the room sick. room. join me every thursday on the alex salmond show and i'll be speaking to guest of the world of politics or business i'm show business i'll see if. i am asked as or this is the kaiser report i've ever stop to consider a dirty word saliva sounds. max the audience doesn't know what you're talking about but they'll know what i'm talking about i'm

going to talk about zombies i have a lot of zombie fakih action in my head by its. course and the entertainment industry has reflected the society around it in terms of having all of these zombie films well. the rise of the zombie corporations percentage keeps increasing b i s explains why zombie firms are on the rise and survive longer this is according to the bank for international settlements the central bank of central banks and by zombie firms they mean that firms that are unable to cover debt servicing costs from current profits over an extended period and they now say that globally the number of zombie firms is over twelve percent in the u.s. it's approaching fifteen percent of all firms cannot meet current debt cost from

current profit to discomfort from zombie banks ok the zombie bank plagued as spilled over to zombie corporations what is a zombie bank is on the bank is a bank that is technically insolvent it's kept alive by bailouts continuing rolling balance from the central banks because of their friends in the other the banks the commercial banks the lloyds that h.s.b.c. the b.n.p. the citi bank they're technically insolvent but they're kept alive even though zombies today perpetual rolling of bailout they call quantitative easing or some other name that they come up with every few months this is spilled over now to the general economy and the corporations listed on the s. and p. five hundred these are in fact companies that cannot maintain their buy ability through profits as that word is understood that you're selling stuff for more than a cost they are reliant entirely on blood transfusions this is a vampire economy this is a frankenstein economy this is a zombie economy and of course the pop culture reflects this as bob proctor as was saying to the one nine hundred eighty s. the pop culture. guys is reflected in the market zombies are not in hollywood

because we live in a world of zombies and because the zombie banks became zombies after eating the you know the basically the flesh the actual living. beings that were the workers the productivity the wealth of all our pension funds and you know it's the zombie pension funds and there are looming frightening monster debt obligations that they owe their you know members of the pension fund that was feeding the zombies as well because as b.a.'s points out their analysis suggests that the increase is linked to reduced financial pressure which in turn seems to reflect in part the effects of lower interest rates so interest rates are so so low pension funds gamble on the fact that they have an eight percent annual return most of their investment has to go into safe investments like bonds and the bonds are

ever lower because it's evermore. basically returns that these pension funds just a rumor celebrex are living in this just in time opiate addict is a minimum wage hell scape brought on by easy money like easy blood into the veins of the. ever increasing as vampire population of the zombie population and the two are is staring us right the face of course the obvious cure is you need to make financial fraud more expenses by raising interest rates aggressively to weed out the crooks would be the obvious solution paul volcker knows that but he's not running the fed anymore we now have enablers we have dr frankenstein running the set we have sam pyres running the central banks we have jamie dimon in charge lloyd blankfein these are the these are the vampires of

last resort they are the deepest foul lists dank just. so. we don't see any of these conversations anymore in america we used to have on television back in the sixty's and seventy's we said deeper conversations what our society should be what sort of economy should we have part of this situation here is. construction workers have the highest the highest death rate of opioid overdose on the job the second most concentrated the only other industry that has more opioid addicts is the entertainment industry according to this chart but they are to this data but construction workers what happens is they lose their job if they're not on the job you know it's a vicious you know you have to show up at the job and a lot of them it's obviously very labor intensive you're using hammers nail dangerous it's dangerous that they have a lot of medical issues of pain so they've got to get on the job they take that

opioid to get on to the job because it's the only way to get through the pain and you know maybe the conversation. should be had of you know ok there's on the one hand you need to feed. stock markets and you need to the revenue pushing the opioids but on the other hand like we also need to discuss like is or better way to how this should workers have some workers comp should they have a day off should they have a week off or two weeks off and stead to make recover from the pain should they not be threatened with losing their job because they have this pain and maybe there are other conversations that could be had but we don't have those conversations because it's all shrieking and it's all crazy to just give the jury the economy like we're drivers there resident last five years and i cut in half that's actually ever having drivers who are left are earning less than half of what they did four years ago study finds a study by j.p. morgan by the way the biggest zombie of all the banks the biggest derivatives book of all the banks the one the benefits the most from zero percent interest rates and

