corporations simply vacuum up all the equity and take no risk with 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 that labor office space the

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 the 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 the smart 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. are 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 barack. they've been overthrown more last 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

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 sir 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 bottling costs of the egyptian government are getting very high so people know we're expecting a fiscal or possibly a 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 i. d.-o.

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 has 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 foreign desert 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 is really is no alternative for as an individual or as a country there is 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 for their people as mubarak and the 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. 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 either stop on line piracy act and related intellectual property laws that are attacking the internet from the corporate side the core protest want total control of the internet and is that a fair statement are is this a case of the core protest who are attacking the innovators the entrepreneurs of the free marketeers do you see this playing out as as an extension really of this global insurrection absolutely i think it's what 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 in the internet 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 enforced upon them upon which was

that they should read which website is used for their email 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 understand about whether on whether people want to click on them and people want to view them with a fairly or 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 this. 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 of 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 the technology is allowing us in more and more ways to cut 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 little it 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 hollywood is an important part of the u.s. economy was asleep you know it's a tiny part of the u.s. economy it's a stunning 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 are you next time ask either saying.

a spy is saw the father of a former f.s.b. officer poisoned in london six years ago says accusing vladimir putin of the death was a mistake r.t. gets the story first. considers a new draft of a resolution on syria which softens calls for president assad to step down following criticism from russia. moscow also says that facts should not be cherry picked when it comes to the arab league observers. which lays the blame on both sides of the syrian conflict all the details just ahead in the program. and

egyptian police part of a group of protesters in cairo with live pictures of a rally that's being held at the moment in the wake of football violence which left over seventy dead our top stories this hour. international news and comment live from moscow this is good to have you with us this hour in an unexpected change of heart the father of a former f.s.b. officer poisoned in london in two thousand and six has backtracked on accusations that russian president vladimir putin was responsible for his son's death. said his claims were driven by hatred saying he had no idea his son alexander worked for british intelligence. went to meet him. but is.

this is how we found life that lead me and co praying in his tiny italian apartment no electricity no gas no cold water what. if it wasn't for the help of his people i would have died from hunger over a reason to death the last time i took a bath was on christmas eve. we expected more because six years ago after his son former f.s.b. officer alexander litvinenko was poisoned in london he was taken care of by some very powerful patrons like suffix out tycoon boris berezovsky and ahmed zakayev and a tourist former chechen militant both hiding in the u.k. . what you've smoked three of them we brought. here to get extremist young dorsett there and he's given you're pretty here doris you will be. one by three libyan and co sent

a letter asking to be interviewed by russian television we expected more of the same but instead. we're going to be made. if you're watching this program please forgive me for all of the slander the times said and wrote about all the hate you know how do you know only i had known my son worked for british intelligence you would not talk about his death he could easily have been shot as a double agent should be short of story what else can i answer the. only with. the u.-turn vaulters says came when his sons we don't marina been and co revealed to the british media that her husband had worked for and my six further details followed when a newspaper launched its own investigation alexander litvinenko was receiving a retainer of around two thousand pounds a month from the british security services at the time he was murdered it is understood that sir john scarlett now head of m i six and was based in moscow was

involved in recruiting him to the secret intelligence service. at first by turnitin and cole like many others claimed his son had been poisoned with polonium to town on put in the former f.s.b. officer and fierce critic of the kremlin alexander litvinenko spent twenty three days in a london clinic slowly dying from a toxic substance possibly consumed through a cup of tea even before police in london started questioning suspects the victim's father was actively kucing the russian government today by their admits he was saying only what the west wanted to hear. of course i realize russia's f.s.b. and the media you have to take polonium to london sprinkle it over some heads and leave traces everywhere and they're suspect. you're not a fool either way it was anger and blind hatred speaking inside of me viger now believes his son fell victim to his own game of double agents now he wants his

