there is a large gathering the world central bankers taking place in the mountains of wyoming right now yes the jackson hole symposium brings together the most influential monetary policy makers on the planet and last week local central bankers led by federal reserve chair janet yellen said that labor markets still have further to heal before their economies can weather higher interest rates official meetings over the weekend in jackson hole placed jobs at the center of discussions saying that stronger hiring and wages are still needed to drive demand making her debut as fed chief at the annual conference yellen said that while u.s.

hiring has improved the debate the fed is shifting towards when to dial back our extraordinary accommodation as there is still a significant under use of the workforce and that the labor markets have yet to fully recover from the worst recession since the great depression. then the focus on jobs suggests that the fed and bank of england will tighten policy within a year is their economy show signs of strengthening however e.c.b. president mario draghi and the bank of japan governor acknowledge they may actually be forced to install fresh stimulus but the real question is why should we care about all this well that's because central bankers will more power of the fates of investors politicians and regular old people today than ever before and that's because in the absence of government action they're bearing most of the burden of supporting economic recoveries in the us and europe and with unconventional policies like massive bond purchases becoming a major force holding up financial markets around the world central bankers are

more interpol to the financial stability of our planet than ever before now let's just hope that some bankers a brainstorming session in the tetons proves tantamount to the mountains that they're taking place on. the. labor day weekend approaches that lead to city will begin to experience the first of several hotel closings with rival shutting its doors in september other casinos like the atlantic club the trump plaza and showboat also won't be around that much longer and that means a lot of jobs in profit losses for a c. so what does this mean for the rest of it when ticks city to get a handle on all of this i sat down with municipal bond expert kate long i first asked her for her take on what's going on there here's what she had to say.

extremely difficult problems for that city. for you know as a closer look at sixty seven thousand good jobs being lost in this piece you know as this city still sort of bonds last year. friends property taxes that have been overpaid by other casinos. which just you know and other loaded debt on they're. not good there's not any way to fix the problems of atlantic city and you know bondholders really need to look at you know how secure those that debt is what's the prospect for approx six cities tax base revenue and miscible bonds. are terrible terrible and they're out basically terrible. there was a study out last couple days to you know have the problems tax rates to be gone or you know suppressed in the next five years generally that's in most communities

what pays bills and. you know the dead serious so it's just very difficult i know governor christie is. you know a summit to try and look at some of the problems that were the major industry goes especially when it's been so dedicated to one particular industry it's not easy in the near term to replace or to replace the revenue that was generated by the activity so it's you know ace is facing to really severe problems i'm glad you bring that up because you know revel can see you know they're closing their doors i believe next week right after labor day and that means a monster commercial building will certainly be bacon earning no revenues so if the casino industry in atlantic city does in fact collapse which it looks like it's going to do where is the city going to get revenue to replace it. you know i think the owners of. bell are looking for some kind of other use for that facility but

you know as you say it's a massive piece of property and how you quickly repurpose it whether it's condos or some kind of just general hotel use it's really hard to say. it again these are these are problems that will be worked out over years and you know look at detroit detroit to climb forty years. and many cities declined over the last you know basically since two thousand and eight when gannicus you know really guy. glaston in you had stayed around where. now in new york. having gambling to cities and driving a lot of business away from atlantic city. this is no quickie answer and you know politicians can local investors can live you know get the exit of a major industry is just not in. our cities like cleveland or pittsburgh positive examples for what they see could have looked like after widens its tax base by

transforming the city. maybe over twenty years or thirty years. you know it less i mean a radical approach would be. you know property taxes no taxes in any kind there but you know so what's the second tier that. business would look at when they want to look at our school system and you know i don't know exactly but i've never heard anyone say the lyrics to school systems testing so there's not a lot of attention is there hooks in atlantic city driving to there in this very head some major had a very diverse industrial and academic help here build on the name they've generated themselves so it's now it's not directly. can ferguson missouri it's come to our attention that poverty in suburbs like ferguson is increasing much faster in cities in the u.s.

