against building more crap for rich people while poor people continue to get screwed but i do think there's a silver lining to these buildings you see the middle finger building on the street actually faces the white house so in effect the building is slipping off the white house and i definitely agree with that when someone is screwing you the appropriate gesture is to give them the middle finger in any way that you can by using your literal fingers your votes your dollars your mind whatever middle finger is yours to give so why not make our buildings shaped like little figures when i trim our trees in the shape of middle fingers or build their fences in the shape of middle fingers let's keep everything in middle fingers and then point them all at the white house or the stock exchange or any other building where the people inside are screwing us we should let the establishment know that we know they are screwing us and what's a better way to do that without a little finger salute tonight come see my middle finger by following me on twitter

at the resident. technology innovation all the developments around. the future covered. there i marinated this is boom bust and these are some of the stories that we're tracking for you today. first up our team correspondent megan lopez is on the show now meghan is joining us from detroit where she brings us a full report on the city's water situation now detroit's water and sewage

department has shut off water to its residents who haven't paid their bill it's pretty big and pretty important stuff and both the city and its citizens are facing tough economic times and we'll bring you the latest from the ground in interest rates and john mauldin is on the program as well my colleague edward harrison sat down with the man behind moulton economics to discuss what the latest economic data says about the u.s. economy today and in today's big deal edward harris and i are discussing next neutrality the supreme court and the future of the technology industry that's a lot to get in there you want to miss a moment and it all starts right now. our lead story today detroit now the latest sign of the city's rapid decline comes from

detroit's water department many residents in detroit have stopped paying their water utility bill and the city is combat in the issue by shutting off water to more than three thousand homes and businesses per week in an effort to stop utilities from sliding even further into debt this however has sparked outrage and i mean outrage among activist groups including the united nations a u.n. team of experts says that detroit's decision to shut off water is enough front to human rights those are pretty tough words now detroit's water and sewage department is a q. charging exorbitant lehi rates to local residents and placing the burden of the city's fleeing tax base upon the shoulders of its poorest citizens now as detroit struggles to shed some of its eight hundred billion dollars in debt a partial privatization of the department is now being considered reporting for us from detroit today as artie's meghan lopez. came standing here in detroit right outside of the detroit water and sewer department and this is a building in

a department that is really coming under a lot of scrutiny lately and that is because it's starting in march it started shutting off the water of people who are two months or more delinquent on their water bills so far ninety thousand residents or more oh money to the city forty five thousand notices were sent out in may alone saying that people need to pay their water bills or the city would in fact to shut the water off in may alone they shut off the water of forty five hundred residents within twenty four hours a sixty percent of those residents were about twenty seven hundred people actually came into this building and either paid off their bills in full made a deposit or made special arrangements in order to have that water turned back on i spoke earlier with the detroit water and sewer department spokesperson and gregory and he says that because the city is in such dire straits they have to take whatever measures they can to help people understand how important this issue is we're not the only ones that we're that is the consequence if you don't pay your

bill. we know. it's bad debt collection and so as you heard mr you know say there they're trying to work commission feels that some of these people are in fact able to pay their bills but are choosing instead to pay there for a rise in bill or their electricity bill because never in the city's history have we really seen a mass water shut off like what we're seeing now now activists on the other side of the spectrum are saying that that is not the case that the city is already into. economic straits and that people are simply having to choose now between taking their medications and paying for them choosing to pay for the food for their children and paying for their water and one of them are going ahead and making those tough decisions so i had a chance to speak with somebody from the detroit whiner brigade who kind of talked about the severity of the issue and take a listen to what he had to say how could people pay their bills when you don't even know people situation you know people may have lost their jobs they had their

pensions cut their social security many of the rollback generalize that people are just not paying their bills i refute that you know one hundred percent so just kind of go over some of those unemployment rates that were being highlighted by the detroit water brigade another activist organizations there is a forty percent poverty rate in the city of detroit and also in eight percent unemployment rate you have people that are having their water shut off on a weekly basis the urgency of the matter is becoming a very serious and groups like the detroit water brigade are doing anything they can to help they're collecting plastic water bottles they're collecting filtration systems and handing those out to families who are asking people for donations of water jugs just to be able to do anything they can in order to help those people be able to not only drink water but flush their toilets wash their hands and take showers so as you can imagine this is beyond drinking water and being able to get that glass to water in a really hot day like this it is about sanitation it is about public health so

right now we're watching and waiting as this whole situation kind of plays out people are trying to figure out how exactly they're going to get water for their families a question they just don't have the answer to at the moment reporting in detroit michigan. r.t. . now it's the middle of a hot summer but for some reason we're still talking about the lousy winter in the first quarter of two thousand and fourteen. but this latest bit of news is serious the data says that the economy in q one contracted two point nine percent now it was a nasty winter but was it that nasty edward harrison spoke to john moulton of modern economics and the author of code red how to protect your savings from the coming crisis to get his take on the situation take a look at what he had to say. i want to get you to your book code red shortly but let's persist up with the data coming out of the u.s.