words to be heard but the media outside russia which once beat down his door for interviews now won't even reply. to his requests. why is that what you mean because they like it when i see all of the regime i was a root treasure for their move on the whole there are very few people who would say as many horrible things about simple because i do. live in two thousand and eight but the only thing young call flat russia or sanctuary need to leave is settled in the sleeping quiet town of sinegal it offered a new anonymous life the man claimed putin was his number one enemy so hiding in europe he believed was the only safe solution today was the litvinenko is still afraid to open this door not because of putin though but because of his landlord to whom he owes a lot of money this miserable life has made him a slave of his century but surely the namco sold everything he had in russia to come to italy he opened

a small business several years ago but it went bankrupt things got worse after the seventy three year old had buried his wife but are now fears here casket could be removed because he hasn't paid the cost of a barrel plot and it's been months since the electricity was shot on your to his plot to last for two euros went on a gas canister and that is gone to no good in the work of the your name this is how most of us talk at the number of doing to let the southern wind in sight. there is east oh yes russia. live in the pressure of. i want to go home to russia. i don't want to stay here. r t the city ghalia eataly.

the draft resolution on syria under discussion of the un security council is being self and to take into account russian concerns it's not going to have references to president assad stepping down and an embargo removed from the tax season is targeting the join me now with more details live from new york so why is such a change at the u.n. anastasio. below moves definitely seem to be shifting over here at the united nations headquarters you know amidst screams trying to attack russia for being counterproductive for blocking this arab and western resolution it looks like russia has really been a game changer behind closed doors and it looks like its voice has definitely. changed the game altogether we're hearing that considering the fact that russia and china have been very expressive in saying that they would not support every scene change resolution against syria that a new document has been circulated among members of the security council this is

according to the permanent representative of togo at the united nations the country which is presiding at the security council this month that this document is now being considered in thursday's negotiations and it's important at this entire time russia has been saying what's key is for both sides of the conflict to get together for talks and in statements made earlier today the representative of togo said that the international community believes this to be very important in finding a solution to the crisis that the sides sit together and talk and this is exactly what russia has been calling for all along now there are no deadlines in terms of when any sort of documents would be voted on we are hearing that it's possible that monday is being considered as one of the days when a vote might take place and this does your russia also want to follow news of the arab league report which is the fact that the armed groups did exist which one part of the government forces involved in killing is involved and they want that to be taken into account at the u.n. is there any sign of that. absolutely bill you know with this new kind of shifting

mood this is one of the things that we can assume because the arab league observers mission documents basically accused both sides of the conflict of being responsible and this is something that the west and the arab league have kind of been turning a blind a blind eye on and trying to not really bring to light some of these facts such as the observer mission seeing that they've witnessed. a civilian boss killing eight people a bombing taking place that killed eight people as well as a bombing of a train bringing diesel oil as well as an explosion of the of a police bus and this is something that the mission put in their report on the west and the arab league have kind of tried to brush aside and russia's been saying it's very important that this document acknowledges that armed forces and an armed groups exist on the ground and this is something that seems to be taken into account now with this possibility of a new document being considered at the u.n. and this does you thanks so much for that live update from new york. and dr marcus

papadopoulos the editor of politics first magazine has told r.t. that is not in western interest to listen to the report's findings. western interest in the conflict in syria isn't guided by wanting to advance human rights democracy or the rule of law in the region if it was about that then we'd probably see an american naval flotilla off the coast of saudi arabia which happens to be one of the most repressive and brutal regimes in the world but it follows a pro western foreign policy the reason why western governments are we can all in the findings of the report is because it doesn't fit into their agenda syria is a huge player in the in middle eastern politics and the west principally america has a very problematic relationship with syria so it would be very much within america's interests for the syrian government for president assad to fall from power and for

a more accommodating a more sort of pro western government to come to parallel should that happen. that would give a washington almost food dominance politically in the middle weights and it's what i would describe as a jewish chess board so it's not within the interests of western powers principally america to take into account what has been actually said in the in the reports of the arab league. coming up this hour here on r.t. the whistle blows final appeal. it's now lies with the u.k. supreme court after he makes his extradition appeal before judges he's wanted in this we did it on allegations of sexual assaults. police have fired tear gas at a group of protesters in cairo there are reports of hundreds injured they have been running against the way security services handled the riot at a football match on wednesday which saw more than seventy people killed fans rushed

