tonight, we are pleased to welcome back to the club treasury secretary timothy geithner. secretary geithner last spoke to the club in june of 2008 when he was the club trustee and more importantly he was president of federal reserve bank of new york. secretary geithner was sworn in as the 75th secretary of the united states treasury on june 26th, 2009. he previously had served in the treasury department under three administrations. before coming to the federal reserve, he was at the imf. earlier in his career, he worked for kissinger associates. secretary geithner graduated from dartmouth college and from the johns hopkins school advance of national studies. we're pleased to have secretary geithner deliver his remarks, which we've followed by a question and answer period with two designated club members. please welcome secretary timothy geithner. >> thank you, andrew. good evening, it's a pleasure to be back here at the new york economic club, this great forum for national debate about economic policy and to be here at a time when we make some fundamental important choices

. >> reporter: i'm darren gersh with treasury secretary timothy geithner in fort worth, texas. we'll hear more about oil prices and the economy. >> tom: some good news out of greece-- most lenders have accepted to take losses to keep the country from defaulting on its debt. >> susie: and here in the u.s., the focus is jobs. many of the new ones are coming in a new sector. we'll tell you who's hiring. it's "nightly business report" for thursday, march 8. this is "nightly business report" with susie gharib and tom hudson. "nightly business report" is made possible by: captioning sponsored by wpbt >> tom: good evening and thanks for joining us. u.s. stocks posted a second day of solid gains as investors continue focusing on greece and whether or not its lenders will take losses on their loans. >> susie: tom, we're hearing that over 85% of bond holders have agreed to swap their greek i.o.u.s for new ones, even if that means they will get less money. but the deal would allow greece to get another round of bailout money, avoiding a messy default. >> tom: the threat of greece has been

really smart i've heard of the people i don't think you know bernanke me believe what he says timothy geithner is much smarter than that ok he's playing this game in a slick way and this is a a regular psychological tactic where you identify with the victim and say hey i agree with you guys i think we need with this last one we need a cause for which you this is what we do we can forgive the financial crisis no we haven't forgotten the financial crisis to me when you're a you know you were thing you're sure there were jamie and there stearns ok guy we're not recording you could figure it out well and i want to bring up a passage from his op ed that caught my eye really quickly if i could i think we have that quote are these reforms complex no more complex than the problems they are being designed to solve and it should be noted most of the length and complexity in the rules is the result of the carrot required to target safeguards where they're needed not when they would have a damaging effect ok according to people that we've interviewed that have parsed the volcker rule and really focus on t

minister says brazil won't sit by passively while expansionary monetary policies continue and timothy geithner in a wall street journal op ed today warns against financial crisis amnesia as he sees opposition to wall street reform that is geithner lucky people seem to have forgotten about is role in the crisis when two years ago people were calling for. him to resign we'll tell you what we think let's get to today's capital account. earlier this week we saw eight hundred european banks take the bait from the e.c.b. and the longer term refinancing operation this is better known as l t r o or even though it's a three year loans at one percent from the e.c.b. so banks borrowed a total of about five hundred thirty billion euro we've been talking about this earlier this week now though we have reports that record amounts of money are being deposited overnight at the e.c.b. here is the chart of what it's been doing for a while you can see it spikes right there at the end that is the most recent number the overnight deposits were seven hundred seventy billion euro that is more than a trillion dollars

treasury secretary timothy geithner heads to dallas to talk up the economy and visit one of warren buffett'sbiggest bets. i'll have an exclusive interview tomorrow. >> susie: and finally, how about a movie night? redbox, the dvd movie rental kiosk company, is offeri a free dvd rental tomorrow, march 8. redbox says it's a thank you to its customers for two billion movie rentals. all you have to do is enter the promo code "thanks-2-u" at the kiosk. that's the word "thanks," the number 2 and the letter "u." and susie, if you're wondering, redbox's two billionth rental was the movie "drive," starring ryan gosling. >> 2 billion movies, and i've fallen asleep in the first 30 seconds for mest of om. >> susie:ot this one >> tom: that's nightly business report for this evening, wednesday, march 7th. we want to remind you this is the time of year your public television station seeks your support. >> susie: support that makes programs like "nightly business report" possible. >> tom: thanks for joining us. and don't forget to support your public television station. i'm tom hudson. good night, everyone.

