the imf and plans to relaunch egypt's national economy. according to reports, the egyptian president has been trying to consolidate power since his election back in june. >> of the moment, the country's military still has a firm grip on its economy. we explained. >> karl rove's -- cairo's tahrir square, august 12. the surprise reshuffle, another step towards greater civilian control of political life in the country, but egypt's military still has best economic interests. not just gas stations. it has factories that produce vehicles. besides a baking empire, it owns vast real estate and runs a huge construction projects. but the military's commercial complex built up over decades is thought to make up 1/6 of the economy. >> it is hard to see how a civilian government could assert control over the military's activities in the future. the military has basically taken on a life of its own, and it is a powerful player in egypt. i really do not think it is realistic to expect that it will come under civilian control. >> among the military is hig

we have a situation with the imf and there were no bad economy is left. to say we have nobody to lend to. it was obvious this cannot last. in the it is 90% unsustainable 6% is no great deal. when the whole thing came down remember who wrote to the book -- when we wrote the book one year-ago in these countries have slowed down as many predicted it is clear. and it's a certain number of countries in the presentation is worth mentioning some of those. to will be the breakout nation. specifically indonesia is likely to become day "breakout nations" over the next few years not just from an investment banker. i said it just focuses in the middle east. indonesia and the middle east so if you just concentrate on the middle east but because the money was there bangladesh with 150 million people that economic success less than into a leadership quote that the holy places are saudi arabia. even with bangladesh and indonesia. sell military is on begins to have any effect. if you see fallen commodity prices rushes it is in budgetary trouble. so if richard is right the

there was no bad economies for imf they had nothing to do. we had gone to a situation where the imf was -- [inaudible] saying, you know, we have nobody to lend to. why did you have knob to throned? because the united states and the huge deficit. [inaudible] i was very clear that india is 9% unsustainable. said in africa -- [inaudible] when it came down, i as not surprised. the book a year ago almost. had he made the -- [inaudible] at that time it came out to be more controversial. [inaudible] the commodity many things predicted already happening. it's very clear. it seems he left out many things in the book. it it's mentioning them. the most interesting prediction he makes the guys going to be the breakout station nations very important ones are islamic democrats. on these specifically turkey and indonesia are likely to be two countries of outbreak nations in the next few years. it's an interesting not just from an investment banker point of view. [inaudible] they came with the idea of civilization. i was among those who -- [inaudible] more p

greece really did borrow too much, and the current imf program envisages the debt will, they'll have ten years of austerity, they'll make more transfers to foreigners than the germans made in 1920 through the reparations or the latin americans made in the 1980s when they were trying to pay their debts, and they'll end up with a debt to gdp ratio of about 120, 130% after ten years of austerity. so it's not a very compelling message for anyone, and i don't think it's going to work politically. now, the problem though is much more throughout the eurozone. it's much more about -- there's not that much the greek leaders can do for themselves except try to prepare a more orderly exit from the euro, and that's where i would be taking this. if their neighbors and friends don't want to help them with that, it's going to be very difficult if they can't get assistance. the imf has said they will continue to work with the greeks under any circumstances and they should take that up with them and prepare an exit plan. but it's not going to be easy. there's no magic bullets. there's no other curren

. >> westerwelle said further financial aid would have to wait for the troika report by the imf, the eu, and the ecb to be issued in mid-september. >> the greek foreign minister promised athens would introduce a new austerity measures added to the coming weeks in order to save 11.7 million euros and satisfy international creditors. but he does not want to see the greek growth suffered too badly. the two foreign ministers are not just awaiting the troika report. germany's constitutional court is due to rule in mid-september on challenges to the new esm bailout fund. until then, the big decisions facing the eurozone are on hold. >> with that german court ruling just weeks away now, athens has embarked on a crucial round of economic diplomacy. our political correspondent told us what we can expect. >> what we can expect is a slew of headline-grabbing meetings that begin in athens on wednesday when antonis samaras, the greek prime minister, meets with jean-claude juncker, the head of the euro group. that will be followed this week, as we have already seen, by meetings in berlin. on wedne

