President says the deficits are already shrinking. He is right so what is the truest . That is our show. Tonight. John money confuses people with compound interest taxes and comparative advantage so it is fun to see a new book out called Popular Economics that sounds like more fun but what can they teach us . Abroad james specializes is something else. What can he teach about economics . Lets ask the author. He is a great example of comparative advantage he is the best free trade between the countries and all individuals trade but countries never trade he is the best basketball player in the world but it is well known he could be high indeed paid nfl tight end but he is blowball dependent he employs the clothes he wears he gets his hair cut by someone else and specializes when he is best at with a basketball. John than he pays for the football to sell his basketball. We produce to consume there you can import as much as possible. Trade is the reason we produce the more you specialize the more you can trade. John it is hard for people to get their brains around and even with economics courses they dont explain this. They try to put into percentages what is real life. Nothing is easier than and economics with famous businesses and economics everyone understands it intimately. John what about the Rolling Stones . If you start me up but i will never stop. John they started off in england but then something happens that would stop them the top incometax was 83 so Keith Richards points out that is equivalent to be told to leave the country altogether and that is what they did. It is a reminder if you raise the penalty to a highlevel the rich are fairly mobile and can avoid it in hollywood they always vote for higher taxes but look where the movie surveyed today. Best keflex he has the best tax precis go to georgia for six months and they suffer the high tax rates but they cannot move. John Martin Omalley governor of maryland created a special tax for the rich the Legislature Said 106 million instead it lost 250 million because so many left. Their rich are highly mobile to get away from the penalties and facebook cofounder renounced his u. S. Citizenship and moved to singapore and taxes are lower there. Chuck schumer was so upset he is proposing a of a special expatriate act to bar them from ever returning to the United States. Tissue repair a proper understanding of the economy works he would see him as an American Hero so liquid he did to shield his wealth from the al stretched hands of politicians. Those dollars go into a bank and immediately go out to people who need to we should or Small Business loan or the stock market when we legally shield our wealth and the federal government is the media be redistributed to those who need it is a good thing. If you are in singapore the money is in the bank. John he invested in technology and airport rental starts up. Kick creates wealth always just like a u. S. Bank does not stair lovingly but there are no jobs so when the shield the wealth make gets into the hands of those that are not wait rich. John but if it goes to singapore is lost to america spirit that is a misunderstanding i want to find of bank that pays for deposits and then puts it under a mattress they immediately as a rule must reinvest that into future companies. It comes right back here the dollars have to come back to the United States because that is where they have value. A countries founded on skepticism where we have to move out of the country to hold onto wealth we have created . Something is wrong with this picture and a government has expanded well beyond what the founders and tendered. John now lets move on to the biggest political issue to the president ial front runner. The top 25 Hedge Fund Managers making more like making more than all kindergarten teachers combined. John is such a huge difference doesnt sound fair teach us teachers and nurses Hedge Fund Managers . They dont even make a product no wonder hillary speaks up but this teacher teaches at the Kings College ; above to be paid as much but i am not saying three at them and i dont want to arrive of what i do to a. John they do quantitative analysis with very long hours with the risks and the investors give them the money voluntarily. John is sent hard work like cleaning sewers or labor that people to for much less spent i bet those people to live for all lot more the crab fishermen makes three times as much it is send physical but all different sorts of supply and demand and what people value. That is the plain truth. John people value education i hate to read and edit but there are many people who can do what i can do like taylors with door of the bride james. Teachers make on average more than the average worker 53,000 the average salary is 42,000 hedge fund makes much more but you get the summer of. As a leap choose a profession based on what we like some are attracted to the fast pace of the Hedge Fund World or a classroom with a more deliberate approach and you can pursue other projects in the summer but ceo is paid 300 times what the worker get. Lets talk about lebron james making money but they are not that concerned because they see the product of their work they see him go down the court or they hear a swift song they know theyre talented but the knows what the ceo does there is no camera in the office we cannot see the work so we dont understand and we think it is not right but they are paid what it takes for the sacrifice is necessary and real have the opportunity to pursue that. And presumably it is better. If they do good work. John ben nor agreed with hillary. Alibaba that some people are much richer than others . Yes. Yes. This does not bother make everybody should be treated as equal. John a right to be stable and comfortable proximity of the right to have that opportunity. Because they have the right to retry you cannot equalize the outcome may whether 300 millonbut jameis bow e soer ayef ycomre tt tothenteainesith raht 82. Nobody wants a law about that. Receive their work if you dont see the Hedge Fund Manager you assume it is illgotten gains but it is notly more. John coming up will you be dealing with this woman . Is a problem that most americans are now in debt . I built my business with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. I earn unlimited 2 cash back on everything i buy for my studio. