being that the disease that is afflicting us is going to kill us. percent interest rates prevents the only thing that might cure us we need higher interest rates we need to allow the economy to restructure and rebalance we need more savings we need lower real estate prices we need to have a solid financial system we need to balance the books we need less government spending we need to get rid of these trade deficit suites and surpluses we need some production none of this is going to happen with zero percent interest rates all we're going to get is more speculation more debt more consumption more air in the bubble which means a lot more air comes out with it bursts you know if you think that europe is going through a problem right now you ain't seen nothing yet i mean europe is the warm up america is the main event we are we are the real sovereign debt crisis currency crisis is going to develop and it is going to be enormous because of what the government has been doing you know it was going to happen anyway because of the mistakes that the government made in the past but because they continue to compound those mistakes of

the president is going to be that much worse when it happens all right so i agree with you regarding interest rates this has to happen eventually there's no way you can run an economy and foreign credit forever but every time that was part of the great moderation right every time we had a recession the fed would meet it with easing and that was the the idea the idea is you could smooth out the business cycle and that's created a mountain of debt over a prolonged period of time and the amount of that has also contributed in real terms to structural changes in the economy and those changes manufacturing jobs are going else can't just come back overnight so what kind of depression are we really looking at here and at the end the day if the fed eventually whether it takes hands off or not eventually there's going to have to be readjustment but are we so far down that road that the government is eventually going to step in in a much more forceful way and we're not going to turn to a free market economy i mean is that pretty much gone interview well we haven't had a free market economy in a long time and we keep getting less and less. three as the government continues to

up the ante on its intervention and the problem is the more the government gets involved in the economy the more they screw it up and the more they screw it up the more they get involved to try to solve the problems that they blame on the free market but are actually a consequence of a lack of a free market a direct by product of government policy and government intervention but in answer to your question we're going to have an inflationary depression i think that's the worst call it is going to be worse than what we had during that i'd hundred thirty s. and every day the government only ensures that that depression is going to be that much deeper and last that much longer and unfortunately everything that the government is likely to do as a depression unfolds is going to exacerbate it and lengthen it i mean so we're not even close to having an understanding in washington of what's causing the problem and until we understand that we're never going to solve it we have to understand that the cure or the stimulus that the politicians always riess for is the reason we're so sick and the more they stimulate the economy the sicker is going to get so

going back to my point though so we were really sick right and we were really sick during the great depression and one of the outcomes was that was more government and eventually there was world war two is there any way that we're going to be able to avoid some sort of this going from an economic crisis to a political crisis why hope so i mean first of all we're a lot sicker than we were in the one nine hundred thirty s. and unfortunately the cure is is this is is no are in sight as far as being able to adopt that we know what the cure is just that we can't get the politicians to allow the economy to swallow it but as far as the politics i mean we're going to go through something very traumatic as a nation and it is a you know a climate where real tyranny can can flourish i mean look what happened in in germany and why our republic in the aftermath of that hyperinflation we ended up with the nazi party coming to power i mean so when you have the type of environment that we're going to have i think you're. to have civil unrest i think people are

going to be rioting because things are going to get bad and this country and the more the government gets involved was stimulus and i think ultimately we could have price controls because the government is now denying that there's any inflation even as they go on creating it creating it but eventually gas prices will be so high food prices of lee so high that there will be a lot of calls to do something about it and rather than turning off the printing presses and raising interest rates i think they're going to look to control prices and ash is going to create shortages and compound these problems and it will be a very very dangerous environment for several liberties and who knows you know the government's going to get bigger and bigger and looking to consolidate its power maybe silence the voices of people who are pointing out the problems that i've already got it all set up now with the with terrorists you know they've got a lot of power now because the war on terror well they can describe or classify anyone they want as a terrorist and i'll throw him in jail lock away the key. people who are trying to

point out what the government is doing wrong on a monetary basis or as a physical basis i mean who knows they could be cat characterized as terrorists people who are using the black markets people who are buying food or energy illegally might be considered terrorist who knows but there is a lot of risk out there i hope it doesn't play out that way i hope that we can learn a lesson from this and and understand that it is the government that is cause these problems i mean look look at all the support that ron paul enjoys among younger americans they're hearing the message they understand that it's the government that it's the federal reserve and so if we can spread that message that understanding and we can have another renaissance a revolution of freedom and liberty that maybe we can use the crisis to our advantage to roll back government and to re and braise our roots so there is also doppler to me that we can that we can make a positive situation come from this but we don't know yet i mean history is inclosed always talk the way and see how it plays out. well. i guess i'm not that

