the u.s. treasury secretary joins the financial leaders in poland and delivers a stark warning. it was put up two decades ago to calm sectarian violence in northern ireland, now sections of the peace will has a date and it is open. -- the peace wall has a gate and it is open. >> these catholic and protestant school children with the first to go through the new gate. it is thought to be the only park in western europe with a 3 meter high fence running through the middle of it. even the river is divided. this has two separate playgrounds. sectarian fighting in the area forced the building of the security fence in the early 1990's. it did not stop the violence, it simply moved to streets nearby. community relations have now improve and from today, school children will be able to play in both parks. >> we can make new friends and we can play altogether. we can call to them and all and take them to the park. >> the adults were excited. >> this is on par with the berlin wall and i am so pleased to be part of living history here in northern ireland. >> this will not be open all the tim

. >> and beyond that, not the most popular site. u.s. treasury secretary timothy geithner did not get an especially warm reception when he gave minister's advice on how to solve the debt crisis on friday. on the whole, they seem to think the u.s. should focus on its own problems and leave fixing the eurozone to him. >> u.s. treasury secretary timothy geithner shared a laugh , but it ended less happily. they failed to find common ground with their guests from washington. >> to be telling us the way the world works even though the data shows we are in a better position and to be telling us what to do with tax revenues and at the same time immediately reject a sensible measure, i found that unjustified. >> of the sensible measure is the german french push for a financial transaction tax. geithner strictly rules out such attacks, the u.s. treasury secretary tried to convince ministers to beef up stimulus programs to fight the debt crisis. for some, that is not an option. >> we are not discussing the expansion of a non-member. >> he went on to say tha

that exactly well that he has access to the taxpayers aaa rating to borrow at zero percent from the u.s. treasury and the federal reserve bank on behalf of the u.s. taxpayer so you need double life plus double double a plus all right. thanks so much thank you max don't go away much more coming away their other. piece which bryson. ruling. from fines to pressure its. stance on t.v. don't come. back to the guys report imax keyser time now if you go to new york and top. with nick verbinski he's the director of a new film called confidence game a documentary that examines the final week in the life of investment bank bear stearns let's take a look at a clip as bear was shoving billions in dubious loans through its c.d.o. pipeline management worked hard to cover up any problems along the way something van leeuwen found out when it was discovered that the firm had illegally sold investors millions in securities holding loans originated in west virginia. sometimes corners were cut according to west virginia code you have to be licensed by the state in order to service loans secured by property unless wh

exactly well that he has access to the taxpayers' aaa rating to borrow at zero percent from the u.s. treasury and the federal reserve bank on behalf of the u.s. taxpayer so you may double a plus double. plus all right. thanks so much thank you max they'll go away much more coming away stay right there. well when one deals with water it has to realize that this tremendous amounts of damage that are done not just human damage but damage to the physical environment in which the battlefield takes place tremendous amounts of damage done by aerial bombs by napalm boy chemicals that whether it's a sonic boom say tractor mammals or it's the burning oil fields in iraq or its story. purpose is to list just goes on and on the geneva conventions of forty nine states that there shall be. war protect. against widespread long term and severe damage the united states although it is accepted almost all of the provisions of protocol one has taken exception to that. like millions of americans i've lost thousands of dollars in retirement funds and i haven't had as bad as many it's not just about them it's about

exactly well that he has access to the taxpayers' aaa rating to borrow at zero percent from the u.s. treasury and the federal reserve bank on behalf of the u.s. taxpayer so you need to have a life plus double double a plus all right. thanks so much thank you max don't go away much more coming away stay right there. you know sometimes you see a story and it seems so you think you understand it and then you glimpse something else you hear or see some other part of it and realized everything you thought you knew you don't. charge because the big picture. welcome back to the cause report imax keyser time now to go to new york and talk with nick verbinski he's the director of a new film called confidence game a documentary that examines the final week in the life of the investment bank bear stearns let's take a look at a clip as bear was shoving billions in dubious loans through its c.d.o. pipeline minutes meant work hard to cover up any problems along the way something van leeuwen found out when it was discovered that the firm had illegally sold investors millions in securities holding loans orig

