who is a former regulator he's also associate professor of economics and law at the university of missouri kansas city he oversees was the director of litigation during the savings and loan crisis so he is the expert on this and how it's done if you want some justice in these cases professor black i want to bring you back in because just to stick on the global case for a little longer one of our friends and wish bob at zero hedge who has been investigating this he brought up a letter from an m.f. global customer that had some choice questions for gary gensler and one that i want to pose to you because i think it's a really good question as you're someone who has overseen prosecution of people in the financial services so guns are on record stating that this c f.t.c. rules require the segregation of customer funds at all times every man a second ok so there's that the amount missing from customer funds one point six billion dollars represents a quarter of the entire balance of customer funds at m.f. global and exceeds the total net worth of an f. prior to bankruptcy so it doesn't seem like this is a si

italian journalist pilot barnard lighted up four of my colleagues and myself from the university of missouri kansas city to explain the principles of modern monetary theory which is what our university is known for we're sort of me until the first to the university of chicago and our job was to explain to the year or two of your peons in general in the italians in particular that the austerity is not necessary there is no need at all for the government to balance budgets in fact governments are supposed to run a budget deficit that's how they provide the private sector to production in a cut consumption economy with the money in the credit that it needs and the income but it needs to grow basic keynesian policy we also pointed out that when the central bank creates credit runs at levels that is not hyper inflationary what isn't glacial is the commercial banking systems flooding the economy with credit for the last thirty years to build up real estate prices stock and bond prices and that provided the credit for corporate rates takeovers and what is basically loading down the economy with debt and it is

joining me to discuss is william black associate professor of law and economics at the university of missouri kansas city and author of the book the best way to rob a bank is to own one thanks so much for joining us again and i guess first you know i want to get your take on this big his debt write down in history the happened to today the way that you wrote it you compared it to the occupy movement here in the u.s. wall occupiers are trying to occupy wall street and you say that the entire country of greece is occupied by germany right now yeah reoccupied of course they did it world work too with the aid of the puppet government and this time and they're even more efficient because they're being in. a typical government there's even talk of german tax collectors to germany to crack down in the latest occupation. but i guess they have seen this coming right i mean if you're going to sign on to be in the eurozone and be in a monetary union and give your economic sovereignty as you wrote it then what do you expect. well i agree that the euro has been a disaster waiting to happen and need my colleague steph

he now teaches economics and law at the university of missouri, kansas city. >> what we have is recurrent intensifying financial crises driven by elite fraud and now it's done with almost absolute impunity. so the whole idea of noblesse oblige and such and that the rich were supposed to have special responsibilities, that's all gone, right? they have a god-given right to the lowest conceivable taxes. when you put anti-regulators in charge of the agencies who believe that regulation is bad and completely unnecessary and they destroy it, creates a self-fulfilling prophecy that produces massive fraud at the most elite levels. but, worse, it all feeds into politics. so, once you get a group that completely dominates the economy, they're going to completely dominate politics, as >> there is no excuse for not prosecuting. it is an obscenity. it's surrender to crony capitalism. >> what's distressed me, and i think is one of the major reasons we get recurrent intensifying crises, is we seem to have lost our capacity for outrage. and it's only people getting outraged that produces really positive