you know the previous guy to jeffrey epstein who was also a friend of larry summers who under federal custody mysteriously died and all their case disappeared and their wealth remain to intact so when he was under bill clinton as then deputy secretary of the treasury summers testified before the us congress on july 30th 1908 about the commodities futures modernization act and remember this was basically legalizing total gambling and derivatives and the explosion of the derivatives that we had the parties to these kinds of contracts are largely sophisticated financial institutions he argued that would appear to be eminently capable of protecting themselves from fraud and counterparty insolvency is let's talk about what the commodity futures modernization act of eval that enabled sophisticated wall street financier to package call of their risk and to dump it into pension accounts so pension a town start either underfunded or they get raided in the various a hostile raids but the toxic dump where these ghouls come out of this toxic dump think of the ph the teachers' pension account of t

i don't know what the value is except to alien nate people who remember larry summers from the last go-round. >> the summers news to me was upsetting and disconcerting less on the politics of it. moving that aside, on that second question. that to me is like -- again, two tasks in front of biden and the democratic party. beat trump and then get governing against a republican opposition that will be implaquable and vicious, as they were 12 years ago. and the same ideological turn-about, where's the money coming from? and summers got that wrong the last time. like if there's anything that has to happen here, it's the lessons from the very difficult period of the first few years of barack obama and joe biden's administration, which was very hard to be learned and applied this time around. >> right. and, you know, i take your point in terms of the politics of it. to the extent there are politics of it, it's the progressive wing of the party that seems to have the longest memory when it comes to larry summers. and so, yes, i worry about it from a policy perspective, i worry about it from a politi

. >> joining me now to discuss this as the treasury secretary larry summers. larry, good to see you. i hope you're doing well and safe and happy. >> good to see you. >> absolutely. you are the treasury secretary. the irs is saying adding the name won't cause a delay. will it? >> pretty unlikely that they're going to be able to reprogram the computers to make the checks look different on very short notice when the secretary of the treasury kept it a secret that that was the plan from senior officials at the irs for weeks. and look, if they're able to do this, it'll be the first technological thing that this administration has accomplished competently in weeks and months. much better to try to be competent in things like giving tests to desperately ill people, contact tracing that can save lives. if there are people in the administration who are so brilliant in handling computers, why are they working in turning irs checks into billboards advertising the president's re-election. this is really disgusting. >> yeah, is this the kind of thing that would just magical

announced this why didn't anyone wait until the official nomination to bring in the ghouls yes that's larry summers advising biden campaign on economic recovery just a reminder that summers in 1901 of running the world bank issued a memo saying that we should dump our toxic waste from the west developed nations onto the least developed nations to those who can't fight back because they don't have the you know the wealth or the sophistication to appreciate how toxic waste can ruin their environment they don't understand beauty like somebody like larry summers he also was instrumental in passing the commodity futures modernization act which legalized gambling turned derivatives into a giant pile of risk that could be dumped on to pension funds because allegedly they're sophisticated enough to understand that.

"larry summers' legacy is advocating for policies that contributed to the skyrocketing inequality and climate crisis we're living with today," thehe groups said. summers previously worked in the clinton and obama administrations. he has also been tied to convicted sexual predator and sex trafficker jeffrey epstein. the biden campaign says summers is part of an informal network of expertsts and does not holdla formal positioion in thehe camp. in texas, the last remaining patient from the mass shooting atat an el paso walmart last august hasas died. guillermo garcia and his wife were both shot multiple times during the rampage but his wife survived. shortly before the massacre, patrick crusius published a racist online manifesto echoing president trump's rhetoric about an invasion of immigrants. renowned human, rights advocate abdullah al-hamid has reportedly died in jail. al-hamid co-founded the saudi civil and political rights association and was awarded the 2018 right livelihood award. he had been imprisoned since 2013 for his activism and had been in a coma after having a stroke ear

