i made d friedman within your opinion has been quite beneficial to the uk economy. that means i can say that that citizens on the eighth and need a bike that would fail as grandkids and criminals in the uk france. they point out that makes the best sense of fun whacking looking tribute to british society something that is on its tail. i happened to bangkok. oldfield who believe that ensued that immigration to britain he makes portraits of both in terms no cultural enrichment and you can only imagine not demanded one point six million victims. british nationals are walking through the years and he enjoyed the benefits of that two of the stuff sitting on a suitable vehicle and that all benefits for all i couldn't stand being we can expect a quick cool cool despite the politicians top local tabloid headlines. the flood of migrants than had been dismissed as nonsense and according to romanian officials. that comes to men but that didn't stain or a city anyway. judging by the wet and you can blame them. played like an odd scene london. immigration is one of the issues pus

and remember, the uk government is really trying for this rebalancing of the economy. we haven't seen that so far, but there will be one eye politically on what uk exports are doing and sterling strength will have an impact on that. >> yes. there was a very good article this week that said not to worry about sterling strap. i can't remember who wrote it, but it was terribly good. >> i'm sure it was. no doubt. >> we'll discuss that a little later when you come back in from the cold. >> so should the bank of england head to forward guidance or not? for more on the communication conundrum, head to cnbc.com. we also have coverage of the ecb bank of england rate decisions. that kicks off at 12:00 london time and we will have a special two-hour program. julia will be joining me for that later today. >>> what's happening with asset prices ahead of that? we have a little higher on the dow jones stoxx 600. advancers outpacing decliners by a ratio of 6 to 4. not quite that. you can see the move on the stoxx 600, not very much. 0.08%. the uk has been dominated by numbers out from

i'm headed d friedman within your opinion has been quite beneficial to the uk economy. that means i can say that the citizens on t v if that means a fight that will fail as grandkids and criminals in the uk france. they point out that makes the best sense of fun whacking looking tribute to british society something that is on its tail to bangkok. oh he'll do believe that this isn't there to make a nation to britain. he makes portraits of both of them so cold chilled in richmond and the moment the merchant enough to remember that one point six ml mean that in addition the skills of looking for you. and he enjoyed it benefits all that so to stop sitting on a suitable vehicle and that all benefits for all my kids stay in the region expect a quick cool cool despite the partitions top local tabloid headlines. the flood of migrants than had been dismissed as nonsense and according to the mania that sells nice to back unto men but that didn't stain or a city anyway. judging by the weatherman. he didn't blame them. played like an odd scene london. sochi twenty fourteen promises

. >> is us because we see a balanced uk economy, one that is built on investment, one that is built onxports? >> the investment seems to be there, that is for sure. that might the the key to the recover. this recovery needs to be dated and to build on investment, as you say. is skeptical about the balancing. the economy is still running a significantly high currency deficit. , this has not been down. i'm still a bit skeptical. question of price competitiveness, it is more a question of stabilization. i think this is very solar to france. >> you cannot say the things in london. >> don't listen to him. . the chief european economist at barclays. no productivity puzzle on "countdown." >> to look at how the business climate is helping infosys. >> he will take a look at the best-performing european stock. we will look at the newest deals. >> good 2013 be the best year for u.s. jobs? we are waiting for the december payroll report. 197 jobs. this would be more than two and a quarter million, the highest since 2005. chinese imports rose amongst in five months. they are now the biggest traitor

. >> i think we have seen all of these big numbers coming out of the uk's economy and the survey really gives a sense of it on the ground. have produced a pretty strong report, whether you're looking at manufacturing, service, or confidence levels or employment levels. are of these readings actually back to pre-crisis highs. it points to some strong growth for the last quarter. it could be north of .4%. you want them to go out and hire and invest. it looks like that is there and crucially, it looks like that confidence will be there in 2014. twice it is a positive report, reading the summary. hard forto hunt negatives, but there are a couple of areas -- a they are there and they're risk to outlook, confidence or no. over the last five years, the big one has been a lack of access to bank financing. it continues. a lack of access to credit, particularly on the cash flow side. you could be profitable and be a strong business but if you have bad cash flow, it is really going to choke you off. that is what they're facing. that stories and the hard data. we saw last week. we saw lending to bu

