factor and the damage to their vehicles that mileage on their vehicle the wear and tear the gasoline costs insurance costs all that such that eight percent of drivers are actually losing money so they're just travis picked off yeah every single one of us there's nobody that's escaping. the economy we're all working for below minimum wage at the end of the day if you factor in the ecological devastation of dancing chicken a fact and all the cruelty prone eggs who escapes this nightmare we call post-industrial is post ironic post. fantasy is ation and infantile ization narcissistic caused by reality here now something to think about during the break because we have to take a break when we come back we're going to talk to dr michael hudson. twenty eight team coverage we've signed one of the greatest goal. but there was one

more question and by the way he's going to be our coach. guys i know you are nervous he's a huge star and the huge amount of pressure you have to the center of the pole we would you. agree. you are the rock at the back nobody gets past you we need you to get down there we have to go. alone. and i'm really happy to join. us for. this special one. needs to just say the review the onto the teams latest edition to make up as we go. in the heart of the swiss alps this is a place probably more secretive than the pentagon more mysterious than the c.i. . and better guarded than for knox swiss customs are here permanently all the site

is controlled by them and they impose the opening times so if. it is from his office the procedures in place of the strictest in all europe must to pieces by artists like pecan so and modigliani i can't boards and soon inside this warehouse that's where the report comes in it covers up deals which are naturally discreet commercially discreet felt but also discreet because they concern fraud of some of those paintings a link to dark secrets nobody knows how many of these secrets a kept inside the geneva freeport system you'll never obtain an inventory of all the works in the freeport who knows how many there are three hundred three thousand three hundred thousand is it a matter of confidentiality only is it the world's black box of the art business.

when lawmakers manufacture consent to public wealth. when the running clubs assume protect themselves. with the final merry go round listen to the woman. doing all middle of the roots of. the real new. path to. i. cannot let. up. i looked up the f.b.i. my. i love finally let up if they're going to.

welcome back to the kaiser report i'm max kaiser time to return to our conversation with dr michael i'd say and dr hudson welcome back to the kaiser report going to be here to continue to so we are talking about donald trump and his new steel and aluminum tariffs and how that's going to play out economic lay and. you know last time we kind of talked about how this could shut wall street out and that's an interesting concept you know if we can take this and go down this path a little bit but what do you mean by shots wall street out and isn't that it good i mean you know the economy has always been a battle between main street and wall street and certainly wall street's been

a winning the last twenty five years certainly sounds the reagan thatcher era and male liberalism and main street spend shut out main street the wages have been stagnant a lot of jobs have been lost so is this signaling kind of an era when main street can look forward to some gains here versus wall street and isn't that a positive thing and there isn't that the way the cookie crumbles if you are working on wall street dr hudson well i don't think from economic policies that don't favor wolves three are the same as bernie sanders was the it's the don't favor was great just because wall street loses doesn't mean automatically means three yangs there must i think there's a national security threat you go from i think the national security the state has taken over and what they're trying to do is play the game of international diplomacy that is not going to help either wall street or main street they can both be losers if the economy is being mismanaged and it looks to me like trump and the

republicans are mismanaging out the economy for instance if trump wanted and wall street what he would really do would be to build up infrastructure. in some set up infrastructure he would lower the cost of doing business for wall street there's no let me jump in here for a second because you know was america's biggest competition globally would be china china of course as an adult policy and it's a top down hierarchical approach and it was a bit of an iron fist our alleged free market ideology in america prevents our elected politicians from even offering this type of thing but in other words can imagine how does america compete with china if china's going an american as a seem to have any problem with a lot of the inroads that china is making and so are our technology space etc with surveillance technology this type of thing but in other words are two highly contrast things temps are styles of doing the business air your comments it is

impossible for a free market economy to compete internationally a free market economy is one of economic collapse and austerity look at america didn't get rich by being a free market they got rich by being a protectionist country that's what my book is about america's protectionist eight off. in the nineteenth century america had the idea was if we build. america is a mixed economy where the public sector providing education roads really roads and all of the infrastructure at a subsidized cost there is really then our business can hire labor and do business have a lower cost than other countries that are privatized in free market so american got rich by not being a free market china's getting rich by following the exact same policy that made america rich and germany rich and other industrial countries by having a mixed economy where the government provides most of what's your own externalities

transportation costs communication boss education costs water sewage all of these are in america the infrastructures. it is being prototypes to increase the books comes next best. increases the cost of doing business in the financial eyes of new economy let me jump in because as an interesting point in other words if you have the infrastructure like roads hospitals education these types of parts of the economy that add to the aggregate gross domestic product in intangible ways and tangible ways of while allowing the free market to exist and things like computers and soft drinks and you know things that are commercially competing out there you end up with this mixed economy and the best of both worlds but in america and also in britain you have now the privatization of things like transportation