that's what timothy geithner told n.b.r.'s darren gersh in an exclusive interview in fort worth, texas, yesterday. gersh also asked the secretary about why the obama administration is focused on coporate tax reform when several income tax provisions, like the payroll tax cut are due to expire at the end of the year. >> both are exceptionally important, and tax reform is going to have to come because the tax system we have today is really unfair, and it makes us less strong as a country, and you need to work on both. the president, of course, has laid out a whole range of proposals on the individual side to help make sure to protect middle class americans, and we ask the most port nat 2% of americans to bear a somewhat larger burden of what the country needs. on the corporate side, what we think we need to do is clean up all the loopholees, lower the rates so we can be more competitive. and make it easier for small businesses to work. >> a lot of customers ship parts and the companies that aassemble them overseas. your corpora

treasure secretary timothy geithner has praised european leaders for their efforts to calm financial markets. he says that work to overcome the credit crisis has significantly reduced the risks to the global economy and he praised efforts by the european central bank and euro zone governments. >> i think the downside risks to growth around the world are significantly less than they were. >> geithner stress that had the european leaders need to continue to work together to sustain their progress. he said they should pay close attention to rising oil prices because of escalating tensions in the middle east. geithner dismissed calls by republicans for drastic spending cuts to tackle the u.s. deficit. he pointed to the slumping housing market and high up employment rates. geithner says severe austerity measures now would only damage the economy. one year after the earthquake and disaster, life is still full of stress. many residents of the hardest hit areas need help getting food and other basic necessities. but in a city with 40,000 residents some volunteers are doing what they can to m

after that, treasury secretary timothy geithner speaking at the economic club of new york. and later, former national security advisors talking about the middle east. >>> in march of 1979, c-span began televising the u.s. house of representatives to households nationwide. today our content of politics and public affairs and american history is available on tv, radio, and online. >> we're talking now about the supreme court. but they are the ones that changed this country inevitably with the march towards progress. the march towards knock down the walls of discrimination. that permitted us to pass a 1964 civil right action public accommodations so people whose skin was not white could go into restaurants and hotels. public accommodation. the '65 fact, voting right, '68 act, women are going to be treated equally. the disability act that said the disabled are going to be part of the american family. all of that is the march to progre progress. and my friends, the one organization, the one institution that protected it is the supreme court of the united states. >> c-span, creat

tr treasury secretary timothy geithner is defending measures he and the government took during the financial crisis n. a "wall street journal" co-op piece geithner mentioned late night phone calls from several panicked bank sceos. reforms like dodd frank could have helped limit damage to the economy if they existed back then. geithner claims critics are suffering from amnesia and have forgotten how closely the u.s. came to financial collapse. >>> san francisco fed president john williams says it is encouraging the u.s. economy has been showing signs of improvement and there's a sense of optimism but he says the rebound has been anemic and further fed stimulus may be necessary if the economy stumbles. williams was a voter this year and says qe is definitely not off the table and buying more mortgage backed securities would be the best course of action. >> overnight deposits at the central bank jumped to an all-time high of 775 billion euros, a day after the second three-year liquidity operation. speaking in brussels, the ecb president mario draghi said the large number of banks that took part

. >>> tuesday, timothy geithner testified before the house financial services committee on the stability of the international financial system. the european debt crisis and how it affects the u.s. was discussed during this two and a half hour hearing. chairman spencer bacchus and other republican committee members wrote a letter to secretary geithner earlier this year opposing increased contributions to the international monetary fund for the purpose of alleviating the european debt crisis. the treasury secretary last month indicated at a g-20 meeting that the u.s. did not intend to make additional imf contributions for that purpose. the imf meets in april for more talks on europe and other issues. representative jeb henserling h attend. it's about two hours and 40 minutes. >>> this hearing will come to order. the purpose of the hearing today is to receive the annual testimony of the secretary of treasury on the state of international -- the international financial system. the chair would note the very notable absence of our chairman today, chairman bacchus, who is undergoing a minor sur

. >> reporter: timothy geithner was the head of the federal reserve bank of new york in 2008 when the credit crunch began taking hold. now he's the treasury secretary and is fending off criticism of the obama administrations legislative answer to the crisis: the dodd-frank financial reform law. geithner writes in the "wall street journal," quote, "these reforms are not perfect, and they will not prevent all future financial crises." end quote. but independent banking analyst kenneth thomas thinks geithner ignores his own actions during the 2008 crisis. >> with all due respect, secretary geithner has amnesia because the biggest reason why the crisis was so severe was because he at the federal reserve bank of new york and chairman bernanke and especially treasury secretary paulson a the time let lehman fail. >> reporter: secretary geithner has previously called 2012 a key year for the reforms as dozens of the rules will be written. for instance, the securities and exchange commission is working on the so-called volker rule. that would ban banks from using their own money to trade deriva

meantime, treasury secretary timothy geithner is on capitol hill to talk international finance with congress. the web has changed the way we think about business and how we get things done. tonight's commentator says its time to apply that same re- thinking to corporate america. here's billy parish, co-author of "making good." >> every day my generation is told our prospects are bleak. these are tough economic times, but the world i have had a glimpse of is filled with jobs because there is so much work to do. today we need to rethink, redesign and rebuild every industry in a way that does good. from architecture to the automobile every part of our economy will be retooled for the 21st century. this is where the jobs are. for my book "making good," we interviewed hundreds of people working in diverse industries. re-imagining information technology, energy, education, the arts, health care, food, manufacturing and waste management is a multi- generational project that will employ tens of millions of people. this is a great rebuilding we should all embrace, a great rebuilding we can all be a p