so what are you seeing in terms of strengths or weaknesses of suburban minnesota finance profiles more generally you know very slow to really just have to look at the communities and i think i mean general bases suburbs that are nearing this sort of in your ring around an urban center tend to have suffered more the outer ring where people driven further and you know cross probably built bigger houses. bigger pieces of property and those tend to do better newer school systems. the inner the inner suburban ring i mean it's kind of on a general basis just to be a little weaker but it is very is across the country ferguson has a unique tax base in that it's heavily weighted towards fines and court fees and that's the second largest source of revenue for the city so do you think we could see municipalities moving to these kinds of auxilary revenue bases if the economy

turns down or is ferguson more of an outlier. and i hope it's an outlier rejection of people you know for you know small infractions and to try and create a revenue source of medicine stanch a revenue source that is fair that's you know. society is not stable and you you know extract rents from people small illegal acts. and it comes up you know the system it's expensive to prosecute that stuff to put into the court system i mean it's really it's really sad very sad and i'm you know i'm really glad in a way though that it's highlighting a lot of problems that you know lower income communities have and. i would encourage any community to take. generally speaking how is the municipal bond market doing for general obligation bonds right now. and testing. once again i

mean we and i think you've had several visits where you remain in historic lows where there's massive demand for open lines it's been very strong even detroit water is rainy and deal to day. tender to grab a little a two billion dollars of their soul and wired they put those lines back out for sale today. just shows you there are down. you know reese and decent interest rates we just showed you the demand is massive that's very interesting now kate can you paint me a picture of where this market goes if the u.s. goes into recession in the next two years. how we very bright kid into the biggest market you will have communities in states that continue to do really well and don't have a problem serves to get in in this stressed layer of communities and i think we'll see more of them and i was talking earlier today just you know mark just going

about you know how do you get it sort of a forward look on you know will we be seeing more useful day in in time cases that's really the only you know the only path to out for some of these communities if revenues fell on very heavily. pension costs go up labor costs go up you don't have a lot of tourists to go and we just i mean. one of the biggest concerns you're hearing from professionals in this market regarding risks going forward. well rigs in the market give you this risk is that rates will go up and people will get you know they were to value their time down so that's sort of a different you are risk then you know people outside of the market. you know there is concern that the state and local collections collections. been. you know the main thing is that the cash flow is you know supports governments and

services debt well. that was municipal bond expert. time now for a very quick break but stick around because when we return a libertarian olof daria o'brien gatland will be on the show kaplan sat down and made earlier today to discuss the militarisation amongst other things and in today's big deal i do or harrison and i are discussing the don't it mega merger between tim horton's and burger king plus remember you can see all segments featured on today's show at youtube youtube dot com that's slash boom bust r t n at hulu on dot com plus boom dot now before we go here are a look at some your closing numbers of the bell come on back to.

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but seem to be on the same. plane. the single greatest thing that got america out of the depression was the securities act of thirty three thirty four there was stored a law and order to wall street it wasn't anything to do with repricing gold it had nothing to do our very little doing going into world war two it was bringing law and order what's happened in europe the disintegration of law and order of the wild west mentality of letting a bank like goldman sachs tolling to survive a country like greece for a few quid. dramas that can't be ignored. stories others who refused to notice. the food since changed the world writes never.

to picture post today's leaves. from roads to close. up to. the. which seems like the controversy in ferguson is very we've seen an increase in the national debate regarding the role of federal government to explore big government in a larger contacts i spoke with bryan caplan a professor of economics at george mason university and blogger and economy log i first asked him what he thought of the wolf of wall street in light of issues surrounding regulation and consumer protection here's his take. on what i was watching the movie i'm an economist i'm an economics professor and i was trying to figure out what would most economists say about this movie and i think one of the

main things they would say is there's some kind of asymmetric information problem that explains why you can call somewhat up and tell them buncha lies and get their money but when i'm writing about i say well it's not really a problem of information it's more a problem of lack of common sense if someone you've never heard of calls you up and says i have a great stock for you just give me your money and we're going to and you're to be rich it's not there you like you sure you don't have much information but this is a case where the common sense says you i don't have a lot of information so i should just say no and deal with someone or some reputable. so we used to be so that when i was watching the movie is trying to figure out so what's really going on in the race is it's not so much economics as psychology there's some people who invest emotionally and those people are the ones that are easy for someone like the wall to wall street to prey on and of course there is a movie it is actually a movie based on a true story so it's not like a lot of a lot of a lot of movies we can say it's just made up so doesn't really this really prove