kenyan the article also says that had a great positive impact on the uk economy he added the economy says sometimes you the biased i would say honda on the need to question the obvious willing to let everybody to what they are the waltz and especially convenient around the world bowls from a personal and economic perspective so i don't think that open you see here might be a question i would say and on top of that one should remember that the difference in meaning tom waits between the countries the meeting and i'm way too roomy known to carry on the tenth of the minimum wage and friends and their false man he was appointed kitchen for a soaking tub and just switched waters and ten times more. and that's huge and that's a powerful lever. i do admit that given the economic circumstances may be to work people are going to come. but nevertheless that does a huge difference in wages is that the cost of living as well that's true to the shadow immigration minister labour's david hanson says the problems none of the border. the problem is inside the workplace. this is that the government i

. >> a summer due to close prospects to the uk economy was trying to look better.irst healthy green shoots of recovery were coming into sight. et al. showed its austerity program was working. labour politicians had to change tack and concentrate on the cost of living. on household energy bills. labour leader ed miliband made a pledge that came to dominate much of the next few weeks. >> the system is broken. we've got to fix it. if we win that election in 2015, the next labour government will freeze gas and electricity prices until the start of 2017 of. [applause] >> the first of what turned out to be a series of price rises but gas and electricity companies came coincidentally at the very time the energy sector was answering questions in the comments. >> during the course of these questions, british gas have announced november 23 to increase gas prices by 8.4%. their electricity prices i can .4%. this is the company that has passed on highchair of profits to shareholders but at the same time making the least amount of investment. >> first, trying to its extreme of

the uk economy needs all the help it could get. >> john, we have to leave it there. >>> still to come on the show, many happy returns. kate moss is 40. hard to believe. we're going to ask her former publicist if she's the zeeb of do they work? are they working? >>> chinese internet giant ten cent is making more investment as it takes on alibaba. it's buying a 10% stake logistics in china south city holdings. the tencent president martin rou says it will help china businesses online. chinasouthcity up 79.89%. >> more than expected. tsmc expected q1 sales to slow by about 7% to arrange just above $4.5 billion. $157 billion beat estimates. >>> and goldman sachs and citi both return key numbers ahead of the bell. analysts expect a rise in citi's profits with the pressure of fixed income trading would probably weigh on its revenue. goldman, meanwhile, is expected to report in both profits and revenue, with reuters forecasting a 24% fall in earnings per share. wells fargo and bank of america both beat estimates in the week. it was a good number from bank of america. 3 billion jump in revenu

weekly earnings, higher and yes, the uk's -- economy is on a tear. living costs are rising.ortgage costs could be rising as well. you need to see weekly earnings climb. this could be less about unemployment and more about the other pieces of data. are they going to throw away the seven percent threshold and change it to 6.5%? we did a survey and 60% of respondents think they could do that in the inflation report. it could be a big question over the credibility of the bank of england to do that just six down the line. the easy way could be to change the focus onto other data points. lex i think that is something we will talk about a great deal in the run-up to that. and the pound spikes higher. >> more pressure on inflation. 4 before that6466 print. getting touchy. >> a bigger move on the euro as well. on the latest data coming out of the u.k. economy. back to davos. warmers a little bit than last year. it is time for a bloomberg exclusive. --lier today, i spoke with he shared his vision for the future. >> the way you have to work with the consumer today and tomorrow is very

we're about to get uk data out and the uk economy is growing at the fastest rate in six years in 2013. currently, fourth quarter gdp as expected up 7% quarter on quarter versus the third quarter 0.8%. that means the annual rate of growth is 2.8%. again, what we were expecting, the high since the first quart every of 2008. 2013 gdp, as a result, is at a preliminary 1.9% in 2012 with growth at 0.3%. q4 services sector output up 0.8%. industrial output up 0.7. construction 0.3%. the level of uk's gdp is still 11.3% below the peak reached in the first quarter of 2008. those numbers pretty much as expected. sterling is just weakening a little bit on the back of that. coming in as expected, they might have been priced at something potentially coming up a little bit better. we're only a basis point away from the threshold. what do you think? >> well, i don't think they're going to raise rates this year, let's put it that way. >> there are some houses who do think they are. >> yes, there are perfectly good arguments why they might. the global argument is not particularly promising. the pound

