and there were conflicts between the treasury and the federal reserve with the treasury being more hawkish on tightening money than the federal reserve was in defense of the dollar. of these were -- these were not, they didn't come to blows, but there was a definite different in interest at times. in the course of time, these actions seemed less and less sustainable against the forces of difference in the world economy. but the magnitudes were so different then. we were disturbed by balance of payments deficit of two or three billion dollars. we were running a trade surplus all during this period. and yet the small deficits we had on an overall basis were very disturbing, and finally the dollar was undercut. but i just want to emphasize the effort was very -- in a very wholesome way to maintain the dollar, recognize its responsibilities as the reserve currency and maintain its stability. let me make just one point that i don't think is irrelevant. you said when i was deputy undersecretary for monetary affairs and be later undersecretary -- i was undersecretary of of monetary affairs, not i

nothing brings more money to the treasury than investing in education. any economist will tell you. that is an investment that pays off, not only in terms of the lives of the people that receive the education, but also dollars to the treasury. as a personal issue, what it means to people, we must educate our people. if we do not, we are also losing money to the treasury. so it is also a practical matter. as president obama said, some of these cuts will result in making matters worse. i am not familiar -- i just at home last night -- with the particulars of what the governor is going to do. i know he is committed to the future. education is essential to innovation, as the president said, and most importantly, essential to young people reaching their aspirations. thank you for being here and bringing your thoughtful challenges to those of us in government. i hope to see you in washington, d.c. some time. you will see the history of our country there, which we respect, but we talk about the future, and that is who wyou are. thank you, michael and ashante. >> will you come back when all

nothing brings more money to the treasury than investing in education. any economist will tell you. that is an investment that pays off, not only in terms of the lives of the people that receive the education, but also dollars to the treasury. as a personal issue, what it means to people, we must educate our people. if we do not, we are also losing money to the treasury. so it is also a practical matter. as president obama said, some of these cuts will result in making matters worse. i am not familiar -- i just at home last night -- with the particulars of what the governor is going to do. i know he is committed to the future. uc

the treasury department says the government won't hit its $14.3 trillion borrowing limit until the end of may. that's about two weeks later than originally thought. but the treasury says not to worry, there are lots of accounting maneuvers it can use to push that timeframe back. some house republicans have threatened to vote against raising the debt ceiling. the bonds uncle sam sells to pay off that debt were also in focus today. some of wall street's top banks are asking the treasury to think about adding an ultra-long bond with a 100-year maturity. one treasury official said while the agency might consider selling longer-maturity bonds, it's not ready to launch a century bond just yet. there are no current plans to change offerings, the longest of which tops out at 30 years. the major stock indices held onto most of their gains with some small moves. mixed market overall. let's look at tonight's "market focus." between the bad weather and the developments in egypt, u.s. stocks had a negative tone throughout much of the day, with the financial sector leading the losers. as we pull out

more importantly, do you have any insight into the treasury department's refusals to set goals for the hamp program? why the treasury department might be refusing to set goals as i have asked them to do and these echelon inspector general said they should do. >> -- and the special inspector general said they should do. >> when president obama first into office i met with treasury, it in a presentation pointing out in the next few years you are going to have horrendous problems in terms of loan modifications because i know what you're thinking of, you are thinking of doing means testing for loan modifications, which means we will pick and income group, give them loan modifications, but it is too high and income group or there is too much property loss, we will not do anything about it. it is a policy as a policy decision based on economics, and other things, but your program will not work. it will not pardon of people and it will not be effective enough. i think what secretary geithner, in terms of that response, is saying, is that the problem is that any target we sat, we do not know w

in a report today, the treasury laid out three options to reform the housing market to make sure another bail out never happens. they include strictly limiting the government's role in housing to guaranteeing mortgages for low and moderate income americans; supporting the mortgage market directly, but only in times of stress or providing so-called catastrophic insurance on mortgage securities that kicks in after private investors take losses. james lockhart used to head the government office regulating fannie and freddie. he says the last option would do the most to protect taxpayers. >> a direct guarantee is keeping the government too involved in the housing market. at this point, they have almost 90% of the mortgages that are being originated and we really got to start weaning the housing market off the government. >> reporter: as soon as october, the treasury wants to lower the so-called conforming loan limit on mortgages fannie and freddie will buy to $625,500. and as the government pulls back from the mortgage markets in coming years, lockhart says mortgage rates will adjust. >> mor