the fed chairman and women going out saying we should buy equities in the next financial crash right well there's an amendment to the constitution. outlawing slavery and that's clearly an example of slavery in america right here well i don't i don't think they're forced to do that but it is definitely a declining income and it's only going to add to the sense of. you know the the harder you work the more you stay in place we've covered the red queen syndrome of fracking like you good people we're. just meat that bomb pieman otherwise that you're flow of cash is going to be cut off if you don't make that bond payment and forget the fact that fracking doesn't make money forget the fact that you're driving faster and faster and harder and harder more and more fares and earning less allows us saying all these people have in common is a generally caring lot of debt lot of student debt a lot of medical debt. the debt for their car auto loans auto loan debt ok so we

know from history that forced labor a lot of times as comes with debt peonage well i might like them allergy i have for the show better and i think it's working the zombie story you could introduce the slave story to another episode but i think this fits in it's suitable i think that the zombie works in fact that we have a zero percent interest rate economy because we have zombie banks that is filtered down to zombie corporations because pension funds need to meet their debt obligation their pension obligations payouts to their members so they have to loan more and more money to more and more zombie corporations in order to keep their flow to their members those same workers need to work harder and harder to pay off the debts for all of their student loans or. mortgages which house prices continue to rise so that works better for me when i mean we have invented something new was the zombie slaves. they are the best of both worlds are the worst of both worlds

setting and i looked at the content goes could be good so a new report from j.p. morgan chase based on payments directed to two point three million family show the average monthly platform earnings drops considerably by fifty three percent between two thousand and thirteen and twenty seventeen these drivers made seven hundred eighty three dollars per month and twenty seven thousand versus one thousand four hundred sixty nine. in two thousand and thirteen so like i said working harder to stay had working harder to pay the debts on and left that's a definite situation where you can keep that hamster on the wheel like running running faster because you have so much debts in order to have the job you have to pay the gasoline you had it wasn't any money at all that's a pay as a prisoner remember if you get into debt too much you go to prison anyway the overall story is that this is a zombie economy zombie zombies on be it's like they keep on coming out and. you have to get out of the snow matter how many times you die on the job of a heroin overdose you've got to pay your credit card bill at the end of the day so

you've got to inject with narconon get up and go to the second half don't go away. cooked additional subversive so i know what was it gets up there to look at some of these it's a fist of bullets you're looking it's not the most. simple yet so in the movies no show pussy. looked with a showing of the brand new chips going to see is lost when the shit. can you think it should be movie theater seats only. loads of shipping. yep and most of those the book hit the wall were the first thing in books are still missing notes so i don't know what the full of. books

was the latest loses in the process. stuff boys and believe that the show yet of putting this wisdom of those. listeners through the summer in the story yeah. it does. what politicians do some people. put themselves on the line and they get accepted or rejected. so when you want to be president. or somehow want to. have to go right to the press was like before three in the morning can't be good for i'm interested always in the waters of the house. passed city hall. place.

welcome back to the kaiser report imax kaiser let's talk two minutes fire station in new york mets welcome back to the kaiser report ari max pretty good you know i saw statistic recently that the world is dow debt to g.d.p. something like two hundred fifty percent they plan a ponzi theme they outline in your book has been growing unabated now for years and the total debt the g.d.p. in the entire world is two hundred fifty percent it's incredibly big and yet now we

see maybe a new trend in that rates are starting to end up quantitative tightening at the reverse of quantitative easing what's happening ments what what's going on here or is it really matter to you a billion times you can never never cheaper a ponzi scheme and this is the motherlode these feeds so what's going on maybe the federal reserve the right was all seen to be ended where they would use rates from fifteen percent down to zero. they claimed they're going to be raising rates but it's still statistically insignificant the amount of the raise so all they're doing is replacing there are two forms of policy easy there's monetary policy and fiscal policy so they're getting rid of the monetary policy but they're adding fiscal policy so fiscal policy government spending is replacing monetary policy they're also reinvesting the the the bonds the bond proceeds so it's