larry summers says they are containing the coronavirus outbreak as the primary concern. >> we know economic downturns cast a substantial shadow grward. the people who ang to be the victims in many cases are the peoe coming out of school into a weak economy. studies showeople that -- show that people coming out of schools during that time, the impact is there 20 years later on wages and the quality ofs j they have. it is a big deal to do what we can to support the economy through this time. we need to remember it all starts with the virus. people areri ted to work with others, terrified to go into a store, you can do what youes want with intrates but the economy will be weakened. anchor: thes decision caused new divides amongst americans. nickinrian is speakto some of them in new york. >> can't wrap my head around it. it is incredible. >> he has a road building firm which he fears will bet bankr by june. he is a trump supporter who believes the democrats aho run new yo being too cautious. >>an i'm not workinthe economy is not opened up, the fea' mongers got everybodys scared to death, we all

former treasury secretary larry summers says that containing the coronavirus outbreak is still america'swe do know that economic downturns cast a substantial shadow forward. and the people who are going to be the victims of this in many cases are the people coming out of school into a very weak economy. and studies show that people who come out of school during very difficult times — the impact of that is there 20 years later on their wages and the quality of the jobs that they have. so it is a very big deal to do what we can — everything we can to support the economy through this period. but we need to remember that it all starts with the virus. people are terrified to work with others, terrified to go into a store. you can do whatever you want with interest rates and you can have whatever fiscal policy you want, but you'll still have an economy that is weakened. the decision over how and when to reopen the us economy has caused new divides amongst americans. nick bryant has been speaking to some of them in new york. can't even wrap my head around it. it's incredible. steve owns a road—

definitely i've got an article in the washington post today with the larry summers which is saying $76.00 of the low income countries in the world should get immediate relief well this year and for next year not just for a few months but they are spending more on debt interest payments or the moment when they are on their health systems it is against our self interests that they not spending on health we have got to help them do that one of the quickest ways is debt relief we will have to decrease a special drawing rights of the i.m.f. we will have to give the world bank and the i.m.f. the power to lend and to grant more money all these things are going to be necessary and it ought to be synchronized and brought together in $1.00 plan and i hope and try to win the i.m.f. and world bank meet they've agreed that a plan that includes debt relief is gently required and has to be pushed forward mr brown thank you so much for talking with us that was former u.k. prime minister gordon brown thank you. and here's a quick look at some of the other coronavirus developments around the world the worl

include debt relief for africa definitely i've got an article in the washington post today with larry summers which is saying $76.00 of the low income countries in the world should get immediate debt relief well this year and for next year not just for a few months but they are spending more on debt interest payments are the moment when they are on their health systems it is against our self interests that lead not spending on health we have got to help them do that one of the quickest ways is debt relief we will have to decrease they special drawing rights of the i.m.f. we will have to give the world bank and the i.m.f. the power to lend and to grant more money all these things are going to be necessary and it ought to be synchronized and brought together in one plan and i hope and try to win the i.m.f. and world bank meet they will agree that a plan that includes debt relief is a required it has to be pushed forward as fran thank you so much for talking with us that was former u.k. prime minister gordon brown thank you. and here's a quick roundup of some of the other coronavirus development

we'lljust take the debt interest to start with because i've got an article with larry summers showingpayments of the poorest countries — they are now spending more on that than they are on their health systems — if we can help them prepare their health systems for what is an accelerating epidemic in their countries, then we might prevent a second round of disease coming into the west. so it is not only in their interest that this happens, it's in our interest. and when you think of the debt relief, i think we are talking in the order of something like $30 or a0 billion, compared with the $2 trillion that america is already spending itself on its own economy, this is a relatively small sum, given a $90 trillion global economy, but just think of the difference it makes if you can now spend on health protection instead of having to spend on these debt interest payments, and i think most people now agree that that has got to be done for the poorest countries. it only works if world leaders get it in the way that you describe, in terms of the interdependence of the entire global community

and you are right about higher fiscal deficits but as larry summers argued in a recent brookings paper without the fiscal deficits interest rates would be lower still but not sufficient to raise interest rates to more normal levels. >> a lot of people are just scared about a frightening moment, you're not allowed to go outside in many places, we've watched retirement savings diminish, the uncertainty about the future in the next few months and even a year of the economy is very unsettling. what can you tell people to reassure them if you can how we get through this period? >> it will be a difficult period. there is a lot of uncertainty inherent in dealing with this illness. financial resources are tested because of markets and they are trying to survive with low or reduced income. i don't want to diminish what is happening. it is a very tough and scary period which has very few precedents in history. all that said history suggests, solutions for this illness. and and so i hope the economy will recover, and in a few years showing modest marks of this experience. we know what we should b