negative two point nine percent g.d.p. growth for q was definitely that's pretty awful are you surprised. oh yeah i mean. is is this precisely what i was talking about last summer when i said. that i don't think we understand the unintentional consequences the economic consequences of obamacare. and what we're seeing is that with the higher deductibles and people are having to pay we're now we're now forcing transparency and the into the system because when people are having to come out of their pocket with more money they're going what i do a lot of my paying for what that i might do i really want to do this do i want to spend five hundred thousand or whatever that number is and. so part of it's. a rational response if you will the other thing is that the big hospitals and i'm

talking to. you know eighteen billion dollars hospital systems that i'm talking to management and in they saw this coming they were already planned for lower numbers in fact there they are beginning to plan for even war numbers and lower numbers over time though they've seen a rebound. in spending it's still down and down like they're expected but it's not down as much as it was in the first quarter so we're going to see a little bit of a rebound of a bounce back if you will people get only postpone certain things so long will you know it's a good point because a lot of people are saying q two is looking good i mean obviously this is a backward looking kind of thing in the markets are forward looking so what should we really take away from these numbers given what you're saying. well i mean we we saw an odd mix of inventory we're not seeing it even though employment is is the

lagging number we're not seeing it in the end and the employment numbers there's a lot of other things that you know are if not irrationally positive they're not negative. so i would expect that. we'll see some kind of a rebound i don't think we're going to see you know a swing back up to four percent. if we could get through the year with a full two percent. you know year over year that would be great. i think frankly two percent a year for the next five or six years through the end of this decade just like we did last decade we did one point nine percent on average the last decade and i think if we can get through this decade with you know one point two percent that's about as good as we're going to get. we have some structural headwinds in this country that. we're just not. getting around to dealing with

our government is creating more and more cost the bureaucratic and regulatory overreach is staggering the those headwinds i have got to be dealt with and if we don't have a significant change in that attitude of allowing. bureaucracy to run wild it's going to change a sticky we even if let's say we get some massive new reformer who comes in two thousand and seventeen two thousand and eighteen before anything happens and then you've got. to a couple two or three years for people to be able to respond and so were you know you kind of built a muddle through world which is what i was writing about two thousand and two and two thousand and three. and we're going to be clear that we're going to be right in a muddle through what for a very long time i was in ask you it's good that you mention that i was i was

thinking about muddle through you are you wrote the book and muddle through i mean how is or is not how is this data muddle through or is not muddle through in your opinion well. this data is a lot of one off stuff. we're going to we're going to reset how much we spend on health care and the simple fact is that in four years we will be spending twenty percent less on health care than we were in two thousand and twelve. and that's not an unreasonable thing. in terms of our economy in terms of what we can afford. but that is a huge had when we needed twenty percent of the economy and you say hey we're going to slash twenty percent of the income from that sector well that's a four percent g.d.p. headwind over four years. part of it was inventory cycle

part of it there was the weather factor. you know north of the texas border it was it was a pretty nice one here in texas. but if you get much further than tulsa in oklahoma city and you know d.c. you guys in the north had had a pretty cold terrible as. it so. there was some of that. we've had we had a little bit of a rebound. homebuilding last year but it's flattening out the you know people keep looking at. the home building statistics for instance and you see all those charts and you say well we're climbing back and i'm going no where we should be. and that means we have a growing economy with with household formation and you have to replace some of

your homes over time anyway and that's about where we are we've got three million too many homes and the bulk we more or less absorbed most of them the big bulk of them so now we're just normal house building well. we do that i mean the because if you lose to be part of me it's just going to be there. so we're reset it to kind of normal standards and we're going to have to create a new little bit was built care. will grow around that because we were part of you doing fine but that's what you look through that's why you don't get this four percent. compound group that was john mauldin of malden economics. time out for a very quick break but stick around because when we return did not know render a is on the show to be as the founder and c.e.o. of some zero and he's giving us his take on technology finance and the future of

investment and remember you can see all segments featured in today's show on you tube at you tube dot coms logic going bust are cheap and on hulu ad lulu dot com slash boom and dash plus but before we go here are a look at some airflow the numbers at the bell come on back with us. as the media leave us so we leave the meeting. are the same motions to the plate your party there's a bill. for shoes that no one is that stand with to get that you deserve answers from. politics only on our team.