late to meet q.e. so it really appears the optics are they may be tightening but they're not really tightening they are the language is that we're tightening and yet that debt number keeps going higher and higher so as you point out it's all optics on the bank of international settlements which is the central bank of central bank report that fifteen percent of all u.s. corporations are zombie firms on able to cover their debt servicing costs from the current profits your thought. so what's happening here well i think that we're living in a land of unicorns zombies managed by humans or snowflakes who don't understand the regime so the problem with wall street right now is you've got too many people involved in the same crowded trades the e.t.f. trade is a horrible trade you know it's like a roach more to get in but there's no way that when syrian valuations people don't understand valuations i mean you've got some ridiculously priced stocks later i think we've got a couple charts here going to church of him isn't that you can take

a look at amazon as a truly dollar company but they don't make any sort of profit which is necessary if you're going to maintain that kind of valuation so anybody who's buying amazon the most crowded trade in the world last year you know i think that's going to end very very badly i mean as you know a look at the hours on start but let's talk about another company we've mentioned before tesla so the thing about tesla met in a air on wall street i used to work on wall street for many airs they say very lax about the rules particularly regarding the f.c.c. the securities and exchange commission so when iran mosque the c.e.o. of tesla says something like i'm thinking about taking myself private and funding as a place we i think in the old days used to get what's called a wells notice right i mean the f.c.c. comes after this to be illegal to do that stuff right that well we're talking about securities fraud and is the one most guilty of securities fraud yes he is lead

forces i'm not sure now you know it's it's a classic what are the set up signs for a classic. you've got like you go to court routes look at a chart you've got corporates and investors selling and millenniums buying stock the problem is you can't really tell what the finances of tesla are and they've never made a profit they've got around eleven billion dollars in debt they're going to increase their debt even more the company is hemorrhaging. it's burning it's cash is hotter in space six jet fuel so it's impossible really to go you know musk a mountain so the firing is secure he had no funding you're just trying to burn the shorts basically that's market manipulation in my book i don't know why people are buying the star it's probably one of the best shorts on the planet and over three hundred bucks a share i mean arianna now i'm in a ponzi scheme message that you put out the stock went up you said they're going to be buying at four hundred twenty dollars

a share and i think around three ninety five and then really had to admit that it was a lie you know the share or the shares collapsed but you know i think that's the that's a small time window compared to what's out there now and if there are a lot of bigger problems if you look at total corporate debt it's somewhere neighborhood of seven trillion dollars in the united states and i did around forty five trillion of those bonds have to be refinanced within the next five years right so it's a good point in that whatever you think iran must is doing if it's illegal or not it's in the context of a entire global market that is korea plan upon seeing gaves then much bigger frogs than follow all the central banks and trillions of dollars so he's a small fish it's just a forty fifty billion dollar bezel whereas the very central banks are involved in much bigger scams now at the same time the bloomberg consumer confidence comfort in the acts now at its highest level says january of two thousand and one so consumers

same happy met their wealth effect has kicked in the now stocks are higher property markets higher people feel wealthy they're confident they're buying stuff what was going on there well look this is this is a routing it was sustained by reckless central bank policies around will united the . bank of japan and you know why o.b.e.'s generally used more buying whole bonds now you've got a european central bank run by mario drug use every school in sacks wine what were barns in the year or even more. that are highly rated supposedly and the government on your spending inordinate amount of money trying to problem use more supporting more it's in keeping interest rates artificially low the problem is italy has four trillion dollars in some debt. the banks are shutting up so the banks are largely insolvent and need to be recapitalized it was

a huge problem and it could be the real big fall of the car that makes you crash to the debt in the european union is supersized and i don't see a group solution to that story here it's going to be a bit of a program right well they got this idea of the zombie banks that were kept afloat by the central banks because they didn't want to have to have any problems with their friends in the banks but this is bleeding into corporate zombies they have corporate zombies they can't meet their interest payments they are relying on on bailouts as well and so it describing there is this kind of contagion if you will of insolvency that's spreading where they with a kind of a hidden under a rising stock price of the stock prices are going higher through stock repurchase programs and through the use of as funny money as being printed so on the surface it looks like things are good donald trump will point the stock market and say see things are going great but underneath the surface there's

