i think. i'm. well. science technology innovation all the latest developments from around russia we've got the future covered. i've got a quote for you. it's pretty tough. stay with substory. let's get this guy like you would smear that guy stead of working for the people most issues the mainstream media are working for each other bribery was visited by . the brother.

i'm the president and a society that case i think corporation kind of can. do and the bankers try to top it all about money and fashion i think for a politician writing the laws and regulations. coming out. there is just too much. today's society. that. welcome to the kaiser report imax kaiser sink estates are the u.k. equivalent to american ghettos council states with high levels of economic disadvantage and often blighted by high crime rates but there's

a new sort of sink estate in the u.k. and it's not in peckham harleston or gospel oak and though this sink estate is right here in the city of london this moral sink estate is also nurtured by the government dole but rather than locking in high levels of economic disadvantage this think a state is plagued by intergenerational economic advantage and instead of being impossible for the residents to succeed it is impossible for the residents of this banking sink estate to fail and where is the sink estates for the poor are nearly impossible to escape this banker sink estate is almost impossible to enter. but unlike the impoverished sink estate the enriched moral sink estate is always a no go area of high crime where your pockets will definitely be picked your savings month and your pension stolen oh stacie want to go in. where here this is the city of london the more i think estate right here outside this office well of

course you know the sort of high crime rate areas they often have one gangster thug who runs it all and the gangster thought that the moral stink of state that is our banking establishment now we know j.p. morgan chase is worse than enron and it's beginning to look as if j.p. morgan chase has had a hand in every major banking scandal of the last decade in fact it's the selig of wall street crime take a snapshot of any major bank fraud and chances are you'll see j.p. morgan chase staring out at you from the frame so j.p. morgan chase of course this is in response to their latest revelations that they've basically signed an non-prosecution agreement and paid a fine of about two billion dollars for their role and looking the other way from the made up scandal that made a fraud right well enron which was a huge accounting scandal then enabled by arthur andersen who was their accounts about the time they were parking eighty to ninety billion dollars off their balance

sheet until such time as the ponzi scheme that was enron blew up and the stock went to zero and jeff skilling and others went to jail and i believe just going to be let out of jail early because as part of the corruption that we're talking about the judicial system is corrupted by these bankers as well now flash forward to j.p. morgan what do they have off their balance sheet on these special purpose entity accounts not eighty billion but ninety trillion ninety trillion in derivatives they have more off the balance sheet in derivatives than the entire g.d.p. of planet earth they keep it afloat with artificially low interest rates thanks to the corruption of janet yellen the federal reserve bank and central banks. around the world and accounting fraud not arthur andersen because they've already been put out of business but the big four that are left are too big for accounting firms are unable and jamie diamond off balance sheet and run like scandal now of course with enron famously when the audio clips were played on their phone conversations they were making fun of ripping off granny and california well the same thing here is

not only did they use that same exact to j.p. morgan you said it same exact enron scandal and fraud but they say foreclosure fraud investor fraud cheating customers market manipulation library now the coup de gras to j.p. morgan's had a reputation a two billion dollar fine for closing its eyes and covering up as bernie made off literally built widows and orphans along with a lot of other families and charities now comparing this to the sink estates of course it's very difficult for old people old ladies to walk across the estate safely here it's difficult for old ladies with pensions to walk across the city of london because the bankers will likely steal their pensions right and intergenerational basis in other words the only way to pay for the fraud is by building and looting the current generation and future generations to pay off the bonuses in the legal fees of the fraudsters and the crooks in present day now when the sink estates the crime rates there are often what you find is the local police

either just give up you know policing the area because it's too dangerous or they're in the pocket of the local thug here we see department of finance cannot locate banking crisis files this is from ireland where we know the entire system collapsed based on one bank one commercial bank not a high street bank well documents relating to the banking crisis have gone missing at the department of finance the department has conceded that some correspondence forwarded from bank of ireland to former minister for finance brian lenihan can no longer be located so this is based on freedom of information request they did send eight pages to the journal. who asked for it entirely redacted now one single thing able to be seen right well leading up to the crisis on the show we said brian a lot of time is involved in fraud and others of course are g.e. the state broadcaster nile and refused to cover the story because they're also in the pocket of the bank stars in the fraudsters and now when it comes to the point

