that's a measurable as wife is the one putting the paper bag on her head you know what this guy looks like the tape worm that got hit with an ugly stick charlie munger urges regulators to ease off wells fargo blasts bitcoin. i bet you don't care. there's a charlie munger approach to economics. i'm not sure. he knows. quacky very much in ordinary person well you know ninety four. this is this is generally miners approach to economics blown. through wells fargo fargo throughout the term surely monger and warm up in a tourist. top photo i showed that was from a tweet from reuters berkshire's monger urges regulators to ease up on wells fargo so you know before janet yellen another honey badger left the federal reserve bank

she did basically force them to replace three of their directors because they themselves were unwilling to basically get a better attitude about all the frauds they had committed you know they had set up all this fake accounts for their clients in order to basically meet some targets and get better bonuses but they had also been found in this kind of got overlooked because it happened in the summer when a lot of fake russia great stories were happening but also between started to take off the back of more press but they had also been found to have basically forced auto loans auto insurance onto those who had auto loans from them and it was fraudulent that basically these people didn't need this product and then they didn't realize that they had this product and so they ended up getting their cars repossessed so basically janet yellen forced them to that was on the very last day she forced them to replace the. directors and now charlie munger is all upset that

as the largest shareholder of wells fargo he's using his position to try to badger honey badger the you know the regulators to ease up on his investment his is the largest shareholder he had warren buffett berkshire hathaway wells fargo wells fargo was caught in equivocally stealing from millions of customers wells fargo you know going back a few years they've been involved in numerous scams they got bailed out of course during the two thousand and eight crisis a crisis emerged big coin a self-regulating true money a substitute that would put the charlie munger and warren buffet's under the bus because they're parasites and just take from the cut from the economy that adding anything berkshire hathaway is nothing to the economy it extracts from the economy it's a tapeworm on the economy because it is sound money so naturally it's like throwing tears at the wicked witch of the west in this case charlie munger is the wicked witch of the west and bitcoin are the tears actually called noxious

poison which it is exactly it is you put poison down to get rid of rats who are eating infesting your house and here they've the sort of this banking activity which by the way the activity that wells fargo was engaged an opening for industrial scale fraud that's what it was and they got fined a bit of money like two hundred million dollars for opening these fraudulent accounts he says of course wells fargo had incentive systems this is what they call incentive systems that were too strong in the wrong direction and of course they were too slow in reacting properly to bad news but practically everyone makes those kinds of mistakes monger said and it's because it was just the noxious poison and it is the noxious poison to this sort of system this fraudulent system which is opaque you can't see it that these people until years later that these people have been committing industrial scale fraud. and then the regulators come in and they

tap them on their little wrists and nothing happens well destroys that but they keep ninety cents or fraud dollar they commit they pay ten cents and find and charlie munger saying the incentives are out of whack it's mis incentivized the way that the structure of the banking work banks work it's true across the banking sector it's true because the central banking sector is how charlie munger has made money when he and warren buffett call big coin ratpoison that's correct and he is the rat charlie munger is a man a four year old rat warren buffett is a big fat rat they are easy enders they're predators and bright and characterize fraud as miss incentive that's like saying that you know the guy who goes into the liquor store and robs it blind it kills people who is mis incentivized he just went in there to get a pack of cigarettes but somehow as incentive structure was messed up but he end up killing a few people and stealing a bunch of money but we're just going to find him ten percent of the money stall is still thousand bucks you got to give one hundred dollars to the government is a fine they can keep nine hundred there's no culpability for the murders in this

case you know these guys are actually causing widescale social and economic unrest is leading to all kinds of malays and destruction in the economy and this is not pull pot but private equity well this is the thing about the wells fargo scandals first of all let me conclude with what reuters says about it and look listen to their wording about this the san francisco based bank has been beset by scandals for deceiving customers such as by opening an authorized accounts and forcing them to take out auto insurance they did not need so the thing that cannot be calculated is how much stress it caused some of these people whether they were something like twenty thousand car repossessed sions that happened because of this that goes on their credit scores how do you fix the credit scores of these people and here's an economy where literally if you don't have credit in the u.s. economy you're you're dead you're here like you're cut off from the. greg so