joining me now to discuss is the former us treasury secretary, larry summers. s on bbc news, mr summers. a dramatic drop of nearly 5% in the economy. is this what you expected? it's about what i expected. i thought it might have actually been a little worse for a variety of technical reasons. i suspect it will be revised downwards inevitably. in the first estimate they don't have all the data from the last part of the quarter and the economy was in freefall during the last two weeks of march. i expect this number will be revised downwards. i would expect the next quarter's number will be far, far, far worse. we guess the next quarter's number will be somewhere between —30 —50. next quarter's number will be somewhere between -30 -50. -50, meaning the economy is shrinking by half? no, it means the economy is declining by 50% at an annual rate. so that would refer to a situation where it would decline by —15% or so but when you extrapolated that to an annual rate, you would get —15%. so my guess is ultimately gdp will be 1596 my guess is ultimately gdp will be 15%

larry summers and others argue in a recent newspaper, without the fiscal deficits interest rates would be lower still but they have not been sufficient to raise interest rates to more historical lower-level. >> let me close with this. a lot of people are just scared. the very frightening moment. you you're not allowed to go outside. if you have retirement savings, they diminished. the uncertainty about the future, the next two months and even the year of economy is very unsettling. what can you tell people to reassure them if you can about how we get through a time like this? >> well, it's going to be very difficult. there's a lot of uncertainty inherent in dealing with this illness. people don't understand fully. a lot of peoples financial resources are going to be tested because of movements in the markets and because they are trying to survive this period with low income. i don't anyway diminish what's happening. very, very tough and scary period. all of that said, i think history also suggests that you will find solutions for this illness, whether they're logistical, whether their

then we will have larry summers talking about what needs to go on with testing, and his thoughts on mitchll's idea about letting states go bankrupt. coming up in the second hour on bloomberg radio, we will be talking with richard trumka, the head of the afl-cio. by the way, they represent the nfl players. this is "balance of power" on bloomberg television and radio. ♪ vonnie: it is 1:00 p.m. on wall street. i'm vonnie quinn. welcome to bloomberg markets. hedge funds in the news. no rescue loans for them from the small, that is the latest guidance from the treasury. a little bit of controversy over hedge funds being able to access them. we will discuss what that means for the industry with robert christian at k2 advisors. tom barracks as the u.s. property market is in chaos and on the verge of collapse. highlights with our conversation with the ceo of colony capital. and a new bloomberg survey says the fed may hold interest rates near 043 or more years, and the balance sheet will soar above $10 trillion as policymakers seek to revive the economy from recession. we will discuss what it all

it's larry summers.e was treasury secretary under bill clinton, economic adviser for barack obama, and news of this may not go down so well with the progressives who felt that summers, who called for more deregulation on financial services back in the clinton era and also they say was too kind to banks back in 2009, that may not please the progressives, the very people that joe biden is trying to attract as he is the presumptive nominee for democrat presidential race. it will be interesting to see. the biden campaign says whoa, wait a minute, we have a host of economic policy advisers that we will get the opinions of and larry summers is just one of them. i have to say, that news did raise some eyebrows among those who like liz warren or maybe bernie sanders. stuart: why am i not surprised at that. ashley, we have one more for you. there's a new fox news poll on florida. i guess this is, what, trump versus biden. i guess that's -- i don't know. who's winning? ashley: it is indeed and it has joe biden up

whether it is ken and glenn hubbard, larry summers and jason furman on the left.ou can talk about this in other countries as well. we have all come together and said basically the same thing. you are not going to overdo it. don't worry about overdoing it. whatever you think is enough is probably not going to be enough. worry about the bill later and try to get it out as quickly as possible to the small business sector, mostly for keeping unemployed people tied to their jobs and able to pay their bills and to bridge loans, as i said. no, this is a place where i think the economic prescription is pretty straightforward. all this gibberish about are we trading off too much by doing a lockdown -- as many people have said rightly, all you are going to do is sacrifice more if you pull up the lockdown prematurely. haidi: i question whether that is a moral kind of choice that anyone can be making. adam, always great to have you. we will have to leave it there. president of the peterson institute for international economics, adam posen. plenty more on daybreak australia. t