u.s. treasurys. >> money is slowing into what else, u.s. treasurys. >> jon: are you (beep) serious? are you (beep) serious? the u.s. ts downgraded so the financial institutions are flushing their money out of stocks from a booen goose to stash it in the safest place they can find, freshly downgraded u.s. treasurys. basically you burn up the (beep) house down and then you have the balls to come over and go, hey, is your basement still standing? you mind if i, you know, put my money there for a little bit? just until i can find a nicer place for it to live? between you and me singapore is looking pretty nice this time of year. forget, you guys. we can go other places for money. you're not the only game in town. hey, what's up, isle of mann? can i talk to you? would you be able to float us some whatever your currency is, mann-bucks. i don't know. oh, i saw that footage of the pool. it was a (beep). what is the country code for luxembourg? we'll be right back. ( cheers and applause ) >> jon: welcome back. well, with all the disastrous economic news, it's important to focus on the uplifting stories from the world of fina

after the meeting, the u.s. treasury department issued a statement saying geithner urge them to a unified stance toward the region's economic problems. the statement says he contributed thoughts on how european governments could develop strategies to effectively address the challenges. >>> the prices of greek government bonds remained low on the european market friday despite the euro zone agreement. the price of the ten year bond hit the lowest level since launch of euro thursday. as it surged to 26% range. many investors factored in the results of the meeting, holding the yield on greece's ten year bond about 20%. market sources say investors won't buy greek bonds unless each eurozone government makes progress toward getting parliamentary approval for the bailout package for greece. here are the latest market figures. >>> the eighth round of talks on establishment of a free trade zone across the pacific known as the trans-pacific partnership or tpt came to a close thursday. some have concern about japan's delayed decis

the u.s. treasury secretary timothy geithner has urged them to act. the palestinian president mahmoud abbas has said he will push for full citizenship. he says palestinians were living a nightmare under occupation and wants to put an end to the injustice by claiming independence. united states says it will veto any application on the grounds that only direct talks with israel will bring independence. from jerusalem, jeremy reports. >> the palestinians want to try something new. in a speech broadcast from his headquarters, president abbas will go with the application. towe're going to the u.n. ask for the right of full membership. we will take with us this suffering and hope of our people. he is often the beleaguered and a threatened resignation. as he risks and, he was light- hearted. he was a man with his mind made up. palestinians say they have rehearsed a long enough. their security forces are ready for independence, along with all of the other institutions. but israel's stubbornness means negotiations are at a dead end. they're turning to the un .

the u.s. especially the u.s. banking system real estate. you know the pricing in treasuries etc that being said i think the u.s. is on an unsustainable path its path is not as unsustainable as that if you open these for the shelter medium term because of the. situation in the banks you know europe has backed against the wall and it's about to fall through the wall momentarily the last time i was going to show i was asking very similar questions about if the u.s. dollar would be sustainable path and i said now i'm of the on the face of it no but it appears that going to try and rid of economic powers of the us the e.u. and china. kicking the can down the road to see who falls for us who will fold first creates capital flight and so the other two which allows those two to take that can down the road into further so we have the u.s. which i've discussed you know in detail go the e.u. which it has its back against the wall and i think is go blow momentarily and then we have china and china is i envision everybody sitting on a deflationary precipice china will be able to avoid a lot of the inflationary as parts of t

abdul as described by the u.s. treasury has a commando who gives directions to al qaeda. his assets will be frozen. in washington, the biggest question is whether they will move beyond treasury sanctions against unnamed individuals and declare the network as of hall of foreign terrorist organization. that is a move that is being considered, and if it happens, it could stretch relations with pakistan to a breaking point. >> they have eroded their internal security. >> that is because america's most senior soldier has already made a direct link between the network end -- between the out- network -- the al qaeda network. if he is right that the network is considered a terrorist organization, that suggests pakistan is a state sponsor of terrorism. in islamabad, there is. the american claims. politicians have closed ranks against the government denies supporting militants and said it is too busy supporting the taliban to go after the network. >> pakistan cannot be pressured to do more. our national interest should be honored in every condition, but the doors are still open for