the imf is ready to do programs especially in egypt to begin with, talk about what the imf could be doingpportunity in transformation and the middle east has had the misfortune or bad luck to be going through this transformation at a time when the global economy is in trouble, and in eastern europe they didn't have that adversity. we are trying to help the country stabilize because part of the tumult has been that there are doubts and uncertainties and so on. you look at tunisia, they're making huge progress. we are working with egypt, the managing director saw the president of egypt in egypt last week, we are talking to them about an imf program, we're hoping we can help them stabilize, and then over time, all the countries that are going through these changes need help from the u.s., europe, the gulf countries, they need investment, they need trade, just like in eastern europe, it took a few years for this to start to work, and for businesses to be willing to come in. we're trying to help them provide the foundation for that later, more important growth days. >> david, there was great o

. >> can i point out the imf has complained about this? i don't know how well reported this has been. but the imf said we like what you did here, but further monetary easing to scott wopner's point and unconventional support would ease tensions. so the imf is saying draghi didn't go far enough. >> could he throw a bomb today with the rate cut? could he have done it and why didn't he do it? >> i don't know the reason for that i have enough trouble getting inside mr. bernanke's head, let alone mr. draghi, he is his own man, he's walked back a bit. all hope is not lost here if they come in, if the ecb becomes part of the rescue fund, i think it's potentially powerful. i think markets are right to be disappointed. >> what's the next step? >> the next step is september. >> they have could come up with rules of central bank of engagement and then somebody has to step forward. so let's say those bonds blow out. okay? and let's say spain has said, we can't do this on our own. they ask for a rescue fund, negotiate that for a while, they have money

with the new egyptian government is hoping to secure a 4.8 billion dollar loan from the imf.hat means the u.s. taxpayer is on the hook for 816 million dollars. and all right, everybody, welcome to the program. we have video of crucifixes of christians in egypt. we, the american government supplying money to an islamist regime in egypt and they want more. and what's going on? >> we don't even know what they would do with the money. we've seen them fail twice and now looking at possibly a life line of 18 months for egypt. and there's no confidence there whatsoever. and you've seen it with the traders and you've seen it with investors, they've pulled out altogether and they can't get gasoline into the environment there. and i mean, it's just a menace and asking for more money. >> why don't we stand up with those in egypt. >> it's a nightmare, the worst kind of self-loathing by the west that i can imagine. >> first of all, the imf doesn't have any money and gets the majority from china and the other countries and chip in, and take over the thing, it's nuts. listen, i the islamici

a look at the international monetary fund beginning talks on secured loans and delegations from the imf which -- a delegation is expected to go to cairo to discuss the terms for support work up to 2.5 billion euro. the deal would add credibility to planned economic reforms which are needed to restore investor confidence in egypt. investors have shied away from egypt after last year's revolt and overthrowing the former president, hosni mubarak. >> the drought in the u.s. midwest, for grain harvest in russia, and it is creating higher food prices. it could make things difficult for those of imports. >> profiting from higher prices on the world market even if this year's harvest is a disappointment. >> the columbine harvesters are constantly on the go this time of year. he farms 300 hectares of wheat. he spends an average of 1000 euro per year for diesel, seeds, and fertilizer. that is really paying off this year because we prices are at record levels meaning he stands to make a healthy profit. >> it is good for the farming sector that we're getting a decent price for a change. >> like mos

. >> the ecb policymaker says central bank should only buy bonds ever distressed countries if the imf are involved. he said central bank president mario draghi would present the bond-buying plan at its press conference on september 6th. at the same time head of german bank is considering stepping down. weidmann mulled a resignation in recent weeks. he's one of the staunchest opponents of expansion of the ecb bond-buying program to support struggling economies like spain and economy. in an interview weidmann did signal a reluctance to step down saying i can carry out my duties best if i remain in office. we saw a good auction support yesterday for new benchmark from italy. clearly, i mean belief in the market that at some point the ecb will be able to step in and support, you know, spanish and italian debt yields. it requires, of course, a lot of things to happen like spain asking for assistance. but are investors right to bet that these things are going to happen? >> you know, this is exactly the point you mentioned, it's exactly the point. why should the ecb intervene when a country

