settled brother against brother sued bank of america is buying stock in m.b.i.a. and giving them one point seven billion dollars they're just one big happy family. give us more money and that's the message that as these the chairwoman delivered to the house appropriations committee today we talk a lot about mary jo white here and today is going to be no different we have a special profile of her later in the show she's been up to a lot recently taking on jobs act implementation in mind in money market reform so it stands to reason that as the she will need a bigger budget right all right let's get to what's in your time and just.

last friday the bureau of labor statistics releases monthly unemployment numbers which beat expectations one hundred sixty five thousand jobs were added to the economy and the unemployment rate ticked down from seven point six to seven point five percent but according to a new york times c.b.s. news poll about half of americans believe that the sequester ation cuts would hurt the economy well earlier i got some input from political commentator sam sachs and from the executive director at the iran institute you're on drugs here's what they had to say. it's really what we're seeing is is is with the sequester cuts and we're just in general the austerity regime that's been implemented in europe and here in the united states is you can see money being taken out of the hands of working people and out of the middle class and i think if you look at the with the economies function they don't function when wealthy people have tons of money they are stocking shelves with goods they function. people have money to spend in their

pockets and go out and spend that more your idea how do you think the question isn't hurting the jobs market well it's not what the jobs market is the economic policies of the last fifteen years we should disaster increased regulation increased government spending increased government borrowing increased taxation that's what's just that's what's hurting the job market what's destroying the u.s. economy would slowing growth every job lost in the public sector is more money in the private sector every job lost in the public sector is one person less doing unproductive activity and more money in the hands of productive people building stuff creating stuff and moving this economy forward so sequestration is helping the economy the problem with it is it's much too small much too little and it's not affecting the real problem which is overregulation over taxation and and a government that's way too big every level i did as wall street about

overregulation as west texas about overregulation i got back to the lower level than they've been in the last week is to moderate your latest industry in the united states wall street is dramatic you regulated it every bank on wall street is regulated by five different regulatory agencies that was true in the two thousand and so what you see today and what you saw during the financial crisis is the consequences of over regulation of taking our time that now i'm glad i have another question or incidents like that that i would have another point i want to bring up that sam had he has argued before that the government nurtures our middle class by rich distributing taxes to fund programs that help the middle class like their medicare food stands on a plane and share and why does the government need to provide these programs and why can't the private sector do this because it doesn't do it i think that's what it comes down to in crowded out because the government has taken over such a big share of these industries no look i mean go democratic governments didn't arise out of nowhere they rose out of the fact that. we've been living for you know

whether it's medieval times or whatever in which wealth was accumulated at the very very top and everybody kind of just got trickled down a little bit of money here and there and if you privileges they didn't have any rights we came gov we have democratic government we have democratic control of our economy to make sure that wealth gets distributed more even evenly and so that the wealth imbalance between the very rich in the very poor is good i think that's what's good for economies if you look right before every previous crash and even the crash in two thousand and seven two thousand and eight they were all preceded by massive wealth inequality where there was nine hundred twenty nine or two thousand and seventy we're still seeing that wealth and you call that a year on whereas where the private sector where. the private sector is being crowded out there is no private sector in america today government is every way government has its fingers on every aspect of our economy even those segments that were relatively free to ten fifteen years ago today be regulated heavily through antitrust and through other means that look at technology look at how google today

is building massive operations in washington d.c. said can lobby effectively because otherwise government is going to destroy them just like they did microsoft so you know that it is no private sector today and to compete to blame anything on the private sector today is ludicrous when government is so involved in every aspect of economy and really this this walk distribution to compare capitalism and to compare the economy the last two hundred years to feudalism is just insanity you know yes in feudalism it was sort of sin it was to kratz and it was to question the rich by exploiting the so it's that is not capitalism in spite of it mocks marx was hmong capitalism is what raises the poor it's no accident that over the last two hundred years the poor in our society have risen up they've risen up into it you know some of them into middle class but even the people who remain poor he says that his consequences of democratic government over the last hundred years here at is not a consequence of government that is a constant. and so of course it is still

a station of capitalism of wealth creation of build the products of creating stuff which government does its best to see to feel with that close and to screw it and you're over it was the middle ground is like the current social security. unemployment insurance the wagon which protected the union organizing the goods how the legislation all of these things that corresponded with the growth of the middle class that's all a coincidence or a student not true historically that wagner act which used to quality and standard of living of americans by raising the cost of living when you force employers to pay their employees what you do is force everybody to pay more for their products and as a consequence everybody stand to be including unionized workers is lower today because of the way because of minimum wage and because of these things that i want to get back i want to get back to a seaquest race and i have a graph of government spending as we can see that total government spending is over