onto the field in the seaside city of port side after the home team beat egypt's top club setting off clashes and a stampede does not talk to mark almond he's a professor of international relations from bill kent university turkey also oxford university from where he joins us now egypt has a history of football violence and the head of egypt's football association and other officials have been sacked as a result of this violence but is there more to this just rivalry between fans well it might just have been rivalry between fans to enjoy an extreme form because what has now happened is that it's been interpreted politically and there are basically two. conspiracy versions which may cause ability one is that the government. wants chaos in order to say only the army can save the other is that there are people who want to say look we people will be running egypt for the last year since we aren't up to the job we need

a complete change we need to get rid of the military and both of those documents have some calls ability but no concrete evidence. and of course that perhaps explains why many people are very upset with the police accusing them of letting these football clashes taking place i mean if that's true why would they have done nothing. well i think that there are two possibilities smaller if it is simply the police are very demoralized they took a beating if you like of the full bore i thought they were seen as the chief defenders of his regime and the army eventually to be to get rid of him and much of the social order problems in egypt crime attacks on tourists attacks on ordinary people. often are blamed on the fact the police seem to be tomorrow's to do much and many people have said that this lisa said had reacted with a heavy hand stop this as it got going we would've been accused of being actions on the other hand there are also people who say the police of course typically just like the alacrity and who are part of the revolutionary crowds back in january last

year and may well who wanted some of the peace may well want to see them take a beating that's also one of the theories i suspect that the tragedy of the situation is the police are probably very incompetent and demoralized they're incompetent behavior led to huge numbers of deaths and in turn has set fire to the imagination of people who want to believe that such a tragedy must have a deeper reason than just uncomfortable because all this has now resulted on more protests and more what could be violent scenes in cairo itself i mean we hear now that the police are using tear gas to disperse crowds could the country be heading for yet another full scale uprising. we're all chaos yes so this seems to be a problem as i say that maybe people want to use this for their own purposes but on the one hand the muslim brotherhood has accused the government of failing at being in some way responsible for the riots they won the elections to parliament they want to quit transfer of power to them on the other hand quite

a few of the streets protesting on happy about the muslim brotherhood victory in the elections and they may feel that disorder on the streets might give them more insurance that they have actually the electorate at launch and then as i say that maybe people who say we need a firm hand in you can provide it but it either way it's not a happy prospect for a smooth transition to a better egypt and a very uncertain my objections at the moment compared to what it was like before the fall of mubarak what does this tell us about the future now then. when i think that is the big danger isn't it we can see tourism is taking a huge hit and we'll have. the last twenty four hours it's also the general economy is not doing very well and egypt is approaching banks. well we just managed to get actively in chaos and. yes we did just manage to get that almost at last and so i think we've just lost the connection there. we pretty much got there

thank you very much indeed sorry about the problems with webcams that we had pretty much everything michael and thanks for joining us there from oxford university thank you. iran's nuclear ambitions and the euro zone's debt struggles top the german chancellor's agenda on her trip to china angela merkel is calling on beijing the biggest part of iranian oil not to buy more after bargain to use its influence to persuade to run to abandon any possible atomic weapons ambitions she also wants to offer reassurance that investing in the eurozone is still a safe bet and is going on in this crystal for still believes getting support for germany's economy is the main reason for the trip. howard chancellor is under triple begging to if she wants money for europe she once you know a support from beijing for the new un resolution which beijing is not going to give and she also wants beijing to cut off its own oil supply which beijing is widely not going to do and of course beijing has also to take into consideration that

india its competition in the region is standing straight with iran and buying ever more rain in oil so i don't think she has any chance of you know talking china out after buying uranium oil that will not happen again i would say she will not put any much focus on it she will she will say that she will look to the ceiling and then she was smile and say let's talk business now her main focus in this trip is the german economy and she's wise to do that she will even not you know lobby very much for chinese investment into europe because she knows in our heart of hearts that this is truly a bad investment and more analysis on the chancellor's visit to china is available on our website r.t. dot com and online all the time the pain of see what else is there for you. water points inside japan's crippled fukushima nuclear plant despite warnings made months ago that he.