the government will invite participants from 188 imf and world bank member nations for the meeting. the delegates will include finance ministers and central bank governors. the conference is scheduled for october 9th and 10th in sendai. it was hit hard by the earthquake and tsunami in march last year. japanese government officials want to inform about the recovery efforts and share the country's experiences of last year's disaster with other nations. another focus of the disaster conference will be the situation in developing countries where investments on preparedness have a low priority due to the huge costs. debates will be held to explore how to achieve disaster preparedness and economic growth at the same time. >>> you can't see them but chances are that microscopic materials called nano particles are part of the world around you grinding materials to the that no level can bring out new properties that are usually inaccessible. a 90-year-old japanese company has build a big business around these materials. the mill stone grinds grain into flour. it has been a part of everyday l

the imf says that it, the housing market, holds the key to a broader economic recovery and this hour we focus on first-time home buyers looking at homes up to about $300,000. that cohort is historically very important but it is falling out of the market now. real estate reporter diana olick is here in the house to explain why. diana? >> reporter: that's right. the first-time home buyer is 40% to 45% of the market. today down at 32% and the reasons are many fold. higher unemployment. tighter mortgage standards. a shift in sentiment away from home ownership and perhaps toughest of all is competition of investors on the best deals. the bright side, though, is that those who still want to buy are going back to basics. that is back to the builders. first-time home buyer clint blain spent nearly two years searching for a bargain. >> put a bid in, you have to wait and outbid. >> reporter: in phoenix, you would think blain would have no problem but the competition from investors is now fierce and supplies of distressed properties are half of a year ago. >> inventory's low. we have more home

after all, greece is barely managing to make ends meet with the financial help from the eu and imf. observers say failure to support a key industry may push the country deeper into the financial quagmire. nhk world, athens. >> a legacy of the second world war is set to be reborn. forced laborers build the thailand burma railway on the orders of the imperial japanese army. parts of the route were abandoned after the war, but now myanmar will lay new tracks. >> reporter: the railway originally stretched 415 kilometers and estimated 2 t would take five years it build. however it was built through forced labor through prisoners of war and local residents. it was also known as the death railway as so many lost their lives during its construction. the town impresent day myanmar was the starting point of the railway. a tower built by now defunk japanese army show the souls who lost their lives to construction to this day. remembering how the railway was built -- >> translator: the camp for laborers was then n an area with a malaria epidemic. in the north, each village had to often laborers

decisions will be made until mid-september at the earliest, which is when the troika, the eu, and the imf will report on greek progress. tonight, it was clear that both france and germany will be expecting the troika to say that greece is on its path, is staying on target, or else there will be no decisions about possibly improving some of the terms expected of greece. >> angela merkel is in a very tough position right now. internationally, she is under to pressure to stabilize the euro. domestically, german taxpayers do not want to put up any more cash for any more bailouts. >> that is right. germany is the eurozone's biggest economy, europe's paymaster, and people are concerned about throwing good money after bad. there has been talk among conservatives in the csu, the cdu's sister party, that may be a referendum should be held on eurozone membership, and according to polls, nearly 50% of germans would vote against remaining in the you if they were to hold such a referendum now. that makes it tough going for angela merkel. we have an election coming up next year. maybe that is one reaso

with slow growth in the u.s., china and the imf coming out and saying that the europe debt crisis is weighing on japan's economic outlook it is not looking rosie for investors. and added to that we have the earnings results from japan from last week and continuing this week as well. the banking sector, for instance in the nikkei's 11% drop. the tech sector getting caught up in lower and falling chip prices and also we've heard from the steel industry, also affected by slow growth in china as well as heavy industry and construction machinery stocks as well. not mention the stronger yen which has been hurting profitability for a lot of japanese companies. let's look at the levels for this thursday. the dollar/yen, 78.39 to 41. euro/yen, 95.89 to 90. the euro trading in a narrow range ahead of the meeting of the central bank today. >> july auto sales came out in the united states. how did the japanese out firms do there and what is on the earnings front today? >> the numbers come out in the first week every month. and the numbers are looking good. we did see some of the three major auto

