did they have any idea what they've done? we're going to kill everybody now. everybody alive and welcome to pick tv images, promote the us into declaring its war on terror. began to bomb afghans, villages and holders, and get people hurt and, and killed. the main goal of destroying terrorism and then was it achieved yes and no. okay. to essentially no longer exists good for us. but there are certainly other terrorist groups that are worse than on the

biomass. taiser. this is because the report today marks the 20th anniversary of the 911 attacks. we're going to take a look at americas terror, industrial complex. stacey. right, and this is actually from a wall street journal. we're going to look at some data there about the surveillance state, the terror industrial complex that has built up and the kind of positive feedback loop that has been nothing but negative for the domestic population. so the whole terror industrial complex started with the objective that they sold to the american people who are financing this is for international terrorism. for overseas, it's not for domestic. now it's domestic, right? we're already seeing that sort of roll out of like stopping domestic terrorist stopping that maga or any deplorable sort of people here. but the headline here in the wall street journal reads the business of homeland security thrives and the 2

decades since 911 after the attacks federal policies swelled a defense sector that has reshape u. s. surveillance, as well as northern virginia's suburbs. and then we're actually going to skip ahead to this map here of the northern virginia suburbs there just outside of d. c. and you can see the explosion in the size, the density between 20012021. and you'll see that there's a lot of defense contractors, they're making a lot of money and they're doing well. the reason why that's a bad bad news is not only is, are they scooping up so much of our tax funds, but they're living very close to our elected politicians. and when they live very close with that much money to our elected politicians and literally only takes a $5000.00 cocktail party to impress that politician and get them to give them even more millions or billions of dollars and funds for this cara industrial complex.

yeah, exactly. they are the what i think about it in terms of the show and what we've been talking about for so long is that we always say that the only answer any policymaker has in washington dc with any problem is to print more money. you know, whether it's an infrastructure problem or it's social and equitable problem theory, have the $911.00 tragedy the answer, one of the hyper drive to print more money and we know that the ability to distribute the money is inefficient in america. we know that it goes to banks 1st, and so they were, that's how we got all these billing our classes. that's how jeff bezos made $200000000000.00 out. jim cook is worth hundreds of billions of dollars. that's how ely mosque is worth a $100000000000.00. is because after $911.00, that money printer go, bird went into this hyper drive. and of course those folks you know how to game the system where they're with their buckets. you know? gimme gimme, gimme, gimme gimme gimme. and now you know, the, the problems are really quite astronomical. so,

and you can kind of tie their fortunes to the tragedies and the feedback loop, the positive feedback loop that happens with not only our politicians, but also the cable news. so in the peak of cable news and the peak of political, you know, fortunes post 911, he saw a member like dick cheney, and george bush all are there. favorability ratings went up. the ratings for cable news went up, and then there was a bit of a down period, and now we're turning that around for more terror threats, more mostly domestic now. but having to ramp up the military spend. so in the data they looked at in the decade following the terrorist attacks military spending more than doubled and absolute terms to $700000000000.00 or about 20 percent of total government spending. and 2011, the nation's military spending peaked at 19.6 percent of total federal outlays,

and represented about 4.6 percent of g. d. p. by 2020, it had fallen to 11 percent of total federal spending and represented 3 and a half percent of gdp. now our guest micro hudson of course, disagrees with that number that had ever peaked at 20 percent. that's because if you're only looking at the military part of the budget, not the whole apparatus of their surveillance state of the intelligence community, of the cost of the veterans administration and low cost of caring for other wounded soldiers and stuff like that. so i think he would probably say it's, it's even higher than 20 percent of government outlays. that was the military at the peak. right. well, all that money had to come from somewhere and you say that in a societal breakdown. you see that i just saw video philadelphia, it's become literally zombie land in chicago, just there are more murders in chicago now than couple. so that's where the money

comes from. they came, it just came from the hundreds of millions of people living in the states and how you calculate g d p. as we've said on the show, many times the calculations for g d, p or inflation. the other government issued numbers is plastic, deserves or whatever purpose you want it to be. it's not forensic a spot analytical, it's not accurate in any way. right, well of course, the d o d budget is also opaque, completely. nobody can see inside it. and of course, as michael has some point that it is cost plus, so there is no containment of their costs. it's like whatever they want to charge, they get to charge and where it's going, according to the wall street journal, is much of the money flowed to the private sector. as commercial firms bid on huge new contracts to develop the next generation of security capabilities and 2001, the defense department had $181000000000.00 and contract obligations to about $46000.00 contractors according to

