good afternoon and happy monday welcome to capital account i'm lauren lyster here in washington d.c. and greece's prime minister has said he will step down so this means there will be no public vote for the greek bailout and this is supposed to assure creditors so are these steps necessary to manage a sovereign debt crisis or are they serving the banks interests with pressure from the u.s. to protect its own banks too and what does this all mean for italy meanwhile the burden of debt seems to be the connection between the crisis in europe and the outrage on the streets of the u.s. that we see in the form of occupy wall street and as

a new poverty gauge shows it's worse than we have fish really thought do americans have an avenue to fight back against these economic conditions speaking of fighting back u.k. prime minister david cameron got an unusual visitor a feisty one in the british parliament. you carol oh wandering in the city of london and then outlawed in the ghetto that you created from the city of london plundering we look at our cheese oh noes max keiser heard you believe it we'll show you the showdown but let's get to the capital account. if you noticed a connection in those headlines it would be debt because it's issue driving the top

financial headlines right now as europe and as the u.s. have racked up too much of it just to show you what it looks like here's sovereign nations and you can see the red are the high debtors and as you get to the green those are people with lower amounts of public debt and it's the u.s. and western countries in europe that are suffering under all of this debt that they've racked up. now our next guest you'll hear from has often said that a debt that can't be repaid will not so the question becomes who gets hurt and who benefits in the process in greece let's take that because it's the poster child of the sovereign debt crisis we see the prime minister george papandreou he will step down the country will get an interim premier this means no referendum or public vote on the bailout the agreement is expected to reassure markets it's expected also to reassure greece's international lenders the greece is committed to carrying

out its fiscal and structural reforms that they've agreed to with the e.u. and i.m.f. for its bailout but for average greeks they are paying a very high cost and as one put it they are suffering from bulgarian salaries with london prices i thought that was very illustrative and some argue right now that italy appears to be headed down the same path as greece so earlier i spoke with professor of economics at the university of missouri kansas city he's also author of this book super imperialism the origin fundamentals of u.s. world dominance he is michael hudson and so i first asked him about greece and if this news all of that i just recap for you is good or bad he basically said it's no news and here's what he said the response is from the economic meeting he's that in germany. but here in germany there is not a single german banker that i've been speaking to for the last two weeks that believes that greece has any way repaying the debt there is no economic scenario no

anomic model that enables that up to be repaid there is bound to be fault all the same happening is that the european central bank is trying to bail out the french trains but the standard german banks take the money and run as much as they can and burn barefoot greece defaults try to stick greece with the money they spend essential the stolen from a by the european central bank which is guaranteed to grow. increase out of the eurozone if they really try to declare economic war against greece is there any clarity an economic war against ireland economic war against italy and even economic war against iran so europe is tearing itself apart their close stock markets are down today because they realize that this is a financial mess and uniting our european banks but you also have u.s. leaders like prize or proc obama at the g twenty urging for the european debt

solution to be carried out swiftly and as planned he wrote an op ed to the international community at the same time we know u.s. banks have written a lot of c.d.s. against european sovereign default so what do you see the u.s. as role as here. in the most negative role the europeans and especially the germans are furious at the bank lobbyist kim basinger's coming over and telling europe the european central bank you have to have a voluntary rate because if there is a default the u.s. banks have placed big gambles on the greek chorus reduce the gamble that greece is going to be forced to repay their debts and so they've written credit default swaps against that and if you europe don't make this big agreement voluntary then. we're going to loot so let's get it clear your job in europe is to do what the us calls you to the europeans told me. so then you have mr obama and

obama said just exactly what you said. we want you to make sure that there is no referendum your job is not to promote democracy increase your job is to extract as much capital as you can from greece so that our banks who plays the bear can win at the expense of your banks and the european central bankers knuckle under so there is an absolute. garment and as one politician told me the one good thing of obama as president is he security europe any allusion that they can any longer rely upon any worst president to really take an enlightened a point of view that the presidency of the united states the treasury secretary ship and the justice department essential have been taken over by the financial system or the very experienced and their they look at obama just as another day and