after all, greece is barely managing to make ends meet with a financial lifeline from the eu and the imf. observers say failure to support a key industry may push the country deeper into the financial quagmire. yasushi kudo, nhk world, athens. >>> here are the latest market figures. >>> doctors seeking to abolish nuclear weapons ended a three-day convention in hiroshima on sunday. they discussed thou pass on to future generations the experiences of atomic bombings. some have very personal reasons. nhk world reports. >> reporter: the doctors call themselves international physicians for the prevention of nuclear war. they hold their congress every two years. they chose hiroshima as a host city to remind the world of the nuclear bombing there. the ippnw's theme this year is "from hiroshima to future generations." by choosing that topic the organizers wanted to stress the number of doctors that survived the blast and who can pass on their experiences is declining because of aging. one of the major events this time was a symposium of physicians of second generation atomic bomb survivors. this

. >>> the civil trial against former imf chief dominique strauss-kahn gets under way this week. the judge rejected his attempt to have the case dismissed on the grounds of diplomatic immunity. a hotel maid is accusing him of rape. prosecutors did drop the criminal charges against him last year. >>> one person was killed and nine others wounded during a lightning strike at the pocono raceway in pennsylvania. one of the victims remains in critical condition. the strike happened in the parking lot moments after the nascar race was called off because of the weather. it's not clear if all ten people were actually struck by lightning or if they were injured by multiple strikes. >>> some residents in luther, oklahoma have been allowed to return to their homes after being forced to leave because of wildfires. many returned home to find ash and rubble where their houses once stood. investigators say the fire in luther was deliberately set. a man reportedly threw up ins out of a vehicle and set them on fire. a -- threw newspapers out of a vehicle and set them on fire. >>> time 4:36. today

private capital help me build staples, and imf venture capital myself helping out lulu lemon and many others. americans are too smart for the rhetoric. neil: this beaches over mitt romney has made a compelling argument and sealed the deal. is the party really united? people feel he does not have the passion to close the deal. >> he is a thoughtful person but has tremendous passion. he is quiet and thoughtful who gets things done. he is not to i geller or screamer. we have seen talking. it gets us 23 million underemployed, million-dollar deficits, and 2% gdp growth. that this failure. it is time to get somebody who knows they are doing. neil: tom stemberg, the man who founded staples. we will not have a media poll results going into the democratic convention. these dimensions are back-to-back this wraps up the republicans and next week we kick things off with the democrats in charlotte. people will look closely one of the friends and former colleagues to say he did not go for the jugular. he did not say anything nasty, just a disappointment. is that his style? >> i am not an expert but

. >> they have people who work at the imf, the world bank. families. there have been cars that have been rifled through but nothing like this. jennifer donelan abc 7 news. >> thank you. 3 behind bars and facing it charges about fees collected in chantilly. the three began stealing the parking fees in april 2009 shortly after the company took over. >> after eight years and billions of dollars, a huge event in space exploration as the nasa curiosity and lands on mars. >> this is the coolest story of the day. can you not tell they are so psyched to? they are celebrating and learning. >> it has been very busy down here today people stopping by, curious about curiosity and an excited about what it may find on mars. >> there is excitement over the latest nasa mission to mars. that is an understatement. this is the reaction at mission control this morning when curiosity landed on the surface of the red planet. the rover, the size of an automobile it ticket eight years to travel to mars. one man traveled to washington to take it all in. >> as a child, i wanted

i'm delighted of course to welcome him also as a former colleague at the imf, but arvind is currentlyf international economics and the center for global development. he's the author of a book called eclipse, living in the shadow of china's transformation. china's economic domination. he also wrote india's turn, understand economic transformation in 2008. i should note that foreign policy named him one of the world's top 100 global thinkers in 2011. while india today magazine nominate him as one of the top quote 35 masters of the mind. over the last 35 years. that's a very heavy burden that i'm sure he is bearing extremely well. buddies been an assistant director of the research of the international monetary fund, and he's also worked on the trade negotiations. he started the harvard university kennedy school of government, and johns hopkins school of advanced international studies in and he contributes weekly to the financial times and two other groups, and, of course, he's educated in the united states defense college and then at the institute of management, taking his masters and ph