a center for strategic and international studies. estimate by 2011. when war insecurity spending growth reached its apex, the department had 375000000000 and obligations to more than a 110000 companies. right, well, it's, everything is now seen through the lens of panic and fear. i think before 911, there are still some kind of you out of eve. let's call it. there is still some america had a character to it. after $911.00. the had the death of satire. you had the death of culture for the most part. and the creeping surveillance day, and that's really expensive and, and it's, it's become a fad that state of affairs. of course, whenever we have panic, cable news ratings for when they're soaring to then you see the raytheon,

the lockheed martin this very military industrial complex start to take out more and more ads on the panic driven episodes of the matter report or of. but chris hays shows or cnn the they'll take out as against the panic signaling to the population support for war support for this the we're taking care of you. this is what i'm talking about about these feedback loops. as you had that events of 911 and 20 years later, it's still rippling through. and the ripples are getting wider and wider and bigger, bigger like capturing and not only more of the domestic population under the surveillance they, but victims of it. but also the, the, the swamp, as it is, you know, this is the deep state people. they're not so deep state. they're pretty out in the open. you could see them on a satellite image where they're living and they're huge amount of money they're getting from the taxpayer. the tax there will only give that money with favorable ratings if they're scared. so if they're scared, they've got

a tune into cnbc might not see. well, cnbc out there is a market grass or cnn, or amazon b. c, or false. have to be scared, have to want, take all my money. stop this like stop my pains thought my fear stop this. so that's what i'm saying is like these feedback loops. the fact that these guys are so close to living right, where our politicians are, who dole out these billions and billions and trillions of dollars. we don't know, speaking of the opaque black books of like, we don't know how much these, this war entire has actually cost us. you know, we don't know. right, well, ok, so an 11 marika was tacked by fanatics. and it gave rise to a new breed of american fanatic. these are the money printing. fanatics. these are people who are unhinged, who are the worship? the greenback, the, the dollar is their god. and their, they've got their fingers on the printing press without any accountability. so they're, they're money fanatics, and that's cause the collapse of society in an soviet union like way that works

burying thing now. and i don't think anyone really who, who looks at this picture with some degree of sanity will refute that. they have a quote here on the wall street journal, which is a promising at all. there were there speak to this woman who's the ceo of beacon interactive systems that used to be like a software company that provide a software solutions to people. and then her quote is $911.00 is what made us turn our heads to the defense marketplace. you know, the thing about software developers and the sort of their, they turn it to the marketplace, right. and they have solutions that maybe weren't in that are still in search of a problem. so they have to create a problem like, right. so if we're wrapping up afghanistan, we've left afghanistan, no matter what the disaster is. you've got these people living all around. are politicians,

they surround them like they're surrounding are politicians. they're going to have to pitch them. they don't want to lose their business, right? they need to pay for all their yachts, all their big homes or vacation homes. they're going to pitch them on something else. in terms of how much money they've been making its federal contracting to private companies in there around the city i. d. c. so roughly a 15 percent average annual increase between 212011. while the federal workforce payroll in the region grew by only 1.5 percent a year, according to government spending data, largely as a result, washington's regional economy was the hottest in the country between 212011. some people rakes in m and this aftermath the past 20 years. and i think we have it part of what you're seeing with that whole societal breakdown you're saying like not only that, the despair or death to despair, but also the weird hyper partisan ship and hatred, absolute hatred for you know,

the other side. right. you know, it's, it's a great business to ban and more people are getting into that business. and especially when the, our people with lot of calls, dad are mortgage that, you know, the siren song of getting into the terror business working for american terrorists in d. c. is compelling, right? so i don't see any end to this anytime soon. right. and it's also important to note that in those 20 years you've seen just check out old footage versus now of m. s m b c of cnn and stuff that all these same defense contractors. they're regular the regular co host, essentially on these news programs. and it's not often disclosed like their role in pushing that panic. pushing that fear, pushing the continuation of this pork barrel sort of money of this free money that

they're getting to swap up and the fact that those same news programs then no longer examined it. they don't do investigative journalism. they don't ask questions of their good friends there, co host their co presenters on these programs. now 1st fun. absolutely not. and things are looking to get much better anytime soon. we're going to take a break and when we come back, dr. michael hudson don't go and that's a positive feedback loop. the ah. the media, a reflection of reality?

