i'm in ecuador and preparation for blowback by the u.s. president i'm back with your preemptively we now know a trade pack up for discussion in congress with his representatives saying it was a new and a blackmail the economic impact could be servier half of ecuador the export market depends on the u.s. but the pact already face in our pair of household battle for renewal according to usa today noted as purported to be any moscow airport after flying from hong kong on sunday no need to shrug this off as a one off whistle blower as they are we have an interview with the producer of the atlas shrugged movie john actually a lauro to share in just a bit. ok back to the way a show of the european sovereign debt trade one john corazon painted the brokerage firm m.f. global just under two years ago and their futures and history regulator the c f t c finally decided to bring charges civil though they may be but in

a damning complaint filed and federal court yesterday a former new jersey senator and governor is alleged to have had a hand and the one point six billion dollars loss of customers and these are civil charges not criminal and the trustee of the bankruptcy was who used to be an f.b.i. director and recently requested to be removed from the kates so is the past being set for a course on the prison sentence to see we talking with mark jordan of the misses institute about this and other matters and just a bit. and here is what's in your. russian

born and moved to the united states in one nine hundred twenty six and became an iconic author and philosopher her magnum opus was atlas shrugged which convinced us that self interest is in everyone's prime interest and the novel has been made into a three part movie part two was released last year and part three is currently under production earlier i spoke with john aglio lauro the chairman of un holdings and the producer of the movies the title of part three is a is a which is plato's law of identity i first asked him about iran's philosophy objectivism and how it fits into atlas shrugged. let's try to do objectivism and one more. individual. and the other side of that would be government or collective it so in the individual as a. versus collective it's objectivism versus government and

collectivism is. it's a problem because it stifles innovation freedom individual. so it's just the role of people interacting with people without the government. giving in between all that well there's a role for government i mean they should be there to protect the individual. they should be there to defend the individual against foreigners but attack them and so forth you need courts you need regulation in that sense but separation of church and state has been a good thing for the world and separation of the economy and government that's really the goal now. there's a fine line there. but you got to get through it now another book that i ran wrote is the virtue of selfishness which she talks about and atlas shrugged as well and obama. has openly criticized let's take

a look at. the socialistic. one. i want to make a virtue out of selfishness. is this theme of the virtue of selfishness adequately protected in the movie. will be portrayed in the movie but it's not adequately for trade in general society i think i think i had a bad hair day when she said selfishness and she was tired of having to defend but of course what she meant was ethical self-interest rational reason self-interest self-interest in the sense that you can benefit society when you benefit yourself first if everybody seriously. dug deep and got the best out

of themselves and for the most part realize what those aspirations in one's life were. they'd all be productive they'd all be employers or being actively involved in a profession and they would be helping society in general but what always comes to my mind i think if that's when you're on the airplane and they always tell you something happens put the mask on yourself first before you help somebody else and that just makes you know your first then you can help your child and so when you ethically honestly integrity. work toward your aspirations what gives you passion. we say a great artist a violinist pianist when you're passionately involved that guy has no time for anybody else every time you look at him he's practicing practicing and he's totally absorbed in his profession he's not an easy he's not an evil guy he's involved in brash and self-interest to be the best. pianist he could become so and

that's that's the sense that meant it was a good thing that she developed the free self interest and selfishness unfortunately the negative connotations were taken from that and. all too easily attack i know and also said that the government is the most dangerous threat to man's rights and recently what's going on with snow day and what i say and what's come forward to the public now how does the spend to the relevance of what she wrote about in the fifty's she expected government to be. as i said something that protects the individual not gives the individual problems and unfortunately there's a good intention here but between the f d a and one of the national thing after another we're trying really constantly trying to monitor any navigate after yeah we're trying to navigate people's lives and people need to navigate their own lives

you need to be honest one thing. clearly you should not initiate force against someone else you should not harm someone else it gets back to when your guard don't hit the other kids don't touch their stuff and they go roll golden rule you're now in part three john galt is finally identified and you're wearing the tie who is john paul in this phrase is constantly thrown out during part one and two of the nobody actually knows who he is so what does this phrase represent. it's giving up it's who is john galt who knows it's going to happen anyway we have no control over ourselves we have no control over what the government's going to do what faith is going to hand us so why fight who was john. and who is going to play john go in part three would you like me to tell you if you know. i'll tell you off camera ok well tell me this much air. are you looking for somebody who