a runway it becomes vastly more expensive it doesn't work. ideologically or theoretically you don't want to ends of a railway system competing with each other because then you get stuck breaking down in the middle as you have in the u.k. or amtrak as i don't have to order what the current status is of i have a track but anyway so yeah this makes the economy right and that's the best of both worlds but in this country and elsewhere they've privatized those elements and now you pick up the competitive and has really been destroyed right yes what you call a privatized economy is really a financial its economy where the financial sector. every bit of infrastructure privatized finance is very expensive credit with interest charges stock buyback programs management charges overhead capital gains and. america will end up looking like margaret thatcher's single and they call it

a free market economy but it's really a way from industrial capitalism as we know it in the nineteenth and early twentieth century back into a kind of feudal and it's a kind of me it's you know spoken about. before and it is a retrogression from capitalism industrial capitalism and it's even either call it finance capitalism or new york feudalism but it's going to be very high cost of living high possible doing business like a competition and the only way you can really are protected this is militarily with a national security state and the military industrial complex and that's not something that benefits either wall street or main street this is something that is basically simply parasitic change again asked for a second i want to pick your brain on something air. everyone from jack ma to marcus dr burke have been warning about the impending artificial intelligence job apocalypse do you agree the most orcas will be displaced by machines or algorithms

is there anything we should do as a society per pair fed so what is your current thinking on the way i transit and jobs and economic stock routes and this argument goes back two hundred years repair no marks and other people who are saying is mechanization going to replace lever or no and marches and if there was no it's not going to because instead of more and more workers are going to be employed in the capital goods industries. that are making the machines that displace manual labor so what you're going to have is an upgrading it later from the old manual labor to the machine making labor well the same argument that was waged in the one thousand century can be waged now in the twentieth century how many workers are going to be employed in the artificial intelligence at this rate how many i mention all of the all of the gas stations that are going to get more business as a so far is also mentioned to each other imagine the increase in hospitals and the

smoke running power automatic in silence and cars run over by desperate you know who knows you know how many extra jobs are going to be created by this so the let me let me jump in for a second. in the let's go off on a wild tangent here as we normally do so it you talk about ricardo and marx and nineteenth century economic models and how this is not any different but i would posit that it is different because in the case of the algorithmically driven high tech economy that we're now living in the cost of the raw materials the digits that go into this economy are zero zero this is completely new never seen in the history of economics on a case of you know they have over drivers working at under below the minimum wage because a platform that algorithmically controls millions of customers and thousands of taxi drivers taking advantage of the fact that there of raw material cost digits

electrons to them is basically zero same thing with google as same thing with all these major platforms facebook it's a platform is resting on a reservoir of raw material that causes and so things are trending down is highly deflationary in this regard and so therefore. this artificial intelligence again are algorithmically driven is tapping into this a some pot a curve of raw material cost is zero and that's highly deflationary isn't that a seismic change in economics and the models that have been looked at and examined now for two hundred years dr watson yes i have to admit you're right it is a seismic change and it's a race to the bottom and it goes hand in hand with the nation you're seeing so to the extent that. the artificial intelligence doesn't mean higher quality of life it may very well mean the kind of managerial program that's what you know it results

in a lower quality of life for most people just like drivers earn less than the minimum wage people going to work for him in. are notoriously. short lived there there. were these apparently you know. our viewing audience wanted so right into this mix donald trump is coming out and saying hey you know we're going to put some extra tax dollars in your pocket the form of cash we're going to we're going to bring tariffs on to give steel workers some high wage jobs and you know this is a vote winner and against a backdrop of fear the average worker is scared to death because they also implicit and this kind of cycle economically would be a trend toward higher inflation anyway as we're now entering into a new era of higher interest rates etc a trade wars. are not

deflationary dr odds and they tend to be inflationary aren't they another thing backing up your point of that modern he is different from industrial technology in the nineteenth century. high wage labor under sold low weights labor it was goldbach or labor the idea was that once you have machinery you're going to have to have more and more highly skilled highly trained better fed and rested labor in order to operate it so you had upgrading of labor all during the industrial revolution as a result of this mechanization new labor increases living standards in order to be able to perform the higher quality were just industrial work jobs but now under industrial technology it's like now the navy designed by geniuses to be run by idiots and you're going to treat labor is essentially you're carrying your turning labor into low quality repetitive servo mechanism lever rather than