larry summers a couple of days ago that this package would be extremely difficult to deliver even fort competent of governments and it is a difficult issue to get that through. matt: we are getting headlines across the terminal from christine lagarde. the ecb head said that each %onth of the lockdown cost 2-3 of gdp, saying that small, vulnerable companies must be helped. he says that debt must be paid back gradually. i'm sure her emphasis is on gradually, when i see that debts must be paid back, i wonder, does it make sense to you? the government orders a stop on all revenues and incomes to the most vulnerable businesses and then load them up with debt that they have to pay. should those debts somehow be forgiven? shouldn't those credit lines actually be gramps? grants? >> she is not just referring to private sector debt. we would expect governments to be taking on significant additional borrowing, and ultimately, every borrower and a creditor, there is a reckoning that comes through. it's hard to see how you do forgive debt over time. that's why we are stressing the gradual repaymen

we have had larry summers talk about how absolutely imperative it is the smallest businesses, thatomnd pops, get money. seems like the actual congressional effort to get the funds appropriated will go ahead for the next 24 to 48 hours. there might not be a vote until thursday but the sides are coming together. there was a call on the hill, mitch mcconnell, trump, talked about what they would like to see. seems like the white house is signing off on the idea of $75 million for hospitals, virus testing. that has been a sticking point for democrats and republicans. eight -- aid to the states is necessary but it could be in phase four. there is a steady stream of news to see if the funds will get nailed down, what is the wording to address the issue of the smallest businesses. i think it is too early to tell, but democrats are keen for that. shery: ros krasny with the latest on president trump and his same -- stimulus measures and handling of the coronavirus outbreak. says testing of people showing no symptoms of infection areal only a tiny fraction suffering. the samples were taken in w

larry summers, very prominent economist said a couple weeks ago, it will be a little bit like what happens to seaside beach resorts in the summer. a bit what happens to cape cod at the end of the summer it shuts down. it goes into depression, goes into hibernation and comes back. it will come back and economy will bounce back quite quickly. the longer it goes on the more structural damage you do to the economy. not just question will you shut off economy for a month and you get it back on and takes a month to recover that. the longer you shut down an economy the more damage you do to people's confidence about coming back, the more damage you do to people's skills and abilities to find work again, more damage you do to companies willingness to actually take risks of taking on employees, it just, every day, every week that goes by doesn't just extend the dan by a week, it extends the damage by more than a day, more than a week. i worry the longer this goes on the deep are recession we are having. in fact, the longer it takes to get out of that, more damage done to the economy in the process.

he has some concern this ere as well when you guys were talking about commercial real estate, larry summers, the former treasury secretary, speaking, saying he wouldn't be surprised or he could see possibly gdp going down 50% in a single quarter that would be among the higher forecasts that i have seen he did say congress and the fed are off to a strong start but went on to say that the biggest mistake, the greatest mistake that we could make would be to declare premature victory. he wants to be sure that we don't sound the all-clear before it's time and we have a relapse of this situation. he also said, guys, that he believes an equity stake how about should be taken in boeing if the government provides assistance >> you, sara, and i chatted with president meser yesterday as well how did you gauge how down beat and bearish some of these officials are? i felt yesterday he was relativelyrelative ly encouraged or encouraging despite acknowledging how difficult the situation is >> i don't hear anybody being either encouraging or disencouraging, wolf i hear people stating the facts as far as th

