see themselves saying you can't make us prove collateral in a different marketplace but clearly it is a relevant discussion because global markets are international and the fact that they are able to effectively use the london dustbin for trades they're doing in the us in london dustbin well you might want to describe is that if there's if their own and if there isn't transparency on the on the collateral on the laws so long as they don't it's in london london to go into a toxic debt heap well i think it's clear that a lot of the big problems that we've seen in the last five years have been run through london subsidiaries and this is an issue the c.f. trying to deal with here where they really meaning to deal with it max or not i think is a different question but the thing that is being brought up by gary gensler he's also leaving the end of the year is that they will be requiring the big swap deal is the big banks to prove collateral in london in europe against trades which they're doing in the us and i think it's a very interesting subject which isn't well understood or probably cov

because there are no rules and hypothecation of the underlying collateral within the london system just like you know there are a lot of issues that are coming together here and the first step for me is the fact that. there is discussion of investigating the fix so i think that's that's the first stage towards hopefully on raveling of what is a broader problem the provocation. talked about in the show in london unlike other financial jurisdictions it's possible to lend the same security infinite number of times and call that collateral to be the basis of some other derivative trade you can do a trade in a derivative that in itself has no intrinsic value really it's just mathematical gobbledygook and you collateralized it with something that's already been sold ten times over again so this is really this is reminds me of the pappa see where they're trying to count the. angels on the head of a pin i mean there's nothing there and yet they can see they've got the city of london held hostage what is their leverage are they still this city of london and the regulators the fake regulators her

to collateralize a make it short sale of a gold or silver future to the moon what point or how do we know or is there any way that the jig is finally up what will indicate that they have run out of air strip and then they can continue this fraud any longer what i think that's always been a question that had to be answered in paper come back paper currencies which is there comes a point to which the public become aware of the nature of what they're using as money. this is where the issue of gresham's law comes in being rational being gresham's law being bad money which is money you should be using purchasing power drives good money out of circulation but the public is benefiting from a house price bubble and a stock market bubble not the entire public there's a small percentage of the public that is benefiting certainly the people who were in the media benefiting there's a huge swathe of people who are being the victimized by this who are being suffering austerity for no apparent reason other than to keep this fraud going but there is this privileged class that's benefiting from the f

see themselves saying you can't make us prove collateral in a different marketplace but clearly it is a relevant discussion because global markets are international and the fact that they are able to effectively use the london dustbin for trades they're doing in the us in london dustbin well you might want to describe is that if there's if they're on and if there isn't transparency on the on the collateral on the law so long as they don't it's in london london to go into a toxic debt heap well i think it's clear that a lot of the big problems that we've seen in the last five years have been run through london subsidiaries and this is an issue to see f.t.c. are trying to deal with here where they really meaning to deal with it max or not i think is a different question but the thing is being brought up by gary gensler he's also leaving the end of the year is that they will be requiring the big swap deal is the big banks to prove collateral in london in europe against trades which they're doing in the us and i think it's a very interesting subject which isn't well understood or probably

because there are no rules and hypothecation of the underlying collateral within the london's system just like you know there are a lot of issues that are coming together here and the first step for me is the fact that. there is a discussion over investigating the fix so i think that's that's the first stage towards raveling of what is a broader problem the hypothecation. as we've talked about in the show in london unlike other financial jurisdictions it's possible to lend the same security infinite number of times and call that collateral to be the basis of some other derivative trade you can do a trade in a derivative that in itself has no intrinsic value really it's just mathematical gobbledygook and you collateralized it with something that's already been sold ten times over again so this is really this is reminds me of the pappa see where they're trying to count the. angels on the head of a pin i mean there's nothing there and yet they can they've got the city of london held hostage what is their leverage are they still this city of london and the regulators the fake regulators

a purchase of real estate will count as collateral. pretty much, at wells fargo, we have this process streamlined. i am the front end. after i review the alone, i put it together, put it into underwriting. they will review the file and see if there is a loan file. then you have the of loan) who works with you through the end. so the average time for a 7a loan, which is my focus, about 35, 45 days. if there are other things that need to be looked at, 45 days to 60 days. we are preferred lending partner. we are able to approve a loan up front, close the loan, and then we go back to get the guarantee. i do not have the exact numbers. i should. i do not know how many loans we did last year. it was a lot. i know we were the first lender -- i do not know, historically -- mark, maybe you can help me. wells fargo is the largest in dollar amount by the country and in california, and bay area. we are trying to do our part. we are easy to work with. i have been doing this for four years now. i am pretty good where i can look of something and real

