we actually have capitalism in this economy anymore or do we have credit to them as our guest richard duncan puts it he's flown half way around the world from thailand to explain to us what this means and why he fears civilization could survive a true crisis of criticism plus we'll talk about what role the abandonment of the gold standard has played in fostering this type of credit ism plus what the future could bring for gold as a monetary metal this as billionaires george soros and john paul said have again loaded up on it they ramped up their gold holdings or at least holdings of the largest gold backed exchange traded fund this is according to an f.t.c. filing yesterday that businessweek reported on and as the u.s. continues to run trillion dollar plus a budget deficits the question remains unanswered as to how long this can continue because look one major foreign creditors slowly unloads u.s. debt look how another is stepping in and increasing its holdings look at what's happening right behind me with china and japan and japan staggering debt as we know has withstood collapse for two de

play devil's advocate for a moment we had why just have a minute but earlier this week we had richard duncan on the show who said this isn't even capitalism anymore this is credited them enabled by the massive expansion of debt enabled by fear at currencies so how are you so sure that kept this this analysis of capitalism still applies and we aren't in a totally different system entirely. i didn't hear that a couple days ago mr duncan and i thought he made a lot of the points but the key area that i disagreed with him in is that he believes that there's almost a perpetual infant component of government spending that will make you maintain throughout history now if that would be the case i would have to just wonder what would the social bank balance sheet look like in twenty fifty eight hundred quit really and what would our deficit be like then with all this project there just astronomical numbers and my common sense tells me that that there this level of criticism will hit a tipping point to the limit and in addition to that i think the people already exhibited in distain for this level of

thought about as solutions may not have the outcomes that they would in a capitalist economy richard duncan thank you so much for out of time we'll have you back again when you're when you're when you're on to the next book which is hopefully not the depression that is here but for now that's all with richard of the new depression and that's all we have time for thank you so much for watching don't forget to come back tomorrow for a fresh show in the meantime follow me on twitter and we'll get to loose change we've just had such great gas i've been wiping it out have a great night. my parents really truly honestly believe that what had happened was as a result of my father's exposure to agent orange i was born with multiple problems . i was missing my leg and my fingers. my big toe on my right foot i use my hands a lot in my artwork i find myself drawing my hands quite a bit. for my hands you know just as if anyone would. but they do tell a story they tell a story of. oxen. world . science technology innovation all the ladies developments from around russia we've got the huge earth covered.

on hulu you can come back tomorrow where we'll have richard duncan who has never been on the show and you will don't want to miss in the meantime have a great night. my parents really truly honestly believe that what had happened was as a result of my father's exposure to.

slash capital account you can see as an h d on hulu you can come back tomorrow or we'll have richard duncan who has never been on the show and you will not want to miss in the meantime have a great night. wealthy british style. time to. market why not. find out what's really happening to the global economy with mike stronger on no holds barred look at the global financial headlines tune in to kaiser report on our. stop and look at the current of it it's unemployment the national debt failing governments ask yourself does it really matter who wins with billions created daily you can gamble with your money.

joining me now is richard duncan, author of the book, 10 q., and stephen walter. you say that a new great depression is on the horizon. why are we at the printer jammed? >> welcome i think we have never been off the brink. the group in 1964, 250 cholla dollars in 2007. this created a great deal prosperity. but in 2008 come it couldn't be repaired. and now the credit begins to contract. there is a danger that we will collapse into a depression. >> do you agree? is there too much credit as and is it causing a problem for the economy? >> there certainly was in 2008. i totally agree with that. but i think most of it has been drained out of the system. right now, the problem is just the opposite. it is really difficult for small businesses to get loans to expand their businesses. but i am actually not a pessimist. i actually think that we are very close to a big boom in the economy. if you do tax reform next year or something like entitlement reform that you can could get e economy growing at four or 5%. very capable to do. gerri: two totally different views of the eco

the contention and question this morning and joining us now to help us answer that question is richard duncanauthor of "the new depression, the break down of the paper money economy." good morning. >> good morning. >> you say the problems -- capitalism is over and we're in something you're describing as creditism. what is that? >> in 1968 we broke the link between dollars and gold and afterwards that removed all the constraints an credit creation. and credit grew from $1 trillion then to $50 trillion just before the crisis started and the credit growth drove the economic growth. it created a massive worldwide economic boom. the problem is it now looks like credit can't expand any more because private sector can't bear any more debt. if credit stops expanding this 4 1/2 decade, $50 trillion expansion of debt this boom will turn into a protracted severe depression. >> that's what we've been talking about for a while. mohamed el-erian says this is the new normal. we have to get used to lower growth and consumers can't take on any more debt. is there any idea to think that maybe we go through con