filling in for lindsey if you're watching boom bust broadcasting around the world right here in washington d.c. coming up on the show rumor has it that corn exchange is in china don't have a very bright future ahead i sat down with the former u.s. trading commissioner to discuss what it could all mean. and natural disasters could the impact of hurricanes and irma offer a positive turnaround one guess will tell us what she thinks and where did it go a new report shows just how much money can tora has blown through its diplomatic row what that's called neighbors stand by them but starts right now. the possibility of a crypto currency trading ban in china keeps getting closer to reality on thursday

china which is the country's largest exchange announced it was forced to suspend operations it also said that it will officially shut down by september thirtieth is caused going to fall nearly eleven percent and the price is now hovering around thirty five hundred dollars far below its all time high of around five thousand dollars and this comes just about a week after trying to ban initial coin offerings the government accused. of being scams and pyramid schemes and the central bank said anyone who raised money through them should pay it back because of strict capital controls in china crypto currency has become very popular among investors in fact the country currently accounts for nearly ninety percent of all big trading on exchanges now there has been more talk than usual about digital currency is as bitcoin loses twenty seven billion dollars in market value and j.p. morgan c.e.o. says big going to have products that. won't and well. a former u.s.

financial regulator who years ago was the first to speak out about the appropriate role of digital currency as joins us now bart chilton thanks for being with here being here with me today part as a pronouncement regulator you were out there early and often as the first u.s. government official to talk publicly publicly about digital currency is and in two thousand and thirteen in called bitcoin a shadow currency that c f t c should regulate so clearly you have some strong feelings about digital currency as to what are your thoughts on the chinese decision to band trading on these digital currency exchanges. behave bianco well i think it was you know it's to some extent in evitable that this was going to happen to some place i'm a little surprised that it took place in china because of what you just reported about the large number of investors over there but that may be exactly why they ended up doing it so what i've been saying for years is that digital currencies

have a place in our modern financial society and system but they need to be appropriately regulated not overzealous regulation and if they didn't if the enthusiasm for bitcoin and other digital currencies didn't embrace some sort of regulation that you would see overzealous regulation and they would do things like the chinese have done both with the i c o o's banning the use of coin offerings and what they did in the last twenty four hours with regard to stopping exchange trading of digital currencies so you know it was something that i sort of predicted not necessarily in china and you know we'll see what happens going forward beyond go one other digital currency news j.p. morgan chase c.e.o. jamie diamond said that bitcoin was a fraud that people are wasting their time with he also argued that there will never be

a currency that gets around government control period so in your opinion having served as a financial regulator for years will lawmakers and regulators allow these digital currencies to be used or will they be shut down. well it really depends upon what happens they will be regulated for sure i mean one hundred percent they're going to be regulators regulators aren't going away they're not taking a hiatus the question is can the bitcoin enthusiastic come up with some sort of structure themselves which i've been arguing for all these years perhaps and working in tandem naish in tandem with groups like the international organization of securities commissions i osco come up with some principled protocols or on the trading side with the world federation of exchanges coming up with some basic rules of the road that can provide some consumer protections but if they don't do that if the bitcoin enthuses don't get together with those sorts of folks and come up with

these basic protocols then when some bad thing happens like we were called mt gox in japan where they lost four hundred seventy five million dollars initially several years ago if something bad happens then the regulators bianca will come in or lawmakers and over regulate and i'm also concerned about that the over regulation but there's a real kneejerk reaction when you know constituents when citizens are damage so i think it's a fine balance but so far it's not the been achieved i don't think anybody's got it right quite yet or despite the success of the sound digital currency as they still have not been adopted day to day so why do you think that is do you believe that some people are just scared of the whole concept. well that's some of it i mean you think about it think about digitizing recording and transferring data whether or not it's music or movies or computers or. other things that mean money is the

next logical thing to be digitized and it will happen and i think it will be of great value the question is how fast does that happen and does it happen in an appropriate way with meaningful consumer protections and so far like i said that nobody seems to have gotten it right and i think that's going to china is a great example of that slowing things down so i don't agree with mr diamond that bitcoins a fraud it's not based upon much it's based upon you know the error i guess is not based upon much and i do think it's not just you know a risk for people but somewhat of over of a raffle but people are adults they know they're they could lose their money and if they have that disposable income that they could go poof that's fine but i do think there's just this trepidation and reluctance to embrace digital anything like there was with you know moving from floppy disk other types of computing technologies of

