and cabo admits worst overall u.s. federal state local government spending may exceed sixty percent of g.d.p. and will go into how this is calculated but basically all those social security and medicare payments actually are are not counted now but the debts the they actually cost now but the debts are written they create debt which doesn't isn't paid off until what a couple decades from now so they pretend it didn't happen this year all right they say that the federal debt is twenty twenty one twenty two trillion dollars but if you account for the total debt picture it's sixty seventy eighty trillion dollars to donald trump i have this message mr president tear down that wall that wall being the interest rate apartheid wall i think you are saying that well the debt that will get you know just the internal financial apartheid state first and then go address these other problems in mexico and syria and all the others foreign

adventures that the founders warned us against so the warning comes here from sheila weinberg and she's the c.e.o. of truth in accounting government budgeting works on a cash basis she says that enables them to leave many of their expenses in liabilities off the books so they calculate her group calculates that the federal government's unrecorded social security medicare and other debts have increased by four point seven trillion dollars a year on average for the past decade that's on top of the unfunded liabilities and then there's the national debt and then this the national deficit so right now they're saying the deficit that our budget shortfall per year is four point seven trillion but in fact they're saying this truth and accounting is saying that actually it's closer to ninety billion a year that we're spending which is almost like what our g.d.p. is thirteen trillion ok so to be clear this is talking about the deficit yet not the the debt. debt which includes unfunded liabilities that i made reference to is

many more chilling to dollars than we are led to believe yes this is attacking the deficit what you're saying the deficit is many more choices of dollars more than we're being told the deficit is your annual budget how would you go over your annual budget at the end of the year if the year has ended and a new year starts so you put the four point seven trillion or that in this case nine charlie on top of the debt the national debt so that goes back on to that pile that keeps on going higher and higher in terms of the unfunded liabilities and total the national debt what they say is that is one hundred or one trillion at september twenty seven eighteen less fifty four point two trillion when calculated on the same basis at the end of twenty seven so they debt the deficit is rising the debt national debt is rising rising rising right and a candle in other and the payment on the even of these low rates is hundreds of billions of dollars in escalating incredibly anyway we gotta go to

a break don't go away stay right there. this is a city of. the tree. the six two are supposed to. ration of fatherless children is growing up you. played that. game like you like. to be who you. are. takes you were no. answer is known that now

and that it's healers it's in there. that's it you know you want my god. i don't think. you can take the gil is above the judge can take the burden of the guilt discuss how do you know when you know. oh i love the feeling that you could be if. you. join me every thursday on the alec simon show and i'll be speaking to us from the world of politics sports business i'm show business i'll see you then.

please. make up about zero zero zero zero zero zero zero zero zero zero. zero zero zero zero you would still want one who was. welcome back to the guy as a reporter i'm ask either time now to turn to misfire stein he's the author of the internationally acclaimed planet ponzi now available in. various languages mitch welcome back hey great to be here why did you bring your pen around this time this one the one that breaks you know that's a very expensive pen and how many of these of my broken so far managed to live so

it's so tough to come on this show i think thinks that it's great you know crowd among blankets fantastic show the people your shoelaces. before the end of the show them that let's go to the summit interesting topics that are most forest on the federal reserve balance sheet. you know because this explains everything you are the man of the charts you really you brought some charts what's happening we've got some charts today yes the first one were to look at is if the federal reserve's five trillion nearly five trillion dollar balance sheet this explains how we've got the most grotesque asset bubbles in history so the fed just keep printing money and that's when markets keep levitating and we've seen the most grotesque bubbles in bonds stocks property and credit markets that you know in history around the world and the other central banks like the bank of japan european central bank and the bank of england have jumped on the money printing bandwagon to jump in for

a second because you talk about asset bubbles but it also leads to mal investment because there's no accountability if some industries know that every mistake is met with more free money and thinking about the military and the defense contractors who do very well by just bombing people with no accountability then i go to congress then i go to parliament they don't ask to bomb people they just bomb people because they know that there's no end to the money there's no accountability and there and the central banks in a large way is that a fair statement you know well i mean look at some of the military industrial complex characters like boeing and lockheed martin there are. couple of them that are almost two thousand percent since the war on terror but the war on what is the war on terror really it seems to more like it's a war on democracy and look i mentioned this on the show a long time ago first what you have is a currency war which we had nine eight or nine years ago we're still seeing currency wars currency wars lead to trade wars and trade wars lead ultimately to hot wars now the war on democracy i mean this is propaganda squared i mean you

can't believe anything that's in the traditional media anymore c.n.n. for example you know own c.n.n. turkey which is a propaganda network c.n.n. america's not much better in terms of propaganda but we never say the u.k. the u.k. think about the propaganda b.b.c. and think about what to reason may and boris the liar johnson have done to bring a war into syria and the events in cells bury where they said oh the russians did it after five hours and then of course assad bombed people you don't need evidence anymore to start a war they don't go to parliament they don't need the people who say it's ok if they want war war it is in the military duster a complex makes money and we lose the taxpayers lose ok and to keep this in the frame of the kind of my perspective that i'm trying to put across here is that a lot of it can be accounted for by having an economy that has no accountability

