paul volcker, in 1979, we have high interest rates, and he said, "we have to save the dollar, and wehave to say the interest-rate." he was the one who was restrained, so his approach is different. criticizing the central banker is. they are trying to manage an unmanageable system, and the flaw is that they trust the system, and they are not capable of doing it. they just do not have the information. only the market knows what the interest rate should be. if you have somebody who is the elderly and trying to save money, the market rate of a cd should be maybe 6% or 7%. they get 1% or 2%, so they get cheated, so it is a very unfair system, no matter how well- intentioned they are, they cannot manage it, because it is a deeply flawed system. >> so should we go back to the gold standard? >> i do not use those words, but the constitution says about the tender, and that has not been repealed. much of what i had written a white the fiat, but -- i had written, like the fiat, i think it should be gradual, so i am not foreclosing the fed down as much of allow and competition, legalizing the co

>> paul volcker men would have said $2 trillion.here was no word about the implications of that for people's confidence. keynesian tend to look more at the short run. what is important is the political incentive. hayek worried about who is drawn to power and what happens to them once they get in power. the plans of politicians do not always and up at the economics department drawing board. they tend to respond to political incentives. hayek emphasize that. they will get the goods. >> let's watch some more. before we do that, how long is this video? >> if you include the credit, this is just over 10 minutes. >> some more music. >> ♪ but >> where did you do all of this? >> we filmed the entirety of jersey. this is just part of that. filmmaking is like a giant construction job. drew offered a nice big auditorium where we could stage the boxing scene. it had a chapel light feel of it. that is not the point of it. there was a classic environment or we could have our timeless congressional hearing. >> when did you do it? >> two long days

consists of former presidents and prime ministers coming from mexico greece brazil people like paul volcker former chairman of the federal reserve and george shultz ronald reagan's very own former secretary of state now the commission calls for a move away from criminalization and towards public health that's even something that we've heard president barack obama say in the past during his pretty presidency and recently well he's been the commander in chief. but i think there's an. entirely legitimate topic for debate i. am a strong believer that we have to think or. approach as a public health. but the thing is the obama administration has already dismissed this report so let's ask again what's with a flip flop and even a distinguished and high ranking panel like this can't make a dent and will anything earlier i caught up with an experienced host of young turks university i phones first told me to think about a few statistics the war on drugs has lasted forty years has cost one trillion dollars and i want to know if she could think of a better way that money could have been spent. absolut

>> paul volcker men would have said $2 trillion.bout the implications of that for people's confidence. keynesian tend to look more at the short run. what is important is the political incentive. hayek worried about who is drawn to power and what happens to them once they get in power. the plans of politicians do not always and up at the economics department drawing board. they tend to respond to political incentives. hayek emphasize that. they will get the goods. >> let's watch some more. before we do that, how long is this video? >> if you include the credit, this is just over 10 minutes. >> some more music. >> ♪ ♪ we could have done better if we only spend more. too bad that only happens if there is a world war. do you deny we were cut short of the recession? >> you are jumping for joy. wars only destroyed. there was the multiplier. concession just rang. >> when that wars spending and dick, your friends try disaster. >> where did you do all of this? >> we filmed the entirety of this and video in madison, new jersey. this is just p

reserve federal reserve chairman paul volcker and these guys are no shrinking by i mean they're the third screaming liberals and our way of current and former heads of state law from nations like mexico brazil and greece included a report that the global war on drugs is an ultimate is an utter failure and it's time to look into legalization commission paid particular attention to the u.s. war on drugs recommending that our nation may want to look at ways to treat addiction like you better health care and not like prison sentences its former colombian president sezer your arena. we hope the united states at least starts to think there are alternatives we don't enjoy seeing the us evolve in a way that is compatible with our country's long term interests so what is the result what is the rest of the world scene that we don't see in america when it comes to the war on drugs joining me now to talk more about this issue is shawn doug duncan a former d.a. analyst and now a speaker with the organization of law enforcement against prohibition shawn welcome and my apologies but i just mangled your

