the trick you're still. needs to. make your statement. complete street. take the street grid click. here with r.t.f. how our own parents these are your headlines the syrian government says yes to kofi annan peace plan for a negotiated end to the bloody conflict quarrelling offices and leaders seek a unified front against the assad regime. guarantees or rates a clear choice is delivered to me to move to washington over its missile defense system in europe that's as the russian president summed up the results of the nuclear summit in seoul. and it's not the summit's agenda which grabbed the media's

attention and triggered a storm on capitol hill but a conversation between obama and me the video of which wasn't supposed to go public . i don't be all for me next up it's the kaiser report. well. technology innovation all the developments around russia we've got the future. of this is the cause a report oh we're our own thing until we shall go tallyho states that ever tell us more. hunting for profit joining lloyd blankfein hunt goldman c.e.o. lloyd blankfein reportedly hunting for muppets so c.e.o.

lloyd blankfein told partners in a conference call this week that he's scanning internal e-mails for the term up it and other evidence that employees refer to clients in a derogatory way yeah ok so he's going through everybody's email looking for a muppet in their bedroom is in the bathroom is examining everyone looking for the word muppet looking in the mirror lloyd blankfein that's the biggest muppet of them all you you the muppet the joke son you well two things first of all he's buddies of the n.s.a. i'm sure he could just call them and say i mean all the muppet references from my firm and number two just look at the headlines around the world because that's what we're going to do and you can see muppets everywhere you look first headline the rich versus the see the masses you could call this the rich versus the see the new muppets in a remarkable column in italy's paper of record earlier this week the columnist ernesto galley dalla. played his country's ruling class the country is witnessing

he believes quote a kind of incontinence and exhibitionism without restraint a compulsive acquisitiveness rife within the highest circles of italian society. this mind you after the departure of the highly acquisitive former premier silvio berlusconi only to be replaced by mario monti max a former goldman sachs international advisor yeah i mean what are the views of incontinence there i'm not i'm not sure there's a run of dependence of the italian grocery on what's going on there during confident in what way they're paying their bills or in confidence they're having incontinence probably kind of struggling as well as a sort of berlusconi's specialty well i don't know if you think about it lloyd blankfein and all his muppet masters didn't they have a problem with incontinence and in terms of spewing. deals onto their clients over

and over they couldn't stop spewing now maybe the costs are going to go forward for the white house this is just a handout diapers and dependence of these people on the naked cure their own confidence well the reuters piece you note that the stagnation of middle and working class incomes in many parts of the western world is often turning into real decreases in spending power in so far as that goes on in a fragile improvement in europe and north america may take hold and once again raises all boats or it may not then privileges treats and so the wealth become more and more galling even to moderates not previously given to envy or militancy so noting all of the uprisings happening around the world and the increasingly apparently in italy lots of absurd and gross displays of wealth right right and the theory that there have been placed there is this rising tide theory the rising tide lifts all boats and but by pampering a certain section of the economy the folks that are that are paying for their

reelections of the kleptocrats that this is going to raise all the boats and there's a trickle down mentality again they it hasn't worked yet in forty years but it's go to work some day and. we're going to keep beating the story of the death even though the populations in the street and sooner or later one of us is going to take it out in another most unseemly manner by the muppet hunters by the muppet hunters well i mean they know it's also in the article that a lot of the largest the most extravagant wealth seems to coincide with having very close connections with whoever's in power in italy itself of course it is the goldman sachs former advisor who heads the government unelected head of government in the e.c.b. it's headed by former goldman sachs guy mario dragging so then they point to china where they say protests in china are building and they shake their leadership in

a press conference broadcast live on chinese state television earlier this month the retiring wen jiabao warned that the growing wealth gap corruption and increasing hatred of this state could jeopardize the economic gains started in lee he warned that mistakes like the cultural revolution may happen again any government official or party member with a sense of responsibility should recognize this oh if we see the cultural revolution happening all over all over the world even in america that case in florida where some patrolled neighborhood patrol shot a kid to death because he was paranoid that the kid mine in some way be doing something that went against florida which is ultra right wing jeb bush lead nonsense but he killed a kid the investigation that's the cultural revolution lead get the citizens to kill each other and then just let them do it you know this is a way to get get rid of the have to pay benefits anymore do you know that that's

one less benefit to paying their kid is dead well let's go back to the stories here because you have china this rising wealth and income gap you know hank paulson led goldman sachs into china in italy you have not only the head of government being. from goldman sachs but you have municipalities across italy bankrupt as been covered before because of j.p. morgan selling them interest rate swaps that have now exploded in devastated cities and municipalities now let's look at what interest rates thoughts are doing not just to municipalities and the you know the treasurer's and the people in charge of who are supposed to be sophisticated of running these towns and treasuries are sold complex swap to nineteen year old first time landlord so amateur property investors are caught up in the growing controversy over the sale of complex interest rate swaps to small firms that has emerged they use the example of one budding investor