there's no way to calculate how much damage that has done so you know these are truly miners a frustrated genocidal maniac and he knows he's not long for this world so he's spending the last few weeks of his life of a sensually summing his nose at everyone who's trying to apply the rule of law to this recidivist criminal banking terrorist that has murdered people indirectly by abusing the system and it's a shame that the media in america waste his time pointing the finger at countries involved in sowing elections where there's absolutely nothing but smoke to it and they ignore so what is side the country who's actually who are. they go oh we don't care about that because used people as you clearly was bloody war and they're so sweet how bad can they be there's such a nice old gentleman you know meanwhile you know there's a lot of people in paraguayan elsewhere that were involved in all kinds of other nations doing that just a story that you know there's actually a great piece of the nation which will cover soon but it covers the berkshire

hathaway business model and what they do is they invest in companies that have monopoly power so they themselves invest in monopoly power which is anti-thetical to the american ideology of free markets so they themselves warren buffett says he utters these words says that he invests in most if you have a moat that keeps you from your position is protected your monopoly pricing power he invests in that in terms of what janet yellen did on her last day in office here she says a well fargo rehab requires a change at the top last friday and danielle is last day as federal reserve chair the regulator slapped the san francisco based lender with sanctions for poor governance compliance and risk management relating to abusive sales practices that culminated in the creation of millions of fake accounts and inappropriate charging of auto insurance and mortgage fees the fed also took the unprecedented step of prohibiting wells fargo from growing any larger than its total asset size at the end of twenty seventeen or. in dollars without clearance from the central bank

ironically this sanction actually provides an element of cover for the lender which has found growth to be a challenge lately so they're not allowed to expand because they've they apparently can't do it without committing fraud so janet yellen on our last day did actually do something worthwhile and she. of course had to do it on our last day because otherwise warren buffett would have had to remove anyway from the fed exactly the quid pro quo on the last day but it lipstick on a pig purely for cosmetics window dressing and the overturn it quickly because these people have enormous sway in government and they run the legislative process so they'll be unwound any penalties for wells fargo and i'll be back committing serial fraud by the second quarter of twenty eighteen we're going to get into part of the reason why she did this is because you know they've committed these frauds against their customers the fake client accounts and the fake insurance products but they still haven't offered restitution for anybody who is owed less than one hundred dollars so they still like thousands hundreds of thousands of americans

that they owe restitution to but i do want to say something about honey badger that we have a friend steve beauregard who we saw down in cannes koonin at the round table he's with gold coins and he was just a safari in africa and he asked the safari guide he's he wanted to see where the honey badgers are and the safari guy was like honey badger is usually people want to see the elephants the lions the tigers the giraffes like why do you want to see honey badger's and the guy hadn't heard of honey badgers being by the fiercest animal on the savannah is the honey badger you know and of course the jelly mongers in the warren buffet's either they get distant or mediated out of existence or they just croak. when they both have said they're like they're not long for the world well ok so wells fargo screws customers yet again now failing to make right and abuses elizabeth warren demands answers so wells fargo is getting get more deserved bad press gretchen morgenson and emily glazer of the wall street journal reported that the bad. it was making a hash of the customer a restitution and

a promise to make in connection with his various scandals again i hate that they always call everything scandals or crimes like these are crimes they committed but even though the press firestorm last week was over the banks fake accounts the much bigger payments to customers and the ones it is messing up involve the forced placing of auto insurance which in over twenty thousand cases lead to car repossessions and charging unjustified fees in connection with mortgages the journal story got the attention of elizabeth warren who shot off a letter to wells fargo c.e.o. tim sloan demanding answers again tim sloan was made c.e.o. after the previous c.e.o. was forced to step down finally after many months of and all sorts of senate hearings and finally they forced him down to sloane was the former c.f.o. so he was in charge during all these crimes he was still an executive during all these crimes so janet yellen had been basically suggesting that they get some outside help because all that it was infested their entire organization with.