where now do we know that there's fraud it's on equivocally true that they committed fraud then they say well we lost all the all the evidence well that's what i'm saying that's the important thing the crux of the criminals the thugs the guys and wandsworth prison the guys and belmarsh they commit crimes that's what they do but if you have a system where the justice and the finance minister and the regulator is in the the people policing them are helping to cover up their crimes this is a different situation this is active participation in denying justice ever be done and therefore the moral sink sinks lower and lower until we have wide scale corruption across the entire system we're talking about is a racket yes so in other words it's judicial system in ireland along with the accounting firms the bankers and the politicians and the fund managers and the guys like a bank are part of a criminal racket

a criminal enterprise which has no hope of being prosecuted because there's no element in irish society today there's nobody in the institutional part of the ireland irish culture whether it's the legal system the political system the media that's not part of this corrupt racket of fraud it's the banks sink the state and it's worldwide it's going global you know just like in los angeles the crips and bloods you started there now they're all the way down in central america all over the world they're spreading their racket they spread but let me only put this in context and explain again what we've explained on this show . before we've seen the corruption of the leveraged buyout in america going back to the r.j. reynolds takeover and the works of henry kravis and other private equity firms to take over one hundred billion dollars companies using leverage that is ill gotten through fraud when they ran out of companies to take control in this way in america

they started going after small countries greece and ireland being two hundred billion dollar economies at the time were were small enough essentially for fraudsters in america in the city of london to do a leveraged buyout take over the country and now they're selling the assets to pay off the debt in exchange for multi hundred million a billion multi-billion dollar fees which is why the rich list last year saw the top one tenth of one percent increase their wealth by hundreds of billions and actually over a trillion dollars because of the leverage buyout of greece the stripping of the assets and the stolen property the leverage buyout of ireland leverage buyout of portugal they're trying to do the same thing in spain the try to the same thing in france well leverage buyout i think however is kind of a fancy word for just stole and they took it they took it for no there wasn't even any fee paid no money paid no exchange of goods and certainly what is a leverage buyout i mean just to be given you know a potted quick explanation as you are pledging the assets of the country or in this

case the country to finance the loan to take over the country because the i.m.f. had no money down by has no money and neither do the people have taken over ireland they had no money to begin with but they pledged the assets of ireland to get the loan to take over the country now they are selling off the state assets of the state income producing assets to pay back the loan against that they used as collateral to take the original takeover to begin with yes but how did that moment arrive how did the movement arrive where they could use the assets of the nation to fraud it well just like in a sink estate what happens in the sink estate they get for free to the young people heroin. or crack here try this for free well this is how the the city sink estate works they hook you up and cheap debt cheap swaps to protect you we're just here to protect you this is a protection racket we're protecting you by selling you had says that are going to blow up and we're going to steal your country with it oh that's definitely part of

the comprehensive nature of this fraud is the pushing of debt but don't remember in ireland under bernie. there it was there it was a satchel of cash then with bernie made up his birdie birdie a turn remember it involved a big satchel of cash remember that also has come out also so don't don't disparage good old fashioned graft and bribes they still have a place in this club talk or say now as we said at the top of the show j.p. morgan's jamie dimon is the top of it he isn't of course known as the president's favorite banker well the president's favorite banker we don't know if he's involved in this story because nobody knows in the united states congress who has written t p t t p p transpacific partnership us politicians once a fast tracked the super secret super controversial t p p t p p is already being negotiated behind closed doors but the situation could get worse later on thursday

afternoon house ways and means chairman dave camp senate finance committee chairman max baucus and senator orrin hatch introduced the bipartisan congressional trade priorities act of twenty fourteen the bill would grant the white house fast track authority some time soon as the trade promotion authority to ratify trade deals so we don't know who wrote this there's some corporate lobbyist who wrote this and here we have the situation where both democrats and republicans despite all their shrieking pretending they're on opposite sides here they are ready to pass a secret deal giving all sorts of huge authority to the executive branch to the president to ratify trade deals that the congress doesn't only have an up or down vote so they can only vote yes or no to ratify the trade deals right so this is to follow along here the latest chapter in the history of leveraged buyouts as we were describing it in this in this show so far in other words you start off with these huge leveraged deals in america like r.j.