the u.s. question the u.s. banking system real estate. you know the price of the treasuries instead of that being said i think the u.s. is in an unsustainable past its past is not as unsustainable as that if you openly for the short to medium term because it was so friendly to the situation and the banks you know europe has backed against the wall and it's about the fall from the wall momentarily the last time i was on your show i was asking very similar questions about if the u.s. dug would be sustainable and its current path and i said now movie on the face of it no but it appears that we are in a triumvirate of economic powers with the u.s. the e.u. and china basically taking the can down the road to see who falls for its pros crees capital flight and some of the other two which allows those two to kick the can down the road for others so we have the u.s. which i've discussed you know in detail because of the e.u. which it has its back against the wall and i think is go blow up momentarily and then we have china china is an inflationary bubble sitting on a deflationary pr

the u.s. special u.s. banking system real estate. you know the price of the treasuries and cetera that being said i think the u.s. is on an unsustainable path its path is not as unsustainable as if you are please for the other medium term because of this over and the situation and the banks you know europe has backed against the wall and it's about to fall through the wall momentarily the last time i was on the show i was asked is very similar question about if the u.s. dollar will be sustainable in its current path and i said now movie on the face of it no put it appears that we're going to triumvirate of economic powers with the u.s. the e.u. and china basically kicking the can down the road to see who falls for arse overflows froze crees capital flight and so the other two which allows those two to kick the can down the road for other so real to us which i have discussed you know in detail go the e.u. which has its back against the wall and i think is go blow it momentarily and then the of china china is an inflationary bubble sitting on a deflationary precipice chin

the i.m.f. and u.s. corporations as a matter of concern all of the big decisions at the i.m.f. are made by the u.s. treasury department well even the head of the world bank has accused the top advanced economies if you congress in their policies when countries with large fiscal deficits preach fiscal discipline the poor countries what are they really saying do what i say not what i do when countries pay homage to free trade but hold back developing countries with barriers what do they really say do what i say not what i do a do what i say not what i do world will fracture to the detriment of all. they always care must change with the arguments the wealthiest members themselves facing their own problems many doubt whether the organization will be able to take adequate measures to work off possibly another global crisis as well lending money to the world weaker connelly's the i.m.f. is still facing the challenge of offering viable solutions that do not come with crippling measures but one thing is clear the world demands an i.m.f. that does not work solely for the benefit of the few i'm going to check out wit

the u.s. special u.s. banking system real estate. you know the price of the treasury and cetera that being said i think the u.s. is going to an unsustainable past its past is not as unsustainable as that of europe of these push up to medium term because of the sorrento situation and the banks you know europe has backed against the wall and it's about to fall through the wall momentarily the last time i was on your show i was asked this very similar question about if the u.s. dollar would be sustainable in the current path and i said now mainly on the face of it no but it appears that the triumvirate over at the number powers of the u.s. the e.u. and china basically kicking the can down the road to see who falls for who falls for those can use capital flight and so the other two which allows those two to kick the can down the road for others so we have the u.s. which i've discussed you know in detail the e.u. which has its back against the wall and i think is go blow up momentarily and then we have china china is an inflationary bubble sitting on a deflationary precipi

savings important bonds but nevertheless russia has reportedly cut in half its investment in the u.s. treasury bonds are there concerns that the u.s. might announce the fall on its that was the. real thing for a while you know we've checked this information the other appeared in the press much not complete anachronisms spaced on the questioning of several market players as of now we are not decreasing our exposure to u.s. security it's around forty five percent of all reserves are kept indoors on vacation this year spawns at the moment are the most secure on the markets and we're not afraid to invest in them so yes there's prices may fluctuate but there are no big risks in investing in u.s. debt that's near enough of those papers on the markets to have my market pretty and we are sure of the capability of the u.s. to pay for its obligations in years to come so we're not worried i think if the u.s. government take steps to consolidate its budget and cut spending and instability would rise and we would have no concerns over the reliability of dollar assets so of course we're awaiting the u.s. go