moving from tapes and eight tracks into c.d.'s and and now digitized stuff so it'll happen it just a matter of when and how well what about some of the other issues that are holding digital currency back and then are these things that can be remedied or will they can we not do anything to fix them. well there are some key thing so all the banking regulators deal with these two things that people always call them by their acronyms but it's k y c which is know your customer so that's one and know your customer means i know that it's beyond me and she's the one that's trading here and it's not some pseudonym and the second thing is the money laundering am l. and banks all have to deal with this to ensure that people are purchasing illicit drugs or involved in human trafficking or weapons or from a government perspective of voiding paying taxes governments care about that a lot so when the bitcoin enthusiasm and others try to come up with some structure

they're going to have to figure out those two things the and i money laundering and the know your customers in order to have just a modicum of regulatory scrutiny those are the things they really need to work on going forward what about the trading value is that what's behind these digital currencies being in retreat is that public skepticism from people like jamie diamond or is that china or is there simply a bit when bubble. well i mean it's hard to say i mean we've seen you know just bitcoin in the last you know a few days and even the last twenty four hours i mean it started at about five thousand dollars the beginning of this this month one bitcoin but even yesterday you know i think it went from like thirty five hundred down to three thousand went up to somebody i think propped it up which as a regulator when i was back at my old agency i would have been calling the enforcement people on this it went from three thousand to thirty eight hundred and

i think that was somebody trying to prop it up in light of the news about china bianca so that stuff shouldn't happen i mean that's a rock n roll roller kit coaster that i wouldn't want to be on and as you reported it was down to about thirty five hundred so there is there is i think some sort of bubble but we'll get through it digital currencies are going to exist they just need to be configured a little bit differently ok part shelton former u.s. trading commissioner thanks so much for your time today. thanks a. lot while puerto rico is burdened with more than one hundred twenty three billion dollars worth of bond debt and unfunded pension obligations it's now been hit by hurricane and on top of that the devastation of hurricane harvey in texas temporarily wiped out more than a fifth of the u.s. refining capacity but our next guest says the aftermath could turn our economy

around boom bust host lindsey france sat down with danielle de martino booth president of money strong and author of fed up an insider's take on why the federal reserve is bad for america and asked her how the hurricanes could provide economic benefits here's what she had to say. well it has to do with this specific damage that's been done because of hurricane harvey we had the auto sector enter a recession we saw the first spike in construction worker layoffs. in august as commercial real estate volumes have collapsed over the past year. we've seen the residential housing market begin to turn because home prices have got to be so high that we saw not not just a disappointment in the new but also the existing home sales report pending home sales are in the toilet it's just not been a pretty picture in a lot of sectors of the economy that will by the way directly benefit from the

aftermath of hurricane harvey well let me i want to refer to a very interesting piece you just wrote it's entitled houston we have a solution so what is that solution. well i think that it's a matter of i'll share one story with you friend of mine apartment developer one of the particular units that he that he happens to have developed four hundred units two hundred were destroyed by floodwaters he bussed in one hundred forty construction workers from florida the fifth day after harvey had hit it was still raining and a whole batch of construction workers hit houston and started tearing out the sheet rock pulling up the floors repairing these units that's one one story one story and one story alone houston prior to harvey had an oversupply issue when it came to apartments that's vanished overnight all of that excess inventories been absorbed by homeowners as they move into apartments while they start to repair their homes

there's also been a hotel issue in the houston market sense of oil prices collapsed houston had the distinction not a good distinction of having the most distressed hotel mortgage loans in the in the country that's gone to. well of course there's price gouging going on with those hotels but that's got to be controlled whole nother story but i see what you're saying there in there and i'm just saying accounting had an oversupply issue in a lot of renos and that that's been eradicated overnight to say nothing of the fact that there were too many cars and united states and used car prices were falling that's true you know what's interesting here is that back during hurricane katrina we saw that devastating catastrophe a lot of people didn't have flood insurance because they were on that one hundred year flood plain classification the government makes a lot of people here weren't catastrophic flood insurance is expensive how can we expect people just in layman's terms i'm just wanting your opinion on this how can