jessica neurology now twenty three from bolton she ended up with a more its highs in the straight collar swap even though she did not take out the loan it was meant to protect so she was forced by r.b.s. royal bank of scotland now owned by the government to take out an interest rate swap she took it out but then they rejected her for the loan so for the last few years she's been picking this interest rates up between the not time of her being nineteen and twenty three to the point where it just keeps getting worse and worse for her the payments and she's now thirty six thousand pounds in debt because they keep taking this money from her account but they basically cold called her and they forced her to buy this product that was used conscripted she was forced to serve in the army a legitimate banking products and amortization of a dollar. and this is just basically a way to get young person and sort of study them to the front line in afghanistan or iraq you put it on one of these products they're now conscripted they're in this

bind where they're giving their life essentially for the glory of the banks or the cultural revolution the banks are glorious letters letters revel in the glory of the banks to you to give away your life gets sucked into. so these are products of the same kind of pretense you know by product that we're going to fight al qaeda by an advertising dollar swap you know total nonsense it's immoral it's illegal this poor person is now going to be facing a lifetime of onerous debts but it's all for the glory of the glorious pranksters as part of the cultural revolution well i'll tell you what it reminded me of is remember that banker in australia that kidnapped a teenage girl in australia tied a collar and exploded in cholera real genuine one around her neck and held her hostage in head and sent a ransom note to her parents this is the equivalent of that max it's a collar swap it's just as much as a terrorist act against this young girl and yet they get away with it because this

falls under financial services and g.d.p. booster that's the financial services somehow this is part of the crusade to stamp out the bad guys gains that there's an inquisition going on and that if you're a young person and don't read the fine print of the bond you have to give your life to fight the bad guys and then another headline along this young people being i am trapped by banking terrorist student bar worst lack understanding of loan terms almost two thirds of u.s. students loan borrowers mis understood or were surprised by aspects of their loans or their student loan process a study shows the respondents had an average of seventy six thousand dollars in student debt and remember put this into context of a banking sector that is looking for muppets that's right well they go younger and younger because the senior citizens are blown out because of the lack of return in

retirement account because interest rates it is zero percent then you've got the students they've been destroyed because of the onerous student a trillion in the u.s. for example they're all their lives are destroyed they've got the high school students now basically are going to be wiped out because of the municipality of functions in the road. loads of the basic services are destroyed by these banks and you know the kids to be wiped down to get to indentured servitude where you're born into debt your debt slaves you're born into debt you die to death this is how this creeping sir crawling indentured servitude going down the generational gap all the way down until you get to the to the to the birth stage well many in the population will have no sympathy for the students their argument is that they should have known better these people are the ones who took out the loans i didn't i was sensible i did this i did that but the way capitalism used to work max was that the banker lent to a person but they each took a risk the banker is the one who had the most risk they had to know for sure that

the person could pay back in the us in the student loan market students could never escape those debts if they live to one hundred five those debts will be with them no matter what they'll have to pay those banks back now this is relevant to this quote here where haley which set the study's author and senior analyst in philadelphia near economic consulting said there are many indebted graduates whose assumptions about how they would deal with their loans after college proved inaccurate so there you have a situation where the loan provider didn't even have to consider the assumptions of whether this person could ever pay it back no not at all to the lender does a kid goes loan on their books they're not was if in fact there's any trouble at all they can all as blackmail the government for a bail out as they do so the the person taking on the debt is again they're being sent to the frontline in a financial war that sort of trench warfare this is banking trauma warfare and

they die in those in those trenches but they're considered glorious they died for the glory of citibank well speaking of glory now here's an front page of the atlantic and it's the hero ben bernanke you see. of the global economy so why does everyone hate now talk about markets they're presuming that we are all not that and they're saying the left hates the right heat some even more but ben bernanke you see that the economy has navigated masterfully through the most trying of time well he's simply expanded the balance sheet of the federal reserve bank by trillions and trillions of dollars as a fake it to make it and the idea being that well we'll just park trillions of dollars of debt on the balance sheet and then through growth that will come in the future this debt will never have to be paid but of course for that growth to materialize you have to get rid of the interest cost on the debt which is not going

to happen so there will be no growth coming down the road but there is austerity and real austerity so the people in the us who are suffering because of bernie they're not given any voice whatsoever they're just considered to be off the radar and we don't talk about them there early on was there the untouchables there are the underclass america now has a permanent underclass i think that's what needs to be said is that grammar night you zero in the us to consider the millions and millions of people who strolled under the bus and then maybe he's not so heroic all right thanks very much thanks so much for being on the kaiser report. dangerous all right well stay right there much more coming your way.