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Thats huge for my bottom line. Whats in your wallet . This is a great place to work. Not because they have yoga meetings and a juice bar. Because theyre getting comcast business internet. Comcast business offers convenient installation appointments that work around your schedule. And it takes done. About an hour. Get reliable internet thats up to five times faster than dsl from the phone company. Call 8005016000 to switch today. Perks are nice. But the best thing you can give your business is comcast business. Comcast business. Built for business. Neck americans racking up debt with the recession in the of our memories directory had a five americans have no savings. John 94 emergencies . That would terrify me and i am scared about being broke even when i made just 7,000 i saved something every month. But three by five have no savings and dave ramsey councils people and you started to do this after you went they crept . Werke almost 30 years ago is seems like yesterday because the pain leaves a mark when youre so far in debt you cannot breed or pay your bills i can relate to the people who were stupid. John were you just young or nobody taught you . To be young and immature and nobody taught me and i have a finance degree which is hilarious. [laughter] i borrowed myself up to my eyebrows and with a broken lost everything and it puts you right on the edge and scared to death. And that now makes it worse with entitlements . Director is the strange combination everybody gets saddled the mentality but that hopelessness set to get ahead there are structural problems with the economy to have an outside force to save me because i am incapable to save myself. And the results the fed says 31 percent has no Retirement Savings or pension even 20 to around 60 years old. They will live off of Social Security . [laughter] how is that for a great plan . It is not a of a good plan at all. But to show them that they can get on a plan and get rid of their debt to have the cash flow of an Emergency Fund and retirement you could retire with 100 a month through age 30 and age 70 but you have to get control it is the person in the mirror the problem with my buddy is the guy that i shave with. John i am amazed right after the housing bubble the fed is giving out loans to only put down 3 . [laughter] just because they give you money does not mean you should buy it just because there is of a credit card i have to use it. But have restraint. John saturday night live disproof years ago. Millions of americans live with that they cannot control. It is called dont buy stuff you cannot afford. I buy something i want that hope that i can pay for it . Period no. You make sure you have money then you pay for it. Then you buy it . Not far from the truth. Is grandma common sense if you dont have the money, dont buy it just save the car payment average car payment is 492 over 80 months then he would have five points 6 million. John but then you would not have a car. Rewired save up to pay cash. But now there are ads that helped people mitt is one that lays it all out in one program you can carry it with you on your cellphone. There is a similar one called every dollar. Based on a proven player that has helped millions. It gives me visibility stemming i dont have to log into my bank account. John do you charge people . Is completely free is on line by edging tool because when you tell your money what to do it behaves. No one purposely goes deeply into debt to have to be intentional to get out. That is the budget to give your money a name but then it feels like you got a raise. John stake you gave ramsey help you keep helping people. Of a woman named man killer what about taking Alexander Hamilton of the 10 bill . People say good riddance do you know anything about Alexander Hamilton in . America another man on new york state is reinventing how we do business by leading the way on tax cuts. We cut the rates on personal income taxes. We enacted the lowest Corporate Tax rate since 1968. We eliminated the income tax on manufacturers altogether. With startupny, qualified businesses that start, expand or relocate to new york state pay no taxes for 10 years. All to grow our economy and create jobs. See how new york can give your business the opportunity to grow at ny. Gov business john even harder than solving their rubrics cube is to get people to do something with 18 trillion debt. The responsible people said it keeps increasing and politicians have to spend less but they say no. But the deficits are shrinking and that is the fact. John recently it shrank to about 500 billion but while that sounds and good it is not impressive for several reasons but the 500 billion deficit still means we add that much to americas debt we add more year after year and a growing debt is a huge problem going for broke obsesses about that in the book for a wide you worry . We have a the graph about the deficit . The mostly salt deficit problem. Has come down but it is the temporary respite. Coming down from a high when the housing bubble burst. With a t. A. R. P. Rand stimulus spending and it has come down but the cbo says it starts back up we will be that close to 1 trillion deficits. So the payments that cannot be paid are entitlements plus the interest and we have promised to pay old people more money than we have and my a economic theory is that people anticipates that. With massive inflation. Because we are the best horse in the glue factory ribeiro is not dead good bet nobody is buying the of approval so theyre willing to lend money at a lower interest rate. John theest ofhou rldis wor areokay at wll n la orev bu eryon ncree ds 1 illin to e del tohe wwillay ineresat rate that squeezes out all other investment. John in 70 years entitlements and interest will eat all our taxes there is nothing left for defense or social programs. A government sends checks to all people with little or may we cannot do