max ties are welcome back to the kaiser report time now to go to los angeles and speak with nomi prins author of it takes a pillage and black tuesday her recent book you can find all of her work at nomi prins dot com now we welcome back to the kaiser report thank you max right now me i want to ask you about john corazon m.f. global but first you're a former director of goldman sachs so just to clarify to the audience you were not there at the same time as john corazon correct yeah no i came out after he left i was there through the hank paulson era all right we've covered the hank paulson era now run the john corps and now it's been about four months of the collapse. of them of global not a single pair of handcuffs or nobody's been frogmarched off the trading floor you wrote on your blog that drum corps on m.f. global and on accountability do expect corazon walls gave any ability for his actions well me it is looking increasingly likely that he will he shouldn't he had to have known exactly what m.f. global did with its customer funds because he was part of the trade that required the

and twelve was it on point or was it out of touch well it's pose that question to the brilliant nomi prins she's with us from our l.a. studio she's a senior fellow at the think tank in davos and also the author of the book black tuesday based around wall street crash of one nine hundred twenty nine you know me well before we get to the specifics i know you have a long list of issues that the president didn't touch overall impressions of the speech. i think a little bit of what you just said in the intro here it was oratorial optimism which he's very good at and which a hollywood actor could equally have stood in and done instead of him and a lot of repetition he basically took a collection of what worked for him i think or what seemed to work for him in the in the opinion polls etc from his prior speeches and sort of mix them together and that's really what we got last night we got nothing particularly new we got a sense that he's conveying that our economy is better is going in the right direction that there are problems but the biggest ones he's dealt with like regulatory inept and this

thankful to have you on the program thank you so much that was author of the book black tuesday nomi prins. well the rest of us may be left out in the cold economically speaking but the so-called one percent are flocking straight to it several thousand of the world's political and economic elites have gathered in the swiss town of davos for the.

money on mortgage backed securities but as this is showing was he making a huge amount more and as nomi prins has said he probably did or goldman sachs probably did on the other side but they say we lost ten bucks here. they don't tell you they made a hundred bucks here on the same trade conversed liam the same kind of thing is that geithner of those folks will say the taxpayer made money on tarp they made money on the bailout they made money on general motors without disclosing in fact on the fed's balance sheet elsewhere they actually lost ten times more than they put in so it's another form of deception and she finally ends max the m.f. global debacle and the price action and precious metals especially around options expiration dates show how lost our regulators are and how mistaken their overseers in washington remain so let's talk about some more precious metals manipulation here over night long intraday short goldfine more than doubles in just over a year generates forty three percent annualized return so s.k. options came up with an idea of going long overnight in gold and short intrad

we were talking earlier with nomi prins. we're about to launch into the 30 million jobs tour. the job creation we need is a cascade of investment in america. just how damaging has the lack of investment in the youth of this country been? >> incredibly damaging. because not only are they actually creating a burden on the taxpayer because they are winding up in the criminal justice system and returning to that system because it doesn't give them the empathy to change their way of behavior, but on top of that, because we haven't invested in job programs and workforce training, we're creating a system where people are collecting unemployment benefits. so we have to fund programs deal with the problem opposed to going after the root causes, which are a broken educational system, a public school system that's funding on the basis of how rich you are because it's built on property tax value as opposed to equitable access to teachers. we need to look at how we're turning into more of a cast system in america. based on the family you were born into, you can almost guarantee opportunity