. >> which people -- >> there was collateral damage. he hurt them because he was hell bent on socialized medicine. i believe that. >> really? i don't think the democrats are

he will be released if he can pay a bondsman $2,600 plus collateral. >> 2,600.e just hung up. >> barnes next reaches out to a family member. >> okay, well, can you just call my dad and tell him to look for someone who has collateral. i really appreciate it. i'll check back in with you tomorrow. all right. i need somebody with collateral. >> until he makes bail barnes will reside in one of the jail's low-security housing units. but some inmates pose a greater threat to security. they're housed in the confinement unit where they're locked down 23 hours a day. today 180 will be moved to a new confinement unit and staff is taking an abundance of caution. >> good morning. today we'll relocate the inmates from 3 delta to 1 delta concluding the housing of the housing for refurbishment. we will be moving our most problematic inmates today. as you know the majority of inmates down there have histories of assaulting us and are disciplinary management problems. you will have binder chains available to you unless they require a box chain. there's about ten of them down ther

unocal which made ukrainian property collateral for the fifteen billion dollar bailout. this property include strategic facilities businesses are plants and possibly the gas transmission system. the supporters of the integration with your field of the country will have to join the customs union and reject the eu association for the generosity of moscow the president signed bilateral agreements with the customs union ukraine has been surrendered. now we have to think of to cover this after the meeting with the unocal which led him to pull him said the issue of ukraine's concession to the customs union was not discussed he said that the reduction of the cost of gas by one third from four hundred and forty two and sixteen point five dollars for one thousand cubic meters is a temporary measure the reduced price will come into effect next year ukraine to get the first financial discount before the end of this week. moscow intends to buy three billion dollars worth of ukraine euro bonds money will be transferred from the russian national welfare fund the scandal broke up the t

there are huge markets that are going to develop in the use of collateral. the central bank is not just a lender of last resort, we think, in the future to an institution. the traditional role that the bank of england really founded. but it's also the lender of last resort to those markets so that those collateral markets keep functioning so the derivative market keeps functioning so the bank funding market keeps functioning so the system keeps functioning when the next shock comes, which it inevitably will. so we're open for business because we understand that we have a continuing role to keep those markets functioning so the system as a whole is more resilient. >> rose: i hear you on resilient financial markets. what are the lessons for monetary policy? >> from -- from -- well, i think the very simple one is that monetary policy got itself into a cul-de-sac where it didn't take seriously financial markets. i mean, financial systems weren't in the models. there was down playing of the importance of asset prices or credit dynamics for economic growth, for th

what does collateral damage mean? dead civilians, right? dead civilians. i gave this talk to a high school class, and a student said it means you've damaged buildings. that's what it sounds like, but it means you've killed women, children, innocent men. when american civilians are killed in a tragedy, do you ever hear an american politician call that collateral damage? do you realize how offensive that would be to call dead americans collateral damage if there's a school shooting, an american politician were to say we had a school shooting, there was some collateral damage, a couple dozen kids were shot to death, that'd be extremely offensive. but if the person is a foreigner, that's a very common term used by political system. here's another very subtle example of dehumanization. illegal alien or illegal, right? very subtle. kind of blocks your empathy for that a person. the second form of distance is moral distance. moral distance means i'm good, you're evil, and god is on my side. that's why civil wars are so bloody, because during a civil war you have

can we create something equivalent for banks so they won't have collateral damage? that's the issue. it's very problematic. they have-somethings some things in title and that are supposed to help. there are all kinds of issues there and supposedly title i there will be great supervision and cooperation. let me just say the fdic is doing a great job trying to do this but it is not a point you want to get to. just a trigger by itself is already too late. when you get to that point when you're going to trigger this, -- when we were presented with what fdic would have done if they had the authority to resolving bankruptcy would have done great. paul volcker's question was what would you do that too, three and four after he the first day. it took months to do this and of course with the crisis at the same time. the policymakers would be tempted to whatever law they made yesterday change it. we don't want to get there so the question is how do we stop this? the strong message of our book is this is not an earthquake. this is not a natural disaster. this is something that