hopeful but. speaking of government and government's role we have the state of the union last night and i heard a lot of the same sort of things we've heard before obama talked about mortgage refinancing you talk about student loans one of the things i find really interesting is every time we have our standard of living has deteriorated over the course of many years and one of the reasons for that is that prices have gone out of whack with people's incomes and wages and every time we have price increases it seems that the financial sector and conduct of the government want to come in and provide cheaper loans in order to enable people to buy and spend things that are out of out of reach and instead of letting price adjustment just it creates that accumulation now one of obama's latest plans is this mortgage refinancing what is your take on that because it looks to me like all they're really doing is giving you know lower rates to people that already can't afford their mortgage not allowing price to rip to adjust and at the same time taking the liability and moving out of the government balance sheet away from private institutions this is

more of a bailout we're taking underwater mortgages out of the private sector and dumping these risky loans on the public sector meanwhile we're allowing individuals to refinance them at a lower rate of interest so those who pay are going to pay less and that means when the people who default the fault the taxpayer the losses to the taxpayers are that much greater because of the fact that the performing mortgages are paying less so this is the wrong thing to do this is more of the very policies that obama says we shouldn't go back to he's expanding them and you know the irony of you know when you talk about the student loans the president was for more student loans more aid in the subsidies for education and then he chastised universities for charging too much for college tuition why does you think they can do that they do that because of all the government aid if obama wants colleges to lower their tuitions stop subsidizing the students stop giving still. money to pay the inflated prices as

a lot of those were subsidized in college and guaranteeing loans obama could scream all he was but the colleges are going to keep on raising prices if you stop subsidizing the students he won't have to beg colleges to raise to cut their tuitions don't have no choice don't have to do it right i have another question for you this sort of ties into things because a president is not expected to understand economics but there seems to be this popular impression that mainline economists these professional ph d. economists know what's best for the economy and when they say jump the politicians say how high paul krugman was out with an article recently and he talked about a report that came out citing how the u.s. is not in such bad shape because it's the creased it's that relative has to do is g.d.p. which is an argument one of many that you hear about a lot and the what the thing the thing i want to point out though is that i think the whole thing about g.d.p. is misleading because g.d.p. is its gross domestic product its activity in the economy it just shows that more stuff is happening but it doesn't necessarily mean that more good stuff is

happening we had g.d.p. growth during the housing boom because people were building houses and they were taking out debt and that was and that that was growing and g.d.p. was growing and people were saying great we're in a recovery but all of that all of what was built ended up being a liability and not an asset so how does that how does that make sense to you the whole thing about debt to g.d.p. and that being what's important well well first of all i don't know what numbers paul krugman is looking at because even though the g.d.p. is growing the debt is growing faster as a percentage that was c.e.o. and chief global strategist of euro pacific capital peter schiff unfortunately we have to end it there but there's a lot more from my interview with peter including his outlook for gold that will be posting on to our capital account you tube channel tomorrow so be on the lookout for that. and that's our show thanks for tuning in feel free to follow me it's covering delta and as always the lovely laura lister who was in davos of lauren list and give us feedback adds our show our channel and you can't work out i'm going to get from everyone here in capital account of a good night. headlines

from all t. i must march in poland as the country sides of global pact to take dad into that piracy it covers everything from movies and music to fashion pharmaceuticals the deal will give big corporations too much power to take long. to run threatens to cut off its oil supply to europe before the e.u. trade but come to force in july european states have decided to stop buying into the soil in a bid to force it back into talks over its nuclear program. and heavy clashes in syria as troops stormed a densely populated damascus suburb after a confrontation with opposition fighters last week you and security council could

vote in the next few days on a resolution aimed at stepping yes collating conflict. next a new look to the ten pm how it here in moscow we had you would be alone a show from washington d.c. just a few moments from now. welcome to the lone show where we get the real headlines with none of the mercy or can we live out of washington d.c. now tonight we're going to speak to change you are about the obama's state of the

union address last night there were a lot of big promises a lot of fingers point of the congress and he reminded us quite a few times that he's the one that got bin laden but does the president still have the power to inspire or are the people tired of unfulfilled goals then business and political leaders are gathered at the world economic forum in davos taking on the eurozone debt crisis income inequality believe it or not and there's even an occupy davos encampment so artie's lauren lyster host of the capital account is there and she's going to give us all the details and then last night the president didn't specifically address the occupy movement although we definitely heard some of the rhetoric of fighting inequality and corruption in his speech so let's get an occupy response to obama have all that morphy tonight including a dose of happy hour but first take a look at the mainstream media has decided to miss. all right so tonight we have a bit of

a special edition of main stream is for you to see this morning r.t. had some very big news to announce the julian assange founder of wiki leaks is going to be launching a talk show which will be broadcast by this network and it's going to be called the world tomorrow it's going to consist of ten weekly episodes where he interviews who he calls iconoclast visionaries and power insiders now personally i think about sounds pretty bad ass i'm really intrigued to see what comes up with who we interview is what he asks them but as for the majority of the rest of the media out there and not so much these people who are even seeing this program they have already made their judgments loud and clear i mean come on we know damn well how media organizations like the new york times and the guardian feel about it saw it those same organizations that worked with him and reported on the extensive material that we can we provide it they printed story after story based on the league. the iraq and afghanistan war logs as well as diplomatic cables they had no problem using that information to sell more papers make a profit when it suited them and then of course they turned completely against the