and that not accountability and mound that's when it goes back to the central bank because the structural bank is not healing to any known standards of accounting that would require for example tying at tying what they did with gold for example as they have done in the past they simply print with reckless abandon there's a new guy in charge jerome powell at the fed took over for janet yellen what's the story with him now well i mean he is janet yellen except you know he's just wearing a different mask so he's the bernanke yellen they've just shifted the baton let me just again. jump in we're talking about central banks now russia you mentioned russia they have a central bank from elvira is the first time which i remember a last name i love the first time how would you contrast these two central bankers because a lot of people like james records for example says that there's such a bank woman to leave the russian central bank is the best the world why does he say that well i think you know if you look at the economies you can't compare the

united states economy to russia's economy and you know you have to identify you have to analyze and identify what are you know the global threats and what are not global threats and if you look at what's the economy in russia it's under two trillion dollars in real terms united states economies around seventeen trillion to one thousand trillion depending upon what numbers you look at it's miniscule but the united states has debt to the magnitude of around two hundred fifty trillion dollars when you include all the social welfare and total net programs like social security medicare was the commonality of america it's negative what's the book value of bankrupt what's the book value of russia there's no there's no real debt positive russia has a positive book value america has a negative book is value i'm getting at there's not really a lot of debt which is really significant in the in the global scheme of things so if you disrupt the global narrative which is what we have going on right now globalism is a big narrative if you look at what happened you know going back digressing a bit to the central banks of the central banks supporting the zombie institutions

with low interest rates so you've got a bunch of companies that should have gone bankrupt tesla is a perfect example that lives off of government sector subsidies and the fat of the land if you didn't have a zero percent interest rates in the european central bank meddling in the corporate bond markets and the swiss national bank buying equities you wouldn't have support like this but then you've got you've got other you know narratives in the background that are running to try to run globalism have the military industrial complex and the characters of the deep stay. wait pushing propaganda out to everybody who will believe it let's talk about the dams in the system you know you put up a dam it cross a river and the water goes over that dam and it produces hydroelectric power. the reason i mention that is by way of analogy to get to my next point and chart which is money velocity here's a dam in the works of finance that's not producing any energy is producing kind of

like constipation in many ways my evil us of a we've talked about it before it's still trending lower despite all of this money printing walk us through it right well this is this is this illustrates that we're in an environment where eventually we'll have hyperinflation and it will not be controllable by the central banks who think they know everything and this is going to catch a lot of people off but look you can never pick as i've said before at the top of a bubble but i can tell you we're definitely in a ball war right now and you know in every market if you look at the chart on the velocity of money you'll see that it's crashed to low levels not even seen in one nine hundred fifty nine yet the governments keep telling us that we're in economic recovery so it's a fake economic recovery the narrative is a total lie and most of the people watching the show will realize that things haven't gotten better economically and there is lots of asset inflation so if you take for example the prices of tuition up two thousand percent from the one nine hundred eighty s.

but your real wages when you inflation adjuster stagnant so how do you explain that risk or the circle ok let's say the small to medium enterprises that are the lifeblood of any economy they can't get loans from banks but if i walk and see a big money center bank that's getting his money from the central bank and i need a billion or two billion to buy a multi-billion dollar property on central park south else i sure they'll give it to me well because in other words it's crony capitalism writ large and what we have here is a situation where the money is not. flowing to the economy to support small to medium enterprises because the banks simply don't want to take any risk whatsoever they hoard the money they participate themselves in these loans as merchant banks you know they've all become merchant banks they're all becoming equity holders in the money that they're lending you know out to capitalize on the inflation of the assets that they hold in their own balance sheets which then pump the stock prices

higher which pumps the option prices higher which pumps the compensation for guys like jamie dimon lloyd blankfein higher so they by putting a target on the economy by stopping the economic flow by dropping money. velocity does their oh they have inflated their net worth in and historic way right they have but i mean what's worse with that problem and what the government should be doing is they shouldn't be playing paying banks interest the federal reserve shouldn't be paying excessive reserve interest and they should receive retool that entire corrupt system where the banks make money by holding excess reserves that are from money printing so and to get it to make clear that not only is the banks cost of borrowing zero exactly it's. creative pay to borrow money for the banks borrow money from the central bank and then they put it on deposit at the central bank so the more they borrow them or they make so there were the risk reward and the whole idea of capitalism of taking

