back him up all the equity and take no risk what does this matter yes i mean clearly these sort of economic systems any time you've seen them when we've discussed previously the examples of egypt and tunisia what they and you know the they come under the pretext of being good for the economy being good for the national greatness of the nation or they always find nice sounding pretext for why these just these interventions into the market economy are justified however the real consequences of it is always that it ends up either benefiting the status quo benefiting the people who are in charge now no this isn't this is the real problem with this is not just that it's not fair the real problem with it is that it's very destructive economically because what it means is that you keep the productive companies and the unproductive firms and industries you keep them alive and they continue to survive sucking up valuable resources that would be used otherwise in society and channeling these resources capital land labor office space computing

power all of that stuff they channel it into unproductive uses of capital and the result of that the product that they produce is something that is obviously not desired by society as evidenced by the fact that they fail on a free market so you by giving corporations the incentive to both be able to make profits and to make losses you give them again the idea of risk reward there is always a risk associated with when you try to make reward so if you take out the punishment if you take out the risk if you take out the possibility of losing from this you're going to end up with corporations that are unproductive and i think this is this is this is really the reason that the economies of the u.s. and britain i would say are stuck in a recession because so much of the productive capital of the country so much of this might be people so much of the office space so much of the computers in the country are being used in unproductive enterprises in unproductive industries and if these industries were allowed to fail. people in them would move on to other

productive avenues of economic activity and that would be much better for everyone in society right so you end up in britain and in the us with financial dictators and meanwhile the middle east the dictator corporatist like adopt the ben ali and move barrick. they've been overthrown more alas or in the process of being overthrown are there is this arab spring has been going on so what does this mean for the west of course the dictators in the west who rely on the resources that they were getting from the dictators in the middle east well i think the interesting thing is to see how if you look at a place like egypt right now we're seeing the revolution is continuing in the sort of struggle between the old order the of the remnants of the mubarak regime who are still in power versus the current. the versus the new forces that are being unleashed by the revolution i mean one of the key issues that is being fought over

is the issue of the loan from the eye enough to egypt there's a lot of back and forth between the i.m.f. and different members of the egyptian government about whether those laws are going to take place or not and whether they're going to be provided low interest rates or not and what sort of conditionality is attached to them. a lot of talk about it but search for yet the egyptian government has not officially taken on those loans what's happening is that the rating of the egyptian government is being downgraded by the rating agencies and the borrowing costs of the egyptian government are getting very high so people know we're expecting a fiscal or possibly a year monetary crisis in egypt which is you know obviously going to be a very bad thing the unfortunate thing is that this is being used as a justification for rushing through the i.m.f. loan and for getting into even more debt than other people looking at it logically and saying this road of spending and borrowing has brought us to the brink of disaster and we should just quit this idea of continuing to. think that we could

borrow from outside in order to build our country it has not worked for thirty years almost in which mubarak has been in power it has only served to enrich mubarak and his cronies and it is not brought development of the country all that it has done is increase the indebtedness of the country and make people liable for paying more and more and more of their income towards taxes to go towards paying off interest on that and i think egypt needs to make a clean break with the past with these policies of the mubarak era from the respect of particularly by making a statement on the debt. letting the for industry be basically repudiated and mubarak should be made liable for it and the domestic that they need to reach a sort of agreement with the domestic creditors that saves the save the banking system advance it from a collapse by recapitalizing the banks in case they have a problem with liquidity because of the treasuries and then after that they must have a balanced budget there is no alternative to fiscal responsibility as you look at europe and what is happening in europe or in the us or in arab countries there

really is no alternative for as an individual or as a country there's no alternative to being fiscally responsible so the pass through it is to eliminate interest payments as a massive part of the budget and reformulate the budget in a way that doesn't hurt the poor and in a way that stops giving favors to the connected people from the regime and as a result leaves the budget being able to be balanced without having to resort to foreign borrowing because this is really the main problem if you get involved in foreign ronnell and it leads to puppet regimes that don't have that it's a messy and for their people as mubarak and not his regime are and it also leads to a massive giant drag on the economy as people continue to generate more and more and more money that goes simply towards paying off taxes to go towards paying off interest on the debts right mubarak is gone but now it's time to overthrow the real dictator that being of course the i.m.f. now we've had the arab spring and then we found. the occupy wall street movement