we expect people to be able to foot the bill for the type of construction that needs to happen in these neighborhoods i mean it's as summated two thousand dollars for every inch of damage done in your house well lindsay look this is going to mitigate not eliminate the odds of a recession barreling down on the u.s. economy you are absolutely correct fifty percent of homeowners who are affected by katrina have got flood insurance estimates right now that may be upwards of one million one point two million do not have flood insurance who got flooded so there will be a lot of economic long term economic damage that emanates from this storm because a lot of homeowners simply will not have the means as you described to be able to repair their homes i think that we will see quite a few homes demolished in the coming weeks and months remember it's still summer time in texas very difficult to stop the mold from growing and the devastation from

getting worse if this heat doesn't let up right and you know texas what are we facing as we head through christmas into the holidays gets mighty cold up there can they still bills through this and help to resent that economy well so in the case of texas unless we have an unusual. winter it's much more so the case in dallas where we get ice storms and snow from time to time houston is not as affected come winter time by severe winter weather so the construction workers should be able to keep hammering and nailing all through the christmas season they really should be well thank god for that as these people try to rebuild things and it's interesting you look at what we need any silver lining we could possibly get in the wake of these terrible storms that's right and who knows about puerto rico and what it's facing with its huge burden and what we're facing now much of it is rubble people without power we should definitely bring you one soon to talk about that of course the hard part is we can't exactly assess all of the damage but that will be

assessed thank you so much for talking with us about this daniel de martino both president of money strong and author fed up an insider's take on why the federal reserve is bad for america thank you thank you time now for a quick break but stick around because when we worked we'll have a report from seoul south korea covering the impact the u.n. sanctions are having on its economy and we'll tell you how much money the torah hasn't burned through as a remains isolated from what's called neighbors. years ago travel to. exploring america's deadly love with. if a bad guy tried to get to one of my family members he would have better a lot better and i think they are inheriting whenever my my baby. book was published in the. a million americans have been killed by us.

did this is a middle school we go through drills and we put ourselves some real scenarios it was interesting to see who actually got hit. just to return to the subject to track down. who i'd met goals those years you god i don't know that but we are not.

well known by. the martial. islamic states claims it was behind the manchester terror attack by the militant front so kill the priest every time a terrorist attack happens all these people are out there screaming i says so bad someone needs to do something against them for me yeah why don't. we give them the result. that if you. let them. check if. it is going to be how did. you kill an innocent.

welcome to maximize your financial survival guide. the town. yanks. this is what happens depends don't just. watch treasury work. it's been three months since its gulf neighbors imposed a blockade and qatar is still struggling financially according to a report from moody's the country has spent over eleven percent of its reserves or thirty eight point five billion dollars to keep the economy going that's a pull into about twenty three percent of g.d.p. and the problems go beyond cash qatar has also had to rely on food and other

imports from turkey and iran compared to last year imports have dropped about forty percent and other sectors like trade tourism and banking have also suffered since the crisis began in june and he said it expects the problem to persist but added that other nations in the gulf cooperation council like bahrain could suffer from the sanctions to the the crisis also poses problems for the twenty twenty two world cup which is scheduled to be held in qatar however the stadium hasn't been completed yet and prior to the diplomatic row the country was relying on imports from saudi arabia and the united arab emirates to finish constructing it. last week the eastern economic forum wrapped up talks in russia where leaders from around the world met to discuss investment in trade and transportation we have a piece from our tease on your part poll who spoke to you got the chance to speak

with a member of south korean president. in seoul. well the east asia economic forum that wrapped up earlier this weekend in light of these high level regional meetings i think both with a member of president mubarak. and of south korea's delegation who traveled with him to lobby of our stock russia for these talks i first asked mr hewitt how these i'm president and sanctions passed by the u.n. security council on monday could impact the south korean economy actually is sanctions on north korea doesn't affect the korean economy about it being. the reasoning is no solace trade even before the sanction and during the ninety's during the two thousand the omanis for example just the one billion want to build.