i'm max foster welcome back to the kinds of reports i'm not to go to scottsdale arizona and talk with former radio show host a new york times best selling author charles going yet author of the new book red and blue and broke all over charles welcome to the kaiser report thanks it's great to speak to you again thank you for having me on charles' america is broke why does it matter if the rest of the world continues to provide it with a free lunch yeah how long is that going to go on you know it reminds me of her son who said it's ok to go on it won't. you don't it's been a pretty good game while it lasted and we've all been the beneficiaries of the

dollar reserve standard debts all the sleep great in down the dollars written down on every front the american economy is breaking down the american people are becoming more poor we're moving backwards the american dream has faded i promise max that i won't use any more statistics but i just say this with the book is red and blue and broke all over not only is the country broke with the red party and the blue parties are intellectually and morally bankrupt and you know we've had you know back and forth between red and blue and blue and red and still over the course of forty years according to the milken institute study you know the middle class media median incomes for american in a work forty years then with a college degree down twelve percent middle the high school diploma only down forty seven percent there are america agree i want to talk to counter-argument here for a second during a crisis the federal reserve expanded its balance sheet by three trillion dollars during the european crisis the european central bank has expanded its balance sheet by about three trillion euros the bank of england bank of japan are all expanding

their balance sheets. and in so doing they are supporting the dollar they are creating a market where the dollar is never allowed to find its true price no matter how many people go to jail no matter what the unemployment rate is no matter how bad wages are no matter how disgusting the social inequality gets the dollar is a made currency is protected by the central bank mafia it can f. with the dollar or you could be accused of some crime and end up in the prison industrial complex tell me why that's not true well you know actually you're right of the dollar it was the beneficiary of the fact that everybody else is doing is doing the same good but you know it doesn't matter to the american people in my view whether the dollar is up today against against the euro or some other fee awkward currency people who don't look at the exchange rate of the dollar index when they go to work in the morning when the alarm clock goes off people work and save for what the dollar will buy them and you're right you know the monetary base

has exploded it's like a hockey stick graph and it's you know it's been it's become a wobbling only on the balance sheet of the fed you know a critical mass sitting there and now the containment unit is starting to breach and it's starting to leak out into the economy and we're seeing it already in gas prices and grocery prices and so on and so you know this is not i mean do they think next who they think that they can create a couple of trillion dollars to bail out the banks just create a couple of trillion dollars so you know to buy american debt and that there would be no consequences of this what kind of man who says that well again the headlines of today's papers are that wall street profits to this year two thousand and twelve are going to hit record highs and the bonus paul is going to hit record bonuses out the gas price up twenty or thirty percent food at ten percent it's meaningless doesn't gain any difference to the people who run america and as far as the people being victimized by all of this who cares the. just fricken besant peasants are

gonna doesn't balance my advice to give a flying hoot about the peasants yeah you're absolutely right except i'm one of them i guess but i do know i deal with this in the book red blue group all over i talk about you know crony capitalism in the splicing of of corporate and government all d.n.a. in this way and the you know the toxic brew that it creates and it's true that the cronies are made better off with the whole country was destroyed so they're going to inherit you know they're going to inherit a little missa party with a broken country that has less opportunity less up prosperity among the masses you're right they need to very well in their insulated communities but it at some point you know the peasants the peasants call ace hardware store and ask what's the price of a pitchfork ok for australia at the present the peasants out a bit of an uprising last year occupy wall street then the winter came and they had to come back in the mommy's basement and cuddle up for the winter now it's spring time and they're back on the streets rabble rousing and waving placards and having

sex and tents and the kind of park what tactics can anybody into me and madge and pitchforks metaphorically we do on this show as well the teens but there hasn't been any traction on that whatsoever i mean while on the top one percent they finance wars they go into foreign countries they commit heinous acts of dismemberment murder and mayhem and they spend a lot of money right so if you see any i could tell none of the fence mending goes a better effect it goes for example in the ryan plan the other day yesterday he goes absolutely untouched it's true it's basically become a country and the people don't get it and they're still partisan and they're still loyal to either the warfare state or the you know well first day and so things will continue to deteriorate i don't know exactly next wouldn't you know when when we reach a threshold a critical mass in which the people just stop but you notice the stuff that you don't just create a big piles up to it's such a way you know you think that there's going to be

a collapse of some sort. in the people's attitude toward this i mean how could anybody watch the director of the f.b.i. in congressional testimony in the asking now could the president of the united states you know unilaterally order the assassination of other american so severe i don't even soil inside the country any order american he said i saluted and the head of the f.b.i. says all have to chip bill will have to check and then you know the same week john mccain is running around he's never met a war that he didn't like and he's saying well we've been paid syria we need to go to war in syria and he's haranguing the president you know you're not a real man if you don't invade syria or pick it at some point the american people have got to realize that the constitution says of john mccain wants a war in syria he can damn well introduce a declaration of war as a member of the united states senate and then we can debate where the view and these are in syria and go through it begin how much we're going to spend over the enemy is what victory consists of and when we can really. is long as the people are willing to be flimflammed by the john mccains of the director of the f.b.i.