for the first time since world war two they're learning to say you know interesting what i want to know what you think. the case of greece you think is essentially benefiting banks and benefiting u.s. leaders who you say support them what do you do though in a country like italy that has one hundred twenty percent debt to g.d.p. ratio is a much larger economy people are comparing it to greece saying it's going the way of greece we see bond yields by to levels that people are calling unsustainable and they're passing their i believe third round of austerity in six months and some people argue that italy unlike greece is too big to fail so what do you do about that. but a lot of people think it's going to fail because berlusconi represents essentially two groups one is. the mafia in the south and the other is the northern. country cities that essentially want to withdraw from europe our. european community as

they wanted to all along so the question is whether italy can really are all together under perilous journey that's why his position is so plenty of us now they believe that under berlusconi italy has become ungovernable and that by under government or they mean that it doesn't the government doesn't have enough power co who are imposing austerity to squeeze a debt to pay the european central bank which is using european funds to repay the french banks and the dutch banks and of german banks so that the american banks will win on the bets that they've placed on grass that pulse one seller or thing is turning into a casino cap a kind of me and nobody can see how the winners can take their winnings to where they are forcing all of europe and to posterity as far as the eye can see until they play a different game so is that where you think that this is that it. there for

everybody i know here in berlin thinks the third entity blatter had a presence an area that's what it looked well certainly shrinking markets and the more markets shrink the more defaults there are going to be and the more before us there are the more pressure there is going to be and governments to sell off public infrastructure the soul of public land mineral rights solar systems water systems phone systems transportation so what we're really at stake here is a financial grab by breaking in the financial sector saying we want to strip all of the assets we can from greece italy ireland portugal spain we want to essentially this is this is the moment at which we selected to make the big grab before the rest of the population really can come to terms. but that can't be paid well to be paid and if it's not going to be why are they letting their society be torn apart under the pretense that this fictitious. one where the excess of the ability to pay

can really be paid at all and that's why you need greeks have been out in the street to make it very clear but the people truly approving this and that's why there's no referendum is mr obama said don't have a referendum of the people going to court against the end of my constituency wall street are going to take a lot of democracy and has got it and he just connected greece to the us through politics but another connection is that debt that we see in greek protests as the root and that we see as the root part of it with the protests in the u.s. and of course talking about occupy wall street when we get back we'll hear more we'll hear more from dr hudson and why he thinks that o.-w. as is premier of revolutionary a personality that. all

right it's time now for word of the day everyone's favorite part or one of mine at least this is where we break down a financial term or concept for our very smart era but maybe not the financial expert so we're stockers because he's a lot of other people's favorite part of the day or two of warren beatty's dollar of the day for most of what we would add like i said he's my favorite part of the show too thanks to all of us through word of the day is gone yield and dr hudson and i were just talking about it in regards to italy and here's another reason why it's big news with italy today so italy's bond yields their ten year bond yield which surged above six percent last week climbed to a a euro. record of six point six eight percent today and made concerns the region's third third largest economy is struggling to manage its debt load as a growth. what does that say susan now this is reportedly italy is gone

yields are going into territory considered unsustainable by the markets so why is this such a big deal and why are you going up well first let's look at what a bond yield is it is the return of investment that an investor would earn if a bond was purchased and held to maturity usually the longer the term of a bond the higher the interest rate it's paid to the holder compensating for the inflation risk of having money tied up for a long time that also compensates for the risk of default which is very so let's look at italy's yields so here's the key thing to remember you can see them spiking right here also right there this is what we're looking at right now this scary territory here's what you really need to remember is that bond yields move inversely to price so when investors begin to sell off a particular bond in this case italian government bonds then the price of those bonds drops this reflects a decrease in demand for italian debt from investors which then and forces the

italian government to raise the yield or the return on the money invested on newly issued bonds this is in order to attract buyers you have to pay them more in order to make your debt attractive enough to own so as you can see these yields have gone up and spiked in you can see how this means that people are scared about italy's sovereign debt because they are dumping it sending prices down and that means that they're demanding higher yields to compensate for their risk and that is on you. still ahead right here on capital count don't go away a new gauge of poverty reveals more than forty nine point one million people are living in it an increase of more than a couple million people this as o.-w. us continues so it's a question is there any hope to change economic conditions like these the first your closing stock numbers.

just put a picture of me when i was like nine years old i just you know lived through. i confess and i am a total get over friends that i love drive and hip hop is a pretty. it was kind of a yesterday. i'm very proud of the world without you it's a place. you know sometimes you see a story and it seems so you think you understand it and then you glimpse something

else and she hears you some other part of it and realized everything you thought you knew you don't. charge was a big issue. what drives the world the fear mongering used by politicians who makes decisions to create through it's already been made who can you trust no one who is you with a global miss. where are we hiding state controlled capitalism school sessions when nobody dares to ask we do our tea question more.