the in a world transformed what will make you feel safer? tyson lation, whole community. you going the right way for you being direct? what is true? what is in a world corrupted? you need to defend the join us in the depths will remain in the shallows. ah ah

ah, me the the me when i go back to the kaiser report, i'm at kaiser time out of turns dr. michael hudson pick up where we left it off. of course is classic super imperialism 1st published in 1900. 72 is about to come out

. it's 3rd edition. looking forward to that. you've got another new book, michael, the destiny of civilization. what's that all about? well, basically it's about how economists work and how, what people thought was in capitalism is turned into something quite different. finance capitalism. instead of expanding like industrial capitalism, those with more and more technology and more and more capital investments, raising productivity rating, wages and positive feedback. financial capitalism is just the opposite of cannibal lives, industrial capitalism. and instead of creating products, people use it, creates depth and monopoly, right? so under the finance capitalism that the united states and europe have today. lauren more of america has to be spent on goods and services, but on rent or on mortgage interest,

they can absorb 43 percent of the borrower, resent them with government guaranteed 18 percent. but you will be is medical care for the medical insurance about 10 percent taken off the top for that social security. and if i see a wage withholding and basically 7 percent of the american genie bait is completely fictitious financial category called homeowners imputed rent. and it's the rest, the homeowners had to rent their homes to themselves. much, were they charging that 1st sense rents when a 20 percent last year homeowners would charge much more money to themselves for rent, even though no payment occurs. and so gdp appears to be going up, but when you take out the finance insurance and real estate sector,

the fire sector is actually gone down. so my book describes how the fire sector is the antithesis of industrial capitalism, is everything that the classical economists of the 19th century and earlier 20th century wanted to do away with adam smith, john stewart mel, and the others wanted to get rid of land grants. and monopoly rents and financial rent. and to them, a free market was a market. it was free of all of this unearned income and rent. but under finance capitalism. it's all about as you talk about on your show up and then up, it's all about creating an extracting interest and capital gains and income that has nothing to do with trading goods and services for people. so i was asked to write a series of lectures to serve as a textbook for chinese, so that they wouldn't have to be sent to america,

study economics and economics departments and universities. which really isn't about how economies work. it's about textbooks work and it kind of parallel universe as if everybody were getting richer, industrial capitalism instead of looking at that and the buyer sector. and what actually happened was under finance, capitalism. and the intention is to show chinese what to avoid, how to avoid the american trap that is shrinking the american economy and loading it. so the china prevent monopoly capitalism prevent finance capitalism, prevent finance, housing a price is going up and create a socialist economy. so it shows that the destiny of industrial capitalism was really social, isn't supposed to be socialism, but it ended up in finance. capitalism and the world is breaking into 2 parts. us

dollar sector, which is finance capitalist and china, russia and the dollar arising economists that are trying to focus on industrialization and raising their own living standards specially mentioned as people here, a siren in the background. you of course, are in new york and at the classic new york sound in the background. so i, thanks for that little ambience. all right, let's talk about. so china, of course, is launching the belt and wrote initiative which is sounds like what you would describe as goods and services, goods, capitalism, as opposed to pure finance capitalism. and give us an idea of where we are with us in china because the dynamic there and what looks to be a classic through cities trap where you've got potentially china rising up as the new dominant world economic power in the us taking a backseat. is that actually happening and what, where are we in that cycle? how?

where are we with china right now in the us? the idea of facilities is a trivialization. the people who describe us is that it express talk as if the us as an industrial rival of china. and we're both playing the same game and people are somebody's going to win this game. who can export more, grow more. that's not what's occurring at all. and it's not what occurred between athens and sparta completely destroyed the american idea of the facility. you made it very clear that the fight between athens was, between a democracy, athens and oligarchy. far to there was a conflict, the economic system. it wasn't a rivalry to see you could export more because the spartans in produce exports, they were a military countries. they, they conquered penetration support oligarchy. well,

that's the same. what america is, you could say is like athens in florida. you have america, is the oligarchy. supporting oligarchy, abroad and fighting against democracy, whether it's a democracy and ben as whaler or china, or cuba or russia. and it's installing dictator that supports people that have caused democracy. but it turns out to be in chile, it turns out to be the latin american dictators. it turns out to be the 100 or is the number through. so the fight is between america promoting this finance capital idea that other countries have to sell their industry to american buyers. it has to let americans buy control of their industry . so the other countries are turned into a kind of financial colony of the united states. the united states has managed