people who obviously couldn't see what they had done was wrong rats. so you have to . basically bring in a honey badger to take it out right and you know combine that with the opiate crisis all these people that have had their lives ruined by false fargo of course it's very easy to get hooked on opiates thanks to the drug industry and they're working together is some of the american genocide but charlie munger doesn't care any badger in the bitcoin will however put these guys to rest physically intellectually metaphorically what sound money and you're your own bank you don't need to rely on these crooks well as you head into the second half or you can talk to randy feller about the twenty eight thousand elections coming up these sort of issues are still ongoing this this started in two thousand and eight two thousand and nine actually the frauds were committed leading up to the financial times thank you ashley died in two thousand and eight and he's just admitting the noxious gases from his corpse is being interpreted as some kind of insight well you got to go to the second half little break don't go away stay right there.

the rebuttal from stephen. hollywood guy next. right american first of all i'm just george bush and. this is my buddy max bemis financial guru he's a little bit different. with all the drama happening in our country and. every day americans. look to the store to bridge the gap this is the great american to. us. it was going to look very deep the mystic for us was shelling strong miracles

supremest see the north from the outside world from russia looks from shining on blood from inside all sides of the missing what you see now on the wrong russia and there is. no russia. is psycho laws or go to a list on the bill of times to find sound outside the united states will is responsible for do it while the real problem is the stuff. that. certain i want to do things that show these guys do with the very clear. way.

management. and they are they they when they have them they have. skimmed you need to feel. some yeah what do you how much. do you. mean that with a measure or negative. welcome back to the kaiser report imax jazzer time now to turn to four time mayor of pittsburgh and he also led the north carolina democratic party hey it's randiv already welcome back to the kaiser report it's great to be here max ok so we're

coming up on twenty eighteen is a way the president you know he has a big downward movie gets crushed you know after being in office a bit there's a reversal but this president has caught the eye of some interesting folks you know his tax cuts have led to praise even from democratic leaning california corporations like apple or celebrities like bill murray you know normally in midterm elections the party in power is kicked in the teeth but these tax cuts seems to have you know really grab people's attention even in the democratic party where you think well money is always going to grab people's attention you know we all knew that apple was offshoring all their profits and now when they've lowered the rates from thirty five to twenty one and some of the other things in that tax bill they're able to move billion tens of billions of dollars around to their benefit the question is what's becoming of a lot of this money i mean one what i read in bloomberg and other sources are corporations are buying their stock back yeah why would they buy the stock right

exactly they're more into financial engineering then to cap x. they're not building out they're not growing their businesses as such they're just engaged in accounting tricks to increase the executives pay more lastly because of the legislation passed in the clinton administration which kept what you could write off they get the stock option so i predicted they would do that last fall and they're buying a lot of stock back so of course you know apple is happy because they had hundreds of billions of dollars caught up in this or at least tens of billions and very wealthy people are happy and anyone that has an s. corp is happy because they changed the rules there and you had an s. corporate also you might decide to make a c. chord now because heck your tax rate went to twenty one percent. twenty eighteen now mean this is playing well to the crowd yes. democratic party grain kind of laying out the the lay of the land for us and twenty sixteen and looking at the what was contributing to that dynamic in that election what can we look forward

to in twenty seen in a nafta is nafta now back in play is this part of the mix well it depends what president trump decides to do it meaning he certainly pulled out of the deal in asia immediately that obama had been working on and obviously a lot of progressives oppose so it's highly likely that he's going to try to amend or change nafta. and of course how does that play and you know this whole open borders thing and then this issue with the wall on immigration i think they're all connected i mean his base is worried that the country is becoming grayer and the country is becoming browner and they all know by two thousand and fifty it will be white white population will be the majority minority so i think a lot of these moves are fear as are facing the future the people have never lived in i think nancy pelosi race and they said her greatest aspiration is i want to for a grand kids would be brown. what does that mean well i think that she's probably

