the headlines here on r.t. international former u.s. intelligence chief james clapper claims president trump is being handled as an outfit by blood you may have created. on the first anniversary of the deadly christmas market attack in burnet germany's chancellor merkel at mit there were errors in the government's handling of the atrocity. under u.k. parliamentary committee talks fake news and russia's allegedly meddling in numerous countries the election struggles to even get some of its basic facts straight. we can read all about those stories on our website r.t. dot com we'll be back in an hour's time with your world news update right now though the kaiser report discusses china's ban on foreign waste and the impact it will have on the u.s.

stay tuned for that. hello i'm max kaiser this is the kaiser report you know the world is a finite place. in mary's capacity to generate garbage seems infinite oh my god how are those two going to work how do you square the circle so maxwell the circle is not being squared in fact there's a finite amount of space even in the financial system where many think you can print an infinite number of dollars well china saying yankee go home to all american toxic waste whether it is actual trash trash garbage trash sort of stuff or trash us treasury bonds so they don't want any of them here's the first

headline recycling chaos in us as china bans foreign waste and they set out to look at the classical virtue signaling sort of you know portland oregon couple and what it means to virtual signaling essentially it's going to get a lot more expensive to signal your virtue like many portland residents such ish and arlene carr are serious recyclers their house is coated with recycled bluish white paint they recycle their rainwater compost their food waste and carefully separate the paper in plastic they toss out but recently after loading up their prius and driving to a sorting facility they got a shock. the fellow said we don't take plastic anymore satish says it should go in the trash so apparently china has said from january

first is the official date no more foreign waste to. they accept you know all those container ships plastics and cardboard and all sorts of stuff sent to china to recycle well they don't want any of it anymore here. you know i remember the story about an entrepreneur in china this woman who noticed that all of these big cargo ships were going to china return to china empty because of course america doesn't export anything to china they only import she said well send us your garbage send us your corrugated cardboard for one thing and she recycled it re fabricated it in china and sold it back to the u.s. essentially and she became a billionaire and there was a huge garbage trade flowing from america to china america's biggest export to china was garbage literally garbage huge tankers full of waste and now

china is hit the maximum capacity for garbage and toxic sludge and air pollution and people are choking to death on the street and mercury poisoning is killing babies and whatnot so the government's like hey you know maybe we should take less garbage from america so they put the kybosh on this old garbage export business and now that as you point out these virtual signallers in other words you know weasely types and portlandia which is a great show by the way are on able to exercise their virtue by composting their own banana peels and by growing you know their own organic plants in the backyard and dividing plastic and whatnot in the recycling bin they have to now pay that's the bottom line they get the pay well actually part of the problem has been that they do not recycle they do not separate plastics so if in fact in our own

community you'll see that the recycling section is just you dump it all plastic paper. anything danimal wool sweaters but and garbage to china and we're not just talking with u.s. treasury bonds because they said a lot of that garbage and they send fannie mae and freddie mac. sort of housing mortgage backed securities and stuff like that but on the other end they send those at the higher and lower and they send all this stuff and the data is that the u.s. exports about one third of its recycling and nearly half goes to china for decades china has used recyclables from around the world to supply its manufacturing boom but this summer it declared that this foreign waste includes too many other non-recyclable materials that are dirty even hazardous and a filing with the world trade organization the country list twenty four kinds of solid wastes it would ban to protect china's environmental interests and people's health the complete ban takes place from january first but already some chinese

importers have not had their licenses renewed this is leaving us recycling companies scrambling to adapt so they look at a company called waste systems in southern oregon which is you know they've received all of this recycled stuff they package it and compress it into a bale in which they put it into a container and shipped to china but as china is no longer willing to accept it they're piling up while they look for somebody else around the world willing to accept it to actually do this job in the u.s. it's too expensive to separate it all out and recycle appropriately so they're looking for somebody to send it to in the meantime local authorities are just telling them to send it to the local dump so so these people a lot of people are feeling like they're doing well and i'm i drive a prius and i recycle but in fact they're recycling all that work they're doing to

recycle is actually just going into the local landfill you know it all back up and i'll just be. create a toxic environment you know ultimately corporations to package the stuff in plastics of course this would fall in the category of externality you know they don't pay for the environmental cost and they will never be forced to pay for the environmental cost is one of the subsidies that we as human beings give to corporations are willing to compromise our health by having to live in a garbage dump so that these corporations can continue to make on. accounted for profits essentially and avoid this these problems which is their gated cities in fortresses so they have a fortress so since the whole kind of process we've been covering over the past few years and kaiser report is the de globalization we've lived through very relatively easy times i think in fifty years time people of back and say wow that period of time between like one thousand after the opec oil embargo from that period up until

