it's a balance whether countries in southern europe will essentially a loss of sovereignty to give up some of the fiscal abilities that they have in order to stay in the union it's about a host of these political issues and whether the countries in the euro zone have the will to keep it together or not and i don't know that time really is a factor there it's more political will and whether they think it's right for their country and and that's that's really an open question i think it was one of the things that keeps being brought up as well as the idea of perhaps the i.m.f. helping out and you know lending quite a bit of money to this european bailout fund but that would require probably a lot of political will here in the united states to city think that's just wishful thinking. it's a possibility it was it was certainly floated today as an option that the i.m.f. would would step in on the european bailout fund but but the european bailout fund they've basically peddled to every country on earth and of course the i.m.f. is is made up of every country on earth so it's just so

the bankers ups -- bankruptcy of countries in southern europe and a double-dip recession in the united states, unemployment over 9% and the possible collapse of big banks on wall street. 35 years later, and here we are, global recession induced in large part by soaring oil prices, the bankruptcy were near insolvency of countries in southern europe, bank failures and bailouts at home and abroad, united states economy on the brink of a double-dip recession, unemployment over 9%. the warning to future generations is more relevant today than ever before. those he cannot remember the past 10 to repeated and we are simply repeating it today. parallels between the earlier period, that is the focus my research, and their own time, what brought home to me me most vividly during my recent stay in greece where i wrote "the oil kings," in may 2010, the day after lila protests in athens against the government austerity package, i walked to the center of town has burned out buildings and vehicles trying to comprehend what had obviously gone so badly wrong for the greek people. it seemed incomprehens

is currently coming out firms up and we see something like sustainable, economic recovery in southern europe, the reduction of the sovereign-debt crisis, then, of course, merkel will be credited with having resolved the eurozone debt crisis. that will give her enormous prestige. i think we will probably strengthen her chances of being reelected chancellor in 2013. >> will more european countries have to become more german in their policy? >> it will certainly have to become more frugal. they were not always the most frugal. certainly, germany has a stronger voice. >> thank you very much for your insights. with that, we wrap up the journal " -- "journal." i am meggin lee. thank you for joining us. stay tuned.

for the two key decision makers in the eurozone, fiscal responsibility in southern europe will certainly be welcomed. they're also due to unveil a plan for closer political and economic ties between the 17 eurozone countries, as well as tougher rules for overborrowing. france and germany agree on the road ahead. they now hope to bring the rest of the eurozone with them. will grant, bbc news. >> well, our paris correspondent, christian frazier, says while the two leaders agree in principle on the need for tighter fiscal discipline, the devil is in the details. >> yes, i think they're in agreement in terms of the idea that the rules that govern the eurozone are flawed. under the terms that were set out, the stability and growth pact, it was self-regulating. countries could decide whether or not to impose penalties on other countries that broke the budget rules. so i think both are agreed that there needs to be discipline and discipline needs to be imposed in some way by brussels. but the fundamental difference is how that happens. is he putting the lisbon treaty, written into that treaty,

treaty he said the changes were not in the country's interest sufficient financial safeguards in southern europe debt ridden greece entered a round of meetings with international austerity inspectors seeking a new tranche of a debt bell out i talked to the chief economist at standard chartered bank says that with the latest rescue attempts the eurozone is just heading further and deeper into crisis the euro can't survive in its current format what we saw last week apart from the u.k. veto was once again a copout from the european leaders they haven't come up with a comprehensive solution so we're seeing a further muddle through i don't think it's going to collapse but difficulties will remain to survive in its current form the euro area needs to become a political union the germans have a clear mandate but what we saw last week we didn't see enough comprehensive action to remove all the worries overhanging either the european economy itself or the euro currency itself and more economic forecasts coming up on the. report just after eleven thirty am g.m.t. it's time for the banking big shots to du

power to impose austerity on bailed out countries that could deal a further blow to struggling southern europe which is suffering most in the crisis as millions of unemployed people in spain fight over what jobs there are the young and talented are heading abroad. reports. it starts off as a symbol to abroad for example to peru or argentina or elsewhere but once they get their name the spaniards realize there are a lot more parties for them outside spain and for them latin american and some european countries present a modern day eldorado more than one and a half million spaniards presently reside outside of spain according to the latest statistics a lot of them left in the last couple of years like mary chel a journalist from madrid who moved to argentina two years ago like a moment already then people were losing jobs over my university fans either fired over looking for something or watch their salaries being this is she sure is bad then now more than a year later it's a little worse it's more than twenty four percent spain's unemployment rate is one of the highest in the eurozone being a m