the highly skilled labor that people thought was going to lead from industrial capitalism in the socialism and better living standards fair enough now what's your latest book by the way john for jay for junk economics at the latest that's no my latest book i'll be coming out with another one and may our no see it on the new york times bestseller list i see not see tell us book up there it is just recycling the same things over and over and over again there's nothing in that seem to love this book we haven't seen already a hundred times you're actually bringing some fresh to the table how come you're not on the new york times bestseller list this is a travesty dr hudson because i'm the kind of person that you have on your show not the kind of person that the new york times likes to celebrate they review books that. is in the new york times and i don't encourage that as i go in your fair enough yeah that's right tell it never comes i was on air once i got to say i'll get him on back all right maybe you two should be on for debates and dr roger

thanks for being on. the kaiser report is always going to be your man right well that's going to do it for this edition of the kaiser report with me max kaiser and stacey everett like to thank our guest dr michael hudson latest book j. for junk economics if you want to catch us on twitter it's kaiser report until next time by a. good politicians to. put themselves on the line to get accepted or rejected. so when you want to be president. wanted. to go on the press this is what. three of the more people. interested in the war. there are not lines up close enough limbs off let down one might have been

a top the definition is enough i'm by any. one seeking any south to. take in the equal city south castle it didn't put up to get the ban and then you didn't really bring the only thing i'm. done moving east right now i think. i'm going to let you know let beached me out of sight is our. next guest feeling if one means a leftist i know better than to focus on tokyo find it is going to keep going. to like. it is what it was because did it because it didn't seem quite a cultural thing i pulled the premise.

hey everybody i'm stephen bob. taft hollywood guy you suspect every proud american first of all i'm just george bush and r.v.'s to suggest this is my buddy max famous financial guru well just a little bit different i'm not. going to tell or not there are no windows up with all the drama happening in our country i'm shooting the road have fun meet everyday americans. all over quickly start to bridge the gap this is the great american people. this baby and. this on march eighteenth vote with your remote.

for special coverage of the russian presidential election exit polls opinions real time results monitoring and much more. eleven thousand people leave syria's militant controlled on plate at least and with many more expected to make it to safety by the end of thursday. frankly. should go away should churchill. case defense secretary meantime results to undiplomatic language as tensions between london and moscow increase over the poisoning of former spy sergei script of his daughter the investigation into the murder is yet to produce any concrete evidence with u.k. police now saying it could take weeks to establish a suspect. iconic ukrainian lawmaker. claims a top government officials were involved in organizing the deadly my down square shooting in kiev in twenty fourth in.

the morning just turned midnight now this early friday morning here in moscow watching out international with me kevin owen here with the latest thirty minute live update for you and we start with news from syria's rebel held territory of eastern goats are in the last day the russian defense ministry sent to the reconciliation says eleven thousand civilians have finally been able to leave that embattled area using and humanitarian corridor that was set up by the syrian government it's expected that at least two thousand more will be able even as well in the coming hours tonight the evacuation forms part of an initiative to get civilians in that stricken region out of harm's way until recently many people have not been able to escape because the militants there reportedly been shelling a humanitarian corridor. when established by russia or a big correspondent. new reports next on today's exodus.

from iraq when i've been in their houses of civilians around waving good or right now by the humanitarian corridor you can see down at me a little passage has been recently opened by syrian forces that it's allowing crowds of civilians that many of them are children to read in battle area people are coming from different districts and many civilians were telling about the severing of face from militants said to be the also said they were previously prevented from when we left turn up hooter you were so difficult when we tried to leave earlier that you were not allowed as it was controlled by terrorists. the army advanced on the town and asked us to leave why do we not bring god we are safe and sound as though we have arrived here. which is close to the capital damascus came under rebel control back in twenty twelve since then government forces have

been trying to recapture the area and fighting intensified their last month the militants have been driven into three pockets now as you can see on the maps by the expand they go and the government now basically holds large parts of that territory as you can see on the map but the situation for civilians nonetheless the trapped in those embattled areas remains dire people have been caught in the crossfire there still suffering shortages of food and supplies despite best efforts to try to help them out. so the big story this morning the u.k. as defense secretary has told russia to quote shut up and go away over moscow's alleged poisoning of former spice scruple of his daughter as the diplomatic fallout over the incident continues. it is absolutely atrocious treacherous and outrageous what russia to it insults free we have responded to that frankly russia should go away should churchill up we've certainly raised eyebrows because it begins to feel