the control is coming from the treasury. they are the ones who would be most appropriate to respond to you about the nature of the bureau. >> the fed has no involvement in the operation of the bureau? you are just the landlord? >> we are doing our best to help them get set up. there is a lot to be done in terms of hiring people and so on, but in terms of policy- making, they are completely independent of the federal reserve. we have no say whatsoever. >> you were making no recommendations about who the director should be or how the bureau will operate in any way from a policy standpoint? >> no, that is not part of our responsibility. >> another major issue that involves a treasury is the future of freddie mac and fannie mae. some are concerned that perhaps most of their functions will be turned over to a few large financial enterprises. what is your general approach to the future of these two institutions? >> the treasury is promising us a set of proposals very soon. it will be interesting to see what they have provided. ther

section 1502, the level for department of the treasury, departmental offices, departmentwide systems and capital investment programs should be $4 million. section 1503, the level for department of treasury, office of inspector general, salaries and expenses, shall be $29,403,000. section 1504, the level for department of the treasury, departmental offices, special inspector general for the troubled asset relief program, salaries and expenses shall be $36,300,000. section 1505, the level for department of treasury, financial crimes enforcement network, salaries and expenses, shall be $108,927,000. section 1506, the level for department of the treasury, financial management service, salaries and expenses, shall be $232,838,000. section 1507, the level for department of the treasury, bureau of the public debt, administering the public debt, shall be $184,658,000. section 1508, unobligated balances available under the heading department of the treasury, treasury forfeiture fund, $400 million is rescinded. section 1509, the level for department of the treasury, alcohol and tobacco tax and

and for 20 years, the treasury has said no. including the time when those two gentleman were sitting in the treasury advising. now, for the first time under this coalition government, we're going to be spending the future benefits in order to get people training and work now. that is going to include in some cases spending up to 14,000 people to get people particularly on incapacity benefit a job. and the figures he gives are wrong. the work program is the biggest back to work scheme this country has seen since the 1930s. and instead of being cash-limited and patchy like his schemes, it has no limit. it can help as many people as possible from all of those different categories. the honorable gentleman mentions internships, when i did a little bit research into his own he did one for tony ben and one for the debt leader of the republican party he's on left wing, so completely incorrect and so completely incorrect. fast enough and will he take personal charge as seeing this process is hurrying up. >> i completely agree with my rig

tomorrow, the treasury department will announce its ideas for reducing the role the two play in the mortgage market and the government guarantees that come with them. nine of every ten home mortgages are backed by the government, usually through fannie and freddie. one likely goal of tomorrow's proposal is to cut this amount, leaving it up to the market to fill the void. greg mcbride is a senior financial analyst with bankrate.com. >> the whole reason that borrowers can get a 30-year fixed rate mortgage at 5% is because of the government guarantees offered by, among others, fannie mae and freddie mac. if you take that away, there's just not an investor appetite to lend money that long at that low of an interest rate. >> tom: according to reuters, another idea that may come tomorrow is to create an insurance fund, like the fdic insurance for bank deposits. it would act like a type of government guarantee for mortgage-backed securities. whatever changes the obama administration proposes and congress okays, mortgage experts predict they'll be phased in over many years to avoid disrupting the mo

threatened with insolvency they then get hank paulson it was a girl the actress then was working on the treasury to get out of part of congress but a gun for the head said either give us three quarters of a trillion dollars going to blow up your economy we were going to threaten martial law so they've got the good things they've got the physical model security sellers they've got the compromise legal precedence that you know rule of law it's a club talk or c. and they so with each other and they call this the economy american economy is based on selling pooh pooh from one bank to another for fees and then when it too much people when the system they declare bankruptcy and they demanding a bailout which of then it is really it's like getting a clean underwear were they doing the clean underwear. oh that's more american securities are just oh good oh there's there's more american securities let's soames let's go to the dollar bonus oh i just mean with the bonus that's what wall street so about is just selling that's it it's worth nothing. also according to the article from terry bill a public hear

of $20 billion. >> with all of those revenues flowing through the national government, through the treasury's pretty easy to tap those revenues for various purposes. >> reporter: confidential diplomatic cables unearthed by wikileaks underscore that estimate. in this january 2010 state department cable written by current ambassador gene cretz, he states qaddafi's regime controls $32 billion in liquid assets around the world and that several american banks are each managing between $300 million and $500 million in regime funds. >> i remember interviewing the director of the central bank at one point who admitted quite frankly that he had no idea some years what money went where and under what circumstances. >> the cables for qaddafi is understated with his wealth in libya, while his eight children spend lavishly overseas. exotic hunting trips, a luxury home in one of london's richest neighborhoods. and new year's eve parties like this one in 2009 in st. bart's, featuring superstar entertainer beyonce. streams of government oil and gas money reportedly flow to all family members, which in turn