the fundamental thing here is that the united states ithe biggest market in the world and e u.s. treasurymarket is the largest in the world so let's say from some of the blogrs in china say you should sell the u.s. treasury because we can't go down with the dollar. what do you buy withhat money? at the present time there's not much of a choice. we get some sort of uck there with you so the two of us -- that's why people call it a mutual it's like a channel for mutual destruction, if we pull out, we go down, you go down but to the extent that extent the economy are holding your market products would be tantamount to your contribution total government. the government can print money. it makes people nervous, right. >> charlie: that's one difference with europe today. thank you for coming. a pleasure to see you. >> thank you. > zhou wenong headse forum for china conference and is back to talk about it. welcome. >> thank you. >> charlie: so the delegation is here. you in fact al are vice president of the u.s. people's friendship association. how would you measure the friendship between china

its savings bonds but nevertheless russia has reportedly cut in half if they're recommending the u.s. treasury bonds are there concerns that the u.s. mike and nails that. you know we've checked this information that appeared in the press that's not complete and accurate it was based on the questioning of several market players as of now we are not decreasing our exposure to u.s. securities around forty five percent of all reserves are kept and those obligations you have spawns at the moment are the most secure in the markets and we're not afraid from the rest of the. u.s. their prices may fluctuate but there are normally risks in investing in u.s. debt or enough of those papers on the markets they have high market liquidity and they are sure of the capability of the u.s. to pay for its obligations in years to come so we're not worried i think if the u.s. government take steps to consolidate its budget and cut spending and instability would rise and we would have no concerns over the reliability of dollar assets so of course we are waiting on the u.s. government to take such steps so they can r

the u.s. treasury secretary said that europe needed to do more. >> they are absolutely committed and they have the financial capacity to do with it takes to hold this thing together. i think that they recognize that they will have to do more, they recognize that they have been behind the curve. they will have to put more force behind the commitments. >> if there was a default, who holds the greek public debt? immediate losses would hit greek banks, holding 49 billion euros of the dead. germany's banks hold 10 billion euros. france is next with an exposure of 9 billion euros. the risk to british banks is much smaller with 2.2 billion euros. greece was given a chance to prove itself. one of chancellor merkel's closest allies insisted that a default was possible. >> what we have to do is to try to avoid it. when and if it comes, it has to be done in a controlled manner. >> so, europe's most powerful leaders assured greece that they were a part of the eurozone but they have to deliver austerity cuts and re

the u.s. treasury secretary pressed european ministers to do that when they met last week. w he says they will do it. >> i am very confident they will move in the direction of expanding the effective financial capacity for a set of financial arrangements because i have no alternative to do it. they will do it. there will try to figure a way to get there as politically attractive as possible. >> that sounded encouraging. but then i asked the year king commissioner who sounded like they will hold their breasts. -- hold their breath. >> we want to look at the possibility of leveraged in resources and funding to have a stronger impact and make it more effective. but as i said, we have to do one thing at a time. now we are completing verification in the parliaments. then we will be on to the next phase . >> the head of the imf says that politicians had acted. this is needed to do more appeared now is the time. >> it is a dangerous phase. but there is a path for recovery. that path is not as wide as it was in 2008. it is narrower. but there is a collective will, a collective drive

. >> tom: meanwhile, the u.s. treasury is calling out two of the nation's largest mortgage lenders for not doing enough to keep troubled borrowers in their homes. the agency says bank of america and j.p. morgan have done a poor job of permanently lowering mortgage payments for people enrolled in federal foreclosure prevention programs. the treasury believes the lenders have rejected people that are eligible for mortgage modifications. the government did resume incentive payments to wells fargo after that bank made changes to its modification process. >> susie: still ahead, giving your kids super financial powers like the ability to budget and save. it's tonight's "kids and cash." >> tom: small companies generate the bulk of new jobs, and start- ups are a key source of those new paychecks. one trouble, though, is fewer new companies are starting, and those that are, are hiring fewer people. as we continue our series, "how to fix the economy," we spoke with carl schramm, c.e.o. of the kaufmann foundation, about his start-up