now a new movement is taking shape around the world these are up protestors who are protesting again so people are the stop online piracy act and related intellectual property laws that are attacking the internet from the corporate side the corporate says want total control of the internet and is that a fair statement are is this a case of the corporatist who are attacking the innovators the entrepreneurs and the free marketeers do you see this playing out as as an extension really of this global insurrection absolutely i think it's worth we're seeing with the internet is very interesting because as markets in the real world continue to be strangled and controlled more and more by the managerial state by governments all over the world the internet is really the place where the market where the free market has gone because. you can click anywhere you want and you can design to use any website you want and people have the freedom of choice and because they have the freedom of choice in their choices aren't and forced upon them upon which was that they should

read which website is used for their e-mail they end up making choices on the providers of these services that are for i would argue better than what would happen if you had a central planner trying to dictate this to them under the pretext of some of the usual corporatist excuses so because the internet is a wonderful place where you can exchange all this information very freely it leads to good information marketplace as well as a good example of a proper marketplace what we're seeing with soap and people is just a very strong attempt to try and bring in the power of the state from the real world onto the internet and so now the failure and success of websites will not depend about whether on whether people want to click on them and people want to use them but the failure will depend on what some particular bureaucrat decides in some position of authority in the government so this of course would be very dangerous you know from the from the perspective of the freedom of information because what it does is it leaves the knowledge and the information that is available for members of society to be decided by particular. people who get to know everything

and then decide what you should be able to know the optimistic thing about it is that the internet is just it's a very resilient thing and it's really hard to clamp down on international connectivity and you know it was very encouraging what happened with. with people. in terms of actually. alerting a lot of people to the reality of the problems of the intellectual property paradigm it's the problem is much deeper than just these two acts which are probably going to die in congress now the problem really is in state and fortunes of intellectual property which serves. very pernicious way it harms most the artists who produce the art or the authors who publish the books as well as the then the fans or the readers who want to consume this material neither of them really benefits from intellectual property laws they go towards the middleman basically and what acknowledges allowing us more and more ways to get out the middleman more and more ways for fans to communicate directly with musicians they

like to listen to or readers with authors and this cuts out the profit that middlemen can make and so this is why the this industry is trying to bring in the government in order to keep their old antiquated model so that they could continue to keep their job as the middleman and they want the state to enforce that that's exactly the definition of corporatism and so you see people like chris dodd going on about you know hollywood creates jobs or hollywood is an important part of the u.s. economy was asleep you know it's a tiny part of the u.s. economy to study part of the world economy and you know most importantly it's very easy for them to find other business models business models that actually serve the artist rather than serve the old. production industry that really is out of date and out of place today ok that's all the time we have on the kaiser report thanks so much for being on thanks max that's going to do it for this edition of the kaiser report with me max geyser and stacey ebert and i thank my guests a for dinner most if you want to send me an e-mail please do so at kaiser reported

r.t. t.v. dot ru next time i started saying bio. mom .

syria saying weapons will still reach opposition groups. as she tries to convince china to write off the e.u. but also support for the oil embargo against iran. and egypt over seventy football fans killed in post clashes and investigation into the tragedy is underway claims of police action.

live from moscow this is the welcome to the program. russia's defense ministry has reiterated to moscow is committed to agreements made with international partners and will continue. to syria russia is against the weapons and saying it would not prevent the opposition groups from abroad although progress has been made at the u.n. on a syria resolution moscow is adamant it will block any draft which doesn't rule out military intervention and. explains. russia says it won't accept even a hint of an embargo on arms embargo when it comes to syria and its reasoning for this is pretty simple it says firstly that the weapons and arms are that russia provides to syria cannot be used against demonstrators thus don't influence

anything that goes on inside syria when it comes to this conflict now secondly russia says that it is only following its legal obligations it's following its international contracts with syria and it's not breaching any international laws at all and most importantly it says that the lessons of libya need to be large because when an arms embargo was put in place on libya what ended up happening was government forces were embargoed but the opposition groups continued to receive openly arms from abroad and this is something that they don't want to see in syria and russia says it's time for the west to stop pretending like armed groups don't exist over there. it would seem logical if there is a conflict let's not supply arms because we saw what happened in libya in an imperfect world this would have meant the following no weapons with a government position pointis could get them from anyone that's what that would mean especially now our security council colleagues refuse even to admit the presence of groups they will not condemn them. being supplied with weapons and we