realizing it at her age and her position in california of course she comes from baltimore her you know her relatives were the mayors of baltimore and she's probably thinking of inclusively that you know things that used to be taboo biracial marriages you know loving versus virginia in sixty eight used to be illegal i mean you know most of these people don't forget i grew up you know at the end of the jim crow era that are still in power i mean i think the twenty eighteen elections are going to be about you know the politics of women and progressivism and democratic socialism versus the politics of dog whistles and white supremacy fair enough so let's talk about women in politics because that sam's there is a groundswell of activity amongst women in politics the very active all over the country and is this trend of course after the may two movement and after a lot of controversy the twenty six election involving trump is going to now say a wave of women in office and what does that portend randi we're going to see

a with a wave of women running for office and then i guess my assumption is a number of these women will win and what we're going to see is the chains of values that are implemented in washington and state capitals and county seats across this country because women tend to look at issues a bit differently than men and there are gender differences in this and i think that's a good thing i mean we need to have people at the table they need to be there in the decision making process and i think that those are the kind of changes that this country needs let's talk about focus for a second the democratic party they are still focused on some of these issues from the air ago the so-called russia gate for example or they may be wasting political capital at this point on chasing that where they could be looking at something else at this stage of the game that might give them greater panic. nation into the hearts and minds of the voter well i mean the miller investigation and what you

term russia gate you know that's kind of keeping alive. people's thoughts and kind of the negativity around trumps when. but the truth of the matter is simply that you can't be a party or a political movement that is opposed to everything you have to be a party that is for something and that's what you're getting at right so what's your program and you know and you know leader schumer has been asked that others have been asked that you've got to come out clearly and what and say what do we stand for well you know there are those senators and leaders in d.c. that have said that i mean they stand for universal health care for instance they stand for supporting the dreamers they stand for a number of progressive moves that would be good for this country the problem is that at the very top whether it's the republican or democratic party it's you know you've got your left wing in your right wing but the plane is the corporate plane then that's the ultimate problem the money issue well you know the. jobs issue is

was really driving a lot of the votes and twenty sixteen great disenfranchisement in america from coast to coast people were feeling as though they were not participating in the economy trump brought in these tax cuts that had at the moment a great effect increasing jobs increasing salaries they got amazon with twenty thousand new jobs you've got apple computer going to create twenty thousand new jobs so the voter a goes to the voting box they are looking at their paycheck and their think and you know why would i change at this point i think that focusing on amazon and focusing on apple is just our obsession with focusing on the whales you know whales don't live in an environment with an awful lot of plant in i mean you need to have everything in the economic biosphere so to speak right and that means small businesses that means medium size businesses they like to do. that because it catches people's attention that we're got twenty thousand jobs

a small businesses that are out of the economy of millions and millions of jobs it's just a drop in this modern business is reporting increasing activity they're hiring they're expanding i mean it's trickling down i mean the trickle down the way for about since reagan actually is trickling down i don't think that that's it's that's not the reason we already had expansion in this economy coming forward there already was growth you can look at the trend line from two thousand and nine but also recently there exactly has it made hockey they said because because the tax code we're giving everybody in the company thousand bucks that's writing that's real money well you could have been giving everyone money by actually supporting other programs that people could spend for instance you know when people have section eight and they get rent vouchers who owns all that real estate that's rent the comes in your pocket that's hunt that's thousand dollars every month yeah thousand dollars one time divided over twelve than i take out some for the tax man so fair enough so you're if you're comparing what you would describe as a gimmick versus a more structural reform that could be sustainable over

a generation that be more meaningful i think is why you're so we describe it is like getting on a sugar high what happens after that to follow up on this you are a mayor what do you think these various cities across america prostrating themselves at the feet of jeff bezos begging for amazon to open their second headquarters there well the way economic development works in our country is we force municipalities counties and states to compete against each other as opposed to having an o. a coherent policy or a manufacturing policy that's unified that so you don't have people throwing you know tax breaks and this and that at these various companies so i would just say that those and others are you know playing by the rules of the system and forcing the politicians you know to come to them you know what the best offer i mean the truth of the matter is they want to do a ribbon cutting and say we just opened a new plant that created ten thousand jobs that's a lot more sexy and. interesting than saying i just worked with you know five