well if you're in the market like. this you. should have you with us here on t.v. today i wrote researcher. welcome back to the show now technology has become one of the defining areas of our lives from unbending the taxi business to ultra fast high frequency trading so i want to check in with. the c.e.o. of some zero to get his take on technology finance and investment now some zero is an online community of investment professionals from hedge funds to mutual funds to

a private equity firms which aims to change the way that investors share information with one another now i first asked to view his thoughts on the term networked economy catherine austin fits a recent boom bust guest use this term to describe a major economic shift towards technology based systems now i want to know if divya believe that we are in fact and a technological shift to a networked and cloud based digital world here his thoughts. they seem more and more. you know more folks in the world utilizing the internet and sort of online social networks to you know i think supplement their real world that works. you know i think when you look at the the online network landscape you obviously have some very large players like facebook and linked in. you know kind of applied to a very broad. you know user bases are types of people but you also have i think a lot of news networks that are becoming more and more useful as people sort of

realize that you know. some networks are more tailored for certain things than others now what are the challenges that companies face in monetizing a more mobile centric world. well i mean they're obviously physical. limitations to you know mobile devices they're they're small whether it's a full of phone or a tablet. you know i think for the folks in the ad tech world that that itself presents a challenge. and i think you know there's there's a there's a bit of a lag between you know you look at kind of how companies have traditionally advertised you know be it in print or on television kind of trying to understand and quantify the of of advertising on mobile devices that that transition has taken time but certainly that we've seen a very big shift in mobile ad revenues or revenues moving from traditional media to

to mobile devices i think people are catching on what in the financial services space how is that network the world changing the way hedge funds mutual funds and private equity firm share ideas and disseminate information this is definitely a wheel house here with some there as i'd like to get your take yeah definitely much more my wheel house you know when i started some zero in two thousand and eight we definitely got a lot of pushback from both sides on analysts as well as compliance officers that hedge funds that you know who are basically very much against the idea of sharing information i think now they're starting to warm up to it and we're seeing much more information being shared online and i think you know for our members you know in subzero they're seeing so they're seeing our website is not just a way to you know access proprietary information but ultimately helps them do their jobs and find investment opportunities but also as a way to build their brands and reputations as a way to attract capital and really meaningfully drive their business in a way that wasn't possible you know before we built the sub-zero platform so i

think it's actually pretty exciting to see the transformation kind of transparency becoming a more standard course of the industry or a kind of a more common theme in the industry versus you know maybe the opaque reputation that the hedge fund industry out in the past. that actually leads well to my next question but i want to ask you do you see anything in this space that makes you think that our networked world is leading to a better information flow to individuals and retail investors. so for retail investors you know one of our goals is actually to not only aggregate the information that we are it and make it available to professionals but ultimately to make it more accessible to retail investors as well. you know it's not something that major focus of some zero right now because we can only tackle so much that you know at once but i think there's no question that as we sort of you know continue

to build a platform out continue to aggregate research that we're going to have. you know something that would make a lot of sense for the retail investor and get away from a lot of the i think a lot of the noise that's generally out there in the markets you know where you have retail investors investing on recommendations made from people who are you know maybe have a significant blog following but don't necessarily have the investing credentials that you know you'd expect from somebody promoting a viewpoint so i think our whole goal is really to to make sure the signal to noise ratio is as high as possible so when you know when we aggregate data that data is actually meaningful it's not just you know full of randomness and people just simply talking their book but you know we spend a lot of time thinking how do we sort of inject incentives into some zero such that the quality of the content is really high and then we can figure out how to disseminate it to the right people including retail investors now do information

portals like twitter help level the playing field for retail individual investors in terms of information flow. i mean personally i think twitter is a dangerous tool to use or to rely on for investment purposes simply because there's so much the number of tweets or you know we're talking. billions of tweets i mean of that you know some subset is going to be directed towards financial commentary. and then of that i think a very small subset subset is going to be coming from individuals who have real credibility within within the investment world and i think you know i have come across you know other people and companies that are trying to make sense of kind of all the financial commentary that's that's actually on twitter but it's it's dangerous because there's you know there's a big credibility issue and there's a you know you want to be able to filter that all of that all of that data in

a sensible way and i think that's a lot harder than some people you know might think it is now can you tell me a little bit about the fact that the tournament to generate investment ideas what is the purpose of overturning and what do you expect will come out of it. yes so one of the things as i mentioned before we're always trying to come up with ways to compel our members to upload not only their their ideas but their best ideas and the idea behind this tournament is to give them a tangible incentive to share our highly proprietary data onto our platform so fast that was kind enough to sponsor this contest they've you know put up a lot of money we're going to be giving out one hundred sixty thousand dollars in cash prizes to the winners of of this fax a torrent series which consists of four separate contests the first one was actually just added on monday it was focused only on international stocks so companies outside the u.s. we have one coming up that's going to be focused on shorts one that will be focused