anything. is there some sort of regulatory fix for this in your opinion. that really mean you know there's an old saying a fool is about a year are soon parted you can make a bunch of regulations about what people are allowed to do but there's always going to be plenty of other ways that you can trick someone or or a fast talk them into getting their money and what i did in this piece say well look there's actually so many different areas where fast talking is a problem so for example at your local bar scene like there are some people who are great talkers who are able to seduce other people who if they knew the truth about them wouldn't want anything to do with them. so should there be some government regulation in order to stop pick up artists from plying their wares what i say is no you know leave it alone but instead warn people use common sense you know if someone makes a lot of big claims that you can't really verify that isn't a reason to say oh well i guess i have to do what they say it's a reason to say no thanks i will go and talk to someone who i can actually trust.

brian i have another topic where i really want to play pick your brain here that's a government and who worship now you wrote a post recently called liberal authoritarianism and you say that liberals would say something like i'm a liberal because using the power of government to advance the liberal aims has overall good consequences but you suggest that when you deconstruct the motives it boils down to use of government power and authoritarianism so can you explain. sure i mean this conversation grew out of a talk ahead with my favorite favorite liberal in the world and he was saying look you know people are liberals they just don't they don't understand us we're not authoritarians we don't like bossing people around rather we go and look at the world and we see ways that bossing people around will make the world a better place and so we boss them around for that reason not because we get some thrill out of willing people so now my friend was a famous economist says oh you know what i was thinking about this and more i say

well the first big problem what you're saying is most liberals don't know the kind of stuff you know most liberals wouldn't actually be able to relate to so it wouldn't know it wouldn't know the facts or what's going on well enough to actually know what policies are better consequences than other policies so i say really the me of the reason why the typical person who wants us government to solve a problem favors it is probably just that he does like bossing people around in the same way if someone orders a lot of ice cream but doesn't know much about nutrition the obvious explanation is well he gets the ice cream if he likes ice cream and if someone favors a lot of government to botch they don't have any way of really figuring out whether the government is accomplishing anything g.m. is that really the position most people are and whatever your views are then that's a sign probably you just like bossing people around on dow the other thing i said about it is. well you know so we have one of your people at my friend i would say well you're not authoritarian in the sense that you actively love bossing people around so you're still authoritarian in

a different sense which is you don't mind bossing people around. and said oh you know if if you government action makes things a little bit better you still favor ninety minutes authoritarian a sense with your bossing people around is the kind of thing that's sufficiently objectionable you think there'd be a big presumption against it so my answer my friend in a way was well at best case you're describing only a small subset of liberals who studies will science day and night but on top of that in a sense you really are authoritarian like your friend even though we can still be friends. brian can you detect a life government power a q the problems that we see in suburbs like ferguson and the concept of libertarian blogger not only in theme of a basic income guaranteed to overcome these problems i mean what about the role of utilitarianism in public policy. right so i mean i'd say that your police abuse really has very little to do with income distribution you know if you belong

to a group of the police are very fond of whether or not you're getting government money every week or every month doesn't have very much to do with it so it seems like most people are complaining about it in ferguson is police abuse and as my colleague alex chadwick emphasized a lot of what's going on in ferguson is people are getting harassed for minor offenses which they. when you add on court costs and so on can turn into a major problem with the law like in ferguson you know like jaywalking offenses actually can easily turn into a big deal because if you don't pay up quickly and you record for the find someone i mean he so on the question of a question of a guaranteed minimum income. so. you know you actually say to me that means anything i think about this and you see you mention matt's one ski is you know he makes a good case that a guaranteed minimum income could be approved an improvement over what we have now right now we have a wide range of government programs for helping people with really very little

rhyme or reason to them terms of you why compared to nothing a guaranteed minimum income would be a good idea he doesn't come close to you in saying male say oh you mean just you give the main question is why exactly is it that people are entitled to live at the expense of total strangers you know if it's ok for you to refuse to help out your brother when he's down on his luck wise and severe case who refused to help a total stranger when he's down on his luck and you know of course whether someone really is down on the down on his luck or is responsible for what's going. and his life is the very thing that we would normally debate when we're talking about someone we know personally but somehow at a social level the very idea that you might want to mention will you is there something that people could have done not to be in the situation is not a popular thing to bring up or as you say it's a controversial thing to bring up but i don't see why it is. that was bryan caplan