treaty changes were not of the country's interest and lacked sufficient financial save guards in southern europe debt ridden greece and or they were out of meetings with international staring inspectors seeking and neutrons. historian and author of folk never says where the latest rescue attempts the eurozone is just heading further into crisis. what we were doing is driving us deeper into a depression i mean we've now entered what is in effect the second great depression and just as happened in the nineteenth thirties europe's leaders are repeating the mistakes that deepened the depression in the thirty's which is to deflate in a crisis in a crisis you have to do the opposite if you do it if you impose austerity if you reduce demand you will drive the european economy deeper into deeper into mass unemployment deeper intimacy and that's the road which they're moving. is about removing any kind of democratic accountability and putting in place a system whereby there will be sanctions imposed on states that exceed their budgets that don't produce their deficits that don't pay off their debts in ot

the world one person was killed and two dozen wounded in clashes between riders and police in southern europe demonstrators blogged the pan-american highway protesting against expansion of the local prison a violent skirmish flared up when police arrived at the scene to disperse the crowd and clear the way for vehicles it's the country's second violent protest this week twenty were injured in peru's north and a demonstration against a mining project on tuesday. the iranian diplomats expelled from the u.k. have arrived back home on early saturday morning they were told to leave the country after aggressive protesters stormed british diplomatic compounds into iran western officials blame iran's leadership for allegedly sanctioning the attacks chanting and nato slogans crowds of hard line students gathered at tehran's airport to give the returning diplomats a hero's welcome. hundreds of thousands of southern california residents have been left without electricity after fears hurricane strength winds strike the u.s. east coast an extensive cleanup is underway with emergency workers clearing away

party that wants finland to leave the euro and to stop contributing to the bailout funds for southern europe nearly won the general election the same thing is happening in the netherlands and right across the north of europe we are seeing new political movements springing up saying look we are unhappy with what the established order has done they're costing us a fortune their policies are failing and they're stripping us of democracy and you know democracy matters because it's a safety valve you may not like the government that is relieving your country today but you promise to get rid of them and replace them with somebody else when you take that away all you leave people with is civil. action taking to the streets and that consume breakdown into civil disorder we have seen in greece in the last few months hundreds of thousands of people out on the streets protesting because their democracy has been stripped for them out above all that's what i want to fight for i want to europe of democratic sovereign states trading together not one run by these elected bureaucrats. and that was member of

these institutions including ones in america that waterfall this day in southern europe thinking that this was going to be some great investment because it was trading at a fabulous disco if i could matter is it was trading at a fatalist discount because they can't possibly pay so how you're going to resolve things i'm not sure but frankly i see both of them being very badly sometime next year all right karl denninger at a time thanks for being on the kaiser report thank you all right now going to do it for this edition of the kaiser report with me max kaiser and stacy herbert our thank my guests carl then injure of market taker org you can follow carl on twitter at ticker guy you can follow us at kaiser report of both twitter and facebook you can send us an e-mail at kaiser report at r t t v that are you and the next time max has are saying by all.

it is essentially a political problem between north and southern europe. and that china by making available hundreds of veterans of dollars cannot solve the political dimensions of those problems. nonetheless, my sense is that under the right circumstances the chinese would wish to support europe because europe is very important to china. in our u.s. senate or the world we don't realize that from china's perspective, it is more important trading partner than the u.s. it's also a very important source for china of technical assistance which is almost all the member countries in the european region have technical assistance program in china, which is of course not possible from the congressional law of the u.s., very limited. for china's perspective, europe is also the most important source of new technologies to china. that may surprise many in the audience who believe from china's perspective, that is not china's perspective. but china would wish to assist in a solution for the euro if they could, but they all realized that ultimately it is a regional polit

much of southern europe is struggling as the government try to trim pension and benefits they can no longer afford. many from the public sector jobs. some factors make the european unemployment statistics look better such as a big underground economy. one that makes them look worse. millions of people without a job and have given up all hope of finding one. in rome, greg burke, fox news. >> bret: today's development on the payroll tax cut when the fox all-stars join me afte >>> in the middle of this very, very tough economy we have, our proposal would create jobs, put more money in the pockets of the middle class and working families. and theirs would in effect take those benefits away. >> senator heller's proposal would achieve the same result, the same relief, without a gratuitous hit on job creators. even better, our plan protects social security and reduces the federal deficit by more than $111 billion. >> bret: battle on capitol hill is not support, or against the payroll tax cut. it's about how to pay for that. it's going on right now. two different versions are up for a vote i

they paid a price, and you didn't have the problems in southern europe prior to the europe, and thatd they understand to some extent they exported -- >> they built their strength on the exported economy -- >> yeah, the global financial imbalance that americans worry about themselves viz avae, china, and the southern europeans are the united states -- >> and many don't for americans. and this graph shows the connection between the european france, and the u.s. gdp. it's hard to imagine that we don't take a massive hit. the reason it matters so much here at home, and the fate of the re-election of barack obama lies in the hands of merkel. i want to talk about what you should know for the news week ahead coming up next. [ drew ] what's the latest in eye couture? new intense shadowblast from covergirl. the news? it's eye shadow with primer built-in. fadeproof, waterproof, totally ignore-proof! oh yes! new intense shadowblast from easy, breezy, beautiful covergirl. and here's what we did today: supported nearly 3 million steady jobs across our country... ... scientists, technicians, engin