are to biscoe or some of the more famous huge deals and the players are angry kravis of kohlberg kravis roberts another big leverage buyout firms you know the leverage by. going back all the way to jimmy goldsmith here in this country it was really one of the pioneers of the leverage buyout during the one nine hundred eighty s. thank you sir jimmy then you have the leverage buyout of countries like ireland and greece where they've been assets have been stripped people haven't had to flee the country looking for jobs in other countries now you have a leveraged buyout of the global economy t p pig it's put together by the same folks who have run out of countries to destroy essentially they want they want to leverage buyout of the entire global economy with the assistance of i.m.f. and other global banks including the world bank they hope to do this effective leveraged buyout of the entire global economy with t.p. pay and then as you point out assets are allowed to be stalled liquidated destroyed president obama is the henry kravis of presidents he's just going to start signing off on liquidations assets in america to pay off the debt that was illegally

foisted upon the public due to this t p p deal anyway we gotta go stacy herbert we're on our way. stay tuned for the second half a whole lot more. when you're followed around when you were being investigated because of the whims of someone this is the beginning of the end of your freedom. routinely in the

so for american citizens. to extremists that use you know. sure the calls text messages. so you just. everything about my knowledge actually basically and that's illegal absolutely when you bareback with the internet your bare back lizard brothers. welcome back to the kaiser report imax kaiser time now to turn to melbourne now people as a financial advisor d.d. r.p.m. group as well as the politics and policy expert who used to be special assistant to the president of the united states for economic policy on the national economic council and former member of the us president's working group on financial markets welcome to kaiser report thank you all right. we were tweeting on twitter yes and

we were tweeting about shrink play ssion which i think is an important topic not covered all that well about it so i think what we're witnessing is the early stages the precursor to inflation and we have big debate about why that is but let's just say when governments start printing money normally you start to get price pressure prices start rising we see record high prices of the stock market for property but also start going up and what happens at the beginning is companies are reluctant to charge you more because they know you're as a citizen under a debt burden that's you know epic so instead what they do is they make the size of things smaller so we see this in all sorts of different ways here cadbury's announced they're making the size of the talk a bar smaller than taking two squares off the end but they're going to sell it to you at the same price or my editor on a book i'm writing says the paper tells the of the day they don't fit in the paper how holder because they're too short the paper tells falls out right that's shrink

. so you getting less for the same price same price all the way to say it cost more that is another way to say it cost more coke cans which are three quarters of the web three quarters of the height same price as the old days i think the point is if you were to weigh ounces per ounce or measure exactly you would find you are paying more for stuff but this doesn't show up in the data points for central banks so it's a day of the month they get their food bill there's a way it does cost a lot more than it did last month but the government says that inflation starting at court of the point eight of two point two percent now is actually they say going down big you don't cooperate the fact that the portions are decreasing correct well i think they don't do a good job of incorporating this and the point is it's happening very fast this is a fairly recent phenomena the last couple years only and but what it tells us is that at some point you know for example the other day there was a story about a potato chip bag now there are only eleven potato chips and they're the rest.