the first narrative best articulate i think by paul volcker, holds money market funds as the culprit art of the shadow banking system. that's what that term is used. the other narrative articulated by paul stevens, president of the ici holds money market as victims. beginning with the subprime crisis and moving on to lehman brothers. and again, which inherited you hold, and there's some truth to both, on where you are, if you're narrative of the first and your first as paul volcker, let's turn these things if the bank obligations, issued by banks, that, of course, involves extraordinary extension of the federal safety net, deposit protection system, to cover practically $3 trillion of assets in money market funds, and that would be a substantial change from the way money market funds are currently managed. the second, they're simply a liquidity crisis created by an economic short-term markets that occurs once every generation or so, suggest the issue is liquidity. we need a way to inject liquidity into the markets that would provide liquidity to money market fund. the ici's suggestion

larry summers, and paul volcker, they have all left, and the team on the economy, and the only fellowd for the whole thing, geithner. >>shepard: still around. >> gerri, thank you, we are watching you at 5:00 eastern, an hour and 17 minutes from now on fox business network giving you the power to prosper and if you don't get the f business network, demand it. >> fox news is america's election headquarters the former minnesota give pawlenty bashing president obama's handling of the economy, and that was in the president's hometown of chicago where he lectured at the university of chicago law school. pawlenty argued the plan to combine lower tax rates with spending cuts is a better deal for america. and now is the plan of pawlenty substantially different from other republican presidential candidates? >> some of the tax cut packages are similar but he does ask for sunsetting of all federal regulations unless specifically preserved by congressional vote. and, check out this one, he says as president he would ask congress for the authority, emergency authority, to be able to freeze spending

commission included former treasury secretary george schultz and former federal reserve chairman paul volckerhers. in pakistan, islamic militants from afghanistan battled pakistani security forces at a border checkpoint for aecond day. officials reported at least 63 people had been killed in the fighting. the class erupteowin t aclinn in kistan's upper dir district, just across from kunar province in afghanistan. police said 25 troops were killed, along with 35 militants and three civilians. fighting raged through the night in yemen's capital, sanaa. tribal militias and troops loyal president ali abdullah saleh traded artillery and gunfire, forcing the city's international airport to close for a time. 30 miles to the north, at amran, thousands of tribal fighters skirmished with saleh's forces, and waited for word to march on sanaa. there were new killings in central syria as heavy guns again blasted a town that's been a center of protests. activists said 15 more people were killed in rastan for a total of 58 in the last three days. the latest victims included a four-year-old girl. the killing

compared to paul volcker, 1979, we have high inflation rates and he said we have to save the dollar. he took interest rates up to 20%. he was forced to restrain. his approach was different. i tried very hard, even in criticizing the various central bankers -- i criticize the system more than anything. they are trying to manage an unmanageable system. the flaw is that they trust in the system. they are not capable of doing anything. they just do not have the information. only the market knows what the interest rate should be. the banks benefit if someone is elderly and trying to save money. the market rate of the cd should be 6% or 7%. they get 1% or 2%. they get cheated. it is a very unfair system. no matter how well intended they are, they cannot manage it. it is a deeply flawed system. >> should we go back to the gold standard? >> i do not use those words. but the constitution says we can only use gold and silver as legal tender and that has not been repealed. much of what i have written about it -- i do not think we need it. but the transition should be more gradual. i am not fore

compared to paul volcker who in 1979, we had high inflation rates and he said we need to save the dollara straight up to 20%. he was one was forced to restrain. his approach was different, but i terps -- i try very hard even though and criticizing the very central bankers, but across the system more than anything, but they're trying to manage an unmanageable system and the flaw is that they trust the system. they are not capable. they just do not have the information. only the market as with the interest rates should be. make it 1% or 2% so they get cheated. it is a very unfair system. there is no way, no matter how well intended they are, and basically i am sure they are well intended, they cannot manage it. >> should be about to the gold standard? >> i do not use those words, the constitution says and it should -- it has not been repealed. much of what i have written about the fed, i do not think we need that, but i always say that the transition should be more gradual. i am not foreclosing the fed down as much as allowing competition and legalizing the competition in the currency. tha