huge markets will develop in the use of collateral.entral bank is not a lender of last resort. it is the lender of last resort to those markets so that the collateral markets keep functioning, so the derivative market keeps functioning. we are open for business because we understand we have a continuing role to keep those markets functioning so the system as a whole is more resilient. >> you can watch governor carney's full interview tonight on bloomberg tv at 10:00 p.m., u.k. time. >> our next guest is one of the most celebrated chefs in the world. he has a highly successful television and a show the kicks off tonight in a u.k.. , very nicelumenthal to see you. this is a business program. i am curious about heston the chef and heston the businessman. is this something you started out to be or -- >> i don't know how. my first full paid job as a chef was opening the duck. and heer had a business ran it for several years. or seven years, i was the bookkeeper. i had done my basic accounting course. openedpointless, when i the restaurant,

i will lend you money -- there are huge market that will develop and collateral. the central bank is not just a lender of last resort. it is an institution -- the traditional role of the bank of england is founded on, but it is the lender of last resort to those markets so that those collateral markets keep functioning. the derivative market keeps functioning. the system keeps functioning. even when the next shot comes which inevitably it will. they're open for business because we understand that we have a continuing role to keep those markets functioning. we want the system as a whole to be functional. >> what are the lessons from long-term monetary policy? >> i think a very simple one of that monetary policy -- it didn't take seriously the financial crisis. financial systems want in the models. there was a downplaying of active prices. credit dynamics were -- economic growth for the system. there was a downplaying as well in terms of ignoring the interaction between monetary policy and have the financial markets behave. circumstances of policy encouraged extreme

can we create something equivalent to bankruptcies were there won't be collateral damage and that's the issue? well it's very problematic. they have things like title i that are supposed to help like living wage. they're all kinds of issues there and supposedly in title i they would be great supervision and good cooperation. let me just say the fdic is doing a great job trying to do this but it is not the point you want to get to. just a trick or by itself is already too late. when you get to a point where you're going to trigger this as paul volcker said in our first meeting when we were presented with what would the fdic have done if they had the authority to resolve lehman brothers, paul volcker's question was what do we do on day three and four after the first day because of course we have months to redo this. of course in a crisis they are all there at the same time. the policymakers will be turned into whatever law they made yesterday changing it because it's crisis time. we want to get there so the question is are we stuck or not in the strong message of barb voc is this is not a

the amount of collateral has gone from eight percent to 18%.lend to thent smaller and midsize companies. ist we have been able to do investors traditionally are coming out of commercial banking sectors. credit andhey need we're are there to help provide that. >> we have honestly seemed large pe firms do that as well. basically stepping in and playing the role of banks. oak, we are now starting to really take a look at moving towards europe. those starting to not be diversified off of the balance sheets. and that is the upcoming opportunity for pensions. board trustee of the city of san jose police and fire department plan. check on trade here. it you will see red on your screens. across the board, we will bring you more and another 30 minutes. ♪ >> welcome back to money moves where we focus on innovative alternative investments. we want to get you caught up on top headlines right now. all assets are artificially elevated. he explained why on market makers. themnds, stocks, all of are basically mispriced, artificially elevated. i think the fed k

at all times. >> and the -- it would continue to, to do the collateralization. it is just that, there is an opportunity to cut an run. we saw it with long-term capital most prominently that was the driving pressure but the problem is in order to take, to execute a resolution you need a bit of time and you don't have that time if all the counterparties are simply taking the money and running. >> to add something to it, what we're worried about regulators are concerned about is fire-sale losses and if you have to do this immediately or could do this immediately, then you take the fire-sale losses. you take one day or two-day period where you have the longer period to sell securities, then you reduce the possibilities and probabilities of fire-sale losses. >> at a more basic level, there is an asymmetry in the contracts as between a u.s. counterparty and a foreign counterparty and the more basic issue that asymmetry should be reversed and how it is reversed is a second question. but it should be the same, should be symmetry. >> question is to -- what we're saving i