but, obviously, it doesn't help the exports and the competitiveness of the uk economy. so it's a little bit of both sides. >> we didn't get much of a benefit from the weaker pound, anyway, on exports. we should be competing on higher values. >> the services sector comes back in, let's not forget we're exporting with a lot in the service sector. it is important that we stay competitive on our pricing there. so the bank of england will be watching this very closely. >> all right. european equities, meanwhile today, first trading day of 2014 and we're down a little bit. the ftse was up 15% last year. it's down 0.3%. the xetra dax was up 26% last year. it's down 0.5%. the cac 40 is down 0.6% and the ftse mib is up 0.3%. gilt yields have been tracking around that 3% mark. they're still there and they are higher today on the session. ten-year treasury yields still above 3%. on the currency market, slightly off of that number. indeed not by much. still not far way from the august 2011 hit in the sector today. the yen perspective, 105.39. eu euro/dollar, 1.3728. two countries h

woo hoo reid insisted he did the economy unemployment on mom's current uk tax legislation making same marriage vigo and abortion easier. i'm fed up with the launch of his whole multitude incompetence of the max the making of this country it would be to go and he said raising taxes every western left to right. we've had enough of a detox the stall. i'm not a little easier though was made to destroy the family and about rates that the government isn't listening test. mom was out on top. it's a cold day of anger attracted far right its concrete path takes anti abortion groups and support isn't that bad comedian get domain. i know. a dozen also a moroccan i could see being held in a reception center in rent fumbles and two months saying that now stopped the act is in protest at the length of their detention hosking political asylum which is supposed to take up to forty five days to assess the moon. john's eight explains. move on. they say they can't take anymore they're getting sick and had not committed any crime. they just don't understand why people are so angry with that what stops pr

uk japan. a lot of the big economies look pretty subtle. two don't sound too pessimistic but when it comes to the global outlook. no i'm actually not and dom i'm actually more optimistic probably even than the consensus here because i'm a little more worried about europe. the bank stress tests and some a lot less worried about china in the near term comes from. and i think that the emerging markets which of course the term everybody uses here a more differentiated so what use to be called the bricks minus china on all the spare ribs that russia india brazil south africa not doing so great but a whole range of other countries. vietnam poland she lay dead are seemingly within striking distance to allow no bears down on the emerging markets and the emerging markets except i mean i really do think i really do think there is three years china has its own case i think the green dp a bit of a slowdown in china and my colleagues begins to believe. maybe a bit of a slowdown in china in twenty fourteen but it's mostly good slowdown in china get on su

attemptsh president's to jumpstart the economy are overshadowed by his affair. >> shares in the uk's largest luxury goods maker surged as its digital presence delivers. good morning. you are watching "the pulse." we are live from bloomberg's

notable trend in global growth is no longer being driven by the usual imaging economies to buy established ones such as the us uk germany and japan. until recently these countries with anything but dynamic. i think it is alarming for the emerging countries because i think everybody thought that their strong growth could continue forever or for a long time it's not happening that when they need to do more in the way of structural reforms to improve the competitiveness of their economies in order to get back to those strong growth rates. so there is still a lot of watching and waiting going on here and now bust but there is a general feeling after deep freeze the spring fall is almost upon us women in japan in that report it's kind of fishing so hubby is giving a keynote address to the will they know it's one of them only with people keen to hear more about his style of economics and is out the dough makes it to dallas for our business correspondent can watch japan is back on states now have an onyx is progressing this is the message of since arriving here and that davos he succeeded to put an end of two decades o