a plague of insolvent say and that insolvency bubble when pricked should be pretty catastrophic and you're saying that it only that i mean that is who is it is a seventeen trillion dollar piece the global economy so. if our banks in the doing like dykes are back in these other banks i can't imagine that the. saying they're doing very well let's look imagine the amazon before being a trillion dollar company apple is now a telling dollar company as well that u.s. dollars dot zimbabwe dollars and that remember back in the dotcom boom we had cisco was going to be the first trillion dollar company before it flamed out of famously ninety percent crash where is this going it is amazon and these companies going to two trillion or is there going to be a flame out well you touched upon something that's interesting no i think it'll definitely be a flameout i think amazon netflix are two of the biggest flames that don't make money that will flame out and test must go to jail but what's happening is is

a lot of these companies are issuing tons of debt either or were raising finance in other methods and what they're using it for is financialization they're not using it to create products so what they're doing with the stock buybacks is they're cannibalizing future earnings and paying off the c.e.o. suite then never ends well in history never had and were seen as most pronounced right now where we see inflation is it's been exploited by the west so although we're seeing this cuny tightening in the us where it's really impact and is where all the speculative cash u.s. markets interests are hurting emerging markets like turkey urgent teener result mexico in venezuela now remember turkey's debt is dollar denominated a lot of it so their currency has dropped about thirty percent this year and their economy has gone down the tank same with argentina brazil and mexico so their

dollar denominated debt is forty percent move they have forty percent more debt now yet their g.d.p. and production can't support even the debt service that they have and as interest rates go up we're going to see a change or default which is beneath the dominoes the fall so i don't know if that some emergent emerging markets will need this i don't know if the e.u. will need. or a crisis in china because china has a big problem with all that debt china has that is a big record on china but let's look at the central banks again and continue on the same cell to kid the zombie banks going made by the debt of the zombie banks to talk about mad drag a talk about the talk about the central banks inflate their balance sheet by trillions of dollars or trillions of euro's and there's another trend though which is pernicious an ugly and disgusting and that is central banks buy stocks out of the swiss national bank is the biggest honor one of the biggest owners of apple stock the japanese central bank spent buying stock on the japanese market to keep it floating and now they had

a the federal reserve bank here in the us is talking about when the next crisis hits they're going to start buying stock in the open market met your thoughts well you know this is this is a big problem central banks should be doing ninety percent of what they're doing right but we've got our you got economic charlatans and we'll here that are going to run us back into a ditch and then when they create a problem you go to the same guys you know it's like einstein senate. insanity is doing the same thing over and over and expecting to get a you know different result obviously the results are going to be the same but we need to do is think out of the box and get different people to try to change the program you know we have too much debt too much credit levers because the crisis right now we've got more debt more credit more leverage than we had back in two thousand and eight why would anybody think it's going to end or it's going to end catastrophic student loans are at an all time high the fault rate is an all time

high it's closer closing you know two trillion dollars right so we've got that we've got a record credit card debt that's the only thing that sustaining this robbery rate and you know the show buyback programs are ridiculous max you mentioned it yourself so you know if you have a hundred shares and you're a dollar a share you're right that's one hundred dollars and heard that if you buy. cheri. you just don't know what to do you really don't we were productivity don't go it's always financialization and there's a lot of the magic smoke and mirrors and you're in on it and you know all of the rest of it it's just you know we want to grasp less because really got a few seconds on fact i'm going to say thanks for being on the kaiser partisan against. well i agree we're going to do it for this edition of the kaiser report was the max kaiser astacio and i think our guest misfires of planet ponce if you want to catch us on twitter of course is kaiser report until next time iow.

the church secret indeed catholic priests accused of sexually abusing children can get away with it quite literally i like to call this the do graphic solution. what the bishop needs to do then he finds out that the priest is is a perpetrator is simply moves him to a different spot were the previous. highest ranks of the catholic church help conceal the accused priests from the police and justice system to that and that's known as the i intend. to do this yet and.

america is a house deeply divided and that division only continues the entire brett kavanaugh saga has turned into blood sport to many each and every one of us pick a side we're in new territory and that place is called winner takes all. civil war in africa's newest country tames close to four hundred thousand lives according to a u.s. funded report prompting the question where has the initial support of the south sudan gone also ahead. america's nato ambassador scrambles to clarify a cell phone to she threatens the washington would take out russia's missile

stockpile accusing moscow of violating a major cold war era treaty. struggle between empathy and law unfolds in italy as a pro refugee mare is placed under house arrest for allegedly helping illegal immigrants. the people's republic of jam job the problem.