the european union imports nearly 900,000 barrels of crude mainly to southern europe.told a newspaper sanctions could push the price of oil over $250 a barrel. iran is a long-serve member of opec and is the second largest producer in organization, exporting more than 2 million barrels a day on production of more than 3.5 million barrels a day. it is likely any sanctions on tehran will cause oil prices to spike. abdalla salemel-badri weighed in. >> if you ask my advice, nobody's asked my advice, but i would say i don't think it is wise to cut that supply to europe. >> one thing that has to be improved is to have a much better dialogue between saudi arabia and iran. it was quite acromoanious two years ago. how do they see eye to eye on what the market needs today. >> we would like to separate between the political issues and the economic issues. successful in the last six, seven, eight years because we separate between the political issue and the economic issue. when we meet we talk about the economic issue. >> we're living in the opec world right now of actual supplies

much of southern europe is struggling as the government try to trim pension and benefits they can nord. many from the public sector jobs. some factors make the european unemployment statistics look better such as a big underground economy. one that makes them look worse. millions of people without a job and have given up all hope of finding one. in rome, greg burke, fox news. >> bret: today's development on the payroll tax cut when the fox all-stars join me after a break. you wouldn't want your doctor doing your job. so why are you doing hers? only your doctor can determine if your persistent heartburn is actually something more serious... like acid reflux disease. over time, stomach acid can damage the lining of your esophagus. for many, prescription nexium not only provides 24-hour heartburn relief, but can also help heal acid related erosions in the lining of your esophagus. talk to your doctor about the risk for osteoporosis-related bone fractures and low magnesium levels with long-term use of nexium. possible side effects include headache, diarrhea and abdominal pain. other seri

you'll see a recession in southern europe which will affect all of us ultimately. 25% of our exports they get in trouble we are going to get it here too. bill: you say they are not listening to us? is there anything that we can share with them that could lead them to do a more prosperous state? >> given what's happened to our economy, i know why geithner wants to go over, he wants to feel important, so bring hem over, give him a hamburger but not take his advice. it's like doctors who used to bleed patients with leaches. what europe needs is reaganesque policies, instead they are going to get more of the same. they are going to do like they do in california, bleed the patient and hope the patient gets better. bill: how tight is this to the re-election of 2012. if europe really can't pull itself out of its hole right now, and you just mentioned that's going to have an impact on us, so there is a political prism by which to analyze that. how do you see it? >> obviously it's not going to help our economy if europe goes into a real tank, like we did in 2008, and so they want europe to pul

europe to a well known problems with corruption. turkey has given the green light to south strain to cross its part of the black sea the pipeline is intended to carry gas from southern russia to europe bypassing the transit countries of ukraine and belarus its plan to have a capacity of sixty billing cubic metres a year will cost around twenty billion dollars to build. fifty percent of the project while twenty percent longs to italy as it may the rest is evenly distributed between france's e.d.f. and germany is we just. so let's see what's happening in the wallet of the markets today all prices are to kind for the first time in seven days but that's still high on investor spears a possible sanctions against iran that may cause supply disruption and now let's see what's happening with yet it is u.s. stocks falling falling onto the news from europe in reaction to the news of the european central bank balance sheet expanded told blackpool's high after lead in. the european markets are now open with both of the sort of an up close up with both the dax on the footsie that finishing off the day session in the red but that was most affected by the e.c.b. looking at three d

europe to a well known problems with corruption. turkey has given the green light to sell streamed across its part of the black sea the pipeline is intended to carry gas from southern russia to europe bypassing the transit countries of ukraine about a rose is found to have a capacity of sixty billion cubic meters a year and will cost around twenty billion dollars to build gas from as fifty percent of the project while twenty percent belongs to israel is in may the rest is evenly distributed between france's e.d.f. and germany's winters all. so let's see what's happening on the markets today all prices are declining for the first time in seven days but they're still high on investors' fears of a possible sanctions against iran that may cause supply disruptions announced the equity markets u.s. stocks are falling falling on the news from europe and reaction to the news that the european central bank's balance sheets expanded to rankle off to lending more money and in europe the dax is also reacting to that news from the e.c. big it's now retreating snapping three days of gains meanwhile the footsie is trading flat as a positive of returning from that christmas break