compressed air because compressed air weighs right so they can technically say it's a weighs the same amount but you know eventually there are only two in there and then it's a bit of a joke and then they'll have to actually raise the price and that is the moment that the central bank models for inflation will start to say ah we have inflation i don't know if you can see a comment would be wrong to suggest that the scandal the few months ago horsemeat found in lasagna is another example of hidden inflation i see you nodding your head it is indeed and that's something i raised with my client base so let's look at two different stories one record high prices for be very consistently over the last eighteen months. that's the one side on the other side the price of hay has gone up like lot of grains so when the price a hey goes up becomes more expensive to feed your horses suddenly we get a jump of the number of horses that are either being put into care or sent over to

the avatar suddenly got a lot of meat that isn't easily substitutable and you've got a record high price and a record low one it doesn't take a genius to put the two together and let's face it in some places like france you know how many horse meat lives on is considered a luxury right the french are like and what is the problem but the point is we should be alert to this issue that companies are increasingly under pressure on their margin and the way they're going to try and preserve it is to put in substitutes that cost less right so they gave back to the government published numbers that are higher than what the government is publishing. do you have any idea really what the true numbers are we know that they're higher than the two point two percent that they're stating. your firm you advise clients you're obviously positioning your portfolio ahead of a breakout inflation what do you tell clients what is the real number the whisper number so to speak right well i trust paul volcker on the subject of all people and

he likes the work done by chairman. greenspan exactly in fact you know he's kind of the bruce willis of the world economy he's the guy who fought inflation and won successfully the last time we use it so he says we should look at a website called shadow government statistics which is run by john williams who basically calculates the inflation rate the way we used to back in the one nine hundred eighty s. before we made a lot of changes to the methodology and based on that measure we're running a lot closer to say eight or nine percent right now eight or nine percent yeah so it's a big gap and a wages are going down wages are going down nation's real voice is going up well let's say your cost of living is rising your. livingness falling wages are complicated a complicated i have to say i think. are starting to rise as well but not enough for the average person but on balance we're saying that wages are rising less than one percent even against the be misstated government numbers of two point two

percent of the inflation rate that's a huge gap which is contributing to standard living declining in this country right absolutely and if the actual rate of inflation you face in your real life as opposed to the datapoint the government gives you is substantially higher than that then the only conclusion is your standard of living us falling right so not only wages are up less than one percent and the real rate of pleasure six nine percent that's a seven percent loss of purchasing power every year going forward compound that you're losing does you know using the rule seventy two your every ten years your you cut your whole lifestyle off. is a rough estimate so let's understand what is the purpose of the action the reason governments have an anxious history of engaging inflation is because it helps them get out of their debt problem at the expense of the citizens so this is the point it's the least obvious way to have the government succeed in reducing the debt but

the fact is it has real human consequences and social consequences and you know we've seen this happen ever since the roman empire i mean the reason we have separated edges on queens these days is so that you know they have been shaved off today where the lector going to be right back to the roman times and in areas where they clipped the thread sales intercepts of metal off it all the time sure inflation or horsemeat these are these are coin flipping exercises by essentially a corrupt government who is not honest enough to say we're going to raise your taxes instead they're going to inflate their debts away and your standard of living is going to collapse or you mention the central banks there i want to focus on this for a second so the fed and the bank of england they're coddling these too big to fail banks. really that's part of the equation that's why they won't fess up and say we need to raise your taxes we're going to play away the debt because the banks that would if they really want to address the substance of weight raise taxes raise interest rates to too big to fail banks will start going bankrupt if i correct what you think yes i think that look it's a if the in a day it's

a balance of interests and you're right they can't permit interest rates to go up and that's the natural brake on inflation and in fact interest rates can't go up because governments are now the biggest buyer and he's about to get out from danny blanchflower who's an economist well respected right to guy who is why try to impress upon this idea that by keeping rates so low they're causing the deflation they're causing the stagnation of the economy because they're supporting the zombie banks that are crowding out really good comic activity it is they know there's those events impossible lower rates don't cause deflation seems to be trapped in qana earlier a century of thinking maybe of being too harsh what he's like well i think lower rates ultimately will cause inflation and i think that's the bottom line for me. were dinner plans flyers view is that the only way you will get any dynamism back