lockdown on them moving on let's talk about so more officials in charge of the economy because timothy geithner and ben bernanke both appeared at a house committee hearing today on the european debt crisis earlier. my goodness you can just predict what the chairman of the federal reserve would have to say but just in case you can't listen. although progress has been made more needs to be done secretary geithner discuss some of these issues further strengthening of the european banking system an expansion of financial backstops or firewalls to guard against contagion in sovereign debt markets. european leaders european central banks they need to do more they need to pump more money into the economy they've already turned more than a trillion dollars of trash to cash in the case of l.t.r. rose so come on when is this talking point going to cease to be relevant to lawmakers or anybody listening well that's or strategy i mean that's how you consolidate power it's the ideal you guy like that each time you have a crisis you don't wear out in the tree that's true big alien dialect it's a crisis reacti

newly installed treasury secretary timothy geithner appointed mark paterson and this is a former top lobbyist for goldman sachs this is chief of staff and then last week there was a lot of buzz over william lynn he was appointed the number two position at the defense department where you're lynn also a former top lobbyist for raytheon which is a one of the five largest defense contractors so how is that a change in what washington works and how washington works well it's not a change. now to be fair voters didn't expect president obama to fully heed lobbyists of day after all the reality is that many are extremely qualified to work in the public sector and so the point is not the every lobbyist out there is some evil villain it's just the hypocrisy of the extent to which president obama has embraced business as usual was pretty astounding given his campaign rhetoric according to the website open secrets dot org the revolving door my end of spinning more during the obama administration than it did during the george w. bush presidency five hundred thirty eight officials went from the e

first under president clinton, then as counselor to secretary of the treasury timothy geithner and now as assistant to the president and director of the national economic council for president obama. what's more, he's a good midwester everywhere minnesota, a great tennis player and a yale lawyer. given then year's grad nation theme, "education and the economy," he is a perfect speaker for the occasion. to close out this plenary sessionings with keynotera, please warmly welcome from the white house, gene sperling. >> well, thank you very much, john got most of that right. it is true i went to college in minnesota, but i'm actually from ann arbor, michigan. that's my home. i am a huge michigan fan, and i am still in my third day of mourning over the tragic loss to the university of ohio. nonetheless, i will pull myself up for their remarks today. i really do want to thank john bridgelin for his enormous commitment and what he's done through civic enterprises. part of the president's white house council for community solutions. he is a personal example that there are people in this town w

your misinterpretation of the crisis meanwhile timothy geithner pushed for more money funneling through multilateral institutions that fund bailouts sound other agenda items. these institutions of course. are broad american strategy to protect the interests. now if you're just sick of listening to all of the us is all of our social and national problems good because today will focus on how to save yourselves and the economic alliance of brics nations brazil russia india china south africa they're holding their summit this week on top of proposals for a development bank also ways to trade and lend in each other's currencies now we'll talk to investor chris mayer who is out with a new book where he argues the narrowing of the gap between the emerging markets and developed economies will be the most important long term investment the other twenty first century will give us details meanwhile the former i.m.f. president is charged with aggravated pimping while the united states world bank nominee is under fire for not wanting to pick out the developing world will discuss let's get to today's

leadership in zero eight and with hank paulson directly and with and later with president obama and timothy geithner he has had a direct role in shaping policies that funneled billions of dollars to his companies. you know what i have done the same thing in his position probably i don't know i mean and this isn't about who's more moral who's less moral who's more hypocrite i mean you never know what you will do if you're in that same position you know if you're a million marcos you can have ten thousand she is going to have twenty you know you don't know until you're until you're her so with buffet it's kind of same thing and we don't know what we would do in his position it's only but it is illustrative that this capitalist is now spending his time. again currying favor and trying to make sure that the policy favors his companies right as opposed to just doing their diligence and investing the old fashioned way so the question becomes where does that leave the rest about and i want you to help us try to answer that after the break we're going to go to break shortly but when we come back we will hav

reserve currency these have been in the plans western elites and institutions for decades even timothy geithner the treasury secretary in two thousand and nine said that they're open to the idea of a global reserve currency but that this process has to be evolutionary and now the i.m.f. has its special drawing rights s.t.r. which are being set up to the global reserve currency the g twenty decided that in two thousand and nine and of course the brics nations already members of. the bank for international settlements which is the highest institution of global governance in the world today it's sort of the central bank of the world central bankers so if a new currency system comes up it's likely to be through the b.s. which is itself essentially a western dominated institution so whether or not they create an alternative or simply create reforms to what exist that i think is the real question now they are expected to sign an agreement allowing their individual banks to extend credit to other members using their own currency so would you say that this is a step toward replacing the dollar. an evol