say. contracts a longstanding relations with syria but they will start supplying even more to the position groups just like they did in libya the arab and western backed regime change resolution calls for the. syrian president to step down if this does not happen within fifteen days further measures could take place and russia says no thanks we've seen this similar scenario in libya and this particular case moscow says what's important is for talks for syria to exercise its sovereignty for the opposition and the government to sit down together moscow has offered russia as the center stage for these negotiations but it's important to say that russia still. believes that a consensus can be found within the united nations security council it says that broad resolutions that are dangerous should not be put on the table that can split the council and really aggravate any sort of conflict and it continues to call for the importance of arab observers to our main working on the ground talkies and i

thought here chuck and i reporting right that while washington the e.u. and some arab states are committed to pushing president assad from power but a political analyst dr benjamin says forcing regime change is a bad idea because it's already a tactic that's punished other arab countries into turmoil the case of libya the case of yemen and a number of other countries egypt also suggest that you have to be careful what you wish for the west is rather uncritical the recent insurgency is a good thing only to find that insurgency often means anarchy fractionalization splintering various groups up against one and the triumph over time of forces that are no more welcome to the west than the one for the displaced nobody i think did what will happen if assad is overthrown were killed or steps down and no one really

knows what the outcome is likely to be the west is hoping it will be less supportive of hezbollah less supportive of iran and less support of abbas and that could be the case but no one really knows what it's going to look like so the fact is would you support insurgencies you're basically taking a very difficult bet on uncertainty. political analyst dr benjamin barber there talking to us earlier from new york. now iran's nuclear ambitions and the euro zone's debt struggles topped the german chancellor's agenda on her trip to china anglo merkel is calling on beijing the biggest buyer of iranian oil not to buy more after an e.u. embargo and to use its influence to persuade to iran to abandon any possible atomic weapons ambitions she also wants to offer reassurance that investing in the eurozone is still a safe bet let's not talk to a professor or goes to a sort of from the solder business school in barcelona about angela merkel's trip to beijing i thank you for coming on r.t.

today let's start with the issue of iran beijing has been refusing to support the oil embargo that i just mentioned is there any incentive that chancellor merkel can offer to china to sway it not to increase oil purchases or even reduce than the u.s. treasury secretary certainly failed to do so. here's a look now as to be with you again i think the good is a very complex issue is not just a matter of asking china to create a purchase from iran's oil and the region. around consistently has been trying to developing what we believe nuclear weapons but at the same time i think we need more more parts. we should at the same time think cheney is would have our ship in finding a new source of oil so we need to give something in return in

a way that's what the chinese side believes what it is interesting you bring up that point is that china could find hardships in trying to discover some other source of oil as we know it china is the third biggest buyer of iranian oil exports if indeed beijing did join the sanctions against iran even in part do you think it could truly affect the chinese economy. yes sure this is a third world country because of something that never happens and happens and history so far so we have emerging huge power like never seen in history before and at the same time we have a third world country here so nothing is enough for china china is hungry for energy on simply hungry for energy we have to remember the hardships china had to prepare your bank. hard winter eaters and they have energy for a few days so it's not easy to think. just of airing away from the issue of iran

and out of oil exports and how it might affect china's economy let's turn our focus now to that of the eurozone and whether or not it's a good investment for china because i this week european leaders agreed to impose new spending controls and sanctions on budget rule breakers europe is china's top export market will angela merkel be able to convince china the euro zone and the why the e.u. is still a safe bet for investment. well one thing is the european financial stability facility is something we are on really curious to know whether china will believe in us for the time being is not the critical point the other frank it is somehow the china help of the european union this plays the international monetary fund and i believe that angular merkel and chancellor merkel has being vocal or saying something that even those are not their job but i think the sense of each you for

your money for europe is to get more direct investment and china has announced such a fun in december for the european union and the united states and war of around three hundred million dollars a billion dollars so it is a matter of time actually it's happening now i'm sure this is the year of four and three is an increasing tendency we have seen over the last year the last two years of more direct investment in in europe but we should get a side of via the european financial stability facility john i would support. a way to see let's wait and see we should be more in order is not enough.