living here in d.c., you see it when they have anything at the world bank or imf. this notice about the improvised explosive devices is worrisome. they are not talking necessarily about having the groups target people. it is more the infrastructure. as they point out, things like bridges or means of transportation. things like that. that is the worrisome thing. they do also, fbi and dhs, also say that one kind of telltale sign is surveillance by the groups. they are good about checking out locations beforehand. that is one thing they would be watching for in advance. >> fran, is our national security contributor. maybe you could make me feel better about everybody going to the convention on monday. what do the feds do to help the locals or have they already done this and we're just getting the information now? how do the feds take what they are giving us now and help locals and authorities in tampa to translate into action to make sure we're all going to be okay? >> both conventions will be deemed what we call it by the department of homeland security a special eve

. >>> former imf chief dominique strauss-kahn and his wife had report lid split.r told the press that the two have separated and she's doing well on her own. sinclair supported her husband while he was charged of raping a maid in new york. he's now accused of taking part in a prostitution ring in france. >>> the state of texas says it will take its voter i.d. fight to the pk spk. supreme court. it struck down the law that requires voters to show photo i.d. they said it would impose a heavy burden on minorities the and the poor. >>> and secretary of state hillary clinton is in the cook islands right now where she received a rousing welcome earlier today. residents in strawgrass skirts and headdresses greeted the secretary, dancing, chanting, playing loves and obviously she got a lei there. she'll meet with leaders of 18 countries at a political forever um. >>> you might think about your holiday travel plans. here's a look at the best budget airlines. jetblue, which scored the highest in the annual survey of customer satisfaction, southwest with more than 3200 fligh

greece wants more time to reach austerity targets from the eu and imf.t nile virus claimed 41 lives in the u.s. and the cdc reports. we have seen the spraying of dallas to limit mosquito transmission of west nile and texas has half the cases reported. cases have been reported in 38 states. also hard hit, mississippi, louisiana, oklahoma and south dakota. overall the highest number of cases of west nile virus since it was first detected in the u.s. and gallup, the polling firm, was accused by the justice department with padding bills. they said gallup inflated budgets for survey work on millions of dollars worth of contracts. not padding the surveys but the bills. >> that's an odd story. very odd. thanks. we appreciate it. up next, gop veep candidate paul ryan delivers a powerful pro growth homerun speech today, hitting hard onball's imaginary recovery. the need for tax code over haul build this.s the president on the free market panel sounds off and critiques it. a special programming note for tomorrow night. i have an exclusive interview with congressma

places like greece and spain that cannot repay their debts they're asking for bailout money from the imf. hopefully we never get to in that position. it is already monitoring and because we are a member. look at the debt situation for our country. that is where we change course and you come in as future physicians. the institute of medicine estimates 30% of all health care is wasted. it does not add value or improve their health. it includes overuse overuse, inefficiency, fraud. we will talk about each of these. $760 billion is wasted every year. if we could take out a portion we would be in good shape and build a house of health care for generations to come. it will dupont -- depend on you. what about over treatment? would you order tests and prescription drugs is a very powerful tool. with the choosing wisely count -- campaign now there is a top five list of things we can do less of or stop doing at all. there aren't other surgeries in procedures as documented as being overuse. angioplasty, webex surgery surgery, prostrated to me, antibiotics, all overused. there will be of first meeti

the civil trial against former imf head dominique strauss-kahn gets under way this week.udge rejected strauss- kahn's attempt to have the case dismissed on the grounds of diplomatic immunity. a hotel maid is accusing him of rape. prosecutors dropped criminal charges in the case last year. >>> the i.r.s. has been handing out billions of dollars in fraudulent tax refunds to identity thieves. a new report finds the agency failed to prevent one and a half million potentially fraudulent tax returns from being processed last year that resulted in refunds totaling more than $5 billion. and nasa has picked boeing as two other aerospace companies to build small rocket ships that will take astronauts to the international space station. the contracts are worth more than a billion dollars but until the ships are built, nasa will continue paying russia to provide the ride. and that's your money watch. for more head to cbs money watch.com. in new york, i'm alexis christoforous. >>> our time right now is a:37 -- is 5:37. nasa's ground crew is flying this morning after a historic mission