in the economy is the banks and gauging lending i think that what we're witnessing is an incredible transformation new sources of finance are appearing all the time from crowd source financing which is not just about some entrepreneur with an idea on kickstarter these days you have huge companies that are able to finance their invoicing streams through basically lending from private parties so my view is lending is happening more and more and this is crowding out the banks so now we got a really terrible situation where governments using effectively taxpayer funds to keep alive institutions that the economy doesn't need as much as they used to but so crowdfunding and the innovations and financial crowd out the the banks. crowding out the economy correct they will be taken out of the equation but raising interest rates at this point will actually stimulate bank lending because they're making money on the loans instead of just going to the central bank and deposit it there for no risk and getting a rate of return i think that's the point isn't raising rates right now and

actually stimulate loan creation i think danny completely misses that but we're going to move on you are a member of the president's working group of financial markets some call this to plunge protection team was formed after the crash of one thousand nine hundred seven i was working on wall street the time during the crash of eighty seven the day after the week after the president's working to financial creatives alan greenspan ronald reagan and robert rubin treasury secretary a lot of people don't even admit that this exists but not only does it exist but the mandate has expanded so that the u.s. government effectively is managing markets all over the world with a trillion dollar line of credit it's just become an out of control monster what do you think well first of all having sat on this group it has no power it doesn't orchestrate anything so the idea that it's a plunge protection team doesn't really add up however i laid out that in the first second because on on tuesday october twentieth which is the day after the monday crash yeah the government won in about s. and p. futures contract our body leverage credit as an actor you that's

a market manipulation interference i thought of this group but you got the group wrong the point is the group you're referring to now is a bunch of bureaucrats who are two levels down but what does matter is when the secretary of the treasury and the head of the federal reserve and the white house together come to an agreement about how we're all going to proceed and that does go on it's just not the plunge protection team that's a separate group it's evolved into a beer are you're going to do that same market prices that their comfort was and bypassed the free market the mandate is the same and to bypass the free market well this is true and that's exactly what particularly the federal reserve is doing is choosing what is the price of the buy. market that they want is a free market now and they're using every possible instrument to hold the bond market within the quote acceptable range was fine and we have already have free market we have fake deflation because underneath it all is the real inflation that at some point you're saying it advising folks they can't keep the lid on this any

much longer and then all the money printing all this fake minute mark manipulation of bond purchases and quantitative easing blows up in their face and you see the prices really take a jump but what i'm saying is the way they're seeking to solve deflation is by creating as much inflation as they can under the assumption that they'll be able to control the outcome and that's paul volcker says is you can't create just a little inflation and you definitely can't control the outcome so this is these fundamental question that is over the federal reserve right now they believe we can pick the level of inflation and control it just like they think they can pick the level of the bond market control and you might say they can't you can't pick the level of control it isn't that supposedly the lesson that we learned by watching the failure of the soviet union i might ever read it completely forgot about the syrian and the communism and centralized planning zoara and janet yellen are acting

communist era stalinist dictators and manipulating price think there's a there's a degree there's a degree of hubris and arrogance and self belief that somehow policymakers are smarter now or better equipped with information and therefore they can do this better than in the past you say not i say no but we got to go unfortunately because are out of time but i would love to continue but we must cope with thanks for being on the kaiser reporting best going to do it for this edition of the kaiser report was a nice kaiser and stacy herbert i'd like to thank our guests but. if you like get in touch tweet us as a report and select my bio. i

marinate joining me on. impartial and financial reporting commentary for news and much much. only on the bus and.

happy tuesday y'all i'm abby martin and this is break and sets are i write so i'm starting to think that wicked pedia is funded by the same people who bankroll fox news just to get you up yesterday i talked about how we could pedia had deleted two separate pages someone had submitted about me because apparently i wasn't noteworthy enough to deserve text on the site my old beef is that sacred wiki admins solely rely on corporate media sources to back up information about a subject validity and thus what's considered outside the realm of established media isn't considered notable enough even though according to alexa commercial website tracker r t dot com the sits at number three ninety two in popularity bars .