three and a half trillion dollars the deficit is eight hundred forty five billion dollars and we're paying two hundred twenty four billion dollars in n.g.o.s and the question is just around forty four billion i mean this really that look like my eyes when we put into perspective the total amount of what the government is spending and then according to the g.a.o. there's a lot of overlap and duplications within the government i mean how can agencies really get together to streamline these cuts that we don't see hysteria within that government programs that are saying. well look you know the sequester looks small but it's going to have profound effects there are people who need chemotherapy their p. treatment were being turned away there's unemployment benefits that are being cut by ten percent meals on wheels programs are being cut this is real pain for real people and it's also taking money out of the pockets of people who spend money which is the last thing we need when we're in an economy where there's no demand whatsoever you're in you can you can open up. up as much as you want you can stock

as many you can sucker shells with this many products but nobody's going to buy anything if they don't have any money because they're they're losing weight and they're going to buy me a kind of worries if they read it from everybody has to come from somewhere well ok when it comes to the auction the money comes from wealth creation the money all the money all the money in the economy comes from the private sector and then you tax it in the private sector that are sitting on the shrills of dollars of no they're not doing anything with it there is no money out the other than money and wealth created by the private sector all you're doing is redistributing wealth that people in a private sector have created so if you want more wealth if you want to hire stable to be pure one more jobs if you want more people to buy the goods and in the grocery store then you need to create jobs in the private sector not in the public sector because every job created in the public sector requires us to take money from the private sector so it's a neck loss it has to be a net loss to multiple on government spending it's always negative there's no mathematical way it can be positive so if you want to create more what you need to

do is free up the private sector and allow them to invest the capital create some sudden about when i see economies are heading in the private sector is doing just fine corporate profits as a percent of g.d.p. are higher than they've ever been before in the history of america and here we have if you look at the forbes four hundred list and you look at who sits atop of it whether it's the koch brothers the walton family everything they have a.q. they have billions and billions and billions of dollars that they tend to spend in their lifetime or anyone else's lifetime how is that good for an economy because it had gone through a bank and found some rich guy to to make your argument look the fact is that corporate profits are at record highs but cooperations and not the number one wealth created in this country and job created it's a lot of it is small to medium sized businesses that are hurting because they're being regulated and taxed and cope and profits and not being we invested in this economy because of the growth in regulatory state because government is it is in pain ability to create jobs i wish i want as i have a chance to vest that money. create an environment that is friendly to business

that is the solution that more you attack business the more you attack the forbes four hundred the less inclination of those people is going to be too high we're talking about government regulation i want to get another point that sam had mentioned before i see you he said that government regulation regulates the economy to prevent the abuses of the middle class their minimum wage laws they work place saved. but how do you think these programs have really been effective in protecting the middle class were not wage laws minimum wage laws protect union workers and they hodes low income in the city my naivety youths youth are being hurt by this unemployment among young people in the united states today is approaching thirty percent because of minimum wage laws and because of all the labor regulations who do they protect if we raise the minimum wage what we protected the union employees who have their salaries linked to that c.s. that the upper middle class gets even gets even better without even doing anything

but what you really hurting are the conduct of young people were never going to get a job because minimum wage prices them out of the economy and that's a tragedy and this yeah i mean labor unions have power and they have a lot beat but you know give them a lot of benefits or no they don't have power and they don't necessarily which they don't necessarily deserve but it whose expense at the expense of young people and the expense of poor people. that was sam sachs political commentator and you ron brooks the executive director of the iran institute of next i'll be hosting a debate between prime interest producer bob english and mark levine of the inside scoop on the marketplace fairness act that passed the senate last night discussion online retailers charge state sales tax then in the daily job of english and i will talk about what their best point should be regulated or not will be right back.

israel's massive attack near damascus days ago why do syria's raging civil war then there's the issue of chemical weapons should western support of assad's enemies people draw on if it is proven the rebels are using them against their own people.

more news today violence has once again flared up. these are the images the world has been seeing from the streets of canada. giant corporations rule the day.