the government says it will not seek a full sovereign bailout, because that would come with the imf andand supervision, but the same time, and you to excuse me, all of this talk about bailouts and banks and ecb has quite sent me throat into a spasm, because so much, so much has been said lately about what might happen, what could be done, what should be done that whether it is the fed, the bank of england, the ecb, the truth is that very little is actually be being done. >> yeah, well, i can understand why you are having the spasms there, richard, because obviously a lot of people are reacting to this, and not reacting well i might say. a lot of problems. richard go get a drink of water and get over that. take a look at this. >>> this is a lot of money, but the problem is that it is not real and there is more of the phony 50s that have not been found yet. s, do more business. in here, opportunities are created and protected. gonna need more wool! demand is instantly recognized and securely acted on across the company. around the world. turning a new trend, into a global phenomenon. it's

secondly, there can be no doubt at all about the imf, particularly in the troika mission playing a very important role in europe just now. and the imf does not only have to deal with the question of money, but also, obviously, it is in an advisory capacity, and canada is on the board, is also exerting it influence there and is helping us in this way. so, um, the question as to competitiveness, that is how do the countries of the european union, generally around the industrialized countries, have to position themselves so they can be competitive with regard to the matching economies, and that is the issue, and that is where we have a large degree of agreement. [inaudible] >> prime minister, is it your hope or is it your firm and strong conviction that europeans are able to solve their current crisis by the means they have chosen so far, or do you have, do you have any further advice to the europeans? [speaking german] >> translator: and a question addressed to you, madam chancellor, as to the euro crisis. in your talks with the prime minister, did you gain the impression that you were ab

if they -- the cbo says it, the imf said it, everybody who's looked at it said it, if they do not startw up. it will take the u.s. economy with it. and the rest of us will feel the shockwaves. i can't be more blunt than that. i. >> i appreciate that, richard. i always love your use of analogies. thank you very much. i'm sure we'll talk plenty about this coming up until january. thank you. >> thank you very much. >>> two journalists headed to tampa to cover the republican national convention doesn't sound like much of a story except for the fact that they're not even old enough to vote or even go to r-rated movies. the wheels of progress haven't been very active lately. but because of business people like you, things are beginning to get rolling. and regions is here to help. making it easier with the expertise and service to keep those wheels turning. from business loans to cash management, we want to be your partner moving forward. so switch to regions. and let's get going. together. ♪ atmix of energies.ve the world needs a broader that's why we're supplying natural gas to generate clea

a piece came out a couple days ago from the imf, praising iceland for the way they fought their crisis. which is exactly the opposite way the great extent have been fighting theirs. >> brian kelly, big euro watcher on the show. your thoughts on what mr. taylor is saying about the eurozone. >> yeah, i think -- the problem you have is the deeper greece goes, the worse it gets for them and for the greek people. so there's actually humanitarian side to it. my question for mr. taylor, i guess, we have to get the germans on board with printing money. it looks like draghi has put thissen conditionality of spain asked for a bailout. how else do we get the germans on board if spain doesn't ask for a bailout, because spain can essentially at 3.5% for the next two years fund themselves now that yields have been cut in half. how do we get the germans on board, what do i look for to say the germans are there, time to buy risk assets? >> well, i think that's one of the problems, i don't think you can really get the germans on board yet. remember, there's an election in germany coming next year. and

one of the mandates that the imf has told the u.s. is to fix the housing market. why?cause we need consumers to start spending again and advise the global economy. revive the global economy. the fact is the rest of the world depends on the u.s. consumer to spend and to import commodities and products that these countries are selling. and so we can't oversell or under estimate the role of housing and installing u.s. economic recovery, and also stalling global recovery two so have we bottomed out on housing, and if we are on the upswing, i figure savings is for our 5%. germany is 12%. if housing is sort of on a slight uptick, where you see the u.s. savings? >> you know, the house was the savings instrument. for millions of middle-class. if it is not in the house and interest rates are almost at 0%, where it is the middle class go to save? more than that, we haven't talked about small business yet. small businesses -- you know how small businesses are generally financed. through savings and home equity. as home equity disappear, so has there been a decline in businesses.