science and started writing smear pieces about his dirty socks so as not to give the establishment the wrong impression so as not to be seen as being in cahoots with the man of the us government is leading a massive investigation against which charges of espionage though they cared more about his dirty socks and they did about some of the real mistakes like publishing the names of informants so they are in my mind cowards and if you read michael hastings recent interview with us on a rolling stone seems like he feels the same way and so you can imagine the shock of the outrage and as mark out a man has put it today the pearl clutching that's been going on since this announcement was made this morning now it's perhaps the most ludicrous part of it all is that even the associated press which provided the original story which claims to be a straight reporting news agency they made their opinion very clear their headline and headlines from the wall street journal and others today looks like this program when t.v. channel to air wiki leaks talk show kremlin t.v. to air julie to songes new show or my personal favorite we can expound or to launch

a t.v. show on kremlin's mouthpiece. now for starters the name of the channel is r t it's not kremlin t.v. have you ever seen anyone refer to al-jazeera or the b.b.c. as rich or qatari mouthpieces in a news article you don't hear people calling the wall street journal rupert murdoch's mouth piece but hey if it's r t than just have at it now let me read you one more line that came from a guardian news article not an opinion piece but a news article about this announcement today it read the channel like the russian government has been very supportive of songe since his arrest for allegedly sexually assaulting two women in sweden in august of two thousand and ten i mean come on people they make it sound like the second that assad was labeled as a sexual predator we came running to his defense if you actually watch r.t. or watch my show you would know that we were one of the first networks to have joined us on jon after we can weeks release the collateral murder video in april two thousand and ten the we've been covering weiqi leaks for years rather than just jumping in since his arrest for sexually assaulting two women and never has there

been a statement made by me trying it on those sexual allegations because the truth is i don't know what happened there's a lawsuit going on there for a reason so it's not my place to have an opinion but all of this really shows you is just how united the mainstream media is when it comes to attacking somebody with a different point of view and somebody that might challenge the status quo and that's why people are turning away from the mainstream media most notably the cable networks to do the most pathetic job and just focus on partisan tit for tat campaign strategy sex scandals instead of unemployment homelessness and veterans suicide or the failing drug war and innocent victims of no knock rates but there is an appetite out there for something else first something that the mainstream media is not providing and as an american i feel that it's not only in my interest and yours but it's my responsibility to find that material and to cover it but of course it's much easier to be on the side that never pisses anybody off stays in the good graces of corporate networks so they can keep getting invited back on but

i think that when julia songes show airs the world will be watching young people will be watching but the mainstream media has already judged and dismissed what he might have to offer. they're going to continue to miss. last night we tuned in for president obama's last state of the union address before this november's upcoming elections and he definitely got the feel of a campaign speech as the president laid out his vision and put the onus on congress to bring the bills to his desk we heard a lot about investing in our education system an energy and an infrastructure we've heard the populist rhetoric of calling for a fair system where everyone pairs pays their fair share in taxes and where companies are rewarded for bringing jobs back to america rather than sending them abroad but to start and wrap up this beach obama focused on his foreign policy successes for the first time in nine years there are no americans fighting in

iraq. thank you first time in two decades osama bin laden is not a threat to this country. sure thanks most of all carter's top lieutenants have been defeated the taliban's momentum has been broken and some church in afghanistan has begun to come home. so what do we think about the speech well joining me to discuss it is jay cuter host of the young turks thanks for joining us tonight and you know first i want to start with that clip that we just played there curious what do you think about obama starting and ending the speech with any of the war in iraq and i guess most

notably getting rid of osama bin laden i mean he really kept harping on that point to remind all of us which makes sense to me but can we really say that the world is a safer place today or that the taliban's momentum has been broken i feel like he went maybe a little too far there yes i don't think he was a little too or a lot of these i wouldn't worry too much about. what. you know i know you want to see longer but at least we are out of the right now so he's very sensible or a guy who's got two more. were. to star in the military given his accomplice to several children below cetera so i don't get much so then what was your overall opinion of this speech we heard a lot of a lot of lofty promises a lot of goals set for where america should be in the future. yeah you know mixed feelings about the speech is always president obama i did the things that he spoke

about i liked him as a president far more than i do today unfortunately a lot of times you don't get that action behind us speech but there was a positive note here number one there was some action and that there are eight new york state attorney general eric schneiderman and put him in charge of good mortgage investigation unit that might actually really talk on the back so that would be terrific and then number two i just thought he had a more aggressive maybe even confrontational tone with the republicans where he was sorely lacking for three straight years so on the other hand of course it's obama so he at the same time try to reach out to republicans and his energy program is basically saying he wanted to stares when he brags about all of strategies that are sheep that was literally a republican line so some frustrating moments as always but overall better than some of the other speeches because at least in tone because it looks like he might