ryan alluded to this article, there's been fairly significant moves in the tenure and 30 year treasuryyields just recently. what do you think is causing that and does it, and are you concerned? >> no, i'm not concerned. i think, i think it reflects primarily increasing optimism about the u.s. economy and its natural for the term structure to move in that way when investors become more optimistic about growth. >> thank you. >> mr. blumenauer. >> thank you for joining us again. you come in -- you come at a time when there are lots of people including in congress who are very interested in helping you do your job better, critiquing it may be, may be undertaking some things that would constrain direct control. but i got from your message that there are a couple of things that congress should be focusing on that is our primary job. one, because we're all in the business of making sure that confidence in the united states government, meeting its obligations, not putting an undue clout over it, and then he referenced the aging population and health care, which again is within our purview. the

remember they can no longer go insolvent because they could just transfer their bad liabilities to the treasury so they're just negative liabilities owned by the taxpayer those are the fed's balance sheet can expand exponentially and for an item to accommodate an infinite number of bad loans as the real estate market gets into a double crash which means banks go in. another crash which means another big bailout from congress a gun point or threaten martial law and it's all quite nightmarish for the us dollar as an all right states member thanks so much bring on the gaza report thank you max now go away much more coming away so stay right there. the official placation. pulled from the. video. now in the palm of your. welcome back to the kaiser reports i'm now to go to los angeles to talk to know me prince author of it takes a pillage an epic tale of power deceit and until trillions now available in paperback now he's a former managing director of goldman sachs and before that he ran the international analytics desk at bear stearns in london only walk with the kaiser report thank you and we print

the treasury department is experimenting with refunds by debit card. 800,000 taxpayers will be asked to participate in the silent program starting next week. 10 million taxpayers don't have bank accounts and often fall prey to high fees for cashing a check. >> pretty soon those companies will no longer be able to take money from families that can't cash their irs checks. >> the u.s. treasury plans to mail the card, load it electronically as soon as the returns are approved making it ready for immediate use. now the benefit to other taxpayers is $40 million a year could be saved by not having to print so many checks. >>> rumors of a newer, smaller iphone are sending mixed signals to apple lovers across the phone. a number of credible sources say it will happen soon. among the sources the wall street journal is the latest to report the summer release of the miniature iphone. many bloggers and writers have been quick to call it the iphone nano. the journal reports the device will be one-third smaller than the current phone, cost about $200 without a carrier plan. unnamed insiders say the

the federal reserve has undertaken another round of quantitative easing. purchasing treasury bonds in attempt to lower borrowing costs to stimulate the economy. my concern is the cost of the fed current monetary policy, the money creation and massive balance sheet expansion will come to outweigh the perceived short-term benefits. i hope that's not the case. these caused me come in the form of asset bubbles and price pressures. we are witnessing a sharp rise in a variety of key global commodity and basic material prices and we know that some producers and manufacturers here in the united states are starting to feel the cost pressure as a result. according to the core price index is the fed post watches, these cost pressures have not been yet passed along to consumers but the inflation dynamic will be quick to materialize and painful to eradicate once it takes hold. the yield curve this week adds to these concerns and fuels some of the speculation. i'm concerned that normalizing monetary policy when the time comes may be difficult. not only for the pure technical challenges, is

one is i think the fed should wind down its buying of treasury bonds. this is a huge problem where the fed is buying a long-term debt and their foreshortening the maturity of our national debt. that puts us at risk. second, treasury should be issuing more long-term debt. we have to get our debt maturity longer to be prepared for what comes in the future. third, the directed base line, in order to open a window for tax reform. right now the way congress procedures work is not credible to embark on tax reform because you have to soak up making permanent the existing rates. alternative minimum tax, for example, expires. yet everyone knows it is going to have to be packed into the future. if that should not be part of the baseline, the cost of that. so you need a directed base line in order to create a more level playing field. fourth, using the continuing -- >> can i stop you on that? the only thing i have heard you say today with which i strenuously disagree. the reason i do is if it is not in the baseline, what does that say to congress, that it is free.

the treasury department is making tax refunds by debit card, but only to certain people. 000 taxpayers will be asked to participate in the pilot program next week. official says about 10 million taxpayers don't have bank accounts and often fall prey to high fees just for cashing a check. >> pretty soon, those companies will no longer be able to take money from families that can't cash their irs checks. >> the u.s. treasury plans to mail the card and then load itroncally as soon as the returns are approved. $40 million could be saved by not having to print so many checks. >>> tomorrow, valentine's day, marks the 65th wedding anniversary for a walnut creek couple whose relationship started as part of a semi blind date back in 1941. richard ward's friend wanted to double date because he needed a ride. but ward, he wanted some assurances. >> i checked her out on the way out. and i said okay, that will do. so we went out over to san francisco. >> that will do. the couple was married after richard was deployed in world war ii. jule ward said her husband picked the actual date. >