of a better person to do this and delight of the crystal ball, and also as a former colleague at the imf arvind is a fellow at the peterson institute for economics and the center for global development. he is the author of a book called eclipse living in the shadow of transformation. china's economic nomination. he also wrote understanding the economic transformation in 2008. i should note foreign policy named him one of the top 100 global thinkers in 2011 they nominated him as one of the top 35 masters of the mine it's a very heavy burden that shows he's bearing extremely well. he's been an assistant director of the research department of the international monetary fund and he's also worked on the creative negotiations and started at harvard university kennedy school of government and johns hopkins school for international studies and he contributes to the financial times and other groups and of course he's educated in india st. stephen's college taking his master's and ph.d. from oxford. i think with that background we expect nothing but the best. i'm going to request arvind to speak f

they need to be going after the wall street bank, the imf, the people responsible for causing these problems that they claim they want to solve. they are not doing a good job of unifying behind week, the people. our representatives represent you, as well. our representatives forgot who they represent. they have completely illegitimized their position because they have refused to facilitate to the needs of the people at this point. that is really all i've got to say. host: thanks, joe. but go to some other comments of of twitter. we mentioned ron paul is having a rally today and c-span will be bringing some of that to you. it is called, "an idea whose time is,. we are the future." we will also be hearing from his son, senator rand paul. that will be at 3:00 iran c- span. on twitter -- we have been talking about party unity between republicans and we would like to hear about what you have to say. you have to say.

imf appears also an investigation in --there is also an investigation in the shell refinery fire. the county issued a health advisory because of this fire which only lasted about one hour pin >> in it is too early to say what the impact our refinery will be. we are still assessing the damage. we are also investigating the cause of the fire. >>darya: we doing that need any more debt to mint to the gas prices. we're already seeing the effects at the pump did to the chevron fire. >>mark: today is a flax alert day. high temperatures of over 100 degrees are expected for the wide area of power the customer is asked to keep the thermostats at 78 degrees higher >>erica: and looks like we may be able to shave off a couple degrees for some of our inland spots. in some of our areas in my actually be what is considered to be cooled. right now the temperatures are in the '50s and lower '60s. in to the afternoon we are required to see warmer conditions for the inland areas. the temperatures may go into the 90s. but have come mostly clear with likely wins as we head into the evening hours. we wi

we need to have a world agreement that the imf and the world bank and no other government agency is anyn gone wrong. >> grade tim geithner? >> i think tim has done well. we have a fraternity of treasury secretaries and one of our coda is we don't talk bad about each other. but i think there's a definite need for structural changes. we need structural changes in our tax system, in the way international finance works so we don't keep repeating these problems. you would think after we've been burned with these sovereign defaults, we would stop letting sovereigns issue debt that can't be redeemed at face value. >> i was going to ask you to grade hank paulson. but if you were in that job at the time, what do you think you would have done? >> i wouldn't have done t.a.r.p. >> you would not have done t.a.r.p.? >> no. >> because? >> because you go back and look at the history of t.a.r.p., the first idea of t.a.r.p. is they were going to figure out a way to buy the outstanding stuff and that was going to make everything -- they actually didn't end up doing that at all. they ended up stuffing the

another world war ii, and then after world war ii, we have the development of the united nations and the imf and world bank. [crowd boos] of course, they were working towards a world wide currency, so they set up an agreement on monday, which was a total farce. the austrian economist at that time said, "it will not work, and it cannot work," and when it fell apart, it was a very, very impressive day to me, and it was a sunday evening like tonight, 1971, when the monetary system collapsed. that was predictable. it is over with. there are some, no doubt, who want to go back to it. but it gives us the wonderful opportunity to advance. there is a failed policy. the project for a new american century. [crowd boos] you already know there are a bunch of neo-cons running that show. they opened up an office in 1997. they closed their offices in 2006. that does not mean they are gone. that does not mean they are not influencing most of the politicians in washington, but, believe me, they are losing steam. the wars fought in the last years has given us $4 trillion worth of debt, are unpopular, we canno