>> the three c's of credit that want to know your collateral, how much money you're putting down andow much cared for your health. a couple of other factors. with that being said you can drop me an e-mail or like me on kron4

these were the collateral damage that america took so much care to explain to people that war producesollateral damage. >> our guest for the hour is peter schumann, founder of the legendary bread and puppet theater, which is celebrating its 50th anniversary. we will continue our conversation in a moment. ♪ [music break] >> this is democracy now!, democracynow.org, the war and peace report. i'm amy goodman. as we continue our special hour- long program, one of this country's most cherished and celebrated theater companies, bread and puppet, you may not be familiar with the company but familiar with the puppets that often appear in protest and parades all over the country. i recently sat down with the founder and director, peter schumann. i asked him about why he left new york where he started bread and puppet 50 years ago in 1963 and headed to vermont. >> [indiscernible] we always wanted to live in the country. we said, now we can go to the country. we wanted to grow potatoes like my wife's grandfather. get the chance to grow the tate does and make puppet shows. >> talk about what you d

one is that the revenue bonds are secured by collateral.ave a nice little graphic we can show how this breaks down for you here. yup. go.here we so you'll see here, here are the key differences between g.o.'s and revenue bonds. general obligation bonds are backed by the full taxing power the municipality whereas revenue bonds are only backed by specific assets and revenues. generally speaking in typical environments in that thatd row there, we see they have -- they're considered safer and therefore have lower yields whereas revenue bonds are riskier and have higher yield. but, but, the key thing that on thatteaches us is third line. however, in a bankruptcy situation the general obligation bonds are unsecured creditors so they're subject to a haircut the like we now see pensioners are subject to a haircut in detroit. whereas the revenue bonds are collateralized by specific assets or revenue areams and, therefore, secure and therefore have more protection in bankruptcy than that people bonds typically think of as safer. >> so are there broad

will be asked, the names that she will be called and what her family will have to go through with collateral damage. and for me, i had to consider all of that. and my inclination was, i have to move past it. i can beat this, and it's not anything to be send about. i'm not going to leave school, i'll just deal with it. >> did you report it? >> not for 18 months. and it was something where i felt everything was more out of control. i would be pulled from school. it was a football player at a football school, so what was going to happen to me? and it was something that i wasn't prepared, at newly turned 18 to deal with. >> so you reported it 1 months later to the police, and what was their reaction? >> they took the report but there wasn't an investigation, and i at the time did not expect one because of how long it took, but when the person had a track record or an arrest record that was substantial, then you would think circumstancely, obviously she's to be believed, but there wasn't really an investigation done. and the more that i found out about this individual, the more that i decided tha

in addition, the federal reserve act had very strict stipulations on what collateral they could accept. they could only accept self-liquidating paper. they couldn't accept government bonds, there was a whole series of assets they couldn't accept. again, this time around, the fed was much more expansive in its view of what types of institutions it was willing to lend to. so it lent to investment banks who were converted into commercial banks. it was very inventive in the types of ways that it lent financial system including and it had a very expansive view of the collateral it was willing to accept. finally and the fifth reason is that the fed had a very limited perspective on what it meant to be lender of last resort. they took the view that it was not their job to bail out bankers from the consequences of their bad decisions and only when it was very obvious were they willing to step in. the problem is in a great depression the distinction between liquidity and solvency starts dissolving. and as a consequence, their ability to lend to most institutions in trouble were severely hampere

vortex of credit to collateralize hell where no amount of revenue our taxes will ever pay the debt which is exactly what the plantation owner is while we all be living on the field now. why is the price of gold so high. demand global demand do you think oldest money. know the value of the only place we have to live of the water that we need to survive it's not compared to i mean gold we're not going to eat gold we're not going to bait with gold. we're not going to drink what clearly what amal is and is in a desperate economic situation absolutely right what we're wrong to do is say there for any kind of economic development from the outside is going to be a benefit their only purpose is to extract as much money as possible to feed into the global financial system. with me or part of the geo political economic system that's extremely or splintered to. the first was a question where the mining should even be carried out altogether can it be done in a way which doesn't destroy people's was resources environment will you know those are pretty serious questions mining is not a what a moment p