that's something that was out there by the imf managing director, supported by george soros, bono, larry summersuld effectively give money to poor countries through the imf. steve mnuchin opposes this saying it is not an effective tool for meeting urgent needs. he goes on to say that 70% of any sdr allocation would go to advanced economies only 3% would go to the lowest income countries he does support, however, the ability of advanced countries to lend those sdrs and existing ones if they want. there's another back story to this, guys, there's a reuters story that one of the reasons the treasury opposes this is they don't want iran and china to be given money from the sdr without conditions that was first reported in a reuters story. we've been able to confirm that as one of the reasons. also, the treasury secretary making a pretty interesting comment that even if you do these sdr allocations, the money wouldn't get to the poorest countries. becky? >> steve, thank you very much. andrew >>> thanks meantime, here to discuss the re-opening of the economy and the state of streaming, travel industry

the timing of the pandemic has hit larry particularly hard. the summereven if he can reopen, larry doubts it will be the same. other. even if he can reopen, larry doubts it will be the samelj other. even if he can reopen, larry doubts it will be the same. i can't see us ever being able to be full again, not fora see us ever being able to be full again, not for a long time, not until this vaccine or whatever they are talking about comes out. restau ra nts accou nt are talking about comes out. restaurants account for the majority of the country's jobs lost, yet they received less than 9% of the first round of small business loans. in a recent survey, one in four american restau ra nt recent survey, one in four american restaurant said they wouldn't make it if the lockdown is lasted another month, and they argue it is notjust an economic issue, it is also a cultural one. after all, bars and restau ra nts cultural one. after all, bars and restaurants are where we go to celebrate, to commiserate, to reconnect with old friends and to make new ones, and right n

larry kudlow. i think the summer is going to be really tough under any scenario, but by the end of the summer and early i think we can start to see a nice recovery, but if we don't start opening -- i'm in virginia where he is not going to open up into the middle of june. that's going to do substantial damage to that state and you are seeing states like new york and california and my home state of illinois being a laggard. so it depends on when we get this thing started, but i do think the fall can be pretty good. >> bill: from your perspective, how do you see it? >> i kind of thing that argument is a little confused. the argument of let's just reopen the doors and tell everybody to go back out. the economy started into free fall before those orders went in place because people are afraid. the virus is the boss. the president is not the boss, the governor of georgia is not the boss, you can say whatever you want. you cannot get control of the spread of the virus, people will not go back out and they will not be an economic recovery. we've got multiple countries now where they've gotten out of lockdown a

the treasury secretary says the economy will bounce back by the summer. larry told us on this program that we are on the co comeback trail later this year. the stock market has rebounded. we are looking to the other side. we want to see a v-shaped recovery for the market and for the economy. and we are moving in that direction. there is pent-up desire to get out of the spring weather, open up that business, make some money, bring in a paycheck but as boris johnson says, avoid a second wave. contain your impatience. >>> the third hour of "varney & company" is about to begin. stuart: look who is here. lawrence jones, my friend and colleague and brother. he is a fox news political analyst and joins us now. big smile on his face. you are a texan. come friday, we expect to hear from governor abbott about opening up maybe movie theaters, maybe restaurants, as a texan if all safety precautions are taken, you approve? >> of course i do. i mean, i always took this seriously from the very beginning. that being said, i have some problems with each state, you know, taking

larry particularly hard. a popular beer garden, in the summer popular beer garden, in the summer months, one of the busiest. ever be the samelj can't see us ever being able to be fall again, or not for a long time, not until a vaccine or whatever they are talking about comes out. restaurants account for the majority of the country's jobs lost. yet they receive less than 9% of the first round of small business loa ns. first round of small business loans. ina first round of small business loans. in a recent survey, one infour loans. in a recent survey, one in four american restaurants said they would not make it if the lockdown is lasted another month, and they argue that it is not just an month, and they argue that it is notjust an economic issue, it isa is notjust an economic issue, it is a cultural one. after all, bars and restaurants are where we go to celebrate, to commiserate, to reconnect with old friends, and to make new ones, and right now, they need help. central banks and the actions they have been taken have been critical in terms of the economic impact of coronavirus. we have just heard news from