i. last night the marketplace fairness act passed the senate sixty nine to twenty seven this bill would require online retailers to collect and calculate sales and local taxes on online sales that cross state lines now currently online retailers are only required to collect sales tax and states that have a physical presence i have with me now our t.v. producer bob english here with stockley approach to increasing taxes on small

businesses and mark levine who believes in leveling the playing field with sales tax fairness between online in traditional retailers so mark can you please tell me why you think this though is good for american because first of all this is not a new tax consumers are already required to pay sales taxes or what they call use taxes on the things they buy the question is whether people should be able to cheat and avoid these taxes and people have been cheating and avoiding these taxes house really for about twenty years because even though you are required to pay them most people don't pay them they don't know they're supposed to pay them they don't fill it out on their tax returns what this does is says that best and target don't have to get punished because of amazon or e.-bay or an online retailer it exempts small retailers those that have revenue under a million dollars and they give states sorely needed aid just from the tax cheats what's the problem do you think people are really cheating their taxes here i don't think so i think they have some cover from two different supreme court decisions that came down one forty five years ago and this was basically an out for people that have to pay sales taxes or state sales taxes for these goods that are coming

in and out of the state supreme court kicked it back to congress and said already congress make something of it while forty five forty six years later here we finally are and as to the for. you know as to the question is this twelve billion dollars per year that's going to be generated the supreme court said that people do not have to pay these tales they said they don't have to collect sales taxes they said people still have to pay them because the state law requires you to pay them but the online retailer doesn't have to collect them for you see when you go into a store and people have to pay them but the retailers don't have to collect it and that means that most people aren't paying them because the way you go into a regular store they collect in the cash register you know you pay something a dollar and here's an extra six cents and they charge you then and there the way these works you had to pay a dollar now and six cents later on your tax returns and nobody will do it when you tax something you get last and so do you is this really a time in our economy when we want to stifle sales if you don't like sales taxes then go to your state legislator and tell me cut sales taxes but this idea that

best buy gets punished west state legislators and i sales tax i call one i mean it's the issue that's democracy right if you don't like the democratic prosperity of the summary ok but the answer is these are it simply is fairness across the board the same tax how we should be applying this is this is essentially a progressive tax this is going to hurt middle class middle income families more than the rich i mean how do you justify that. and i actually firmly agree that sales taxes are worse than income taxes you know we democrats tried very hard to get the fair the rich to pay their fair share and they said only if you make the forty thousand dollars are we going to increase your taxes are going to happen based on amazon sells you know the rich paying their states are hurting and the reason they're hurting is because the recession because the reason they're hurting their own money don't they didn't get more for less they did before republicans have cut aid from the federal government to the states and so what are we seeing we're seeing cuts in teachers cut simply soft cuts in bridges and roads and all the things that states do the answer is this tax is already on the books so let's just

apply it for so then we want to pay for teachers went online sales teachers should be paid for with sales taxes sales taxes pay for all kinds of things at the state level the tax cut all. lotteries well not really bring in money to actually to actually the most regressive tax we have. is a supporter of this bill do you think that it's possible that wal-mart is trying to get. people back into their stores i'm not a fan of wal-mart because they don't pay the workers enough so we get a whole topic on wal-mart but the end of the day i don't see why brick and mortar stores should be punished actually they have higher costs they have to get the goods bring them in the store and a lot of people go amazon shopping right they go to best buy they pick out their t.v. and they go to the internet and they buy something on amazon without advantage what's going to prevent unintended consequences like start of companies amazon competitors going to canada going to mexico and you know you don't think this is going to push business outside of united states if you're a startup company if you make a hundred million dollars in sales you're already exempt so that's

a very low bar but it is a low bar in terms of international there's all kind of you know there's nafta there's all kinds of agreements some countries we tax some countries we don't tax that's a different issue at the end of the day it's just a question of fairness make the same businesses pay the same taxes for the same consumers i don't see how making people pay twelve billion dollars a year and sending it even if it is to their state government who might need it more than the federal government the state governments and local governments do not spend wisely they don't know they don't use price signals based on their behavior they wasted a lot of money and the securities and exchange commission is finally looking into harrisburg pennsylvania that was selling fraudulent bonds to investors and this is this is right because across the country if you don't like state sales taxes contact your state legislator tomboys. it should that's the only system we've got it's with churchill said it was the worst system in the world except for all the others so look it's the best we've got the main thing though is to be fair taxes should be applied fairly we shouldn't punish best buy and reward amazon we should charge all retailers the same way and maybe if we do we can actually lower tax rate

and what is the chance of that happening the house i actually think it's got a good shot because i think a lot of small business owners who want everyone to get their fair share you know target can charge less if it is that they're getting. as one has to pay a little bit more so i think you're going to find this will pass the house but it's going to close as well as mark levine from the inside scoop an r.c. producer bob english thanks for talking about you guys thank you i . today mary jo white the newly appointed as he is the chair testified to the house appropriations subcommittee on the as d.c. budget so let's take a look now at mary jo white the woman who was picked to oversee the securities