fessor of economics at george mason university and blogger for in qana log time now for today's big deal. big deal time with my favorite guy mr edward carriers yes and today we're talking about burger more specifically can you have yeah after hearing years of burger king will merge with comedian based him to dodge higher taxes u.s. senator sharod brown is calling for a boycott boycott of the fast food giant so how exactly would you do burger king's home address to canada benefit their business model cancer and what's going to happen there i think would a lot of this is about is not lowering income taxes. when people talk about these inversions but rather it's about being able to repatriate cash back home but they

can't. because some companies are doing because of political pressure etc but all these other countries companies are saying to themselves look you know we have all this money that we're earning over seas we want to be able to use it for capital expenditure or dividend distribution whatever it may be and if we bring it back home we'll be taxed at the marginal rate and we can do that and therefore we're going to reincorporate somewhere else and then we can actually use that money for other purposes you know that's very interesting because senator brown argues that moving to canada would basically make a lot of americans boycott working out fast food chain so do you think he's right at all by that we're not really i mean some of these brands like apple if you saw will suddenly reinvent themselves as i was company they would get crushed in the media and you would see boycotts not be negative but we. kings decided. the

benefits of this deal outweigh the benefits or the loss that they would take from that kind of boycott you know my personal view about the benefits is that the benefits go beyond just this tax thing people concentrate on that but burger king is boxed in by their name from a brand perspective a lot more than some of these other companies like mcdonald's why. burger says it all that's not healthy you know that defines one specific element what they're trying to do with tim hortons is buy a brand which is actually increased in the united states has eight hundred stores now that is taking on multiple different arenas they're going into the coffee thing you know the coffee shop with the wildfire again starbucks they have the breakfast thing against dunkin donuts and they also compete against mcdonald's head to head in canada so burger king could actually increase their portfolio of types of restaurants in the fast food arena by getting into the tim hortons

brand if you look we just we're scrolling on the web site now and tim hortons is not necessarily healthy food we're looking at donuts and hauling you know high this is not i understand the burgers not the title but it doesn't mean that grilled cheese is that much better for it which is kind of interesting as well but i you know i want to ask about the private equity firm that now runs burger king i would say though that tim hortons is moving into a more healthy direct right right and same way as mcdonald's how successful to do that is another question and i mean burger king could make the veggie burger super popular and it seems like yes it's it's can find it doesn't have to be in our name just how to find it but you know that the hedge fund that's the private equity firm that took over burger king you know do you think this is a smart move on their part acquiring this company overseas and not acquiring but merging with this company and really going to go back to whether or not you think the premise is good i think it is there and it's important is a better bring for moving into. different spaces than burger king and i also think

that you know there are some synergies between the two in terms of you know cost of scale ability of the business model in terms of across those two different. but tim hortons wants to move big into the u.s. they can use burger king in order to piggyback on that franchise they can have both at the same place at the same time what you see with things like see some of their other brands of the same. as always thank you this is fun and i like talking about food so hopefully we'll get a lot more that's all for now but we love hearing from music means check out our facebook page at facebook dot com slash boom bust our teeth and please treat us at edward n.h. from all of us here are going bust thank you for watching and i'll see you next time by.

plane is running out of many things money time and patience there's a growing recognition in europe that the ukrainian civil war must and through negotiations does partition go have the political will and does washington really want peace. this month show bush's transports gets a facelift and you can't seem bored we make the most of the sun in. this signs flourishes in tomsk and we check out some kind of let's say. technology update here on r.g.p. we've done the future. they

lead very hard to take on to lead a plug that never had sex with the earthquake their lives let's listen. listen the i'm led lead lives. of the. we think of the way we think of. beaches.

coconut palms swaying in the ocean breeze. and. why he has a deep little secret a secret the u.s. government would like you to go. through all. the while i did. differently here in syria now many members of congress the folks who have gone to syria in recent months have sent these are want to hear mr president that we choose deedes told him to go. to go beyond peace to syria

is going to be some of the stuff. please. set conditions for settling ukraine's crisis we'll do everything to facilitate peace that was a statement from president. with his ukrainian counterpart. for the very first time . british authorities of being left shocked by the growing number of people being radicalized they now want to take passports of those going towards. citizens to spy on potential terrorists. the popularity of civilian drones grows in the u.s. the small aircraft buzzing through the skies are turning into a serious threat traffic.