accurately portrays who he is in the books are you looking for a true objectivists to play the role we need to have professional actors first it would be wonderful if the major actors read the book we're certainly going to encourage them in doing the studies that they would do for character portrayal any way to read it but it would be lovely if they came in and even had a negative opinion but an opinion i learned opinion judgment about it but we're going to start casting probably it will be in on the who will play the role of john and go ok well you know there's not a lot of objectivists in hollywood at all and you know another thing that iran talks. and hollywood actors are paid very well and you know in the end society teaches us that money is bad do you think that this has anything to do with the fact that hollywood has so many collectivist well you know there's an old saying it's. it's. it's it's in the water

it's in the genes in this case i think collectivism iran talked about a way back when she was in russia and when she was a young teenager and was thinking and writing about things she said that people like that. are. trapped and they just can't get away from. the what's in their genes intellectuals are artists there's something in the water there's something in the genes there where they have a collectivist mentality you'll see it in every election in most countries i can't give you an explanation however you look at the artists intellectuals as a class they tend to politically go left well not only are doing just. collective

us in hollywood but they take a step further and they watch attacks on capitalism and hollywood for example fracking it we just had this movie by matt damon that came out that promised land your anti fracking movie and he said openly weber oh you know why do you think it is that you know we have these attacks on hollywood if you think you're old could play any role in this well. again it's comes out from one's philosophic thinking at a very young age and some people simply feel believe deeply that the government is the answer to running a society and others say wait a minute government should protect the individual but people need to run their own society individuals need to be the entrepreneur words of their own lives and that is a philosophical divide that we're going to work through for a long long time. so when it when can we expect the movie to be out. at this point we're still looking at happens to be a friday july fourth two thousand and fourteen friday that's what we're shooting

for independence day you know any any reason why you put it on independence day well we want one of the give ourselves more time in part one i had restrictions. because we had the expiration of the rights for coming up with part two. i did except a few financings from other people and i did say to them we would try to get the movie out before the election so it came out in october two thousand and twelve part three there are no restrictions we've got budget we've got a good script in the making we're going to take our time and have it because philosophically. directed as if iran were sitting there in the director's chair so we're absolutely looking forward to it thank you so much on. cue.

if you give bob inglis talks a bad policy if snowden leaks an ecuadorian trade policy it was senior fellow at the missus insisted mark story is how many billions in mike in the fed it cost the taxpayer and then bob and i go over a keg or add to that. interview .

choose your language call it we can with. some of. the consensus to. choose the opinions that you think. choose the stories but in. truth be access to. i. i.

i i. i i. it's a been a fiery week full of pressing some would say deep pressing economic issues with the fed talk of tapering scaring down the markets then strategic press releases talking the markets back up again we have the saga of edward snowden and that is glued us to our seats as we try to figure out just how much uncle sam has the goods on all of us and just when you thought m.f. global was no longer a household word the goldman sachs lead see f.t.c. finally and i emphasize finally goes after the very man who threw the entire futures industry into disarray this would be john corazon to talk about all of this and more is senior fellow at the lou big bunmi says academy mark thorton mark thank you for joining us good afternoon bob it's great to be with you well let's jump

into this snowden affair we have a critical trade agreement right now that ecuador has renounced and what implications does this have for the financial markets if any. well the implications for financial markets in the general economy are all negative of course the fact that n.s.a. is in invaded our rights and invaded our privacy and the fact that congress who seen the n.s.a. testimony says that we've only seen the tip of the iceberg means that this is a triple negative for the economy look at the strong arm tech companies and to releasing their customer data you know and that's going to upset them it's going to make them lose confidence and it's going to make them reconsider placing jobs in facilities here in the u.s. when they can go to other countries where privacy and information are respected. by the governments and so it's going to lose jobs for the economy and these are the good high pain jobs in the economy and of course with all this data running loose

and where a small person in the private company like edward snowden can access your e-mail can read your e-mail can look at your phone records and listen in on your phone calls this opens up things like the possibility of insider trading on a massive scale and then of course in terms of foreign relations you have major implications here regarding trade regulations and interactions between countries we were already involving the united states china hong kong russia cuba ecuador and other countries are involved in all this and of course were spying on our enemies which can be expected but we're also spying on our friends that's been released by snowden so this is going to hurt foreign relations and trade relations . and it could lead to increased tensions with a currency war that's going on right now where the u.s.