uk. >> what you see is the british economy is developing an uneven growth profile. we have seen that in the numbers and as well in the current account numbers. the current account deficit is at 5.1 is%. and i think the current account deficit is going to widen further. but when you are in a period where you invest more and this investment here in the uk is more in real estate than anywhere else, and you invest more than you save then you have the current account deficit going wider, but that means you need more capital imports and you see that yield on a relative basis in the uk are still attractive. it is a difficult time for sterling is also going to come when higher bond yields are going to reduce the growth outlook for the british economy. .here we need to look in particular into the consumer side. we need to look at this housing market. and i think that there the indications are still pretty strong as we have seen out of recent statistics and as well out of the latest lending report by the bank of england. >> okay, hans, stay there. we'll come back to you. a re

acted too wet seal a deal for a golden globe win a match in the economy are likely frontrunner stupid town united dicaprio are awful contenders uk plant if you won the golden globe best actor this is strongly tipped to do the same at the conference center block and thompson amy adams and you need and i'm so in the frame. yes the nominees and lottie its own chosen by some six thousand industry professionals now as this is field of contenders is the strongest for years the prediction of two lovely nominate it is tougher than ever. well there are less than twenty days until cctv is big spring festival doll of the to find out that in his quill are remaining tight lipped about what we can expect to see. we did get some hands from performers repressing outside the studio it's not take a sneak peek chrissy teams for my mom cute here house and a tv studio. we are waiting for access to the states it's as if i may have been done extravagant director has been frugal. it's still really nights costumes on to introduce a budget in distress unknown performers are tying on their acting costumes. most of which have been recycled. some adornments

economy. the court the entire tuesday to the barriers was around ten fifteen a year as the uk in marine resources. often not easy to conceive and to the fishing within fifteen km of the show. the un is calling on countries not to take it that bronson submit reports that the recent release of four frenchmen in the jet was precipitated by a twenty million euro payments al qaeda and other extremist groups estimate it is connected to the seventy six million units in the last three years. these are still on a pilgrimage of the crate containing the doctor today don't hold a second. a small chat to dramatic mountains east of red was broken into at the weekend crucifix was also taken a job or who died in two thousand and five of the mountains and would often visit the area. apple shares plunged nearly nine percent of the infestation can set a high tech giants may be using stain. despite stomping on the night and tonight that's pushing up sales to the cross bike. the company still so is funny some single digit kristofferson the issue of double digit announce that was the problem the show currency bit call

of course, you had the uk chancellor george osborne defending forward guidance while the economy needed its course. we heard a hint from carney yesterday suggesting that perhaps they'll look to move away now from the focus on the unemployment rate in particular. you had to expect a bit of a pushback from jordan of the s&p. he said that a forward guidance, that kind of information can be dangerous, interesting abe style suggests towards him suggesting that actually the euro/swiss flaw is an absolute forward guidance said it best during the future prediction policy. but listen in to what the policymakers had to say about forward guidance. >> there's nothing wrong with forward guidance. just that in fact every country has to choose a concept that really is appropriate for the situation of the country itself. in our case, i believe you have to have a simple concept. the exchange rate is at the moment at the center of this concept. you have to be careful not to have too many conditions with forward guidance. >> i completely reject the forward goois guidance is a failure. i think while the ba

economies. the jump driven by individual rises in japan, the u.s. and the ukk contrast to the bric nations. joining us for more, ned. thanks so much indeed for joining us. this time last year, you say business optimism in the g-7 economies stood at net minus 16 compared to plus 39 in the bric economies. what is it now? >> well, it's much more positive in the g-7 today. what we've seen is a vast increase because of strength in the uk, the u.s., and japan. and specifically japan. japan is at record high for its optimism. >> really? do they believe abe-nomics is going to work, do you think? >> they absolutely do. and we've seen a huge shift from a hugely negative view on the economy a year ago to for the first time since i can remember a positive view about where their economy is going. >> do you think this is going to lead, therefore, into the phase that we've never got, which is now investment led, you know, companies actually, the cfos dip in their pockets, we know are going to make investors that we have previously not done? are we going to stop restructuring

attemptsh president's to jumpstart the economy are overshadowed by his affair. >> shares in the uk's largest luxury goods maker surged as its digital presence delivers. good morning. you are watching "the pulse." we are live from bloomberg's european headquarters here in london. >> this is the big interview of the day. we have some big interviews, bringing you and talking about global business of sport. there is a big event going on downstairs with some of the leading minds in the sporting world. >> two of the top attendees will join "the pulse" today. one is the principle of the red bull formula one team. hims chief executive called his ideal successor. this is the guy they could be running f-1. red bull has dominated the circuit in the past few years. we have seen changes to the rules coming on the horizon. the 2013 car will look very different from the 2014 cars. big rule changes. we will talk to him about that. >> we are also going to be joined by the chief commercial officer of arsenal, tom fox. he will explain how he is working to promote the club to an international fan base.