about now was just like everything all the prices were going down and goods were going down shipping everything around the world just in time delivery everything was all perfect and cheap and now i think the cost i think we've hit the bottom there and it looks like costs are starting to rise because as the system says right now all this recycling is technically garbage but there are now international regulations about how much you have to recycle so recycling will have to happen and it's going to cost more so therefore your products and our cost more they one of the articles about this china story says that you know amazon for example is going to get rid of hit really hard because they buy almost all of a lot of their packaging is provided by the recycled end product that has been until now created in china this the guy who runs away systems that i talked about scott fowler he talks about what americans have been putting in their recycling

bins that are technically not recyclable. has always just been put into these one ton bales they get sent to china he points out a roll of linoleum gas cans a briefcase a surprising number of knitted sweaters plus their frozen food cartons and plastic bags that many people think are recyclable but are not well you know these carbon nanotubes are extra credibly strong and apparently you can create a geosynchronous satellites above planet earth on a rope made of carbon nanotubes so you can get into outer space quite quickly like you just take an elevator five minutes up from there at that stage and platform you can load up containers and rockets in carry the garbage to the moon which is our most you know close to satellite and the dark side of the moon is also geosynchronous to planet earth you don't see the dark side of the moon and turn that into an incredible garbage dump and just to get him on moscow or one of these other guys to work this all out

a richard branson sure richard branson and you create a garbage fairy on this new technology and just create the dark side of the moon dump i mean that's obviously the answer to this well a lot of people all sorts of not just a lot of people working in private satellites they should maybe they might invent a chute that just shoots garbage and out of government cannon a garbage can and walk around on you know that you can shoot a projectile into outer space on nucular power rails essentially and you could just shoot garbage satellites and outer space because it's already cluttered with various broken satellite parts and what nobody would know the difference if they've got like old diapers and stuff floating around in outer space blanketing planet earth well of course stephen hawking is right that one day will come visit us and we should try to avoid them ever coming to visit us but if they keep all our trash keeps them showing up on their planet it might encourage them to come look for us and who the hell is said to us all of these old diapers you know that's

a mark of who we are you know the the radius. bills from mother earth that are still being emitted into outer space are the television singles' our first broadcast in the one nine hundred forty s. and of course those were all fillers speeches that were televised those waves are the first waves to leave planet earth to travel into outer space so alien and if they do intercept rays or you know signals from planet earth from the one nine hundred forty s. their first introduction to humanity will be filler and that'll be their first impression and no you can't you can't you can never make a first impression twice something like that yes so right now by definition they say that material out there is garbage referring to the stack of all these recyclables it has no value there is no demand for it in the marketplace it's garbage and in china itself because they're not accepting any of this stuff there is also a problem a lot of old ladies go around collecting all this sort of garbage and separating

and they have no market now finally in this last headline year this is a tweet that came out i think it was via bloomberg and speaking of garbage and china no longer willing to accept it and what that might mean for virtual signal because a lot of our us military is. you know the support via the media is because where such great virtuous people we're going to save those women of afghanistan we're going to save those people of benghazi we're going to save those people and you know various. oil rich nations around the world we're going to help them right well china's appetite for treasuries it may be about to just as america needs its biggest foreign creditor to help finance a growing budget deficit of course the budget deficit is not helped by the expanding military budgets which is totally financed by china and if they are no longer have the appetite for treasuries you know this is the thing that we've been looking at for years of course a lot of our guests are always like whenever they start buying up treasuries it's

going to go all horribly right. so that's amazing that they say things are cocoa you know incidental that they're not taking the garbage of the american fat money either you know you could send them truckloads worth of dollars in hundred dollar bills and they would say no we don't take that garbage anymore and of course that means that the ability to neutralize the effect of all that money printing disappears so that it would come back into the economy in the form of inflation so we're starting to see some early warnings of inflation on the margins you know the ability to hide that are disappearing rapidly. we've got to. see rapidly exits the second how do we take a break you know take a break and come back for the second half so you know.

the idea that dropping bombs brings us to the chicken or forcing you to fight the battle. that you saw for the so you can be gossip and talk with us. today. like. all the hall we along the board will want. to. put themselves on the line they get accepted or rejected. so when you're the president. wanted. to go and. see what was before three of them or you could get. interested in the war.

well welcome back to the kaiser report i'm max keiser time to return to our conversation on marshall are back is a research associate at the levy institute all around nice guy hockey player marshall welcome back not a good hockey player you know you got to the junior high school level of sickly that's where you ever seen that video on you tube birth of a canadian it's you know you see ice there's a hole in the ice and then a man emerges oh yeah i've seen that with a hockey stick in a park well that's true that's so we are that's how you were born that's how i was born incredible yeah i'm a can see that on you tube all right let's talk about this move on to some other topics of concern your thoughts on the crypto economy will this take down the economic system as we've noted it what do you call with the crypto economy look.