thousand businesses that created two jobs. trying to hit home runs and sort of get walks and signals or throwing the home they're throwing the long ball back the baseball metaphors that we love so much here in north carolina we do i do yeah you know so what is now the attitude in the democratic party may i mean i hear what you're saying a sound you know like you're trying to. bring it up bring it all together and like rational you know i was underestimated tromp and it looks like that's going to continue i mean. what's going to derail this guy i mean there's no skeleton in the closet same strong enough to do. nobody in washington can stop him he's got his twitter sphere that he just broadcasts irakli with goes through mobile round mainstream media he's out is unstoppable. i'm going to stop with the electoral college was designed to stop a person like trump and it did because our institutions have been failing for

decades that's a very interesting point the electoral college was designed to stop a charismatic let's say person from garnering the popular vote in a way that would be representational to the nation as a whole and somehow he defeated that and won the electoral vote how was that possible against the most widely anticipated when in american presidential history for hillary well on a lot of levels i mean it wasn't just donald trump you know republican policy makers you know and americans for prosperity and other groups have been you know working on ways to suppress the vote since obama won i mean this is about the politics of race as well this is about the politics of preserving white privilege and white power so i mean these things were already there this table was set and donald just kind of elbowed his way into the room he benefited. from suppression in wisconsin when i told you how he could win i laid out the states that he could win

based on what reagan democrats did in the past and based on how sanders did in the primary and it happened but let's not forget that in wisconsin tens of thousands of people were not able to vote based on voter i.d. laws that were rammed through by support from the koch brothers and others why because they know if certain populations vote their ideas will not win which is why they don't want to have a huge turnout they win when the turn on a smaller and speaking about twenty eighteen yes there could be a blue wave but what's holding it back is a red firewall what's that red fire wall gerrymandering most of these districts are impossible to win in. right now being a state that is the most gerrymandered probably in the country is far far far i'm hearing you would know better but is that the case yes north carolina is rated on indices you know from people around the world where they look at actual countries and let's not forget we've got ten million people in the states or worse as large

as many countries as being one of the least democratic places on the planet when they rate you know election interfering. maybe domestically instead of looking from outside forces are any way down to go your own numbers man we've got to go thank you man the guys report thank you for having me on report all right let's go do it for this edition of the kaiser a part of me max catherine stacy ever i think gets ready voller federation's on twitter it's kaiser report and select on. similar to the sports to. snowboard the sport of the. beautiful yes good good new person talking to you in the most gym clothes but then this material to my gym i do you know because you know my mom they're going to the

store and you have to use them. so. i use the muzzle and you can split the. u.s.c.'s so you just little. with some of the spirit of the show to be cool to the police ideations people still . to take a look at you to. see when you. will be a little bit. elliston is getting international recognition with the help of israel at least in the world of zoos remember wolf it was dismissive to do you like you know that this is my

complicity is going to have to study all maybe you know john i just hope. the only palestinians who gets the most help from its jerusalem counterparts i don't think there's some of those who in the world under the oak vision didn't know only could do this. and that is a lot at that age to have this lady of the muscle that you have i'm going to compete in the doesn't seem to do more in the middle don't put this off. was going on is only producing. delusional fears it doesn't have any meaning unless it leads to real peace which can be. you know guaranteed only by christina president.

the u.n. security council unanimously approved is a thirty day cease fire for syria to provide humanitarian access to areas most affected by the the conflict also ahead in the program. police. police clash with left wing students in milan as political rallies are held across italy ahead of next weekend's general election plus. people begging me don't do it don't do it don't do it and we did the right thing. washington stance the date for moving its embassy in israel to. decision that palestinians say could destroy any hope of a peace settlement.