. >> reporter: that was the imf former manage director.ay two of the conference getting under way tomorrow. big focus as well on gold miners and just why some analysts think they are an attractive investment proposition. we'll bring you those details tomorrow. back over to you. >> all right. let's get back with our guest for this hour. we were just listening in there to this major commodities conference. should we be sort of unsettled by the weakness we've seen in the commodities trade lately or how do you kind of position that -- how do you recommend exposure there for investors? >> just on a bigger picture it looks like slow down in china, not huge growth, pickup in u.s. and eurozone still struggling to grow, really. so, the obvious thing is for commodity weakness to continue. >> how much more attractive is australia's debt going to be. not many aaas left. i wonder if that spells into the regional debt markets. if you're a global investor, how attractive has australia become? >> one of the issues with australia not a huge amount of the d

one of the mandates that the imf has told the u.s. is to fix the housing market. why? because we need consumers to start spending again and advise the global economy. revive the global economy. the fact is the rest of the world depends on the u.s. consumer to spend and to import commodities and products that these countries are selling. and so we can't oversell or under estimate the role of housing and installing u.s. economic recovery, and also stalling global recovery two so have we bottomed out on housing, and if we are on the upswing, i figure savings is for our 5%. germany is 12%. if housing is sort of on a slight uptick, where you see the u.s. savin? >> you know, the house was the savings instment. for millions of middle-class if it is not in the house and interest rates are almost at 0%, where it is the middle class go to save? more than that, we haven't talked about small business yet. small businesses -- you know how small businesses a generally financed. through vings and home quity. as home equity disappear, so has there been a decline in business. that is a

one of the mandates that the imf has told the u.s. is to fix the housing market. why?because we need consumers to start spending again and advise the global economy. revive the global economy. the fact is the rest of the world depends on the u.s. consumer to spend and to import commodities and products that these countries are selling. and so we can't oversell or under estimate the role of housing and installing u.s. economic recovery, and also stalling global recovery two so have we bottomed out on housing, and if we are on the upswing, i figure savings is for our 5%. germany is 12%. if housing is sort of on a slight uptick, where you see the u.s. savings? >> you know, the house was the savings instrument. for millions of middle-class. if it is not in the house and interest rates are almost at 0%, where it is the middle class go to save? more than that, we haven't talked about small business yet. small businesses -- you know how small businesses are generally financed. through savings and home equity. as home equity disappear, so has there been a decline in businesses

we are involved in the imf and the world bank and the world court.e must always act in our self interest based on our constitutional principles. host: barbour this morning from missouri -- barbara. caller: can he explain how the republicans seem to not be concerned about the cuban side of our government? it is all about the money. how can ryan having been in the congress now be the one who is going to bring us out of it. let us be honest. this government is not just about a budget. why do we go 12 years ago from being great/ guest: those are good and tough questions. ryan rose to the head of the budget committee just a few years ago. i did not think he deserves credit or blame for what happened going back 10 years. he has been a house member for 14 years. i think he has put together a very strong budget and a very strong budget restraints. he is trying to hold back spending and deficits. he is absolutely on the right track. it may not be perfect. i think he is on the right track for limited government. the debt bomb is out there and we have to deal w

i'm delighted to welcome him also as a former colleague at the imf, but arvind is currently a seniorfellow, jointly at the peterson institute for international economics and the center for global development. he is the author of other book called "eclipse, living in the shadow of china's transformation." about china's economic domination. he wrote, now understanding the economic transformation in 2008." i should note that foreign policy named him one of the world's top 100 global thinkers in 2011. while india today nominated him as one of the top, quote, 35 masters of the mind, unquote. over the last 35 years. that is a very heavy burden that i'm sure he is bearing extremely well. but he has been an assistant director at the research department of the international monetary fund, and he is also worked at -- on the uruguay round of trade negotiations. started the harvard university kennedy school of government and at johns hopkins school of international studies, and he contributes frequently to the financial times and to other groups, and of course he is educated in india at st. stev