uk. does he intend -- [inaudible] to make them aware of the fact that in the wake economy it is, any signs or increase in inflation would undoubtedly would make a devastating impact on many household? >> the point i would make to the honorable gentleman is of course we want to secure a recovery in every region of our country and every nation of our united kingdom but if we look at scotland, the last quarter, actually the employment level went up by 10,000 there are 90,000 more people in work than one year ago. i think progress is being made in the scottish economy is performing. we should do everything we can to help make that happen. if you want to keep interest rates down, that is a matter for the bank of england but our role must be to continue to work on getting the deficit down. we have to make difficult decisions on spending. it's not helped by the fact that all the difficult decisions we made, not one, not one single decision has been supported by the party opposite. >> the leader of the opposition has suggested we learned lessons from the assembly leader government on how to establ

economy. the president discussed operation of the mattel plan implementation of investment in social projects with the president of the slum a tow company but to the motel the meeting with former uk prime minister tony blair was dedicated to the international policy the party spoke about key aspects of strategy two thousand fifty in its implementation. the joint committee of the establishment of diplomatic relations between six thirty in the republic of trinidad and a bottle has been signing new york the sky looks to formalize its relations with another country located in the southern part of the caribbean sea. turner that the bottle holds quite steady positions in order in its day. it is a member of the organization of american states the pto craving community in latin american economic system. the country has also been a member of the un for over fifty years to know that it's about was the sixth country in the world in terms of the production of liquefied natural gas. enlarge is not a reservoir of asphalt in the world. the clincher export sugar coconut and citrus fruit cooperation with this region of latin america in the caribbean looks very promising for topics and during the

comes to the uk is i think the main focus of last week only the main points are that anticipation of the industry is to be stationed at the height take industry and the integration into the economy. and it's an important point which only a small and medium sized enterprises development of the sector because i think it's as being for tickets the recipe for german success in that department it also would no longer rely on. others company. can be choose one effectively. to most buoyant bought was on accident. he said what does the city. actually many hotdogs. the cost of my sidekick. somebody. these changes. seventies universe three of us here when we are moms and cordoba is marked this year he remembers week was how the moscow dedicated to the ussr hero thirty years ago that sites above together with the students founded the museum dedicated to the hair one of the great teacher for the newbies in the chat friday night we stayed a night you are parents of the slot. there was no electricity we made the curtains just a visitor the pushkin museum to make sure everything looked like an exact copy but it's a little caution. one of the fiercest battles of the great patriotic war took pla

and the uk even in roarry mode are not going that high, so you know, they're still pretty good growth and the economy is still growing well there. >> where speccally where else? you mentioned ghana, nigeria, other opportunities for investors. where should we be looking? >> for news particular we're focusing on in the initial stage of our burst in control in ghana and nigeria and kenya and kenya really represents east africa and that's where our focus is. >> obviously you're a sprawling financial services business but most notably last year you hired richard buxton in the uk as part of your fund management business. how important are those rainmakers superstar fund managers? are they worth every penny? >> richard has done an extremely good job, many of his customers have followed him to old mutual. in the uk and in the u.s., effectively we are an asset manager and therefore you have to bring in the top talent. you bring in the top talent, the assets come because investors know that they'll get real good returns. >> on the inflows into that fund have been huge over 1 billion pounds, right in? they've b

