course roosevelt is somebody who he cast aspersions toward in any any possible moment he's a milton friedman a guy he's a monetarist he's a money printer so to go back and say well it's the roosevelt like stick to it of ness is really again duplicity on the part of ben bernanke he picks a policy i mean this is classic. duplicity on the part of wall street or what people call selective amnesia where he'll remember certain things if it supports his current theory but they'll forget everything else that doesn't support his current theory that could change at any minute so anyway they're praising the sacred meat. i need to is up seventy percent since the was elected in december so it's up it's up it's up now of course the yen was at seventy seven to the dollar back in november it's now at one hundred and one hundred two to the dollar so it's crashed by thirty two percent so accounted for half of the rise in the nikkei but of course the slate authors do not mention the whole situation with the japanese government bonds which are limited down almost every single day but the japanese bond market is

as a milton friedman fellow of public policy what is it that you do? >>guest: i was asked that once in a legal case as an expert witness the opposing attorneys said it says you are a senior fellow now would just what does a senior fellow do? i said he has no powers and no duties and the judge said i wouldn't mind to have a job like that. >>host: you spend a day thinking? >>guest: billion ideas from morning to night is nothing but exhausting. [laughter] >>host: when you talk about cognitive justice what you mean? >>guest: i guess when what they mean by social justice is of justice for an initial opportunity to have the same life that i call a cosmic justice because no society has ever done that in any country. so what you're asking is for the whole life chances to be the same it is virtually impossible. some kids may be raised over the same economic level but there is one set of attitudes toward education and the other will not and the one in the family that does not have the same attitude may be a fine fellow but he doesn't have the same chance there i

i am not milton friedman. he made a point, he would make the point that capitalism when it is oriented the great beauty of capitalism when it is oriented around profit maximization, everybody in fact does win. if you are a company and you're doing your job the right way, customers and getting great products and willing to pay you for some, your suppliers are getting their products sold, your investors are making a return on their money, your employees are happy because your business is growing and there is opportunity for the advancement and greater pay. what is also wonderful is it is one idea around which everyone can unite and agree and of course there are all the side benefits which you mentioned in the book that go to society, centralized, everyone is allowed to use the money they made from this venture to improve society as a hole through their own different decisions and you get better literacy and better health than less poverty. the argument classical economists make about what you are saying is if yo

the first time bill buckley met milton friedman and frank meijer was there. anyway that's when we started in this society to get next year we are going to have our 50th anniversary and that this kind of exciting because what that does is bring together a lot of the leaders in the institutions and a lot of leading intellectuals fallen on the country for that annual meeting and contract so there are a lot of things in terms of promoting our ideas and the building the conservative movement i look forward to doing and i can say this. first it's that she's put up with me but she does remind me still she married me for better or worse but not for much. [laughter] i will be around. i don't play golf. >> the conservative movement, and i think it can truly be said america is so very blessed to have you as a past leader come as a present leader and i'm absolutely certain as a future leader in all these areas. thank you for being here. [applause] a look at one book yuma a local literacy programs sponsored by the public library created to engage in the community and i lo

>>host: how well did you know, milton friedman? >>guest: i was a student of his at one time. he was the reason i was brought to the hoover institution one of the fine human beings and i often say if you ask me to name someone who both had genius and common sense of what's in milton friedman then would have to struggle to find another example. >>host: we have been talking with dr. sowell here at the hoover institution stanford university. here is his most recent book , "intellectuals and race" this is the tv on c-span2. of. >> and was curious what you think several of the ceo in and talking about capitalism to defend capitalism is. do they have roll or a the role of government and how it works against business. the ceos have rolled to talk about and defend capitalism to explain it to people but is it something you do purely by example? >>guest: i think we do. one of the most disturbing statistics for me is for the longest period of time, understanding the history of the united states, we started out really pour. we were back water here in the united states. and really as we em

milton friedman proposed a negative income tax in the '60s and other people have as well.ul way of inducing market activity and freedom and allowing people to loot full lives as they choose to lead them. melissa: peter, would you like it if you thought it would work? is your main problem with it would be too hard to get rolling at this point? if we had a clean slate to start over wouldn't it make sense? >> it is very noise for academics to talk about th. milton friedman was a theoristician's theoristician. in reality it doesn't work that way. the putting health care aside, one of the principle benefits we give poor children access to health care. if you're not putting that into the program, you will not have very much money to prefor this. melissa: that's a great point. >> you're just not. melissa: let mike respond to that what you do i this about that? >> education is also a thing we want to mandate people have to pay for and send their kids to. we can't simply look at people with kids here. there are a lot of people who don't have kids. a lot of peopleave their own lives