a little bit surreal when this kind of language starts being used in this kind of language comes into play especially if you're expecting to be taken seriously certainly in the world of diplomacy in the u.k. has plans to provide a sample of the nerve agents that has been discussed and revel in in connection to this poisoning to the organization for the prague bishan of chemical weapons which russia is also a part of but it's not providing a sample to russia despite requests and messages multiple times from russia throughout this past week to be able to analyze this nerve agent and try to assess what exactly it is and we do know of course the foreign ministry in russia has been saying they would like to know what the substance is we've heard from foreign minister sergei lavrov said russia that russia will definitely retaliate in connection to the expulsion of the twenty three russian diplomats certainly a quid pro quo scenario is that sort of traditional in these kinds of scenarios

what he did underscore that russia will continue to use diplomatic language so does its terms the smalling germany france america or the u.k. have no issued a joint statement on the poisoning which they say was highly likely to be orchestrated by the kremlin it requests that moscow provides the organization for the prohibition of chemical weapons with information about the choke nerve agent program it comes following the british government's decision wednesday to take the return measures that have already been outlined against russia to remind you what they are in an address to parliament promise to trees of the twenty three russian diplomats were to be expelled from the u.k. for the more she said high level bilateral meetings are also to be suspended that includes what would have been a forthcoming me. in for russia's foreign minister sergei lavrov that invitation has been rescinded furthermore on top of that as well will be no official delegation from the u.k. attending the upcoming football world cup this summer we spoke to the russian ambassador to the u.k. alexander vent about the incident and the backlash it's triggered he says he

doesn't believe the case is being handled appropriately were blamed the. under the british course of occasion agent a two three four. is the russian region we asked the british officially by a node to share the samples of that in order to make our own conclusions and we would night so all the investigation about the screwball is classified we don't have any information we don't have any access nobody saw even the pictures of the people in the hospital whether they alive or maybe the just in the good health. so nobody talked to the doctors you know there is absolutely no transparency in this case and this is worries us but by the way under the international law in the vienna convention we have to give the access to these people because they are russian citizens and we are also being denied so basically britain doesn't respect the international law and the way how they're behaving. is just. puts

a lot of questions the investigation into the attack on the former russian intelligence agent and his daughter still ongoing and of course there are still many unanswered questions is done in whole can see explains. and i tack by the kremlin on u.k. soil for downing street it seems the case is all but closed russia is the culprit no questions or other. has the prime minister taken the necessary steps to make a formal request for evidence from the russian government given the gravity of the accusations at official request seemed like a reasonable osc but last crew though says no such requests were forthcoming. we haven't received any official request from london we've told britain we're ready to respond if they file the request instead of filing the official request the u.k. continues to pull political stunts moscow also said it would cooperate in

a joint investigation within o.p.c. w. parameters it seems this offer was unacceptable to the u.k. government. has high resolution trace analysis been run on a sample of the nerve agent no answers from to reason may on that but the prime minister believes there's already enough evidence to make it highly likely this was an attack was by the russian state guilty as charged mr script atlantis daughter poisoned with an. a military grade nerve agent developed by russia means motive and opportunity are usually needed to prove criminal guilt the nerve agent shock used in that attack was actually developed in the soviet union decades ago and the o.p.c. w. officially confirmed that russia had concluded the destruction of its entire chemical weapons stockpile last year but apparently it was not only russia that had access to research labs and the scientists working there in his better stand for

example which became independent after the breakup of the soviet union it was the pentagon that helped to demilitarize the facility it was in that very facility that not good shock was tested so they didn't even last the global. up against good schools in the mid one nine hundred ninety s. western special services recruited a number of our chemical specialists their names are known they also brought some of the documents and continued research in this area including in the us in the u.k. the results achieved by those countries in creating new poisonous substances that for some reason classified under the common name in the west are confirmed and represented in more than two hundred open sources from nato countries we have all the references we're ready to provide them. how has she responded to the russian government's request for a sample of the agent used in the soles reattack to run its own tests apparently no response and no sample why the secrecy if this is such an open and shut case.

as that revealed any evidence as to the location of its production all the identity of its perpetrators hundreds of offices as you would expect him to work around gathering evidence to identify those responsible we're not declaring a person of interest or a suspect that this. how does committing a heinous act on foreign soil only eve of a presidential election and months before the much discussed world cup knowing the diplomatic fallout benefit the kremlin you have to ask one thing if russia wanted to kill this man they could have killed him when he was a prisoner in russia why have they waited this long and why use a chemical weapon that makes it definitely is the russians behind this that very old to think that the president of russia is hitting it off east.