on credit oriented ideas and then one focus or one contests split by market caps will have a small cap mid-cap large cap contacts or contests and the whole vision is to you know really kind of give emerging managers analysts and portfolio managers who aren't necessarily super well known in the industry a chance to stand out and showcase their best work product and to do so in a competitive environment amongst other really smart investors and we set up an amazing panel of judges that consists of you know really some of the luminaries in the investment industry investment management history to valuate you know who has the best ideas and at the end of the contest what we're going to do is have a grand prize winner. where their grand prize was actually based upon the actual return and performance of. of the winning ideas and we'll pick the best one and we'll see how it goes. that was dave you know founder and c.e.o. of some zero time now for today's big deal.

big deal time with my partner in crime mr edward harrison and today we're talking about net neutrality the supreme court and the future of the technology industry a lot of stuff there said word are some interesting news to talk about from this past week and i first want to talk about tim with the man who coined the term network neutrality that's a big term we're hearing it all around lately and most people don't know what it means is this kind of it makes sense when you can find it but it seems like tim is you know taking more than just an advocate stance here when it comes to network neutrality so can you tell me what he's up to what this is all about you know what i've heard is that he's running for the tenant governor of new york i know what you want to go to action in terms of network neutrality in particular one of the issues that he's looking. for a cable that merger and that's a big merger in the new york area because tom were the cables there he believes

that this is a competitive that it's going to reduce competition in that space and therefore he wants to block it and so he's running on a platform that includes this as one of his major tenets now the f.c.c. is new rules they're up for public comment and they've received a ton of criticism it's not it's not a huge hugely popular thing so what's to take on this. is interesting what he's saying basically is that network neutrality as we know it the way that we talk about it it's not there doesn't exist because basically the middleman's been caught up so if you look at the middlemen the traditional middleman which is a broad and backbone provider like level three really when you look at all the tier one providers that don't have to transit through other networks in the world there are only seven of three of them are actually. facilities based providers here in the united states that are the last mile i assume he's like. our horizon is one

eight hundred eighty is another century link is another and then the fourth out of the seven is actually sprint which is a mobile telecom operator so these guys are now middlemen as well as the ones who are providing in the last mile so what he's saying that's all wrong because basically what it means is is that you have the content providers hooking up to these guys as broadband providers and then them hooking up to themselves to the customer so they can take on both sides of the of the coin they can say you customer at the last mile and they can say to the content provider pay up when there's no one in between those two and he thinks that's competitive i mean it sounds pretty anti-competitive to me but it also sounds awesome if you're the one you see here getting hit on by fans of course they want to stick like us but now tim well he's all about trust busting that's been termed but let's talk about another intersection between government and business the recent supreme court ruling on area t.v. basically found that areas business model so legal sideward what's your take on this ruling i think that basically you know given the lack of trust the people in

our institutions in the united states it's interesting that you know the supreme court has you look at this deal and you think. you don't think immediately this is the supreme court and therefore i accept it rather you think there's something wrong with this deal and i personally think there is something wrong with this deal and we know for. back in the one nine hundred seventy s. when we had v.c.r.'s the v.c.r. was almost made illegal by one vote and that was what antonin scalia said in his dissent he said you know we wouldn't have the v.c.r. if we went along with these things and this is going to be it's going to have a negative effect a chilling effect on the industry going forward and i believe that's actually going to be the case now i want to ask you what are the implications of this ruling from his. cloud based systems and cloud based computing you know and copyright laws in the future you mentioned the chilling effect have a chilling effect i think that you know you look at

a company like aereo and they know that you know we would all the way to the supreme court we lost if you are a startup in this space and you are thinking i want to get into this space in any way shape or form that that is going to compete with the existing infrastructure with the existing players you would think would wait a minute you know these guys are going to use every part of the law to keep me out there used to copyright their patent protection and therefore i'm going to get in there i'm not to innovate customers are therefore not going to get because of things that they want there to be beholden to the existing companies and again you know that's negative for competition and it's negative for the vision or someone else and as always thank you for your time your insight that's all for now but we love hearing from you so please check out our facebook page facebook dot com slash boom bust our teeth and please tweet us. from all of us here and thank you for watching say next time.

i'm. going to. thank all that. much and i'm actually. just too much.

we've got an updated perspective on the violence in iraq from a former marine who fought there does the u.s. have any good options in the crisis plus the latest on the problems within the veterans administration then the right to keep and bear arms it's at the heart of one of the most controversial parts of the u.s. constitution and a red hot topic in american politics my go all month attorney former speechwriter for president clinton delivers a biography of the second amendment it's all next on politicking.