but remember what milton friedman thomas. the real level of taxation is the level of spending. the real problem with this nation is burden with, we have a government that is too big and too wasteful. we have a government that snds $11 million to create one green job in an area of the economy that is nowhere near mature to contribute to the overall well-being of the economy. we have to correct this. the republicans can't understand , the requirement is to be on the spending side, and no amount of tax simplification can compensate. >> when i hear the administration bragging about the revenue coming in and saying that it justifies tax hikes and republicans then sort of give up the fight on spending cuts, fr whatever meritorious reasons. >> minimizing is what it is. let's take something that is laudable, and we will take that asur second-best solution while we surrender on what is urgent and necessary. we will take what is convenient they are slow learners, but they are also people who onlylearn that which is politically convenient to their ideologically defined objectives. we must

experience you understand that these people have not studied keynesian economics they have not studied milton friedman as far as they're concerned it's quite simple we trust gold more than paper money we reckon that gold is a better and more consistent store of value than paper money that is our experience and that is what we're going to continue to do so that vigilantes to sara lee but then combined buying power it will stop the paper because we've got to move on because we have some issues here that i meant to bring up with you and i'm chewing up all the time of this interview and i want to get into these issues that you write about that there is a point time where there's so little gold left that futures and forwards markets cease to operate effectively so here's where this demand on the physical side meets the the futures contracts the nexus of the paper apocalypse as i call it but are we talked about for years on the shelf are we at this inflection point will there be a failure on one of these like the comics or l b m a well we will only know that by looking back at this point in time some stage

expect from this is inflation but remember you know as milton friedman said inflation comes with a lag so it doesn't mean just because people are pretty good inflation the next day the other things have to happen behavior has to change in velocity as to increase as we've discussed. reports from the recent meeting of the brics brazil russia india china suggest they are ready to dismantle the dollar system do you see this happening max the brics they want to and the dollar system without it's likely in the share on what they're more likely to do is start the beginnings of an alternative system but it's important understand these things take years you can't just snap your fingers and have a new currency actually you can have you can take a currency make it a trade currency very easily china is doing this with the you won they have bilateral agreements with brazil and some other countries that's just a matter of keeping score you can have you can use bottle caps as a trade currency just means you keep score and you buy a lot or trade surplus or deficit and settle up every now and that a re

. >> we have to judge the program of milton friedman number their intention but their effectiveness. >> we have to many that are ineffective and you canno get ready -- rid of any of them. thank you. coming up we wanto protect our children but to as we protect them or do we rob them of grit? we help kids tests are limits but now americans are toldo get rid of risk, john: you know, lew enter jackson was our seventh president he is on a $20 bill and during the revolutionary war jackson volunteered to fight and was at the time. the british captured him and made him ar british officers 11 ordered jackson to clean his boots he said no and the officer lifted h ward and slashed jackson's hand and then he nearly starved in a prison mp but he had grit and survive damage on to become prident. did you have that much when you were a kid? i doubt that i have it now and today i your parents say th have to protect their kids from all danger. some do notet teen-agers go to school by tmsels that is nuts says lenore skanayzy saying ameritech needs and free range kids. >> their kids we believe and and d

. >> we have to judge the program of milton friedman number their intention but their effectiveness. >> we have to ma that are ineffective and you cannot get ready -- rid of any of them. thank you. coming up we want to protect our children but to as we protect them or do we rob them of grit? we help kids tests are limits but now americans are told to get rid of risk, john: you know, lew enter jackson was our seventh president he is on a $20 bill and during the revolutionary war jackson volunteered to fight and was 13 at the ti. the british captured him and made him a servant for british officers 11 ordered jackson to clean his boots he said no and the officer lifted his ward and slashed jackson's hand and then he nearly starved in a prison camp but he had grit and survive damage on to become president. did you have that much when you were a kid? i doubt that i have it now and today i your parents say they have to protect their kids from all danger. some do not let teen-agers go to school by themselves that is nuts says lenore skanayzy saying ameritech needs and free range kids.we bed

experience you understand that these people have not studied keynesian economics they have not studied milton friedman as far as they're concerned it's quite simple we trust gold more than paper money we reckon that gold is a better and more consistent store of value than paper money that is our experience and that is what we're going to continue to do so that vigilantes to sara lee but then combined buying power it will stop the paper because we've got to move on because we have some issues here that i meant to bring up with you and i'm chewing up all the time of this interview and i want to get into these issues that you write about that there is a point time when there are so little gold left that futures and forwards markets cease to operate effectively so here's where does demand on the physical side meet see the futures contracts the nexus of the paper apocalypse as i call it but are we talked about for years on the shelf are we at this inflection point will there be a failure on one of these like the comics or l b m a well we will only know that by looking back at this point in time some stage