the european union china and other countries especially japan are massively inflating their money supply in an attempt to drive down the value of their currency in order to increase trade so these are all tied together it's all negative it's going to have a negative impact on the economy as well as foreign relations and trade relations well let's talk about this currency war japan in particular is aiming to double their monetary base within two years and initially it had a devastating effect on the yen it was going down but that's actually what they wanted i mean is that what central bank policy should be doing is to devalue the currency and why why would they aim to do that in the first place well no it shouldn't be done that way at all it's called beggar thy neighbor policy where you try to make your neighbor worse off by. inflating your money. driving down the value of your dollar so it makes your exports look better and initially there is

a positive response in japan has received this positive response to the falling yen in their stock market initially went up tremendously almost doubling now it's fallen significantly but they're getting small increases in industrial production in japan and small increases in g.d.p. but look you know they also have to import goods as a matter of fact japan has to import virtually everything all the raw materials that they use to produce those exports and so in the long run it doesn't do any good in terms of exports to g.d.p. and things of that nature it just creates tensions in financial markets uncertainty in financial markets bad relationships between trading partners it could lead to real protectionism where tariffs quotas are imposed that could lead to actually military conflicts i mean. protectionism whether it's through your currency or through tariffs is a prelude to war told us that if goods don't cross borders armies will you know and

that's were those were important factors in the american revolution the war of eight hundred twelve you merican civil war and other wars around the world so these look like small issues and small problems right now but they have a way of getting out of control where the policymakers lose control of what's going on and things devolving into chaos well it certainly did have a lot to teach us and let's talk about what might be a cataclysmic moment not only for the united states but also for the world which is when short term interest rates long term interest rates the fed is keeping them down what happens when they rise well the fed is engaged in reckless policy you know the mainstream media would have it that the fed is trying to fix our problems but look they caused the housing bubble they have reckless monetary policy. it's hurting our ability to recover from that crisis it's hurting retirees and it's allowing congress because it because the fed is buying all these long term

government bonds from the treasury it's allowing congress to spend recklessly and without any checks on their on their spending and so they're allowing that to take place and so they're they've hurt us in the past they're hurting us in the present and they're going to hurt us in the future and look they're also hurting themselves because they're buying up all this long term debt all these long term bonds which traditionally they never did they usually bought short term government securities and with short term government securities the interest rate doesn't really get out of whack because the securities last only ninety days and so they're turned over very quickly so changes in interest rates doesn't hurt the position of the fed balance sheet but with long term bonds and assets that the fed has loaded up on what they have is a scenario where if the long term interest rates were to rise which they are now currently doing and they were to reach a significant level the value of all those long term bonds and assets would fall

and so the fed would be in a position where it would be technically bankrupt where the the assets doesn't value i want to abilities i want to get to this is it possible for the the fed to go bankrupt and we only have about thirty seconds left here they've changed the rules so that they don't have to operate according to market prices they can operate at the prices that they bought those things so technically they've changed the rules the rules that you and i have to obey so that in their favor so that technically they can't go bankrupt they would just be borrowing more money from the treasury essentially adding to the national debt which i'm afraid that's going to likely to happen mark thank you so much for joining us this is mark thorton senior fellow at the luby given me says institute thank you for your time.

and it's time for the daily deal with poppy thank god it's friday is a time for a drink so let's ask booz allen ok well according to the wall street journal more companies are offering alcoholic beverages to employees after hours to keep them around apparently this helps retain talent i guess divisions that what normally talk to each other to fraternise and complete and. certainly being a social lubricant but what does this have implications for in the general workplace i mean what would happen if this kind of became more pervasive. i think it's pretty regular i mean i used to work on capitol hill i worked i remember of the house of representatives we had a bar in our office and most offices had our hall there it wasn't always. you are always drinking alcohol there but somebody came in that i wanted to have