a rest for we were is inverted here you're saying that the more risk we take the more. rewards we may without any penalty whatsoever well if you look at what we had we did a programme with gregg's it for example when they had bragged that you remember what the fear mongers were saying theresa may was one of them saying it would be the end of the world markets would crash sterling would go to zero look sterling is right back at one forty four where we were when bragg's it began yet the stock market's twenty percent higher and today it was announced in the u.k. that they had record low unemployment not seen since since one thousand nine hundred seventy one so can you believe is that credible is any of it credible absolutely not so you know that the situation the production situation hasn't improved that house house prices have skyrocketed there and to bubble territory everywhere in real wages haven't gone up so what's happened the banks lend money as you said to real estate property developers at ridiculous low rates but they take

a piece of the action and as these apartments get build built three years later down the road they're not going to sell any of them and these special purpose vehicles that they developed are all going to go bust but this time there's going to be no will to bell them out and that's going to happen in the united states as well as in. united kingdom right the real wages as you say are not live whatsoever so if you get to a gig economy job and you're delivering a bicycle full of food at a minimum wage and you're out there and dodging traffic for it before you get it and end up in the n.h.s. i mean they count that as job a job growth however when you add back all the variables into this equation you end up with the average wages that mating are depreciating but the numbers on the top line are being showcased as being proof of recovery and yet there is no proof of recovery ok so let's talk about the shiller national home price index tell us about that what's going on you've got a chart right we've got a chart here that explains house prices from one thousand nine hundred seven to two

thousand and eighteen and basically we leave if you look at the increase in prices you know ben bernanke he said that subprime was not a problem don't worry it's all under control and then you saw prices i guess two thousand and six start to peak out and then dropped down quite a bit all right i want to jump in because i want to cover to think rental prices in new york city are tumbling what's your quick take on that well i mean there's too much supply not enough demand not enough high paying jobs of course they're going to keep keep collapsing as i've said you're trying continuing the down thirteen percent rating yeah i think i think real estate prices property values can drop up to eighty percent or even what eighty percent really tokyo only one hundred that's exactly right that's like good minutes prices and all right let's move on to thirty seconds gold gold gold is the only chart that we have that is not an asset bubble and prices are realistic on gold and will keep going higher so physical gold is really a place that everybody should look to hide out oh ok well you heard it here first eighty percent drop in property prices

a tokyo asked collapse in manhattan is coming and author of plan a ponzi the internationally acclaimed tome that is translated into over two languages and that's going to do it for this edition of. let's show you should come on this show should take a look at this give us ship leave the ship and let's look at this look at this this is when you're a money manager famous in new york this is the kind of show you where ok keep that money. you can find us on twitter a cause a report until next time by. u.s. president donald trump says he wants american troops to leave syria what are exactly washington's goals in syria partition war for war sake or a means to sticking it to a random russia all or poorly thought out option. if

you go through history of mankind it's been cruel and destructive over and over again and some our cities have come back and many are quite beautiful and wonderful places. if you look in the middle east in places like syria it's it's i agree with you it's totally depressed. and i wish the political issues involved with it could be resolved but i think until that is done there's very little hope that the saudis will be able to turn the tide. for men are sitting in a car when the fifth gets shot in the head. all four different versions of what happened one of them is on the death row there's no way he could have done it there's no possible way because the owners did

not shoot around a corner. north korea announces a freeze of all missile launchers a nuclear bomb tests ahead of a summit between kim jong un's donald trump. four palestinians are reportedly killed more than one hundred fifty injured in israeli gunfire as thousands rally on the gaza border. and artie visits the site of an alleged chemical attack in the syrian town of duma as dancer raised over videos claiming to show the aftermath of the incident. over the latest on these stories go to r.t. dot com at the top of the next hour rory sushi will be here with

a full news bulletin but stay with us now for cross talk discussing the u.s. strategy in syria. hello and welcome to crossfire where all things considered i'm peter lavelle u.s. president donald trump says he wants american troops to leave syria the foreign policy blob surrounding him says differently so what are exactly washington's goals in syria partition war for war sake or a means to sticking it to iran and russia all or poorly thought out.

across talking syria i'm joined by my guest gareth porter in washington he's an independent investigative journalist and historian as well as author of manufactured crisis the untold story of the iran nucular scare and london we have danny makki he is a syria commentator and co-founder of syrian digital media group and in doha we cross the mohammed show how he is a professor of conflict resolution at george mason university and author of what is an lightman continuity a rupture in the wake of the arab uprisings all right gentlemen crosstalk rules in effect that means you can jump in anytime you want i always appreciate dan dan let me go to you because i know you just came back from syria so you have a good feel for the lay of the land here you know i asked in my in my introduction just exactly what do you think washington's goals are because i guess it depends on who you ask in washington these days go ahead dammit. absolutely i mean washington has really had nothing of a coherent strategic policy in syria for many years it's not just now and we've had