. >> we have to judge the program of milton friedman number their intention but their effectiveness. >> we have to many that are ineffective and you cannot get ready -- rid of any of them. thank you. coming up we want to protect our children but to as we protect them or do we rob them of grit? we help kids tests are limits but now americans are [ male announcer ] with free package pickup fr the united states postal service a budding artist can ship like a big business. just go online to pay, print and have your packages picked up for free. we'll do the rest. ♪ to fly home for the big family reunion. you must be garth's father? hello. mother. mother! traveling is easy wih the venture card because you can fly airline anytime. two words. double miles! this guy can act. wanna play dodge rock? oh, you guys! and with double miles you can actuay use, you never miss the fun. beard growing conte and go! ♪ win! what's in your wallet? omnipotent of opportunity. you know how to mix business... with business. and you...rent from national. because only national lets you choose any car in the aisle

say, i would recommend other books on this more than my own mind standing is it effectively as milton friedman said we have the federal reserve that effectively created the inflationary economy and many of the problems that we associate with the 1920's were caused by that. my view is while is true there was the inflationary economy there were a number of goods and services produced that we still use all the time today cars cars, radio colleges the first president to be on film so not quite like the inflationary period of the 1990's when people bought homes they could not afford that real things were produced and it is important to understand henry ford, thomas edison harvey firestone all indoors and like to which to meet with him so if i were to think what caused this roosevelt prolonged it that if you would get the recession through 1920 that was a more severe recession than the harding's alleged ticket dealt with by doing nothing. people assume.was the same sort of situation the government policy of herbert hoover and fdr put the great in the great depression so even in 1932 there is a draft

. >> we have to judge the program of milton friedman number their intention but their effectiveness. >> we have to many that are ineffective and you cannot get ready -- rid of any of them. thank you. coming up we want to protect our children but to as we protect them or do we rob them of grit? we help kids tests are limits but now americans are told to get rid of risk, even good ones. with the spark miles card from capital one, bjorn earns unlimited rewas for his small business take theseags to room 12 please. [ garth ] bjors small busiss earns double miles on every purchase every day. produce delivery. [ bjorn just put it on my spark card. [ garth why settle for less? ahh, oh! [ garth ] great businesses deserve limited reward here's yo wake up call. [ male announcer ] get the spark business card from capital one d earn unlimited rewards. choose double miles or 2% cash back on every purchase every day. what's in your wallet? [ crows ] now where's the snooze button? [ crows ] all stations come over to mithis is for real this time. step seven point two one two. rify and lock. command i

the other conception was milton friedman's, and so i think the great debate of the 20th century was not high yak versus keynes, it was really friedman versus glass. friedman was wrong, glass was right. friedman was supposedly a great free market guy, but he created this monster of the discretionary federal reserve intervening in the debt market and buying up the government debt. now, of course, he was a conservative. so he said only put monetary units on the fed who will sit around most of the day, you know, reading book reviews, not doing anything and every now and then change the dial so the money supply grows at 3%. but he never explained how the political process was going to deliver up monetary units that would have that kind of discipline. what we've had instead is people interested in power, people interested in running, you know, the economy and the world and finding excuses to do it being appointed to the fed, and we've turned it into a massive agency of, you know, substantial economic destruction and dislocation. >> in 2008 i think most of us can remember there was a real sens

. >> we have to judge the program of milton friedman number their intention but their effectiveness. >> we have to many that are ineffective and you cant get ready -- rid of any of them. thank you. coming up we want to protect our children but to as we protect them or do we rob them of grit? we help kids tests are limits but now americans are limits but now americans are told to get rid of risk, welcome to the new buffalo... where new york state is investing one billion limits but now americans are told to get rid of risk, dollars to attract and grow business. where companies like geico are investing in technology & finance. welcome to the state wre cutting taxes for business... is our business. wewelcome to the new buffalo. cutting taxes for business... welcome to the new buffalo. welcome to the new buffalo. new york state is throwing out the old rule book to give your business a new edge, the edge you can only get in new york state. to grow our start your business, visit thenewny.com to fly home for the big family reunion. you must be garth's father? hello. mother. mother! travelin