giants ceo larry behr is hoping to get some baseball some time this summer. >> i think it would be greatntry. it would be different. everybody knows these are extraordinary circumstances. so, i don't want to pin a date on it, you know. there's discussion of possibly resuming initially without fans in the ballpark. so, people would be able to enjoy the games from home, and that would be, you know, if that's the way we bring it back safely. we'll take our cues from public health officials. >> from the giants to the a's, who showed their appreciation to halth care workers at kaiser permanante, sending 300 personal pizzas, surprise lunch. great job by the a's helping out doctors and workers. >> abrescu top women's player in hoops. averaged 17 points and 9 assists. she's tremendous. >>> dana forward won. i launch aid one-man campaign to get the warriors to draft obi. bob meyers and steve kerr not returning my calls on that. no hoops. nba stars like kevin durant are playing 2k tournament, playing as the clippers. nice cross over. and dunk as kawhi leonard. a 16 seed playing as the bucs holds o

. >>> blackrock founder larry fink doesn't think the american public will feel safe with easing measures until late summer >> i do believe we'll be able to reboot i do believe we'll have a better, nmore normalized environment but it may not be until june or july it may be august the economies will be really slow to reboot like you said, because we are such a heavy service side economy. we need to have all americans feeling comfortable, feeling safe at this time, i don't think that many people feel secure and safe >> our colleagues state side will speak to john williams later on at 14:30 cet. >>> coming up on the show, lore ye 'lhe tt teieneto cnbc. wel arhainrvw xt there are times when our need to connect really matters. to keep customers and employees in the know. to keep business moving. comcast business is prepared for times like these. powered by the nation's largest gig-speed network. to help give you the speed, reliability, and security you need. tools to manage your business from any device, anywhere. and a team of experts - here for you 24/7. we've always believed in the power of working together.

giants ceo larry behr is hoping to get some baseball some time this summer. >> i think it would be greator the country. it would be different. everybody knows these are extraordinary circumstances. so, i don't want to pin a date on it, you know. there's discussion of possibly resuming initially without fans in the ballpark. so, people would be able to enjoy the games from home, and that would be, you know, if that's the way we bring it back safely. we'll take our cues from public health officials. >> from the giants to the a's, who showed their appreciation to health care workers at kaiser permanante, sending 300 personal pizzas, surprise lunch. great job by the a's helping out doctors and nurses. >>> college hoops award sabrina abrescu won the award as top women's player in college hoops. she lives in walnut creek, averaged 17 points and 9 assists this season.emen i launched ons draft obe but bob meyers and steve kerr not returning my calls on that. >>> no hoops, so nba stars like kevin durant and derrick jones, playing 2k tournament, playing as the clippers. nice cross over. and dunk a

white house economic adviser stephen moore spoke to larry king on politicking earlier and said that it might get worse before it gets better. the summer is going to be a disaster i mean i hate to tell people this but we're going to see 20 percent unemployment rate in this country and it's going to last several months and that's not something i ever thought i would see in my lifetime so it's going to take a while for these businesses to get up and running again and so i'm by the way are never coming back that's one of the reasons i've been so strong such a strong effort for getting the economy open because every day you keep it closed more and more of these great businesses businessmen and women who most of their whole life they're not coming back so i do think by the end of the summer we could start to see some improvement and that is much needed well senator mitch mcconnell said justin some states struggling with high public employee pension costs should file for bankruptcy but even president donald trump said states will indeed need assistance this while georgia still plans to reopen its economy by the end of this week georgia is al

it not only feels like spring, it's going to feel almost like summer in some spots, especially as we get toward the end of the week. larrynd kristen? >> spencer, it's got to be so challenging on a daily basis to decide which room in chateau christian do i broadcast from today? some of us have a simple fireplace. that's it. we're not going anywhere. all these spots, i don't know where to go. >> well, that bedroom seems to get into make me feel sleepy. so i decided to move in where it's brighter and livelier, and hopefully that will keep the viewers awake too. >> that's right. and you don't have anyone like larry does with his family telling him to stay in that one spot and don't get near the rest of them. >> that's for sure. >> i hear that sometimes too. >> all right, thanks, guys. >>> a sports superstar chastised for ignoring the stay-at-home order. ooh. >>> hi, everybody, i'm chris alvarez working from home. coming up in just a couple of minutes, danville native and a where can a healthier heart lead you? for people with heart failure taking entresto, it may lead to a world of possibilities. entresto is a heart failure