anything else. John but older people vote terrified. And theyre easy to scare face up to the fact for the yen on behalf whole ashley young people we have lied to them we can solve it by taxing the rich with there is not enough rich people to pay off the bills that we have if you confiscated. John we have a chart of that. Take get all wanna by every millionaire and billionaire you would not even pay off the National Debt alone unfunded liabilities of the medicare and Social Security. It cannot go on forever it will stop but will we have a soft landing now or look a lot like greece and 20 years john thank you for being paul revere. The fights over putting a woman on the 10 bill stem back room are the woman that are being suggested stack up john do you notice something unfair about your currency . Looked at the bill the founder of ever country. That seems appropriate. Abraham lincoln and. Alexander hamilton and rejection grit grant and franklin they are all white men and that is wrong says the petition called women on the 20 that the so womans place is on the money. Thats clever they wanted the 20 bill instead Evander Jackson but as you have heard the treasury has agreed but they said not the 20 because it was already done so we will kick off Alexander Hamilton of the 10 bill were moved into the side and it is long overdue says the lady through lead the movement. Sabrina schaefer is less enthusiastic. Remember you only memorialize people through monday or on a monument it is much more than their gender or Political Party but their value the way they influenced our culture over hundreds of years. John women have not . Let Alexander Hamilton in what he did you transform this country from agrarian to err ben and stable and he prevented what would have been a more civil war between the colonies and there is so much to say he contributed to the country. John we are for gender equality but they are called the Founding Fathers. We are women on 20 is because one of the Founding FathersAndrew Jackson and his legacy is one that we call into question. John you do not want to kick off hamilton . Now or we would have said women on 10. John because he was a slaveholder and president and the Supreme Court said he could not kick them indians off their land but he did that anyway and many died. We want to punish him but the treasury said readjusted the bill we are slow and we are government side they had already started work on the 10 bill they took their cue from a committee that said this currency needs to be redesigned for security reasons. John id i feel bad about hamilton he was a courageous soldier with the constitution to be passed it in his spare time he founded the the york post and was also a remarkable human being to stop the mob when it threatened to harm and a large british loyalist he was an orphan import immigrant and the american success story. We would ask viewers what you thought. What took so long . As sole woman i disagree why fix something that isnt broken . Political correctness . Probably. Why . His face is there for a reason did he do something to make jam on were the . My producer would ask people about hamilton most people did not know anything about him. Wasnt he a president . Train wreck no. Most were but not hamilton. I dont know period he is just another face another man on another bill. John most people said put a woman on the currency. We will dog him for a woman. Great idea. Why . We have equal rights. Especially with hillary i think it is cool. It is about time. John but then she asked rich woman . Are there any Accomplished Women that come into my that have changed the course of American History . John long silence and they cannot think of anybody. Womens history has ben absent. As a long process over a your prehad over 100 people who read to historians and authors and womens studies from 100 down at 60 down at 30 the womens impact on society and also how difficult it was to accomplish those then became up with the top 15. John Harriet Tubman is the lead. To listen to these people on the street there is a sense society is openly hostile accord women even though is much the heart is in the right place that the campaign suggest. Listen to these people they think because there is not a woman on our currency somehow we dont have equal opportunity in america and that is a sad state of affairs they have it all opportunity to learn to these people are. John our producer brought pitchers of the women on your web site that got more than 1,000 votes. Rachel carson what about that . I dont know spanish u. S. And environmentalist. I dont know her. Wilma mankiller. John she was fourth and most people dont know who she is. Chief of the Cherokee Nation elected three times. John because her last name is man killer . But if we name shame this woman had an incredible accomplishments so we want to honor that. John thank you. Later i will solve the conflict of food to put on the currency and i will give both of you my solution first one more comment women are paid less shouldnt they be of the 7. 57 bill . [laughter] the battle between cash and credit piano music fresher dentures, for the best first impression. Love loud, live loud polident. Fresher dentures. For those breathless moments. Hug loud, live loud, polident. John Companies Keep sending us credit cards in the mail. You are qualified with low Interest Rates to make it sound great but if you dont pay your bill right away the interest can suck all your money away and people get in trouble and that is why crystal paine all the uses cash with the personal finance blogging moneysaving mom. Com never used a credit card . Never in my entire life. People cannot believe that is possible. You use cashier and a debit card but i really like to use cash. John if you via car you bring of a big pile of cash . Repay for a car with a cashiers check the at the Grocery Store i use cash. John you decided at age seven . My parents paid off their house and started to save heart and weve moved to the country we were in a little trailer and they built a house dash free so i saw the making sacrifices using their money and impacted me. They dont have stressed because