the last three think we both live in europe and in the last days we need to show china that we're really united we have you know the kingdom and the czech republic still not exactly being a hall of far part of the european union as partners so farand is waiting at the same time to say this why should we it's a board this region or if we are still having a lot so for problems i. if you janet in the end will understand the same time. you know. our problem. or goes to a professor at the side a business school in barcelona thank you for coming on r t today thank you. still to come on the program here on our whistle blowers final appeal it is the last chance for julian assange to win over the u.k. superior court to stop this extradition to sweden where he's wanted on allegations

of sexual assault also ahead for you. for it was a country on the brink on the brink of complete meltdown and chaos find out why the careless comments of u.s. politicians could be costing america credibility on the international stage. the un's nuclear watchdog says it's on track to breaking the deadlock over iran's atomic program atomic agency monitors plan another trip later this month after what they described as a positive talks with tehran washington though continues to label iran as a threat in time investigative journalist robert perry says tehran wants to cooperate but america's domestic politics blocking any progress. i think the iranians have indicated in the past they would be willing to make a number of concessions as you remember it was a year or so ago when the brazilians and the turks worked on

a negotiated deal with the iranians agreed to give up about half of their low enriched uranium that proposal was first favored by president obama even sent a letter to the then president of brazil to recommend they go forward however political pressures inside the united states including inside his own administration push instead for tightening of sanctions against iran president obama and defense secretary panetta they'd rather have the situation calmed down rather than accelerated but there are political forces in the united states there are quite powerful including on the republican side in the terms of the presidential race that wants to ratchet up the pressure a many people in the west do want regime change in iran they would like to see the removal of this islamic republic there is an opportunity here for ran to achieve some openings but that may not be enough to satisfy many of its critics who would like to see real change in government. more analysis on the situation around iran always available twenty four seven not all web site on dot com also

a study by few online and right now president bush says the pipes inside japan's crippled fukushima nuclear plant causing a pretty massive leak at all despite reported warnings that this could happen as early as last summer. plus goes the easel title contemporary art grows as leading auction house has announced a rising profits from sales with pol pot being the most lucrative. egypt is mourning the victims of violence following a football game which saw more than seventy people killed in post match violence fans are rushed onto the field in the seaside city of port after the home team beat egypt's top club setting off clashes on a stampede cairo based writer truly thinks the events could in some way be linked to the fallout from this year's revolution it's very difficult to work out exactly

what happens but essentially the security forces he usually acts as a barrier between the two sides stepped aside and actually open the gates the pitch which allowed the two fan clubs to come on to the pitch and basically fight each other in addition i read this is saying that the exits with blogs are the only fans who were the ones targeted actually couldn't escape and therefore in the ensuing stampede many lost lives there's also instances of a knife as well we believe. whoever they were maybe carrying knives as well we've definitely seen an isolation of protesters in the last few months asking for the minutes of regime to step down we've seen an increase in formal street violence against protesters in fact the national council for human rights the state led organization published reports two weeks ago saying that the kidnapping that's been happening on the streets and as a form of the state intimidating the activists i feel that at least the vents that

happened in the football stadium may be an extension of this in the form of the discrediting the revolution. well quarter past the hour here in moscow this is our last chance for the world's top whistleblower at the supreme court julian assange is appealing against extradition to sweden where it's wanted on allegations of sexual assault a song denies the accusations and insists the case against him is politically motivated parties laura smith is out of the supreme court in london standing by for us right now. so when can we expect to hear a final decision from this ongoing saga to nothing. but we're not expecting to hear it just station today we have heard already from documents released by the supreme court that although this is day two of the two day hearing begins to be reserving judgment for what they term a number of weeks as far as i'm concerned could mean between two and eight weeks so we will have to wait to find out the but six this is day two as i say into the

nostalgia right this morning about how the full proceedings started again looking fairly relaxed just as he did yesterday saying hello to a few his supporters standing behind me who have braved the at today's some serious temperatures in london to turn out to show him that they are still. rooting for him and it's likely to be a slightly more difficult day today for today nascar's because yesterday we heard his legal team giving their side of the story and this case here at the supreme court is no simple whether or not she is guilty of the allegations that have been made against him it's about the nuts and bolts of the legal system and specifically about whether the european arrest warrant under which his extradition has been requested is violates the his team to say that the swedish prosecutor who issued the warrant doesn't have the all thirty six do that because it's party to the case and therefore it's not independent and impartial so it goes against the funding

fundamental principle of the rule but today the swedish prosecutor's legal team will be arguing that that doesn't. and in fact the authority doesn't have to be independent and impartial if we are hearing from the inside that the argument of the swedish prosecutor's team is coming under a lot more recently than a stone teams argument did the judges the much more questioning of it seemingly less impressed by it so that might give them some kind of solace during was bound to be quite difficult day for him ok so a little bit of positive news there for the future of julian assange though so on goes on the supreme court there being wind up at the end of the day though is there really no other new of appeal for songs after this. and obviously if he wins then everything's forgotten he gets to carry on his life just as it was before but if he loses at the end of this two day hearing then this is the final avenue for him.