don't comb. the be. posting in leader mahmoud abbas his address met with a standing ovation at the u.n. following his bid for palestine statehood so i'm past negotiates negotiations between israel and palestine have failed where will this showdown we will debate. and a showdown in the west bank as clashes are met with tear gas and deadly violence we'll have a report from the israeli palestinian border. and are we i am asked as the world bank and i.m.f. meet in washington a global economic crisis possibly looms so can the i.m.f.

solve the world's problems or is it part of the problem. that evening it's friday september twenty third it's four pm here in washington d.c. i'm lauren lyster you're watching our team. while the sixty sixth annual general assembly continues at the united nations meanwhile clashes between israelis and palestinians in the west bank continue now while in new york calls dinny a leader mahmoud abbas has handed over a bid for membership to the united nations this got a massive applause and a standing ovation from delegations including egypt when abbas took the podium at the u.n. g.a. today just take a. listen thank you.

meanwhile outside our new york bureau just blocks away from the u.n. our producers could hear the chants of free palestine as agusta speech wrapped up inside the u.n. chorus now the u.s. has said it will veto abbas's move out the when if this goes to the security council and we also heard from israeli prime minister benjamin netanyahu today who tells the u.n. that kahless refused to negotiate also in the midst of this the middle east quartet peace negotiators mediators is reportedly meeting that it's across collision you could argue that's going on both inside the u.n. and outside and a saucy a church going to shows us exactly why. there are two main sources of noise in the big apple this week the traffic. and palestine's course for speed

the us news we have been building settlements creating a sixty year old but i don't know your existence and spilling the homes from through google because when you're taking control of a situation a boiling point is the privilege of those with power but even the authority of the strongest can win. because those care and will take shortcuts so loud whistles. and even standing ovation. are submitted to his excellence the mr ban ki moon and application for the admission of palestine as if one member of the united nations. palestine officially asks for recognition at the one through a security council vote ignoring america's repeated warning to veto this to say after sixty three years of suffering on going back to the and mecca enough enough enough. it is time for the palestinian people to

gain their freedom and independence the time has come obama the nobel peace prize winner for middle east experts did all he could to prevent this from happening that american power is gone as a result of football last year we come back here next year we can have an agreement that will lead to a new member of the united nations independent sovereign state of palestine living in peace with israel this year palestinian seaview were stabbed in the back he has created a sense of letdown among the palestinians the arabs even the world people of good conscience who expected obama to live up to his promises and his values and principles that are than to not own self-interest obama's explanation one year ago . i stood at this podium and i called for an independent palestine but what i also said is that

a genuine peace can only be realized between the israelis and the palestinians themselves by palestine makes the story true but the one america loses political points it's diplomacy the public feel here and its ability to control diminished and i know that many are frustrated by the lack of progress i was sure you saw in my. one of the routes for obama's motorcade always remain open with so many other players affected by the traffic created there will always be the one that gets away. and says he sure can ask our team he'll. now as all of this goes on in new york violence has broken out in the west bank reportedly over the bed in part our chief policy or has been in the midst of a conflict at the israeli palestinian border here's exactly what's been going on. i'm here is essentially a checkpoint between jerusalem and ramallah and the situation is as want to tell and dangerous as it has been throughout most of today every so often is

a sporadic outburst of violence the soldiers that are surrounding me right now and they're all dressed in full riot gear they surged forward and then the protesters behind me they respond by firing and throwing stones they didn't surge forward and the soldiers was spawned with tear gas now they have been tires burning throughout the course of the day there have been flays going up in the sky and numerous ambulances driving past and picking up injured people this certainly is not a scene that either the palestinians all these raids would have wanted the palestinians are afraid that these waves will use this example of violence at any excuse to lobby international support not to support the palestinian bid for statehood the palestinians also concerned that the israelis will intensify their presence across the west bank and indeed we are hearing reports of these way the army doing precisely that but these clashes are not limited only children myla they have spread throughout the west bank as well as in jerusalem we are now hearing reports that there were clashes in east jerusalem between israeli army and

palestinian protesters and five palestinians have been arrested there we have heard reports of one palestinian who had been killed in a village not far from the palestinian city of nablus and it that incident a fourteen year old palestinian boy was badly injured when and he's waiting on the place of vehicle drove over him and that was in eastern hebron and at the same time we are now hearing reports of two is rabies that have been killed but those reports are conflict and it's not clear at this stage whether those troops ways we killed in an accidental motor incident or whether in fact the kind of thing that goes into them did so explicitly but either way the israelis and the palestinian security forces have intensified they present and it's ironic because all of this violence is happening against the backdrop of the palestinian president mahmoud abbas as historic address to the united nations further into. reminded that he which is a far distance behind me tens of thousands of palestinians have turned out to listen to that admit they can reach