a beverage you know i think it's i think it's fine i think it's normal and in congress they even have sleeping pods and some people sleep in their offices maybe maybe these congress people are working so hard around the clock for people like you and me that they should just do everything at their offices there's the gym there too they have members that workout and they use the gym showers there is a little there are other famous pictures from somebody i think that was you know anthony weiner indefinitely shared a little bit too much problem was going on just too much information there and now he's running for mayor in new york leading in the polls which is somewhat amazing i don't think people like bloomberg too bad for him there so what do you think. has been going on there i would think so i would think so sitting on the leaks coming out exactly. where we go that's great well moving on to something that i know that you're keeping a really close eye on. that's what's going on with m.f. global we learned yesterday that the c f t c is suing john corazon on civil charges

but today representative michael graham asked the attorney general to bring criminal charges against core of the nine what do you think is going to happen i tell you what a year ago i would say almost no possibility i'm a little bit hopeful no i don't even think we'd see civil charges from the sea up to see you know i think eventually i mean this is a pretty big deal i even think the government is going to do anything you know i don't think the d.o.j. was going to do anything they put in louis freeh ok and this guy was head of the f.b.i. before he scared people he like he kept people away from this issue at the department of justice and i actually had the opportunity to speak with somebody who had called the department of justice who supervising this guy but what about the fact that john corbett nobody well john karr's i was also he works for goldman and so i mean maybe that had something to do with it too we do know that the administration has been very friendly with goldman and he had those ties but here is another thing ok gary gensler who used to himself gary gensler is head of the c. of d c recused himself from the case of m.f.

global and then in an office of inspector general report came out recently that no you didn't have to do that so maybe gensler is just trying to cover his rear right here i don't know about that i mean we heard that. of course i'm possibly going to come under perjury charges so i went to you know it's possible i think that's possible and that's probably where the criminal charges are going to come out i think so i mean that's a look at home martha stewart went to jail if the department of justice wanted to get martha stewart and they got her on obstruction obstruction of justice charges and nothing to do with securities fraud they could do the same thing with corazon tomorrow if they wanted to but think that's possible but i mean it has been two years come on and this attorney general does not listen to anything republicans have in mind when somehow we're going to go to him and contend you know he's not going to listen to whatever michael graham says i mean i just really don't think that's realistic. fair enough i am keeping my fingers crossed all right well of course i have a scheme for the laws so far because he has

a good guide so we look for a spirit animal that might fit the former new jersey senator and here's what we found. it is here's our cat with money as a customer fun money but mostly that is john cores spirit animal. so looks like we're out of time here so let's wrap this show up yeah sorry i know you want to get out of a hot city. thanks everybody for watching you can follow us on facebook at facebook dot com slash prime interest and follow bob on twitter english p.i. follow me at parry an r.t. thanks for joining bob or to you as always.

it was an ethical day here on prime interest it was hard for us to wrap our heads around why it took nearly two years for john corazon to face charges after blowing up the futures and history maybe the justice department will finally demonstrate he's not too medium size to jail and we're trying to figure out when snowden will leave terminal three and why did outlets well we've been holding out for the new be part of three of which is coming up to the silver screen and one in fourteen and tangibility is an issue when it comes to fed policy thank you so much for joining us i'm parry and boring and this is prime minister as i have a great weekend. what

happened to the arab spring dream does egypt's first freely elected president bring any change fear poverty economic failure and file its remains to egypt's attempts

to escape chaos leave us wallowing even deeper. egypt. they were ready to do anything for their country to me to try out it is to love the country more than yourself if you joined the military for any other reason that you're probably not going to have a good day they were tools in the hands of the state now they live remembering the past which is impossible to get rid of. the war. but however good people to get hurt. and i've heard good people empty silent. a lot. but would prefer not to be sometimes i feel like. i should have died over there. because. i saw

some people who had died in. beer is cheaper than therapy. on our. pretty free. free. free. free. free. video for your media. free media.

riots are raging in egypt at least three people are killed as supporters and opponents of president morsi clashed with fears growing up more violence still to come. out of. south african riot police crackdown on those protesting furious with u.s. policy is as president obama tours the continent in order to boost guys. and a whistleblower in limbo reports say n.s.a. leaker edward snowden won't be able to leave a moscow airport until he secures the backing of south american diplomats.