remember they can no longer go insolvent because they could just transfer their bad liabilities to the treasury so they're just negative liabilities owned by the taxpayer those are the fed's balance sheet can expand exponentially and for an item to accommodate an infinite number of bad loans as the real estate market gets into a double crash which means banks go. another crash which means another big bailout from congress i've gone point or threaten martial law and it's all quite nightmarish for the us dollar all right thanks so much bring on the guys work thank you max much more coming away so stay right there. to democracy. and. the presidency. special coverage. today. these are the images the world seeing from the streets of canada. today. in india he's available in the. joint the hotel rooms. the gateway to the grand imperial. tours west coast you kind of with hotel closures you see don't need to go clear brother said the colonel was a hotel as used to retreat. welcome back to the kaiser reports i'm now to go to los angeles to talk to nomi prins author of it takes a pillage an epic tale of

department of the treasury from 2001 to 2002. the hon national mary schapiro is chair of securities and exchange committee. she was appointed by president obama in january of 2009. previously, she was ceo of the financial industry regulatory authority. chairman schapiro served as commissioner of the fcc from 1988 to 1994 and chairman of the teacher's credit commission from 94 to 96. the honorable gary gensler is chair commodity futures and trading commission which oversees the options markets in the u.s.. chairman gensler previously served in the treasury department under secretary of domestic, finance, and assistance secretary of financial markets. in addition, he served as tenure adviser to the senate ranking committee. mr. john walsh is act comptroller of the currency. mr. chairman walsh assumed the position last august and previously served as chief of staff in public affairs. he has been with the occ since 2005 and prior to that was the executive director of the group 30. mr. walsh also serves with the senate banking committe

-- there is nothing unusual except that, for the first time, you are being asked to authorize the treasury tax collector to sell timeshare properties at or below the minimum bid if they do not get the minimum bid without requesting an additional public auction sale. i believe that that is reasonable. that there are problems with these time shares each year. we set it as a policy matter only because it is the first time you would be given the authorization to sell below the minimum bid. supervisor chu: i believe that we have a question. supervisor mirkarimi: thank you to the tax collector treasurer's office. curious, what would be a market guest at the real property value of these properties? >> referring to the timeshare units? for the real property is? supervisor mirkarimi: real property, then timeshare. >> real property, there is no problem selling at the minimum bid amount. with the exception of the timeshare units. we believe that we might have difficulty selling all the time shares on a list. the reason for that is that in the last auction we had 13 offered for sale and only one was s

as for the first six months, we have $115.1 million in cash and investments. 90% in the treasury poo. -- pool. this is a liability equal to $230 million. for the first six months we collected sales tax revenue, $3.5 more than anticipated, and we spent $26 million. the next six months is when we recieve the bulk of this. we will bring this up to the committee for approval. according to the government code, we are in compliance and we also have enough liquidity for the expendatures. let me remind you, this is an information item and i can answer any questions. >> thank you so much. we open for public comment. does anyone wish to speak? thank you for that informational item. ms. cheng? >> introduction of new items. >> open for public comment? it is closed. ms. cheng? >> this is public comment. >> does anyone wish to speak? public comment is closed. >> 9 is adjournment. >> thank you for the meeting. meeting adjourned. president vietor: i would like to call the meeting of the public utilities commission to order. first item? >> roll call. [roll call] the next item is approval of the minute

why is there money in the treasury department for defense health? the one is to get them out of the defense budget so they would not count there. pure and simple, defense costs were personnel issues. >> there is another chart that i want to throw up on the screen that is in title the dod budget through 2011. tell us what that is. >> the pentagon spending, just after world war ii, normalized to 2011 dollars. in other words, the dollar values are all equal throughout that chart. we are now at a point where he will outspend ronald reagan. what is not on that chart, we now have today the smallest- ever navy, air force, an army we have had since the end of world war ii. our equipment, major equipment, is older. the data on training and readiness is scattered and mostly classified, but what is available publicly indicates we have got serious problems about how well we train. in a capsule, in an ever- increasing post-world war two high level of spending, we have got the smallest fighting military that we have had since the end of world war ii. >> what is t

. >> the initiative is funded by the treasury department. >>> the government's latest weekly jobless reports show claims at their lowest level in three years. jobless claims fell by 33,000 last week to their lowest level since july of 2008. analysts say this is more evidence that the pace of economic growth is accelerating. >>> cisco systems took a hit today at wall street. stocks fell by 13% by the end of trading. that's the biggest decline in three months. it was the third time in as many quarters that cisco stunned the market with a weak outlook. cisco is considered an industry bellwether and is the world's largest networking economic maker. u.s. markets ended on a mixed note. traders tried to grasp the ongoing developments in egypt. the dow lost 10 points, the tech heavy nasdaq ended up gaining 1/3 points. >>> san francisco gets down to work. the to do list the city must tackle as it gets ready to host the america's cup. >>> plans for the 34th americans cub in san francisco is coming to a focus. we got a look at the upcoming activities, and projects include making improvements to