a better place but wonder with applause they were welcoming that historic moment in palestinian history but that doesn't change the facts on the ground and those facts are that there are very real violence erupting across with thank not only here in ramallah. in the clued into. now that's what's been going on now but this has been becoming more violent as the palestinians headed out to the united nations and polis lior shows us why jacob taylor has been farming land deep in the hebron hills for more than twenty years he says this land is his and he has the papers to prove it we are the only people in the world that have got a document a document that. the mission go. go go go by. but not so russia makes the same claim he insists the land has been in his family for some eight hundred years but now this is the closest he can get to

it and it's eating him up watching jacob farm it. very hard feeling. nothing in the resistance force it's not that the service says. the army will come with. us the west bank is full of people like jacob and nasser israelis and palestinians both claim claim to the same piece of land. almost weekly and scenes like this dominate the landscape and especially now as calloused indians head off to the united nations the clashes of a coming more violent it's one thing to declare a state and another to determine where its borders will be this fence cuts through your calls farm meaning that right now i am standing inside palestine and as i walk through here. i'm now in israel and for as long as the borders remain disputed israel's taking advantage and sending its citizens to settle the west bank

so it has a stronger argument not to give it up but it's storing up problems like your one and his wife yell who are now at the center of a major court battle it's not between israelis and palestinians it's a battle between israelis and israelis i've never both. you and i but both of them both unions the. fire and. tried to harm my. thirtieth. eleven years ago these weighty government not only gave you an undersea land to farm but helped him as much as it could he was the only israeli in the area at the time but now the same government that wanted him here has given half his farm to use it as it seemed in his way and believes his wife ideology is only part of the story i believe these are many segment programmers feel you can almost say that flume it's about money

making money and greed in real estate development etc whatever the reasons israel says it won't recognize a palestinian state declared at the united nations which means even if the un rules if these rocky hills are part of palestine these clashes will in hindsight be a warning of what was to follow of policy r.t. in the hipbone hills. now from diplomatic battles to financial ones with the eurozone debt crisis unresolved persistent high unemployment in the us with a country possibly headed for recession more and more believe something we're already in one and with global growth expected to stall can i and that the international monetary fund prescribe any solutions or is the very institution part of the problem well as they need today in washington paul craig roberts columnist and former reagan administration official is here to help us answer that question he's also it was former assistant of the treasury under secretary reich and thanks for being with us so my first question to you earlier this week it was interesting

because i don't know if you saw but i am which has really been a classic proscribe or of austerity came out warning against it and promoting short term stimulus do you think that we're seeing a change of tone with what i am or. well the i.m.f. changes its tone for your united states but not for anybody else but then how would you respond to great because great as part of the article and the i.m.f. has prescribe austerity for very right well you see the trouble is that the policy makers in united states and europe are in the hands of the bankers and so the bankers who don't want to lose one euro or one dollar are using the policy of europe and united states to bail themselves out and they're being bailed out regardless of the cost to the general public and the various countries or a cost to the national economies of the base countries and that's the basic problem

so as long as policymakers are focused on bailing out the banks. the rest of the economy will suffer and continue to worsen so would you argue that if greece does in fact default and if i.m.f. allowed that that would be breaking the cycle that you're talking about well it's not up to the i.m.f. if whether greece defaults we have to be very careful that the i.m.f. doesn't become the governor of these countries. and the best solution for grace would be to default. because if they default it means their loans have to be restructured to what they can pay and the banks then have to write down the losses and if the losses endangers the banks then the europeans want to buy turn its attention to what it takes to save the banks but as long as the european central bank and the g. twenty and the i.m.f.

and the federal reserve in the united states a focus on saving the banks at all cost no sensible outcome is possible i hear what you're saying i want to go back to what you said at the beginning of the interview because i just want to i kind of want to go further with that because you're saying that now the i.m.f. is changing its tune and saying austerity is a bad thing because it's europe in trouble do you mean as opposed to latin american countries or other developing nations that have been subject to i.m.f. programs in the past exactly right ok so then why are there because i'm sorry i had a situation that m.f. is a western institution that. can't subject. on countries funding to the same punishments it does to the under god so are you saying that the all terrier motive of coming out and calling not prosperity but for stimulus is what to push european countries to bail out european sovereign nations that are in crisis