welcome back the new census measure shows that more americans are in poverty than the official standard census data showed previously so a new poverty measure as to mates that forty nine point one million people or sixteen percent are in poverty compared to the standard poverty definitions which put it at fifteen point two percent and less by about two and a half million people now at the same time as people are poorer and poorer look at the debt that americans face this is u.s. household debt and you can see how it just went straight up going up until two thousand and ten and people started to pay it off it's what's called the leveraging but it's just starting to go down i mean they racked up a huge increase and it's not just the household debt there's many other types of types of debt that are weighing people down let's take a look at student loan debt five hundred fifty billion in june of two thousand and eleven it was only eighty billion dollars not like that's a small sum of money but it's less back in one thousand nine hundred nine and it's

expected to surpass a trillion dollars this year according to the new york fed now student loan debt is just one of the complaints we've heard at occupy wall street specifically and debt more broadly plays into the protests in a deeper way according to dr hyde's and you'll hear from again now some don't believe occupy wall street protests are justified at all given even all of the economic stuff that we've been talking about but let's just take my word for it when you watch a former mayor rudy giuliani former new york mayor. how about trying something different to help our economy instead of occupying wall street and occupying boston and occupying oakland and how about you occupy a job. that apply occupy a job where are they there's sixteen percent unemployment based on the broader measure well not so according to rudy giuliani is the situation according to our guest dr michael hudson professor of economics at university of missouri kansas

city and author here's how he sees the occupy wall street protests. it is a pretty revolutionary situation it is pretty revolutionary because a lot of people are coming together who are in the same boat they are unable to pay their debts as you pointed out and they're finding that in the past they were able to borrow to stay in their living standards and now they're having to repay the money that they've borrowed in their living standards are being squeezed. individually a lot before the occupy wall street movement began they were blaming themselves they were treating themselves as failures it was a lot of people pression for a lot of this and all of a sudden other talking to other people and they're finding other people are in the same book there and and so they're saying wait a minute it's not really just me it's all these other people but problem is the system kind of the occupy wall street movement goes on and spreads new york to

chicago or los angeles notice that he's people are beginning to see that the problem is the way in which the system is structured and i system it's not only the economic system triggered a lot of it is the political frustration. at the fact that both the democratic and the republican parties are funded by exactly the same interest groups by wall street politicians that solo whether it's republicans or democrats they've all sold out to wall street their friday akhet by west readers on wall spree not anywhere else the financial system the betting system is not only destroyed the economy is destroyed the political process is the steroid the supreme court. documents the plasticky cans because its cars occupy wall street the question becomes what is if you're saying this is pretty bad revolutionary what will the revolution look like and they're saying that they're disillusioned with both parties that's something

i've heard from other people to reporters that are covering this and you have people like former president bill clinton in an interview saying that he. sympathizes but he thinks they need to work with their political establishment essentially invite politicians to find their complaints identify their complaints where you see as really bare avenue for change mr clinton is full of garbage when he says they're. acting like a slimeball quite frankly telling a politician what the problem isn't anything the politician makes fake promises like mr obama did it can only infuriate wall street people there they're looking at mr obama like the british look at tony blair you can't believe a word he says they're fed up with mr obama and when somebody says but very mr clinton says they remember that it was mr clinton's administration but got rid of bless the eagle it was clinton's administration that put the wall street art in place and brought ruben omics in the same ruben omics people that mr obama has

brought in he was clinton who brought in larry summers and obama who reappointed larry summers it was clinton who pushed and ruben omics and ruben brought in tim geithner as the bank allowed us to. be goldman sachs but operate to name a treasury secretary somebody who would serve its interest so there is just a feeling of one of disgust not only towards clinton but towards obama that they were grouped together now they are in their two piece of the same to the very same time so then are there no solutions for occupy wall street as there are changes and we're almost out of time i just overall quick answer here no there is no solution in there so why they're so frustrated metlife what this is doing is leading to a situation where once people realize there is no solution in the current system there are three revolutionary situation there what it's leading towards next year and it's not going to express itself next year it will express itself probably four