federal reserve paul volcker and various former latin american presidents.iminalization marginalization and stigmatization of people that use drugs but do no harm to others and recommend governments experience with models of legalizing drugs to reduce the power and influence of drug cartels. >> they don't consider any more -- drugs a crime. they consider it is a problem of the health system. opened the health system to people so people can go and try to find the solutions to the problem. >> reporter: a spokesman for hazelton that operates treatment centers for drug and alcohol addictions agrees the war on drugs has been a pailure. and applauds the roar's conclusion for treating drug use as a health issue. the group strongly opposes legalizing drugs. >> if i can speak professionally has somebody that works for the hazelton foundation but i also know in my personal life whatever the drug of choice is, when you put that into the mind and into the body of an addict or alcoholic like me, they lose the power of making the right choices. >> reporter: the white hous

not even paul volcker claims that proprietary trading caused the financial crisis in 2008. but dodd-frank's rule prohibits banks and non-bank financial congress from engaging in trade for their own gain. now that the rest of the world has rejected a call to impose similar proprietary trading bands on their institutions, what effect will unilateral u.s. application of the volcker rule have on the liquidity and vibrancy of our capital markets? these are important questions am and i'm pleased with two distinguished panels of witnesses with us today to answer them. i look forward to the discussion and will now recognize the ranking member. >> before us are, how much side on each side? >> we have 12 minutes on each side step and i will give myself five. i appreciate, was looking at the testimony, which we'll hear later, and i was pleased to see him say in his first page certainly the financial crisis exposed serious flaws in the u.s. regulatory system, particularly the dangers of unchecked leverage and regulatory arbitrage. most other forms impose in the wake of the recent finan

very distinguished former presidents from brazil, mexico, the european union, switzerland -- even paul volckerame out with a report that was devastating in u.s. and global drug control policies. they say that the reliance on criminal justice institutions devon's -- developed into an enormous disaster, empowering criminals, spreading disease and addiction rather than impeding it. they called for a paradigm shift. saying that people that used drugs without hurting anyone else should be left alone and that we need new law enforcement strategies that focuses on reducing the power and intimidation rather than drug markets. quite importantly they said that there must be support for experiments in legally regulating drugs, especially marijuana. but even with others, they said. let's try to find intelligent ways to regulate these drugs so that we can reduce the harm of drug coalition and drug abuse. host: what evidence is there from the results that these people wanted to see? guest: the first is the obvious failure of the current approach. when you see the amount of drug abuse around the world, susta

very distinguished former presidents from brazil, mexico, the european union, switzerland -- even paul volckerchard branson, many others, they came out with a report that was devastating in u.s. and global drug control policies. they say that the reliance on criminal justice institutions devon's -- developed into an enormous disaster, empowering criminals, spreading disease and addiction rather than impeding it. they called for a paradigm shift. saying that people that used drugs without hurting anyone else should be left alone and that we need new law enforcement strategies that focuses on reducing the power and intimidation rather than drug markets. quite importantly they said that there must be support for experiments in legally regulating drugs, especially marijuana. but even with others, they said. let's try to find intelligent ways to regulate these drugs so that we can reduce the harm of drug coalition and drug abuse. host: what evidence is there from the results that these people wanted to see? guest: the first is the obvious failure of the current approach. when you see the amount of

paul volcker and a bunch of other wise men. it has not happened. on the to keep problem strictly relevant to the effect that they can have on promoting financial stability, mainly global payments imbalances, we are still a long way away from where we need to be. the problem is not an alphabet soup of financial regulation. if this that the international soup we have a suit then to make a meal. this is where we are. >> let me ask a couple of clarifying questions. first of all, you hear at the wayne -- echoing that there is a resistance to some of the capital requirements that are considered essential. on an international basis, the results of been disappointing. does this provide a further incentive to the united states going it alone to strengthen its own financial regulation? our regulators more likely to keep american financial institutions? >> the short answer has to be yes. if they have activities in the u.s., they are competing with u.s. banks. vinnie get a competitive distortion. how serious is this? how much of a concerned should it be to u.s