if you look at the history of money anybody can create an iou or conduct commercial transaction with another person broad both parties are willing to accept payment in the same medium of exchange so in that sense bitcoin or whatever other cryptocurrency you want to it's fine if that's how they want to settle it but if you really want to ensure a crypto currencies long term viability then the easiest way to do that is by allowing you to extinguish your tax liabilities by using the government were able to do that then you know that would confer a huge immediate additional demand on the currency right now because you would grab those because because you would actually be able to extinguish your tax liability so with the government now my guess is that the u.s. government or for that matter any other sovereign government is not going to lose

its monopoly issue of the currency and so they won't allow that but that if you really want. and to have a bible alternative currency that would be the best way to do that if the government decided to more that for example you can pay your taxes and be repelled you'd probably get a revival in demand for beaver pelts well the government is clearly not on board with the idea of having citizens create their own currency yeah the government likes to be able to control that and so the question is really i don't know if you . well the government is constitutionally mandated to rule that was a rule that was given to them so it's out of it's if it's if it's a dictatorship or a monopolist role it was conferred on them by the. followers of independence yes and this ability now individuals to create their own sovereignty by creating their own currency my question is you know you're smart i want to leave the institute you can i sit around talk about the big issues all day long i mean you know is this

a threat to banks in other words banks there they're nervous they're a bit nervous about this because it threatens their monopoly how do you see that well and i have to look i'm in the camp that says it's probably a bubble i know you with your but who. have a different view of this i must admit that when i hear jamie diamond. you know go on against it i it does make me much more sympathetic to the whole is a big point i can certainly understand you know we've talked before about the low the massive political dysfunction because you know rebel and you know you don't want jamie diamond no i don't you're a rebel you're on the side of the crypto sovereign movement i can understand the the objectives behind it i certainly feel that they have a legitimate beef against the system which they feel is stitched up against them and so i think that they. can certainly understand why this thing has developed the political context for which is to develop i'm just trying to say that if you really wanted to be on sound footing that's where you would have to do it and you'd have

to have some cooperation with the government to do it that way well i mean in the meantime if your community feels. that they'll drain some much capital away from banks central banks and government but alternative well you know look i mean if you can point to me one historical example of this libertarian fantasy that you know is actually existed somewhere then you know that's great but i mean william golding i think wrote about this in lord of the flies so it's a very to stop and take i'm going marshall out of it i'm moving on all right the republicans are pushing through tax reform many who watch m s n b c may not know there are actually any domestic matters unrelated to the russia's president putin scandal hoax your thoughts on what you see a tax reform what's going on there well it's pretty regressive meaning that it confers a lot more benefits to the top one percent and the middle class of working class there's a whole lot of goodies in it for corporations as well you know this talk about you

know we've got the one of the highest corporate tax rates in the world thirty five percent that's that's bogus with the with all the exemptions that are already written into the code the effective tax rate for most large corporations is it's more like fifteen so i've seen some estimates as low as twelve general electric i think i found a seven thousand page tax or yarn and they got a tax rebate yeah that's right and then you've got companies like apple that you know domo solve a lot of their facilities in places like jersey tax havens like like jersey in the channel islands so so mitigate their tax bill so they're there are it's an unnecessary giveaway in a lot of respects there isn't that much done for personal income tax holders and and look my my big. and that's really the grounds on which i think you should object to this bill is that it's highly regressive and also it will probably do very very little for employment growth and for rising creating income growth which should be the goal behind it and in that regard i think that those are the grounds

for objecting to a course the democrats are being very. because they keep on saying well it's going to add to the deficit and that's absolutely awful but of course the minute you start taking that argument you are effectively ceding the you're effectively embrace in the paradigm of the rule publicans use because the next stage of that is going to be that infuse time if the deficit do in fact grow as a result of this tax reform and there are the republicans like paul ryan are going to say see we've got to get hold of entitlements because the deficit so is way too large and we're going to tech social security medicare and then they'll turn to the democrats and say and you see you guys basically express so concern so much concern about the deficit earlier so let's do something about it so it's a democrat a modern monetary theory is economy more on the tax side the fiscal side we're talking about two we're talking about taxes now so in your view what would be more of an ideal tax structure that's a political judgment what do you think would be the like sweet spot for how taxes are levied across the economic well that you're asking me to make an

a priori judgment i would say that you can't really want to watch the was so what's wrong with the current tax regime is my own personal opinion that i think you'll find that i am in tears have as many different views are or are right it's a catch up so my own feeling is the current tax code is too complex has become a political plaything for lobbyists do you support a flat tax in general in favor generally in favor of tax simplification i'd probably go for some elements of progress city to help meeting right now like two or three to two or three basic level and then get rid of all the polls yeah that would be mine i'm totally for why oh why don't we do that because all the lobbyists who like all the are saying that's right the corporate because the real welfare queens that we have to worry about well you're the real welfare queens are corporations corporate and they've got a right love their corporate welfare they that's socialism for the rich and