economy ought to be the top topics here. i then of course all throughout the week you call meetings around the middle east iran syria talks with iran on uk programme that. that and say you have a mix your acting ingredients of the economic and security topics. i met and beyond give for mixture of reasons. p after stepping away from the prime minister's office blair was appointed by the un special envoy for mideast affairs is calling on the international community to seek a peaceful solution to this era crisis and push for peace and stability in the middle east the cause. there is always the fierce opposition to president assad for reasons that very clear. this will somehow lead to anxiety concern about elements of the opposition extremism and so on. true it up we gotta do that. in this sector. well let's go live to davos moment in time is now in a new president has some honey is now delivering a speech at the wet economic forum and sweets result on the session called a romp in the wilds let's go live to the forum and check the latest it's an audience so the coc decoded it is our last three dioceses cast a spell moments to write as many t

economy will buy a considerable margin outperform europe. so will the uk. >> yeah. so will that help bring the euro down against the dollar, do you think? and what is morgan stanley's explanation of why the euro has been so strong? >> so we do expect the euro to weaken considerably this year. our year-end target is around 125 for euro/dollar. and there are probably two reasons why the euro has been relatively well support. we think euro area banks ahead of the cutoff data likely repatriate at more assets in europe. and in the second half of last year, we saw equity funds in the credit space to putt put money to work in europe. in countries with the bund market and the government bond investors, they do not tend to hatch their exposure. as they the put on sort of risk on strategies or expand them into europe, the euro was pushed higher. so this would be the two main factors that we see supporting the euro so far. >> and just is a quick word about italy and france. november unemployment numbers out of italy, the youth jobless rate up 41.6%. it hasn't yet stopped contr

economy is going to go down by 50%. and that really, in order to tackle this and if europe wants the uk to remain within it, we have to focus on two things. we must back business and we must really curb welfare across the whole of the continent. and without those two key measures, he says uk knot going to be part of europe. >> how about we put forward a plan of what the uk wants and wants to see specifically? because we're still avoiding of saying exactly what we want. that's part of the criticism that comes back from europe. >> we're seeing the prime minister needs to be allowed out of some of these bureaucratic rules. you had the letter from the mps last week saying we want all uk businesses that don't trade with europe to be allowed out of the european rules. that was actually dismissed from the uk government. we have merkel coming up to the uk at the end of february. presumably, that's the moment where we're going to see discussions for what the uk actually wants. >> helia, great to chat with you. >> good game, though. >> great game. >>> still to come, the leader of hong kong has taken aim at the recent struggle with po

uk used to top the critics' lists with only around a third actually back in brussels. now it's even lower than bad dropping below thirty percent. now however not only nationals of struggling economies in the block are voicing their discontent with how the countries being wrong germany has a reputation for irresponsible spending. but even as politicians are ready to dive into taxpayers' pockets to make up for management mistakes. as our teasing peter oliver reports germans are now increasingly questioning the moves of the government. he said. a few listens of the politician is giving his ruling in it if you believe that following the money trail is a different story the ladies open the cost estimates for the wrong thing to waste on building an advance fee to run out of money and entice buyers have to think of it builds and that was all we are part of our currently ginny has one of the biggest construction sectors in europe. all around the country as evidence that those in charge of the purse strings of text to make building decisions. this building site will eventually become that spread and it calms the soul. however it's already over ten times its original budget set to cost close

economy to achieve that self-sustainable rate of growth. and i think you're there in the u.s. you're probably there in the uk.e got a ways to go before you get there in europe. there's still a fiscal head whipped. it's less drop next year than before when it comes to the labor markets and business in general. but net-net, i don't think that it's going to be policy that's the driver of employment. it's got to be the private sector economy that picks up the baton from, i think, the very loose monetary -- you know, the very accommodative policy from the central bank. >> how comfortable are we going to be with -- i mean, if tapering picks up, the pace of it picks up? >> the fed tapering is predicated on economic improvement. i think the fed has won that battle in convincing the markets and i think the markets have made peace with the idea that the fed will only do what the economy can digest. and i actually really do believe that. i think that the fed -- it took a while, but the fed wrestled with the markets on the messaging there and finally got it right. >> they spent a long time with the messaging. >> i spent

