he bought bear stearns for $1.2 billion. >> dimon: we thought we saved the system.ow, we thought that that would've been the domino that would've caused the whole system to go down. and it was because j.p. morgan was strong that we could do it. >> stahl: did they-- >> dimon: as i pointed out in congress, it wasn't like buying a house. that was buying a house on fire. >> stahl: but it was banks and other financial institutions that started the fire, by bundling trillions of dollars worth of risky mortgages, and selling them, knowing in many cases that they were toxic, to investors around the world. this eventually led to the financial crisis that nearly brought down the global economy. looking back, do you think that there were some bankers who were outright immoral and unethical, they knew exactly what they were doing? >> dimon: i believe there are people, i'm not going to use the names, who were greedy, selfish, did the wrong stuff, overpaid themselves, and couldn't give a damn, yes. >> stahl: greedy, reckless. were you? >> dimon: no. >> stahl: do you take any resp

morgan ended up buying bear stearns and other institutions what does it do when you have a player like that as well nop ally's ing who is terrorizing who is extracting wealth what happens to the economy as a whole well if you can assume that all money is created as a as a loan as the bank of england says 97 percent of the money supply is created as a loan and it's extinguished when the loan is paid off and there is no the interest is not created in the original loan so there is always more money back there might be created in the 1st place and if you have the player is holding back some of that money that was created i mean in order to balance assist them really you would have to have all the money out there available to the buyer ways to pay back the loans and if somebody holding the money back like j.p. morgan then it shrinks that money supply or the money available for paying back loans so that means that debt grows bigger and bigger and bigger until it's a pyramid scheme until the pyramid tips over and there was a bit of a ransom scheme on the head on behalf of the j.p. morgan and

then come see bush and obama bill and bear stearns is running to the feds to stay afloat so the bush and obama bill bear stearns is running to the feds to stay afloat president bush today defended the decision to bail out citi group banning mae and freddie morrison in the bush today defended the decision to bail out citi group fannie mae and freddie mac. and asked for a total at green $1000000.00 more the sale out could get much of a back and ask for a total at green $1000000.00 more the sale out could get much bigger signaling even in troubles for the u.s. economy. are they willing even in troubles for the u.s. economy. and they're building up the next room. and they're building up the next term. a beach time. beach time the taxpayer is called on to bail out of those who created the crisis increase it taxpayers called on to bail out of those who created the crisis increasingly the major financial institutions. in a capitalistic can lead the major financial institutions. in a capitalist economy you would do that in a capitalist system that would wipe out the investors who made fun of

and then come see bush and obama bill and bear stearns is running to the feds to stay afloat president bush today defended the decision to bear out citigroup that in may and freddie macin ask for a total after being $1000000.00 more to sail out could get much bigger than billing even in troubles for the u.s. economy. and they're building up the next term. b. each time the taxpayer is called on to bail out of those who created the crisis increasingly the major financial institutions. in a capitalist economy you would do that in a capitalist system that would worry about the investors who made risky investments but the rich and powerful they don't want to capitalist system they want to be able to run to the nanny state as soon as they're in trouble and get billed a taxpayer it's called the too big to fail. i mean there are no will or it's an economics who significantly disagree with the course that we're following people like just stiglitz paul krugman others none of them were even approached the people picked to fix the crisis were those who created the robert rubin crowd the goldman sa

and intervene and save his friends at bear stearns save his friends at j.p. morgan save his friends at goldman sachs save his friends a.j. he had to save them and of course they've done that ever since and you can see they watch our fox business news are saying basically every single story about manufacturing service economy entrepreneurial ozone i.p.o.'s tech billionaires every single story ends in the exact same way what will the fed do. that's everyone is beholden to this enormous you could call it monetary lactation on the just the mammary gland that is jay powell and the central bank in washington and you've got all these bankers crybaby bankers. and there is james cramer the biggest crybaby of all in the financial press and the wall street journal and the financial times it is out of control day care center at the top for the top one percent tune into the cable news if you can if you're outside america try to find it on you tube you tube is by the way pushing the cable news that their new algorithm to me because they were crybabies write the top one per

michael bloomberg, he was 40 something years old, he got fired from bear stearns. does he do? he took the money he had gotten from bear stearns, he invested it, created this business from scratch and turned it into a multibillion dollar machine, then becoming one of the wealthiest people in the world, right? he worked hard, and in doing so, he created a whole new trading platform for wall street. that's, that's the american way. stuart: what's wrong with that, charles? >> well, i loved that interview in the sense that -- but i had to get back to the football games. [laughter] anyway, he was like a jiu-jitsu master because everything she tried to trap him on, whether it was wealth, wages, the trade war, and then when she said, well, you know, the economy is in bad shape, he's like, what are you talking about? we're going to be rocking for another hundred years. here's the hine that really bothered me, why doesn't it feel that way? that's real journalism. of. [laughter] forget about the facts, you're telling me, did you see the consumer sentiment report on friday? >>

i'm a general partner at bear stearns. >> richard hill is one of the new breed of men. >> mortgage backeds everyday. [indiscernible] there will be some type of decline in the next when he months. it will be earthshaking. markets -- sell 540 markets. >> they gambled 5000 $1 million. who won? alix: check this out from the folks at the investment manager run by billionaire steven cohen. he started the firm after his previous we did guilty to insider. cohen was never charged with wrongdoing. firmat differentiates the is steve cohen, who is our ceo and our owner, and our largest investor. he's also a petroleum manager. >> is much as this can be an individual game, we come together, and i think together, we are stronger. so one thing cohen didn't change when he started point72, the trading room. 69is apparently a brisk degrees fahrenheit to keep traders awake. if you are jumping into your car, tune into bloomberg radio on sirius xm channel 119 and the bloomberg business app. this is bloomberg. ♪ alix: time for trader's take. joining me as vincent cignarella, voice of the bloomberg audio squawk.

error it was damaging we let american people downs at the same time because we were strong baht bear stearnsing today. >> i feel the same way feel the same way. aig did not needed a bailout actually, the government took all the stock, of aig when aig borrowed money from government charged 16% interest all the rest 2k3w0got 2, and 3% shareholders lost everything, incredible moment in time you did best to make sure people understood the severity of that how shareholders lost everything. >> it was a crises. >> you are an incredible businessman it is i veterans day today we want to honor you, you served in the second world twar participated in normandie landings, a shot of you in uniform when you were, on the ground, you are one of the america's heroes thank you for your service your thoughts today on this veteran's day. >> well, it is important issue. running world war ii the world was -- had to have that victory. hitler and the -- the japanese what they did was horrible, and -- show i enlisted 17 years old lied my age. >> you wanted to fight. >> stay wanted to participate, yeah. >> what were t