industry when she was first nominated for the position we saw reports proclaiming mary jo white has a record of tough prosecutions and mary jo white will be a get tough as easy chief to keep wall street in line well maybe she can rail and a whale of a banker like jamie diamond as the u.s. attorney for manhattan she won some high profile cases against mobsters harris and financial probs while securing convictions against the mastermind behind the one nine hundred ninety three bombing of the world trade center and against a mobster john gotti now bad but there is another side to mary jo white one that was made humorously evident during a panel at the n.y.u. school of law. finally to my extreme left we have mary jo white i was currently a partner and head of litigation at the boys in clinton where she seems to represent just about every advantage or institution that has anything to do with any of the financial crisis cases out there what can i say to follow.

since two thousand and two as she has defended some of the biggest names in banking including morgan stanley and bank of america her connections with these big banks matter well in two thousand and ten white grow in emotion some have looked to assign blame for every aspect of the financial crisis even where there is no evidence of misconduct this sounds like a get tough sheriff to keep wall street in line but that's not all she told the huffington post last year and the financial crisis was so expensive and so many people were injured that it's once and seem to think that there must have been massive wrongdoing from the top on down criminal cases must be built on compelling evidence not just positions and evidence of broad based misconduct that would rise to that level it doesn't exist this is the person who will be in charge of overseeing and best a geisha of securities fraud and fraud related to the financial crisis and a letter to the senate banking committee that as you see occupy the as the see also

raise the issue at a former s.e.c. chairman had to recuse himself from many cases that involve his prior clients why because the oath of office every as the the chairman must take this would allow a jamie diamond and begs like his very own at j.p. morgan to receive an extended pass because white defended j.p. morgan from two thousand and ten to two thousand and twelve and several cases relating to the financial crisis and this is how we profile mary jo white our newest as easy chair woman. and it's time for the daily dool joining me is art. producer bob inglis good to see

you again thanks for joining me so evidently quotable bart chilton of the the f.t.c. he added again he's the commissioner of the futures industry regulator he says if anyone is going to regulate big claims it would probably be the c f t c because it might be a commodity that can be used and it's riveted traded on computer so what do you think at this. point well first you've got to love bird chilton because as he said eminently quotable we have a quote the other day that he wanted to put a good to housekeeping stamp of approval on all of them so he has great ambitions for regulating just about everything you know he wants to get his hands on bitcoins and he cited the fact that they're traded on computers that might be derivatives he should be reading the c. f.t.c. about page because it's already regulates money and i just wanted to see if these jobs to save consumers from they had wrongdoing and it's possible that bitcoins

you could be involved tile or you can see where maybe we could put a warning on the package there is no package but what i'm saying is yes there are there is a lot of volatility in bitcoins but that doesn't mean that the c.r.t.c. should unilaterally usurp youth already authority to regulate something that people have created on a voluntary basis that's well known the the algorithm for creating these things is open source and people should be able to trade them freely even knowing that there is volatility all you have to do is open up a chart to figure that out if the creator when he said there is going to be twenty one billion back or twenty one million that's what he wants he's a twenty one million right what if they just make more and now you know your clients aren't worth what you thought they were to begin with and you've had thousands of people pouring over this algorithm and nobody's come to that conclusion so i think it's pretty safe there what will destroy the corning market is closing the bottleneck that is when you have to convert to another currency like the u.s. dollar euro to buy them governments can just arbitrarily shut down at will and i.

that's where they're going and where do you see evidence of that the man who invented the a.t.m. here and he's holed out because of this reason so a big point isn't even people backing it or plugging it but that's all we have time for is names or anything about you. it was a contentious day here on prime interest to tax or not to tax that was the question posed to mark levine and bobby english apparently the marketplace has been unfair to wal-mart amazon merrill lynch versus countrywide verses in the i a oh and by bank of america at least in part all we can say is wow mary jo white can't seem to

make up her mind white shoe law firm or s.c.c. that was surely would not simply have shrugged after watching sam sachs go out with your own rugs from the iran institute and finally bart chilton strapped on his gloves to battle big coins or at least regulate them thanks for watching make sure you come back tomorrow and be sure to follow us on facebook at facebook dot com slash crime and just in rome everyone at prime interest i'm hearing a morning have a great evening.

i think going down of the sun and good morning we will remember that we will.

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gonna make a little. choose your language. kelly mccann but owing to financial planners they sell some of. the consensus to. change the opinions that invigorating to. choose to stories get in the lists choose the access to opportunity.

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