economies and societies that they need our help. attending conferences and you've been the strong supporter always the european union. cameron. karen said british prime minister wants to change the pact between the uk and european union and wants to organize a referendum if he's relaxed to do what you think of this is a good strategy. will he not common in this many many times slightly creepy house to stay in europe. secondly i think the future of europe whatever its short term difficulties. the rationale for europe's strongest seventeen. and that you're actually benefits from britain's membership of the european union. sadly i think you're it does have to reform the brick instead of putting full with the reformed case as an active partner in europe. in all this threat. the weekend getaway we leave. i think actually grip it is withdrawing from europe right now if you are. he was to sing reserve it to two different levels this year it is an idea and is europe as translated in its institutions its institutions of them i would on all popular in the uk to help up to probably lots parts of france and across europe to think is doing is drawing you into a euro scepticism. yes i think at the moment it is t

economy has been looking bad for a long time. i'm just amazed at the french bonds are trading well through uk gilts. thern economies that simon talks so fondly does every day. he's quekt. it's up strong for the year but yet if you look at the nikkei or you look at the hang sang or our s&p, not so much. in the end, how can the paper of these southern banks be as hot as some of the stocks that people are trading in the u.s. and around the globe just several months ago but yet when you dig down deep, whether it's nonperforming loans, to slice and dice securities that are at a two-year high default rate, how can we reconcile all of this, andy? >> there's no way you can reconcile ten-year spanish debt right now at 372. they're going to be announcing within the next day or two a ten-year deal. if you'ring looking at where it's trading against the u.s., look at even if it's trading against apple. apple ten years, 3 5/8, aa plus. spain is a bbb minus. 26% unemployment. we had a frent friend that just webtd through spain and he wrote about it, he talked to me about all the different projects that are not bein

economy and for unemployment. >> the prospect of scottish independence is continuing to raise uncertainty over the uk's outstanding debt. the daily telegraph newspaper claims some traders believe the uk's debt to gdp ratio are will rise as much as 10% should scotland choose to go it alone. the treasury has confirmed it will stand by all uk debt in the event of a union on break-up. robert, weigh it in here. because we're making it sound like the uk has to do this. but scotland isn't just going to allow the uk to take on their debt when there's things that they want to negotiate for, don't they? they want to remain part of sterling. they also like to hang on to some north sea oil assets, too. >> that's right. this announcement is good in the sense that it reduces uncertainty about bond payments and who is going the take responsibility for this if scotland voted for independence. but i don't think going forward to the uk, the rump uk is going to have to pay all of this remaining debt. as you say, the negotiations with scotland will involve them taking on some of these debt repayments in return for some concessions, a

uk coming out in favor of an increase in the minimum wage there. there's really historic bipartisan consensus. because as people like dick parsons know, if you want to grow this economyonsumption, putting money in people's pockets. the bottom line is we've seen remarkable productivity growth of over 90% since 1979. but wages have only grown something like 3.2%. and so that's not fair. that's why increasing the minimum wage puts money in people's pockets. they spend more. businesses grow. the economy expands. and that's why this issue is so important to the american people. but it's not the only issue. the president, we're talk about how we make sure people have the necessary skills to succeed. that's what we do at the department of labor, is make sure that we have the training in place so that these advance manufacturing jobs that are coming back to america, we have the ability to compete for them. i'm excited about the future. i think there's a lot we can do and this will indeed be a year of action. >> mr. secretary, can you talk more about where you just ended up? in other words, you know, training work forces and educating folks, because the jobs that are minimum

a political football but everybody agrees as the economy recovers it should be possible to restore that value. >> mohamad as a guard who lived in the uk for four years was recently convicted and sentenced to death in pakistan. he was diagnosed with paranoid schizophrenia in 2010 and treated in edinburgh but the judges refused to take that into account. the foreign secretary yesterday, now to assure me that the minister will take everything they can to support this man can't see him returned to the u.k. where he can get the treatment he needs it? >> i can give the hon. lady the assurance she asked for. i am deeply concerned about this debt sentence passed on mr. muhammed ended the longstanding policy to oppose the death penalty in all circumstances. the pakistani authorities, the seriousness with which we view these developments, the chief minister on monday, high commissioner continues to raise this case with the relevant authorities, officials are meeting pakistani high commission officials in london as they discuss this and other cases. we take this extremely seriously and we are making that clear at every level. >> delivering the d