thwe had high inflation and rats with paul volcker. he was one that was forced to restrain.erent. i try very hard -- i criticize the system more than anything. they have a more manageable system. the flaw is that they trust the system. they are not capable of doing it. only the market knows what the interest rate should be. the banks benefit in trying to save the money. the market rate of a cd should be 7%. it is 1 or 2%. they get cheated. it is a very unfair system. no matter how well attended they are, they cannot manage it. >> should we go back to the gold standard? >> i do not use those words. much of what i have written about, i do not think we need it. the transition should be more gradual. i am not for closing the fed down as much as allow one competition, legalizing the competition and the currencies. to allow people to use gold and silver. i think there will be a currency in place. there were flaws in the gold standard in the 19th century. we can learn from it. i was like to go to a commodity standard going forward. >> how many books have you written? >> it depends

not even paul volcker claims proprietary trading caused the financial crisis in 2008, but dodd-frank poker rule or have its banks and non-bank financial companies from engaging in trade for their own gain. now that the rest of the world has rejected the call to impose similar proprietary trading bands on their institutions, what effect will unilateral u.s. application of the volcker will have on the capital markets. these are important questions i am pleased we are to distinguish panels of witnesses with us today to answer them. i look forward to the discussion and we now recognize the ranking member. >> mr. chairman, how much time to have quick >> with 12 minutes on a side. >> and i will yield myself five. >> i appreciate -- ask her if that the testimony of mr. zubrow the wheel here later. i was pleased to hear him say in its first case, certainly the financial crisis post a response and u.s. regulatory system, particularly the dangers of unchecked labor and arbitrage. most of the reforms in the week of the financial crisis by market participants in the congress will improve the sou

secretary kofi annan, ronald reagan secretary of state george shultz, and paul volcker, said that the drug war was a failure. that it needed to be readdressed with new priorities and suggested this country get out of the federal marijuana possession business. it is for that reason and others that i'll be joining today with congresspeople ron paul, john conyers, barney frank, jared polis, and others to introduce a bill to get the federal government out of possession of marijuana and into interstate and international shipments of marijuana and allowing states to decide like alcohol how they should deal with it. better they should deal with it as a health policy and not a criminal policy and not stigmatizing young people for life that might deny employment and taking police officers away from haven't crimes. i yield back the balance of my time. the speaker pro tempore: the gentleman yields back the balance of his time. for what purpose does the gentlelady from california rise? without objection, the gentlelady is recognized for one minute. ms. sanchez: thank you, mr. speaker. mr. speaker

very distinguished former presidents from brazil, mexico, the european union, switzerland -- even paul volcker, richard branson, many others, they came out with a report that was devastating in u.s. and global drug control policies. they say that the reliance on criminal justice institutions devon's -- developed into an enormous disaster, empowering criminals, spreading disease and addiction rather than impeding it. they called for a paradigm shift. saying that people that used drugs without hurting anyone else should be left alone and that we need new law enforcement strategies that focuses on reducing the power and intimidation rather than drug markets. quite importantly they said that there must be support for experiments in legally regulating drugs, especially marijuana. but even with others, they said. let's try to find intelligent ways to regulate these drugs so that we can reduce the harm of drug coalition and drug abuse. host: what evidence is there from the results that these people wanted to see? guest: the first is the obvious failure of the current approach. when you see the amount

the first narrative is best articulated, i think, paul volcker in his rawest form -- of money-market funds of the culprit, the so-called shadow banking system. at the other narrative i think ethically by paul stevens president of ici, told money- market victims too powerful destabilizing forces in the financial markets. beginning with the subprime crisis and moving on to lehman brothers. and again, which never to behold -- and there is truth to both -- depends on where your outcomes is. if your narrative is the first, then let's turn these things into bank obligations and they should be issued by banks. that, of course, involve the extraordinary expansion of the federal safety net, the deposit protection system, to cover approximately $3 trillion of assets in money-market funds, and that would be a substantial change from the way money market funds are currently managed. the second is a there is simply a liquidity crisis created by an anomaly in the short-term market that occurs once every generation or so, suggested the issue is liquidity. and we need a way to inject liquidity into