years of. that's his prediction not for a violent one he did clarify he thinks it'll be a political one he said that police are too strong in this country for there to be a violent on that's author and professor of economics at university of missouri kansas city michael hudson. all right now that you've heard how the whole western world is going to hell let's talk about some stories that are lighter but some financial here to talk about i'm doing our producer and shana dano our producer in the control room who is multitasking so let's just stick to occupy wall street because we seem to be consumed by it today they have a new t.v. commercial there's a little bit. when you're. going to be able to speak my voice without your religion

i want to read a regulation. i want. my son. so that ad you saw part of it thirty seconds or so it reportedly began airing saturday on bloomberg news yes p n c.b.s. sports and fox news. i think that this is kind of brilliant in the propaganda war you've had these protesters painted on fox news as hippies as crazy as whatever else the pundits are saying on fox news and here they come out with this commercial where they're all very earnest and showered i agree actually just funny and it's actually really smart marketing strategy by like for wall street. yeah that's great. tools that they use i was really going to market on fox news mark i'm mr b.

c i want to know how sympathetic is going to be with options audience i don't think sympathy is the point i think one of the things this brings up you've got so many people call for them to state their demand state their complaints you know i don't know why it's not difficult if you're you know a pundit new york to go out and see for yourself but if you don't want to make the trip here are nine of them in thirty seconds one fell swoop jenin anything bad. i mean i agree i think it's kind of like i mean there should be a slate at the end of the band to go fox. that's a good that's that would be a good kicker speaking kicker's they transferred it was supposed to be one over the weekend for big banks it was on saturday now eighty six thousand people are sleeping on facebook but so far we don't have firm data on how this work there's only anecdotal reports so we took a look at how wars have already been playing out recently for one a man in spain attempted to take money out of an a.t.m.

and what came out we have video of it dr to introduce it or do we see that well take a look. guy goes to. get the money out of the out of the one that should come the money also comes a giant. video but it's gone viral on. internet i'm somewhat prepared with our current pope if they would a look like mccain i don't know and and think straight get out a long story short guy get the money. and everyone in the world of happy again because that's just too metaphorical a snake slithering out of the a.t.m. . executives dispensing they could seconds. i just don't know who had a camera to document that seems a little too it's interesting i didn't think about it for it i don't know too convenient another weird thing. don't everybody have cameras these days like either

so. that's a good point. and also look like a cash register but whatever we're splitting hairs here and another case of weird stuff also in another case of a lot of weird things happened in florida authorities identified and charged a sixty seven year old man who they say your unaided and when you. he said that out there that day too i was saying you know if you're going to secure all my savings i might as well you're. here to follow suit so there you go he's kind of it because it's already institution were full of metaphor here today i think what's interesting is that the bank account after this as i believe that he wanted to so he had more success with his urine protests than actual protesters had when they went as we've seen during occupy wall street with their signs to go withdraw their money and you had banker say you can't withdraw your money you can't be a protester and a customer at the same time which makes zero sense but i feel really bad for the

guy like opened up the cancer after. oh yeah whoever whatever you know or bank teller they got that the closet. i was definitely surprised kind of right ok very quickly you can't miss this look what happened to david cameron in the british parliament he got told by a very saucy person perpetrators of the violence which you know streets anyway representative of a country for young people and see if you you can have both david cameron you can allow plundering in the city of london and then outlawed in the ghetto that you created for the city of london plundering the earth as blatantly obvious that your own bankers are financially leave your people right oh there you go over. there of the max keiser report you really got the opportunity to tell david cameron exactly what he thought. his problem was as we can see him next there is really a point of central bank chief and you know we'll be on

a gold standard and we'll have more lots of more entertaining videos to watch as for what you're watching that's all we have time for thanks for tuning in policy on twitter al gore and mr and we will see you tomorrow. which is that so much a lot of people are curious. to. bring up amicable divorce for well over a generation of voters and consumers around the world were called to democracy in conferences and. you know sometimes you see a story and it seems so for like think you understand it and then something else and you hear or see some other part of it and realize that everything is ok you don't know i'm sorry welcome to the big picture.

a very warm welcome to you this is your news today protesters on the. street they are. ladies and gentlemen your chance to choose seems to get with the status of the human experiment to. see if we pursue whole groups in this rap music what it knows was allegedly trying to make sense of political economy and it's all changed things as financial templates for the pieces to maintain confidence in markets and big yawn wants to be seen trade imbalances recession looks to be the nation's close to collapsing is so close. to fail simple a basic.