is that the red party in the blue party you know their lives will continue to deteriorate i tried to draw what should be self evident parallel between people's appreciation for freedom freedom from all of the state may have less freedom for the governing classes and their prosperity and if they get sick and tired of their waning prosperity in they want to do something about it then they're going to have to attend to the issue of their freedom so these same cloth thirsty folks they're the passons who aren't can't look at themselves but they want to go kill some other somebody else they also pretend that president obama is magically making oil prices rise and right and it's not had they do with iran and or money printing it's all his doing through this machinations and magical incantations your thoughts this is typical i think pelosi said it best she said oh it's you know it's those of those evil speculators and i thought what she going to trot out next the gnome's absurd you know you know this man would close a great example i mean she's the one that the. it was the other day she came out

with some keynesian nonsense about l. o. unemployment checks you know create demand in the economy that really good for our economy and she's the one that said if you don't care bill we have to pass this bill in order. in order to find out what's in it so i you know i'm surrounded by i've met this man actually you know you're right you have a good right you haven't been up against the wall and still you know i think there's something going on in america and it may not be you know my generation or may not be another jew but clearly look i talked with ron paul back in the eighty's about creating a committee to abolish the fair you know it's one small step for mankind and you know we talk about it would never have gotten an attraction at the time but today you know it's out there on the campaign trail of mitt romney shows up at the high school julie has told supporters there and then later that day ron paul comes the high school generally are packed to the rafters and the kids are shouted in the fridge and the bread and the bread so i mean there's there's something going on and it may not happen it may not transpire as quickly as i like would we be go through

this very difficult period and as often happens things turn out to be much worse on the other side of do you know the record in certainly decade happened but you know i think it's kind of enjoyed the fight to tell which are now sure there's some traction for ron paul but i'm let's take a look that last few months when occupy wall street when they found jamie diamond on his upper east side apartment and they surrounded his apartment and they say come out jamie come out the next couple of links jamie stole one point two billion from m.f. global customers as a way to show that he's got the power and if you attack me i can reach into your account your chase manhattan account and i can still your money with impunity no investigation no questions asked so it's like you know the israel palestine situation right every time israel wants to show the world their strength they just kill a few palestinians and say test a price tag for challenging r r r. here in the region so it's the jamie dimon price

tag if you attack wall street now just kill your money so where does that get anybody i mean their service a lot of people understand the fed is now criminal racket but so what i mean they'll just tell your money they still your money off of the charles goyette which you have you keep your money in a bank america by the way you did you do that i keep my money in a variety of different places and i guess that's a book. about it but the look of course of course you're right and things always look very very dark and i you know i wrote a book that tells the american people if you don't understand how you're being poisoned by the machinations of the state if you don't understand that so you're partisanship is being used to destroy you if you don't understand that the you know the occupiers you don't understand with the bailouts and the crony capitalism in the wealth transfer here on in the tea party people have some sort of incipient understanding that that stuff is wrong too if they can shed their partisanship and and realize that they are all being equally fleeced when there's an opportunity to

you know maybe they will raise their pitchforks and stormed the castle gates right well ok we've got about thirty seconds left let me ask is the size of the cuts another way to solve the debt problem is to grow the u.s. economy however seems increasingly stymied by congress and fraudsters monopolists all operating rackets protected by the government so is the move barrick way the only way out and by this i mean what we're saying here is does the u.s. need a regime change and not necessarily the current occupant of the white house but the entire crony class itself needs to be swept away yeah i mean people need people need to shed the illusion that the state is the provider of all blessings of the staters state is the provider of their prosperity the illusion that the state has product problem solving the capabilities the status i wrote a piece today that you settled the poll and if you meet the buddha on the road kill

it in which. the state is the glue if you're on the road to restored a prosperity on the road to restore your freedom and you meet the state with a state solution along the road you've got to kill the state that's the only solution you've got to show the steady. short of it of course nothing's going to work there hasn't been a state in america since lyndon johnson it's been run by kleptocrats a banker sense starting with nixon going off the gold standard closing the goldwyn doubt there is no state in america let's be clear you've got peasants and you've got banks there's the state is left the building i'd love to see an operating full functioning responsive all representational government but it doesn't exist and that's why the country is not worth that that's it's doesn't pay all right well right it's on throws going it thanks so much for being on the kaiser report maybe it's good to speak with you thank you very much all right not going to do it for this edition of the kaiser report with me max kaiser as they server and i want to thank my guests trials going at its rawest i mean email please is our kaiser report

r t t v are you until next time ask either saying.