america and some other countries against that are countries wanting to become self sufficient, independent for their own food, rely on their own technology and case. the economic. a cert was great at home to recycle as industrial countries are supposed to do. so the fight between china and america is a conflict between economic systems not for exports. after all, they want to export industrial parks industry from cheap labor and china. so the, when people talk about the facility strap, they're trying to adjust it up and a nationalistic form of saying it's us versus them without saying who, who is they asked us and what's america trying to promote and who was the them and what kind of society are they trying to promote? yeah, good point. you know, we've been using this percentage trap us,

that analogy now for quite some time. and you are putting it into context, given your expensive writing on these topics for decades. it's highly appreciative. now let's put this into contact with the what's happening in china. so you did a series of lectures. they wanted to know about how to avoid what i guess they perceived in the united states as being an over rely from the financial sector. which put the us at a disadvantage in somebody in so many ways. so where do you think china is in the globe a global economy now in relation to the u. s. what, what, how would you describe china right now? is trying to avoid having an oligarchy getting rich by controlling monopolies and controlling the bank. alright,

right there. so in other words, when we hear news like they're cracking down on these big tech companies are cracking down on the various companies from going public. they're taking over all the bob. all right, so that's what's going on there. they're breaking up the oligarch police and they're bringing them where under more state control they're regulating not really understate control at all because they, they've rejected state control. what they want to do is prevent monopolies from getting economic rent, but enable the leaders large over the rest of the population. they can say alibi, but we want you to be as successful as you can. but we're going to limit the amount of money that you can get, and we're not going to let you the 1st into creating credit and the become coming a was i back? all right, let me. yeah, let me jump in here since you're such a historian, a lot of people say, you know what, going back 500 years, i believe for the ming dynasty. chinese burnt bound, their fleet. they had a huge naval fleet all over the world. the new guy came in and he burned to the

ground. the theory was that he didn't want competition for merchants, interesting and interfering with what he had to do. is this a similar moment? yes, it is. today, the problem is and merchants and trade because the trade is sponsored, basically by the government they, their concern is the creation and the end of the monopolist were being subsidized and supported by the united states. the united states went to try it out and said, a free market is letting a few rich people become graphs and privatize public wealth and become billionaires integrate monopolies. that will be great. companies that we americans can invest in and buy and we get rich off your stock market. that is created by an oligarchy that you will create so that we end up with the money. and you're all like arts or, or like arts are also becoming there's,

instead of the chinese people getting rich. let's, let's all get together with the millionaires of the world and run the world by creating our own monopolies in our banks. and we can reduce the rest of the world, but your bill isn't the next question. what's trying to do with all the dollars they have? they've got over a trillion, they've got 3 trillion, i believe in their reserves. did they dump them on the market? do they keep accumulating? now what's the strategy there? they've been reducing their dollar reserves steadily and buying gold. and they may need reserves in order to stabilize the value of the exchange rate between the young and the us dollar. so they need these reserves in order to prevent united states from trying to crush the currency and doing the china. what did syria and other countries that don't follow america in directors? so the reserves are protection, financial protection. basically you have

a call on taiwan. there's gonna be some action there. i don't really think so because most of these want to invest in china. the question is the terms on which they will be allowed to invest in china and the reciprocity that the 2 countries are trying to develop together, right? all right, so dr. michael awesome. if i ever play the game of risk, which is a board game for world domination, i want you on my team to take over the world. i think next time i play a risk, thanks for being on cause a report. it really good to be here, man. all right, and i was going to do it for this edition of kaiser part with me. my guys are in stacy. herbert wanna thank our gas dr. michael hudson till next time via the me. ah ah,

the the service play by a whole set of different rules. it's going to force us in your words to get mean 30 and nasty in order to take them on, right. we'll use all tools at our disposal to do so. my name is a monarch, many i'm the head of a family member can, can packed up and killed our children and we will never forgive them to leave this place a bit in my what dates was doing in afghanistan, they were bringing people to this torture sight guns, ordering and abusing them outside of the law and then allowing some of them to go back home. and they, so this is what the americans did not look at it. it was a pointless exercise for many of us, the end of the american war enough denison was inevitable. in the end, the conflict was more about a massive grip than about nation building and smart,

strategic thinking. jo bible says the us is done with we making foreign countries through the use of force. there is no reason to take the american president, i just word after delays and sanction russia finally completes construction of the controversial north stream to pipeline. it's set to deliver low cost natural gas from siberia to central europe. that of britain's m. i. 5 intelligence agency warns that extreme it are looking to fill the void left by the pentagons pull out from afghanistan. and moscow says it has irrefutable proof that big tech helped washington illegally interfere and rushes upcoming election.