capitalism for the rest of us yeah that's right we take the risks they play the game. yeah that's right and they get the bailouts when times get tough so you're right through the primary lever of interest rates at the central bank but i want to go there and let's move on and we also have in my goodies oh the twenty eighteen midterms are coming up do you see any economic ideas coming from any of these democrats. well bernie sanders has a few that's largely because he's got a great economist working for him stephanie kelton who go with the money he she still is affiliated with them still buys them so he's probably one and i'm sure there are others out there but yeah the the better deal introduced didn't have much that was new to it there were some interesting aspects of talking about concentrations of monopolies and any names i would offer my work like member barack obama came out of no donald trump was kind of like the heart of where is this guy's

no no unfortunately. you know the ones that keep getting named. are unfortunate being in you know a lot of them get ensnared in other kinds of scandals but no one that that's a real problem the democrats say they don't have a lot of bench strength i mean their leadership is basically always saying to me that the democratic party relies on charisma or as the republicans have policies that they just keep hammering consistently they don't they don't change that much whereas the democrats you have a clue bill clinton or j.f.k. you know who are very charismatic or barack obama i would say roe wade was very charismatic even if you you know you didn't agree with the politics but no i love what i what i would say the fundamental difference is that the the democrats go out of their way to insult and ignore their bases aspirations whereas the republicans at least in word pay at least i pay lip service and they also aren't afraid to introduce crazy quote unquote crazy ideas because that was what happened for example under bush and cheney is that they they would you know introduce an idea

and people say you can't do that that's against the crazy idea but you repeated long enough and eventually you changed the political landscape where is the democrats are always try to be reasonable when the call takes to being reasonable they never will introduce new ideas and they they will stick with the existing paradigms and that's why they keep losing elections and i think that's very insightful and something less than perhaps that these guys in the democratic. really should embrace and they do need new leadership to me as i said you know look . the three leading democrats in the house are all in their late seventy's all the people that are being talked about in twenty twenty presidential candidates. sanders war and. biden they're all in their mid to late seventy's you know you've got a few young names like camilla harris being talked about but again not much is known about her background and and and there isn't enough to there's really not a lot new bench strength there's a few interesting people of the state there's

a lot of influx of women across the spectrum across america in the wake of these sex scandals so women are getting more political trends a year aware of and you see that having an impact in twenty eighteen and twenty twenty seems to have had an impact in the last set of elections we had the special elections in the election we had a virginia look i'm an obsolete and my view or that of the levy and i don't know me you know they've got artificial sperm they've got artificial insemination they don't need us anymore marshall were relics from a previous era they're setting us up for the big extermination everyone's a sex predator or they don't they're going to throw us off a cliff and it's just going to be you know a world run by women that's his view not mine. for the record look what i what they will face higher we you know overlord we need to i think we've to we men have spent enough time screwing up the world that women have a turn of yeah sure you know it's all intellectual property now you don't need muscles well you know i run one thing at

a conference and i heard christine lagarde head of the i.m.f. and she said that she thought the economic environ post two thousand and eight might have been a bit different if we'd had lehman sisters rather than lehman brothers all right marshall have to leave it there thanks for being on the kaiser report thanks for having me again i think. all right well that's going to do it for this edition of the kaiser report with me max kaiser stay here when i think our guest marshall are back from the loo. to generate just on twitter is kaiser report until next time. here's what people have been saying about redacted and neither do i suspect it's full on awesome the only show i go out of my way to find you know a lot of the really packed a punch oh yeah there's the john oliver of hearty americans doing the same we are apparently better than blue things but i see people you have never heard of love

went back to the night i'm president of the world bank so ok i'm going to. send us an email. apply to many clubs over the years so i know the game and so i got. the ball isn't only about what happens on the pitch for the final school it's about the passion from the fans it's the age of the superman to kill the narrowness and spending to get to the twenty million and one player. it's an experience like nothing else not to because i want to share what i think what i know about the beautiful game played great to one more chance with. a nice minute.

this is boom bust broadcasting around the world from washington d.c. and beyond the coming up disney's purchase of twenty first century fox could mean more than just anti-trust and able bundle headaches in fact it could mean big changes in local sports programming we'll talk to victor matheson about that plus can we expect a jump in gold prices next year peter schiff of europe

a separate capital and gold will tell us what we can see now let's get to today's top business and financial headlines. while bit coin might be hovering around seven hundred thousand dollars there are still plenty of critic.