and you enter into this slippery vortex of credit to collateralize hell where no amount of revenue or taxes will ever repay the debt which is exactly what the plantation owner was what we all be living on the field that. the money with the business over russia. martin's consumer sees and i see it many in the country is the federal government to simply say this property of the united states government. is the united states' privilege and it was done in public has to realize it can't just buy. just throw it away this equipment for instance belongs to the united states environmental protection agency and i found this on a dump site here this here is not always the last producers of these literally i think should be able to collect these i believe the vision responsible for the products from cradle to grave. for mexico part of mental health property will sell to murder and corporate it also belongs to the washington metro area transit authority property by dennis trades page trend and trademark office. why is the price of gold so high. demand global demand do you think gold is money. the

but once they do, they'll have no problem connecting with their soul mates or any of their collateral soul mates. you know what? even that might not be enough, folks. because governor fallon, i heard that gay people in oklahoma enjoy the cent of your flower, the oklahoma rose as much as straight people do show you can shhh order everyone in your state to cut off their noses to spite the gays because you're kind of doing it already. we'll be right back. ( cheers and applause ). -xiakqsz ( cheers and applause ). >> stephen: thank you very much. thank you very much. welcome back, everybody. nation, as you know, this is my last show before thanksgiving. and sometimes it's hard to get through the holiday without the thing you're most thankful for-- me. ( laughter ) which is why this year, you can have stephen colbert as a guest at your thanksgiving dinner. ( cheers and applause ) all you have to do-- i know,in, calm down, calm down. we'll get there. all you have to do is set a place at your table, put your laptop at it, and fire up this exciting new dvd, "stephenstephn colbert's guess who'

and your answer to this slippery vortex of credit to collateralize hell where no amount of revenue our taxes will ever pay the debt which is exactly what the plantation owner is what we all be living on the field that. interview. this week. and. for two weeks into the. ninety. three. elsewhere one month then of the crisis. but one region for two weeks into a year recorded. that it's definitely possible that. you. probably didn't happen. to me i'd save this money dish you invest much on the whole site because if you are not healthy i don't think our communities will be default. if our b.p. is down today we are fully one so even though one is down damn is declares that we didn't appear when all get done to save his own lives would for them to be as an adult some time guy just a danger down without taking down by the us and. my god the building is spotty and a building keep on coming down it's only because of the rate. he says we've got and that is in the state is always to much sure we can do at our wife's were they brought us here today. from the government. all us for portable water. n

we create a lot of bad collateral consequences. people lose their right to vote permanently. >> stephen: prisons have gotten better, you have to admit that prisons have gotten better in the last 20 years because 20 years ago they weren't turning a profit. and now they are, those beds are full. >> well, actually they're turning a profit for a handful of people but they are getting that profit by taking money from education and taking money from human services and taking money from the needs of the elderly. and basic taxpayers. they've gotten actually worse. we're now overcrowd. we're now tolerating abecause and rape and dysfunction. and actually the conditions of confinement in this country have never been worse. >> stephen: you say this is affecting young plan men. give me the disproportion. what dow mean. >> the bureau justice supported that one in 15 people in this country can expect to go to jail or prison. but one in 3 black males can expect to go to jail or prison. we actually have policies that are directed at communities of

(laughter) i mean, worst-case scenario, a few homes get carpet gifted with some collateral generosity. but don't take my word for how simple it is when there's this carefully-produced short film from amazon. there's the drone picking up the package and flying out of the warehouse navigating through the parts of america with no trees, phone lines, or buildings then landing on your doorstep while your family cowers inside until after the semiautonomous blade wielding octocopter leaves. yes, nation, flying products to our doorstep inside of half an hour is a bold plan right out of science fiction. it leaves my with only one question: why does it take so long? i want my stuff now! and i know how to get it. so put on your future hat, jeff bezos because i've cooked up an idea that will bring buying as we know it to a new level. close your eyes and picture this. i'm going to keep my eyes open because i have to read these words here but everybody else, here's the idea. amazon locations that customers can walk into and buy things! (laughter) and the inventory would be arranged not as dropdow d

and you enter into this slippery vortex of credit to collateralize hell where no amount of revenue our taxes will ever pay the debt which is exactly what the plantation owner is what we all be living on the field that. largest consumer he sees and i see it with me in the country is the federal government simply saves property. this the united states privilege it was probably going to realize it can just by. just throw it away. for instance belongs to you know those thieves environmental protection agency and i found this on a dump site here this is their computer it's not wasted. it produces abuse and that's what i have to should be able to collect these i believe this should be responsible. to agree. to mexico. mental. murder incorporated also belongs to the washington metro transit authority to the properties of bourbon street. and trademarks. interview. will have better than a month in this region. and i can tell you for two weeks into the. quarter. ninety. three. now i know that elsewhere one month then out there is a crisis. my guess is. but one region for two weeks into a year re