and banks bailing out the banks failing on the banks when they say they're bailing out greece with they really are saying is we're bailing out the german dutch french banks who purchased three bucks and they didn't do due diligence they purchased well bonds then greece can service and we don't want them to lose any money and so we're going to do one of two things maybe both one we're going to make the greek people. who got no benefit from these ponds suffer and pay higher taxes and cut their benefits so that they can service so that the government can service instead and in addition we're going to try to get germany and other unrelated countries to the problem to call the a lot of money that we can lend to greece on top of what they extract from their

population. to pay the bank software well this this is an absurd you see what's happening is all of the social. programs all of the regulations everything that made capitalism a humane system that people could live under are being torn off and we're getting again robber baron capitalism but aren't you are you kind of describing a classic i.m.f. policy just to clarify. no because the i.m.f. has nothing whatsoever to do with the euro sovereign debt problem the i.m.f. is supposed to listen to countries who have a balance of payments problems and this is most often underdeveloped countries who can't pay for all the imports that they are bringing in country. to feed the people

and also in order to invest and develop the country so they get into a balanced payments crisis and the i have a purpose that i.m.f. is to. smooth over those crisis to fund those crisis while the countries retrench and pay off their. trade debts and so you're saying that i that the euro zone doesn't even qualify because it has emirates alteration my question to you you mentioned earlier the i.m.f. as so as a western dominated organization it always has been there have been i would say over the last year or so many people that i've interviewed that have said that that bretton woods system of which the i.m.f. is a part of and came out of that meeting post world war two is outdated does it need to be do we need to get rid of the i.m.f. at this point put replace it with something better. well and maybe the i.m.f. thinks so too because it's trying to find new roles i mean. that guy may have his

back trying to become a bailout we see it with the i.m.f. is doing is strictly against its own charter. it is not empowered to lead and for these kinds of problems it's supposed to be dealing with balance of payments. balance of payments problems so and of course the european central bank is not entitled under its charter to make loans to starborn governments but is doing so nevertheless that we have two big organizations violating their own charters in an effort to prevent my actually losing any money so you think that's where the big story is everybody is willing to break the rules to bail out the banks. that's exactly what the story is and that's what we're watching and of course it can't work because if the indebted countries can't pay the existing debt they're not going to be able to pay it if it's replaced with debt to the i.m.f.

and the world and the european central bank so the loans are not pay a bill and need to be restructured and that's the problem it's being boarded and system really avoided and the whole crisis is coming out because the european central bank and i.m.f. and the national governments involved will not face the real problem india will the real problem and the real problem is that letting people just the falls on it and letting the banks any investor is paying a price they don't need to default they can restructure them reduce them to some level that they can pay and then the european central bank can decide what is the impact on the banks who have lent the money and what kind of a do they have to do they need to be given loans to see them through the write down period that would be the way to approach it all right i

don't know if we're going to see that or we'll wait and see what comes out of this meeting i appreciate you for being honest oh that was awkward robert calling us also former reagan administration official. now i want to go back to what we were talking about earlier about palestine today for u.n. statehood and to talk about this we've got political scientist and author norman finkelstein he's in new york and president of the christian israel public action campaign richard hellman you here in washington d.c. with me now earlier gentleman we were talking about kind of the crash collisions going on diplomatically and kind of on the streets of new york during this u.n. this year i think you're to talk before i want to avoid across collisions so let's just set some ground roll that we're going to. avoid interrupting and you guys have to promise to listen to me if i want to get in ok fair enough you say you swear ok been perfect all right guys so last year richard you were being

interviewed actually on the news program around this time and that's when peace talks were going on with obama and israeli and palestinian leaders and you thought that they would fail you could argue that they did so now allison is going to do you want going to a different route what's wrong with that well no one has analyzed the underlying reasons why they failed president obama. any zeal to move the talks ahead where is the love and predecessors had been unable to do so effectively raise the bar so high that not only netanyahu government but no israeli government freely elected could say that the six hundred and fifty thousand jews who live in the areas that under the saudi or arab peace initiative are called occupied or contested that there could be no natural growth of settlements that no one could enclose a torture or a room to their home for

a new. newlywed couple or or elderly parents coming home so that bar was set so high that israel. could not accept it for more than an interim period the first ten months freeze on settlements and on the other hand the palestinian authority leaders have said we could not that is to say we couldn't let obama be more palestinian than us so that they can't come to talks without a complete freeze and it's a fact not kenya who had already killed what was left of the peace process before this it's very sad to say so but in this one the takeaway i'm hearing you say that president obama well he contributed to it but also the palestinian authority would not come and answer into negotiations in good faith without preconditions as well as they had previously done in their predecessors including chairman yasser arafat had done for many years in fact there were plans complete plans presented by prime