my understanding of it is that effectively as milton friedman said we have the federal reserve that wasn't up to the task, that effectively created an inflationary economy and many of the problems we associate with the 1920s were caused by the fed. my view on this is while it is true that there was inflationary economy there were also a number of goods and services produced that we still use all the time today. cars, radios, coolidge is the first president to be on film. it wasn't quite like the inflationary period of the 1990s where everybody bought homes they couldn't afford. there were real things produced. it is important to understand as well henry ford, thomas edison, harvey firestone, industrial titans of the day all endorsed coolidge and match with him and associated themselves with him. if i were to say what caused a lot of the great depression, roosevelt prolonged it. if you look at the recession of 1919-1920 that was a more severe recession than the harding/coolidge ticket dealt with by saying nothing and a lot of people assume 1929 that it was the same situation. government pol

milton friedman once said the the mat measure of government is what it spends bass you have borrowing and taxes and a whole host of things that follow but that spending is what begins the problem that so many conservatives struggle with. frankly, so many taxpayers struggle with. i think that, you know, as i begin to get up in washington and begin to dig into the numbers as i did back when i was governor and looking at the budget numbers in south carolina that led to the pigs in that case it was more than $100 million unconstitutional deficit. months of deliberation on it and when the deliberation didn't work we finally resorted to something else to capture people's attention and it worked because we ultimately closed off that. what i'm going to do is in essence look under the hood at a whole host of things. i think you got to deal with the big rocks in washington, d.c. certainly entitlements. medicare and medicaid and social security but there is a lot of inefficiency out there in all areas of government that people are with warrant concerned about and i will be focusing there as well

franklin roosevelt, richard nixon, milton friedman, arthur burns, lawrence summers, george w. bush, john mack, henry paulson jr., and barack obama. now, let's look at the gallery of economic heroes. carter glass, william martin, dwight eisenhower, george humphrey, douglas dillon, william simon, paul volcker, bill clinton, paul o'neill, and sheila bair. explain that. >> the last 80 years of fiscal monetary financial history, how we got into the mass of bubbles and the fiscal and monetary crisis of today. ofically using the standard threefold items. free-market, fiscal rectitude, which we balanced budgets, we do not make excuses for deficits because you do not think the economy is not performing up to your doctor and expectation, and not using the central bank and ordered to try to centrally manage the economy and, wall street and encourage risk-taking and all of that. these are not bad people and good people. these are good policies and bad policies in well-known careers. not one party or one doctrine. so i took these individuals as examples of fiscal rectitude, and that is why

obviously since 1914 with whitecaps and what milton friedman asked dennis was changed and he pointed ut not friedman was a vocal advocate of expanded immigration. he pointed out that what changed is we started to see the expansion of the ever-growing welfare state. right now our country spends roughly $1 trillion in federal and state means tested welfare plan.

. >> back from the land of milton friedman there in chicago. >> thank you, rick. see you later. >>> that was a good discussion. we need that -- >> my issue is confidence. >> i agree, i agree. and they just maybe pulled back a little bit to see if the patient can revive on its own right now. dividends making a big comeback these days. coming up, two companies boosting their dividends to investors. are they the stocks you should be buying? >> and later in the program, steve liesman will be along again with larry kudlow, agreeing on austerity? yes, it's really happening. no, the world is not ending. back in a moment. stay with us,. it raises the price of fishmeal, cattle feed and beef. bny mellon turns insights like these into powerful investment strategies. for a university endowment. it funds a marine biologist... who studies the peruvian anchovy. invested in the world. bny mellon. i work for 47 different companies. well, technically i work for one. that company, the united states postal service® works for thousands of home businesses. because at usps.com® you can

and milton friedman said, nobody spends somebody else's money as wisely as they spend their own.we need to leave more money in the hands of those who earn pit. >> let me switch gears is and ask you about apple. i want to run the sound bite of you yesterday as a portion of your opening statement and then talk a bit about it. listen to this. >> i'm offended by the spectacle of dragging in executives that an american company that is not doing anything illegal. if anyone should be on trial here, it should be congress. i frankly think the committee should apologize to apple. i think that the congress should be on trial here for creating a bizarre and byzantine tax code. >> well, that took some courage, senator. what was the reaction from your colleagues afterwards? >> i don't think they were too excited about it. but i think the criticism is apt. the tax code drives people overseas. money goes where it's welcome. if you make money unwelcome here by taxing it at 35% corporate tax and canada has a 15% tax, canada will grow and the u.s. will shrink. the other thing is, that worldwide com