four or five years of of washington saying that one to take the lead from behind and not not really understanding exactly where it's going with this strategy and this is been really really shown by the last events of over one hundred u.s. tomahawk missiles striking different syrian military targets while i was in damascus for that matter and at the end of the day three or four hours later you've got permits within syria and jubilation in the streets because they know washington will not achieve their policy of regime change and that this is purely a symbolic slash limited strike on different military targets but it doesn't come with the package there is no package at the moment there is no clear consensus over what the u.s. wants to do in syria it's just bits and pieces. it in but if you read between the alliance what you've got is an administration where you sense a lot of people want to leave the want to leave syria from really doesn't know what

he wants it's all up in the air and if i was america's allies at the moment in the region especially saudi arabia i would be very worried over what the u.s. wants to do in syria you know guaranteed or maybe this is by design because there is no real reason for the united states to be in syria actually it is there illegally under international law i also said in my introduction is this just a means of policy wedge tool just stick it to iran and the russians well at one level you could say that it's all of the above because there are people within the national security bureaucracy who holds those those goals but at the same time you know there has been as danny just said no coherent strategy there's been no agreement on what u.s. policy should be what u.s. strategy is. should be for many years and you know beginning with the original

decision to intervene on behalf of the armed opposition to to assad back in two thousand and eleven when the president himself when president obama knew very well that he didn't really want to do it he felt that this was getting into another sort of afghanistan type intervention which could not turn out well he made that argument we know repeatedly over the next couple of years and at the same time you had hillary clinton and david petraeus and others in his administration pushing for a much more aggressive policy that's been the pattern now for years now today you have trump as everyone knows really expressing repeatedly the desire to get out of syria and to to have a very strict time limit on the war against isis and the military saying no we can't do that and others in the administration clearly not in sympathy with it

and so there's a there's a kind of uncertainty about how that's going to play out but if you look at it in the larger picture of geopolitics you know that basically the president united states and the president of russia are both not interested in having a war continue in syria and i think that that ultimately is going to play a big role in how this plays out in the next year let's see how this plays out mohamed let me go to you in doha it seems to me one of the reasons why the u.s. is staying there first of all doesn't like the current condition it wants to be a power broker it wants to be part of some kind of settlement and it will it all the are always in it wants to make sure it's a settlement that it wants so it's. still kind of hedging its bad bets for regime change i'm sure that there is pressure on from the saudis and the israelis to stay

there as well but it at all ties together is it is really incoherent and we have these situations where we have these false far as i'm concerned it was a false flag operation this. chemical weapons attack i mean i guess a lot of the regional players have to be very worried about what the u.s. is going to do because it doesn't know what it wants to do go ahead in doha. while apparently there have been mixed signals coming from the wash the white house in particular on the thing that is no disagreement the president from lacks a coherent strategy or a after the attack plan how to sustain the prisons or how to sustain the impact of u.s. foreign policy in the middle east could all of the region the recent homes in damascus have been ridiculed because he would raise the expectations very high

by them in the red lie to the red line of his this is. in two thousand and thirteen so far i think trump has trouble himself in the very same position like obama and a lot of effective in a lack of effectiveness on the field has turned the united states into a joke now and i think now the iranians are smiling in the saudis bewildered and also most of the governments here are asking what's next and i think this is a sixty four thousand dollar question yes and i will add one more perplexity to all this danny is turkey ok the u.s. made it won't it won't let it won't cut the kurds loose this drives the turf. mad ok and i have said repeatedly. that turks are in syria legally under international

law however i do understand their concern and i can see from their position about their security issues visa v the kurds i understand it i don't necessarily agree with it but really is that what it stake here not only is there ambiguity coming from washington there is a very serious danger to nato unity and you know it is being played out on the ground and i you know talking about red lines i don't see the turks backing down at all go ahead danny. the turks won't back down and not for one primary reason they say they believe that they have some sort of historic right to the north of syria and they've been led that way through the actions of the united states of america that if you look at the situation now between turkey and turkey in northern syria you've got the start of another very very very long war i don't think that this will end anytime soon and what the u.s. has got out of all of this is actually that it's a very weak ally that the moment one of its allies faces

a problem or faces danger the u.s. just ups and leaves and pretend like nothing has happened and the kurds have only went to going to the russians and going to a serb because they feel that the u.s. has betrayed them because the u.s. just left them they allowed turkey to literally eat up all of this kurdish territory in the north of syria now what we're seeing in the whole country which is very different to how the previous situation was is it's a war of peripheries now if you look at it the only areas where there's conflict and there's tension is border areas you know between syria and syria and iraq syria and lebanon syria and jordan the sense the central country has been retaken because of the russian intervention in two thousand and fifteen and now we go back to the huge intervention without russia intervening we wouldn't have the situation of the other eight and the us only acting out of envy because they want to be in russia's position you know russia today russia so over the over the previous weeks has brokered a number of agreements for.