minister of iraq in two thousand enjoy the camp david and later under olmert as i heard barack out speak of last night olmert had a whole plan ready to go and the palestinian authority didn't accept it it was virtually one hundred percent of what i was going for he was asking well let me bring our men that's ok we can point fingers we can talk about this plan or that plan negotiations have been going on for two decades they haven't worked and there's no arm it could a u.n. resolution just help to kind of moving forward. the problem is not a new u.n. resolution the problem is that none of the old nations' resolutions the advisory opinion of the international court of justice and the consensus opinion of in the whole of humankind has been consistently ignored for the past thirty years there is no this new whatsoever there is no controversy whatsoever on the terms

result in the conflict israel has to fully withdraw to the from the territories the darky part in june one thousand nine hundred sixty seven there has to be mutual recognition between the powers the knee and state and the whole of the west bank gaza and east jerusalem on the one side and the state of israel on the other side and there has to be a just resolution of the refugee question. exactly let me just get in here because you know we're going through a lot of details but let's let's focus on just exactly what happened today should palestine be recognized as a state at the u.n. . i think that prime minister abbas the president abbas today in his speech made a very clear case for why the united nations should not fulfill its mandate and also hold international law by recognizing the post in the in state in

what is universally recognized as occupied palestinian territories and that's all of the posts in the ins are asking that the law be upheld and that is will is not given a free hand to continue occupying and expanding its settlements illegally in palestinian territory ok no i'm letting richard you're shaking your head why should i do recognize well i disagree completely but why should i think will happen analysis of what the law is because i'm not the law because they're neither should be regular sallust i first there has never been a definition of what palestine is that israel occupies one portion of what was the palestine mandate coming out of the league of nations after world war one jordan became a state and israel gave away the whole sinai and they pulled out of lebanon and

they pulled out of gaza and in each case what israel got in return was tens of thousands of rockets raining down on israel so that it was in the hands of the leaders of the palestinian authority to create a virtual equivalent of monaco or or or the riviera because it's the same sea it's the same beautiful area instead they created it with all due respect a hell hole for their own people with rockets raining on israel and one of the reasons why israel can't do this is because everything that is happening in the u.n. right now including what. boston is asking for is contrary to the security council resolution. two four two and three three eight in the oslo agreements all of which were agreed on in the past ok gentlemen what's happening here is something that so often happens when you talk to people on two sides of this issue no matter what the new news is no matter what is going on now you can never have a discussion about now because no one can answer

a straight question about now everything will fall back to a million different things you're going to be glad you already so many want to write and say is there anything that you guys can agree on i don't know that you're anything all going to agree on but i let me go to richard i do what i can say that apart from whatever prime minister netanyahu or another israeli government thinks it might be able to agree upon and no one is counting the cost that is to say if somehow the six hundred fifty thousand jews were all moved then ten percent of all the jewish israelis were moved out of where they live now with all their infrastructure but another six hundred fifty thousand or a million are moved in there's hundreds of billions of dollars of cost to united states and foreign aid and perhaps two divisions of u.s. troops they say nato troops richard so there's a vast consequences to this that nobody's looking at what what can you think of one thing you can agree with norm on well i think i could agree with norm perhaps that this whole situation to put it most kindly has been mismanaged and mistakes have

been made could you agree with that norm. thanks man. i don't think it gets us very far to find agreement on that statement and i think we go due respect to you with all due respect i think the question is wrongly posed it's not whether or not i agree with richard or richard agrees with me the point is that the position i'm stating you know is the position of all fifteen judges in the international court of justice i am not stating a extreme position every single judge in the international court of justice stated everyone that the settlements are illegal now i happen to agree with every single judge in the international court of justice richard on the other hand doesn't agree with the justices in the international court and that's the problem the problem is

the whole of international opinion in its most representative body the general suddenly in its most esteemed body the international court of justice the whole of international opinion stands on one side and israel along with its supporters like richard stand on the other side i am not telling a man we have to get in here and that's how they got to because the guy just let you get that in return he had a point one hundred twenty one hundred ninety three members that they can all assembly all recognize palestine independently why shouldn't the un well i don't want and i can only get about ten to fifteen seconds that quickly we're aware of eyes and i think the best opinion is coming out of the u.s. congress saying this is not really representative of. justice or or what is best for either israel or for the palestinian arabs and so i think we need to revisit the whole situation regardless of the court opinion and the jet.