europe who are well known problems with corruption in. turkey has been given the green light to sell strange across its part of the black sea the pipeline is intended to carry gas from southern russia to europe bypassing the transit countries of ukraine and belarus is found to have a capacity of sixty bidding cubit me to get i will cost around twenty billion dollars to build gas from fifty percent of the project while twenty percent but longs to its lows in ny and the rest is evenly distributed between france's e.d.f. and germany's winters hole. let's have a look at the market sell all has slightly retreated from the gains and saw in the previous session but it's still fairly high on concerns tension in iran might cause supply disruptions another driver is improving u.s. consumer confidence and now on ticket is u.s. stocks are now open for business that i've been just mildly lower this wednesday following on from the successful also sure it is it's late and in europe the footsie and the dax are on the rise as trading resumes following an extended holiday break retail company shares all seeing gains as the retail sector has been pursued by post christmas shopping. rush in the

europe to a well known problems with corruption. turkey has given the green light to south stream to cross its part of the black sea the pipeline is intended to carry gas from southern russia to europe bypassing the transit countries of ukraine and belarus is found to have a capacity of sixty betting cubic metres a year will cost around twenty billion dollars to build gas from fifty percent of the projects while twenty percent belongs to italy is in a way the rest is even lead distributive between france's e.d.f. and german is a window hole. so let's see what's happening in the market all prices are the kind in for the first time in seven days but they're still high on investors' bit of possible sanctions against iran that may cause supply disruptions and let's see how the markets are getting on there u.s. stocks are falling following on from the news from europe in reaction to the news that the european central bank's balance sheet expanded a work order after lending more money. and in europe the dax is also reacting to that news from the e.c.b. it's now we're treating snapping three days of gains meanwhile the footsie is also suffering from the news as a trade on

europe. that continues with us today. as well as this long frontal system that will bring in snow as well as strong winds to areas like southern germany and eastern europe. we could be spauk hurricane-enforce winds today so you want to watch out for potential damage here. in the central mediterranean, things are looking wet here too and there is a risk of heavier rain here. you do want to watch out for that, as well as thunderstorms for those highs on monday. looking at zero for stockholm. 5 in moscow. 6 in berlin. 9 in vienna. that's a look at your weather conditions for you. here sa look at your three-day outlook. >>> our lead stories this hour. prime minister vladamir putin has suffer eded a from support. united russia leads with 50% of the vote. the largest opposition communist party has 19.4%. organizers have counted about three-quarters of the ballots. the leftest fair russia has 12.9% of the vote. the far right liberal democratic party is last with 11.8%. putin visited his party's campaign headquarters along with president dim admit tree medvedev. >> translator: the election results reflect russia's status quo. >> trans

south stream to cross its part of the black sea the pipeline is intended to carry gas from southern russia to europe bypassing the transit countries of ukraine and belarus is planned to have a capacity of sixty breeding cubic metres a year and will cost around twenty billion dollars to build. fifty percent of the project while twenty percent belongs to islam is in a the rest is evenly distributed between france's e.d.f. is window all. let's have a look at the market now all prices are kind of for the first time in seven days but are still high and investors fears a possible sanctions against iran that may cause a surprise disruption. and now let's see what's happening with the exit is u.s. stocks are pulling following on from the news from europe in reaction to the news that the european central bank's balance sheet expanded to wreck or often lending. and the european markets are now closed with both the docs and the footsie finishing off today's session in the red but that was the most affected by the c.b.s. news snapping three days of gates on the footsie also reacting to the news as investors wor

sell strange across its part of the black sea the pipeline is intended to carry gas from southern russia to europe by party of the transit countries of the crane and bella rose is found to have a capacity of sixty building cubic metres a year and will cost around twenty billion dollars to build gas prom and fifty percent of the project while twenty percent belongs to islam in it the rest is evenly distributed between france's e.d.f. and germany is when does all. and you areas beginning for the russian economy the country first apply for membership of the world trade organization back in one thousand nine hundred three finally that long ago she has over from russia has been formally invited to join dimitri medvedev that the changes will bring. becoming a member of the world trade organization is both a political and economic milestone the fact that for such a long time russia now a top ten global economy was outside the trading club that unites ninety eight percent of the world's population sounds pretty ridiculous under w. zero rules the average duty on imports of goods will be reduced to seven po

to solve trying to cross sponsor the black sea the pipeline is intended to carry gas from southern russia to europe bypassing the transit countries of ukraine and belarus its plans to have a capacity of sixty billion cubic meters a year and will cost around twenty billion dollars to build from fifty percent of the project while twenty percent belongs to any the rest is evenly distributed between france's e.d.f. and germany is when just hold all of the whole project may yet be multiple earlier this week from said if it can gain some ownership of the ukrainian transit system then south stream may not be necessary. and a new era is beginning for the russian economy the country fast applied for membership of the world trade organization nine hundred ninety three wealth finally that long ago shay sion is over russia has been formally invited to joint richmond virginia looks at the changes that will bring. becoming a member of the world trade organization is both a political and economic milestone the fact that for such a long time russia now a top ten global economy was outside the trading club that uni