you think about that korean i mean the republic of korea now trade porto trade to be the wall these one trillion so you suggest a one billion versus one trillion so it doesn't make a big difference for our economy. maybe that's saying a show i have some very sly indirect. impact on quality at all for example in the secondary sang shown on chinese company where chinese banks. but even in their case to go always chinese companies and chinese banks that tabulation meade north korea use earlier is a smaller company smaller bands so it doesn't have a direct relation on the south korea so that doesn't have a big impact either but one point i'd like to say in that regard is that even the sanction carbonized the chinese economy chinese beanies seem jaguar

and then seen korea has a big business relations with china sammael facts on other possibilities because of this difference of opinion or a trade war between the u.s. and china even that's happened that would be a big concern for korea. you recently returned from where you attended the east asia economic forum with president moon's delegation what was your impression of the meetings. were meeting particularly the president the. president and the prime minister. president to have the plan that they talked about the reason our cooperation as you know all the rush. to try and. not just the one goal that

everybody's down the door and the corey. president on. the north east asia. but then me they're linking asia to europe so all these contracts have a common goal and then at the planet it's. really how. the future possibility and even the deep prozac proposal was proposed by leaders in the countries coming out of the meeting how vital would you say the relationship south korea has which is russia and china is in terms of economic development in the region. i think. we have some has already changed. our government to just for example gas line prozac or. fisheries prozac and then

ship it in prozac so i think those kind of prozac is our business the poor business people had even one too and. i think that some many. business styles president moon seemed eager to restart or give another shot to the sunshine policy which some would include it in joint economic development between the north and south as well as perhaps the reopening of the case on industrial complex these things that are possible under current circumstances circumstances i think but i think phrase you mention these very important of costs that the president has to direction is through with sanctions or whatever they'll find out of glories. in the wrong on. that. one back

around. the sun says i think it is true because it's on north korea has. nuclear has that misses at the mall months i think countries even. at the moment it's not the pine for seeking the. swiss so at least north korea has to. has to make to keep the commitment blog i will present on even at these fires then you comment. on that. wrong or gore is a fine not a glorious. saw our. poor let them see it. one way to buoy. our president suggested even

a sea change shown it is not appropriate for. north korea include then out of korea and russia. cooperation on projects parade of the progress or other forced down after some time. comes to the right then we turn. north korea join so. you mentioned about the chasm the industrial complex but more i think new york project might be i think trilateral prozac between rush. or i saw that project is the goal of this joint economic development to slowly encourage the north to transition to a more capitalist system although our i don't want to i think designated pin down by defining that comes i think you have the countries average so side as

the old one for lots of these are parts but one goal really is to let the people i think be call mall prosperous or let them people have or a good believe being has to know their north korean leaving condition is very harsh and so you in that sense our glories through this project lead north korean people or make more i think the sense to leave being i think that is to call on wednesday officials in seoul met to discuss how exactly to implement these sanctions against the north however it's clear sanctions against the north aren't always so simple there is a wider regional repercussion when we see these very extruding economic measures passed by the united nations and exactly what the impact of simply saying she is against north korea will be on the region remains to be seen and so on your part

pilgrim but. if you're looking to blow some euros in case italy does away with the currency and you have love for unlimited pasta don't worry because all of gardens got your back the restaurant is bringing back the unlimited pasta past fifty lucky customers will be able to challenge down on two months of unlimited pasta for just one hundred dollars if you're lucky you can try and buy a two hundred dollars pasta passport and that only gives you two months of unlimited pasta but also sends you on an eight day trip to italy now may seem silly getting into a food fight over these passes but they are highly coveted last year one person sold there on limited pasta pass for more than four thousand dollars on e-bay. that's all for now be sure to catch full bus on direct t.v. you can find us on channel three two one and if you miss us on brekky you can catch us on you tube. last full bus r t thanks for watching.

it is one of the basic instruments to drive an economy but it can also lead to tragedy i did it i took the whole gist i came to god and meant that the debt style came and it was fire not. many lives have been broken believe excessive to the banks got you into trouble. big bankers got big. banks but just didn't think of the. last morning through the back. creditors people see no future bad face from you know you become ill get into a job your relationship breaks down you become a casualty is dead a life long trip or is there a way out those are surely going to a bit of you know woodward to ditch been for so morphed cisco from what.

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nor middle of the room. i mean real news is. u.k. police arrest an eighteen year old in connection with friday's bomb blast on the london underground islamic state claims it was behind the attack that left some people injured. and a show of defiance against the spanish government officials throw their weight behind the region's upcoming independence referendum large crowds also turned out in support of catalonia secession. until. the syrian crisis shield a crucial agreement for deescalation zones in the war torn.