they dont have that. John you cannot recover a stolen. A lot of people use that argument but we dont bring 500 worth of cash with us i have cash envelopes for a brush trees and eating out i just bring that with me when i go to the restore. John the Financial System is biased against cash show they . When i went to buy the iphone i went to the apple store they said you dont have credit is a you have to put a 500 down as a deposit for we cannot give you the plan. People that use cash get discounts so that helps if you buy gas they offer savings. Because the stores have to pay extra if you swipe a card. About 2 for mastercard and visa or 3 percent for American Express so they should be offering a discount. Sanders than the system why we have checks and balances we owned two houses that we rent out but that made me feel bad when they say like i have not been responsible with my money. John what if you dont check their Credit Rating . River thats right i have nine. I understand that is the system we have created but i feel that punishes people who use money responsibly and dont use credit cards. This machs people that use cash it claims everything is wonderful but people use their credit card it moves quickly. The chat card because money should not slow you down. John en but cash can be quicker and. I watched that and i feel like they make me out to be the idiot with no annual fee or o interest for a while until march of 2016 than 20 4. 9 . 1. Five cash back on every purchase are they lying . I think there is that instant gratification culture it is easy to swipe to get it now did you the news that the filament that comes from grandparents that would save up to pay with their own money. John i will solve the currency controversy next. I built my business with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. I earn unlimited 2 cash back on everything i buy for my studio. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Thats huge for my bottom line. Whats in your wallet . People with type 2 diabetes come from all walks of life. If you have high blood sugar ask your doctor about farxiga. Its a different kind of medicine that works by removing some sugar from your body. Along with diet and exercise farxiga helps lower blood sugar in adults with type 2 diabetes. With one pill a day, farxiga helps lower your a1c. 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And visit our website to learn how you may be able to get every month free. John earlier tonight weve showed by producers of adventures in times square so what woman should push hamilton the side on the 10 bill . Theres some predictable suggestions. Eleanor roosevelt. Michele obama. John first ladys . She is not eligible that the woman has to be dead but why do president s, to peoples mind what did she accomplish what about those that created something on their own . We could debate to roosevelt but at least other women that are considered clear the dead like this system classified to use stars the issues today or whos started the girl scouts or who invented the term Birth Control and founded planned parenthood for who started the environmental movement. Although serious achievers are pushed by various people with various agendas but when theyre asked to show them the name and her picture they had no picture her they were. Rachel carson is a suggestion. I dont know. I dont know who that is so american environmentalist i dont know her. Wilma mankiller. John i am kind of glad they didnt know Rachel Carson because environmentalist for shipper i think she is a mass murderer curve eating bestsell got ddt ba an n the isovementto fall remve t b and but before they did millions of people died from malaria who should have lived because of her bad science and herblock the back to the 10 bill is no surprise they did not know women most of not know about hamilton either but some did. Alexander hamilton. The first ais omh in of finance market. On path for a woman . No. It is built on tradition. Our forefathers were meant . I cannot say things like that. This is my way to the dow up to my final point we dont have that controversy we would not have any argument if the currency were not all created and printed by the federal government. Private currency comes in many forms if you prefer dogs you could use Digital Currency called dogecoin. Banks used to print competing currencies and that helps prevent inflation and deep depression economist rights america once had 1600 private corporations issue with 1,000 variety of banknotes and when they did the economy grew 4 freer with little inflation but then congress banned private currency to create the central bank at the fed was supposed to provide stability but it hasnt 16 years later the Great Depression began and since then the dollar has lost 96 of its value. Government cannot run an economy wisely why is it in charge of the money printing they love to take the bills to stimulate the greater activity is not real Wealth Creation but more pieces of paper representing the same amount of wealth to create housing bubbles and eventually inflation and that politicians think there would just keep spending. I say let private currency compete not only will we be on firmer ground financially but people will be free to choose Harriet Tubman or dog currency to pay their bills somebody wants caitlin jenner. Go for it if we have private currency all those options could coexist. Choice is always better than the government onesizefitsall solution the matter which side government picks. That is our show. See you next week. 97 of you said yes. And good night from new york. If people want to work, let them work. John yes, but government often doesnt let us. It puts a maze in our way. Fingerprints, fbi background checks. Haunted by a government. John does this woman really need a license . Arizona is threatening with thousands of dollars in fines and jail time. John government wants me to buy you a savings bond, but they make it so hard. There will be some information we have to fill out. There are three steps whats your first name . Account number inspect. Moving on to step two does. John but the private sector makes thing