take it on the republicans at least on some which i want to i'm happy to mention that because you know he definitely took on the republicans in certain areas specifically when we heard a lot about taxes but aside from energy there are a couple other things that seemed like he was trying to reach out or pander whatever throw them you know a couple little bones so let's take a listen to those real quick. i believe as strongly as ever that we should take on illegal immigration that's why my administration has put more boots on the border than ever before that's why there are fewer illegal crossings then when i took office and nowhere is the promise of innovation greater than in american made energy over the last three years we've opened millions of new acres for oil and gas exploration. and tonight i'm directing my administration to open more than seventy five percent of our potential offshore oil and gas resources in fact i've approved fewer regulations in the first three years of my

presidency than my republican predecessor did in his. right so we haven't heard the energy lines there the oil drilling although he did talk a lot about green energy but the immigration thing you know let's not forget that this is going to be a very big chunk of the population the fastest growing voting demographic do you think that obama did the right thing there. or gratian example is a good one because it shows you the. rootlessness of the split works there because he wants to show that how tough news on ration is truth it hasn't worked more people than bush by a very sort of more marginal program records but is there any credit for from the conservatives who want to be covered yes immigration no yes no credit whatsoever i mean do you think they use up on immigration he's not going to be single vote based on what is your with same time he's alienating latino voters who we desperately

needs in two thousand and twelve so i don't see how it's a winning strategy just you know whether it's the energy pros there the immigration bill coming down regulations is an idea is well if i go in trying to reach out to these certain voters what they're going to vote for you know the mountain a socialist and all of those alienate your own voters so trying to to compromise but you know probably it's not going to benefit him there again i want to play a clip that i found was particularly interesting up to and we'll talk about it. anyone who tells you otherwise. anyone who tells you that america is in decline or that our influence has waned doesn't know what they're talking about. are now i get it all the time with the state of the union speeches you have to be very patriotic it's got to be very raw raw america but things are really bad right i mean this is why we have people protesting on the streets right now so to tell people you don't

know what you're talking about if you think that our influence might be waning all over the world or that certain things are in decline i think that we see a lot of decline you know with the economy outside on the streets right now we see a lot of decline in the sense that our civil liberties have been completely eroded over the last ten years how can you say that well i'm really i'm a species of british. and perhaps these other candidates running you know just as his line is drawn do you think overall vision for america. was. well you know i got yes to the rest of us to see a little over the top godless america but. we've seen better days but of course the president is going to say that and if you. cross so. we spend less on worry about it. and more time worrying about fix the economy how do you work for the base so that you serve the middle class so that you can win the

election based on the merits but do you think is that really just an obama thing or is that something that you could say maybe is a cultural difference that we have a little bit of a hard time just saying that times are rough the road ahead is going to be tough there are going to be sacrifices that need to be made it's like we always need to be built up and told you know told that everything's going to be happy and joyful and perfect again some day without knowing that there's going to be a hard slog first. well yes you're right it's certainly a lot of this is low to do that and this is the you know unfortunately it's the best place to do that and you're always go sit stay where you need strong and that's what every president says and this is president obama says the president of the state of our t.v. is getting stronger which it actually is more with a mission tacit admission that any other president will say ok we're not under. these really strong you know it's kind of iraq that's where you vote. again and.

now ok well let me save you to give a pass on this one he started talking about iran specifically and had this statement to me. we're going to run to the power of more diplomacy a world that was once divided about how to deal with iran's nuclear program now stands as one the regime is more isolated than ever before its leaders are faced with crippling sanctions and as long as they. and i living in a completely different world than president obama is living in because the world is not unified on what to do with iran right now you can see that with our trying to put you know push the rest of the world to into sanctions where the e.u. is along but china russia india they're not along and you know what happens with sanctions it's more the people that suffer than the leaders. it you know i have a more complicated view of sanctions i think that they were depending on whether

it's a simple dictatorship or it's all yorkie where there's a lot of business and use them yet if i can buy it in iran they might have a better chance of working than they did in iraq where they were never going to have saddam hussein remember they didn't work in south africa now as far as is that is the world is united and you know it's we have such a limited world view here in the u.s. of course we so often that we figure well if the democrats and republicans agree then the world must speak united were not the world as you said i was a lot of people are not united on the sanctions. you know low taxes issue that really scares me because that is something that so many people in washington are being the drums of war on and it's silly and ridiculous and i say the best candidate on that is shockingly enough for a voter that's ron paul who constantly points out ridiculous is b.s. to go out. right now the last thing ad that i did last year i can play a clip or attitude.