion of the population are on food stamps one in seven and my next guest rapped about it take a look. and see. i'm . just going right. just right and now in our new york studio is that the hip hop artist himself mr e.v.t. and money main thanks guys for being on the show thank you and those thank you all right so for everybody that doesn't know cars are basically what used to be known

as food stamps why did you make a rap song about yours. well to be honest with you it was a parody to it but i didn't make the song to make fun of people on government assistance welfare and you know when i made the song i didn't think that it was going to blow a visit big you know like this much so i'm overwhelmed by it well what are you trying to say about government assistance well basically what i'm trying to say about a government system is like one outcome there's one problem i have is like how come can we only get cold food in that hot food and food stamps isn't hot and cold for the same thing and some people feel like we should be able to get other necessities like you know toilet paper to russia you know. this is this really you need is this going my job i mean just goes along video was a little joke a little for but at the end of the am still talking about something that we should

be able to get with before is there's what how long have you been on please answer why are you on. be honest i'm not on food stamps at the moment so i rap and about i might if you get more of that over not even on a oh well i was on i was on food stamps but i'm on food stands in the notice that it's just it's been on. speaker boehner. foods this is something is in our generation you know. we. and a lot of people need a lot of people need government assistance you know sorry to say like that but it's true no it's true and a record number of people are on food stamps a record number of people are on government assistance just i'm curious if you think this is how you left and on and on or if you see it as like a racial and class phenomenon. so you see that that's the thing

a lot of people think the minority is the one abusing when really only thirty percent of black people was on even see you know the other reason as different as different nationalities different races you knows and i just let you would have someone in you know also called jesus on it so right i'm just we're almost out of time but i was hoping maybe you guys could do a little rap for me on the show and you got a little e.v.t. something. ok so i'll let us all read will verse from it for you ok let's hear it. ready yeah right we've got we've got a couple now and they're about like fifteen seconds ok i got you man i love my event it's it be caught i'm never going hungry i am swiping oh the sandwiches chips a big ordeal cereal cakes but i couldn't buy for you and man i was on the bus and we were my ear.