. >> christie's says an alternative to selling the art could be using it as collateral to secure loans or lines of credit. >> stimulus surge. the markets crime to new highs on the frrfe's latest policy decision. new steps that the central bank will be taking. >> paying more to avoid traffic. >> a system put into place to relieve congestion. what the n.f.l. plans to do if nature interferes with the big game. >> it was a record day on wall street, the dow up 300 points. traders were reacting to the frrfe's decision to begin to wind down a stimulus program. outgoing chairman said the fed are reduce monthly bond bying by $70 million. >> like many big city, dallas has a texas sized problem. the city is charging a fee to drive on a less-crowded road. >> this is the second-most congested highway in texas. 270,000 use the 13-mile stretch. a 5-year 2.7 billion project is underway to relieve congestion. how, by allowing driver to pay more to drive. how does it work. next to the 3 highway lanes there are toll lanes. between noon and three on tuesday traffic was moderate. the price $0.35 to drive

behind me you have the collateral damage from earlier in the day. the street race. videotape evidence shows there were young drivers, two 16 or 17-year-old drivers swerving out of the lanes on cropley avenue, got tangled up ending up in this house adding another chapter of misfortune to a home that's seen plenty of it. when carollers sing of a white christmas, this is probably not what one san jose family had in mind. whitish chalky debris that only this morning looked more like a wall, protectsing the trove of gifts. this affable gentleman is bill who seems to live on some kind of cursed lot. >> even the house -- >> reporter: this home burned down eight years ago around the time of his daughter's high school graduation and

, but i'm going to get other pieces of property as collateral as well.plan is to liquidate those other pieces of property, which will lower my investment from $240,000 to $140,000. >> you are 100% correct. >> do you understand? >> you should. you should! >> to me, the net result is the same. >> yeah. >> to me a note sale is actually an easier deal, and i have no problem with that. if you could do 240,000 for the note, i can tell you that that number works. >> under these terms, are you comfortable moving forward? >> yeah. >> okay, so we have a deal then? >> yeah, 240,000 will be the purchase price. >> let me ask you a question. this is more of a trivia question. what would you guess that we do as a company? >> mr. green tea? >> yes. >> uh, make tea leaves? >> okay. >> [laughs] >> thanks, buddy. i appreciate it. efharisto. >> what--what do you do? >> we make ice cream. >> oh, really? >> yeah, that's what i said. [laughter] >> you might want to think about your rebranding. [laughter] >> oh, good. good point. thank you. i may--i would have paid you 245,000

and there are waying to do that in terms of creating a security, that is collateralized and making that first thing that gets lost. >> chase tag dream is getting harder every day for people with a mortgage, kids and car payment. coming up, the income gap in america, who is falling into it and how to get out. and later you may be eligible for government money you didn't know you had coming. we are talking tens of thousands of dollars for the average family, a report you cannot afford to mis, coming up, right here on real money. world leaders are en route to honor nelson mandela. our own ali velshi is there to cover those events. official memorials began tuesday for mandela, who in 1994 election brought an end to ray par tide. soon after, exports rose and living conditions improved for millions, but the broing economy left behind huge parts of the south african population, and the most troubling trend involved income and equality. two divide between rich and poor has increased. two problem is particularly bad in predominately black communities like alexandar township, where mandela once l

these individuals and additionally the folks that are not able to post bail are affected through collateral consequences by being potentially unnecessarily detained if they do not pose a risk to public safety. they are affecting their ability to continue with their employment, education or family responsibilities. so the center on criminal justice would advocate for an increased use or implementation of pretrial services at the local level and some on this panel will speak with more detail on that. >> let me ask miss dewint that you are obviously part of the bail association and the president of the organization, you have decades of experience. critics have argued that your association and other associations like it use their influence by way of lobbying to protect the groups financial interest. i'm wondering if you can respond to that and perhaps give us an idea what kind of lobbying your organization does? >> thank you. first of all let me thank jeff and the san francisco public defenders office for this 10th year of the justice submit summit. thank you and i don't have a prepared speech.