Of his wife they said the government had opposed change President Trump has defended his Supreme Court nominee Brett Kavanaugh despite new and serious allegations of sexual misconduct made against him by a 3rd woman but speaking at a press conference he said it would be interesting to hear what Christine blousy forward the 1st woman to come forward had to say when she testified later before the Senate Judiciary Committee judge Cavanagh has denied all accusations against him our correspondent in Washington Chris Butler says Mr Trump also indicated he could withdraw the nomination or you could argue on the one hand he has to do that he has to be seen to take all of the allegations seriously but he also gave that indication that his mind could be changed and in another part of the news conference he even raised the possibility that if Brett Kavanaugh was not going to go ahead he might even pick a woman to be his Supreme Court choice now that gives you an idea that he is thinking about just whether or not Brett Kavanaugh is the man for this job or what would happen if he doesn't do a good performance in front of the Senate Judiciary Committee Chinese foreign minister weighing ye has rejected an accusation made by President Trump that Beijing is interfering in November as u.s. Congressional elections Mr Trump told the u.n. Security Council that Beijing didn't want his Republican Party to win because his administration was challenging China on trade Speaking afterwards at a press conference Mr Trump added that Beijing was wary of his powerful intellect if you look at Mr Pillsbury the leading authority on China he was on a good show I won't mention the name of the show recently and he was saying that John has total respect for Donald Trump and Donald Trump's very very large brain he said out I'll drop it I don't know what to do. President Trump has said that he doesn't have a timeframe for North Korea to dispose of its nuclear weapons he made the comment self to his secretary of state might Pompeo said he planned to visit Pyongyang next month to set up a 2nd summit with the North Korean leader Kim Jong un this is the world news from the b.b.c. . International Monetary Fund has agreed to speed up a batch of emergency loans to Argentina and provide a bigger bailouts than initially planned the i.m.f. Managing director Christine Lagarde said it was the largest ever program of payments put together by the i.m.f. The new known agreement increases an existing package to $57000000000.00 over 3 years. The tribe unilingual Tamala has ruled that the killing of 1700 if she'll Mayans in the early 1980 s. Amounted to genocide but it acquitted Jose Marie Cod guests of genocide and crimes against humanity the ruling said the retired general had not been in a position to give orders he was the head of military intelligence under the dictatorship of Gen If train Rios Montt but chairman of a strenuous national broadcaster a.b.c. Has resigned after claims he tried to get his senior economics journalist fired because the government didn't like her coverage the a.b.c. Board had asked Justin Milne to step aside an inquiry has been opened about possible political interference at the state funded broadcaster Griffiths reports the a.b.c. Isn't the biggest broadcaster in terms of viewers it doesn't have arguably the most even high profile presenters anymore but it is an essential part of life because it's what many of these grew up with and when you look at the trust ratings in Australia it's in the top 10 right up there with those kind of banks and the post office it is something that many Ozzies even if they don't watch or listen regards important to them and that's why the integrity of the impartiality of the a.b.c. Is vital to its future a tour in China by the German the theater director Thomas Austin Meyer has been stopped by officials after members of the audience in Beijing chanted slogans demanding free speech the production of Ibsen's an enemy of the people includes a scene where the audience is encouraged to interact with the actors b.b.c. News. Thank you for the news a welcome to News Day from the b.b.c. World Service. With you coming up a tough hour Britain Britain's opposition leader meets the chief negotiator on Bret's That's also how the scheme lodgment products to find. Despite a comprehensive ban 2 years ago you can get in touch with us find us on b.b.c. World Service on Facebook and Twitter and you can tux this number on anything that you hear plus 447-786-2815 extension 85. Let's start in the United States a 3rd woman has accused President Trump Supreme Court nominee Brad kavanah of sexual assaults President Trump has again defended Judge kavanah but he did say at a press conference that it would be interesting to hear what Christine blogs a forge the 1st woman to come forward had to say when she testified later before the Senate Judiciary Committee the lawyer for Julie what makes submitted a sworn statement to the Senate Judiciary Committee this is the same committee which will meet later today to hear testimony from Professor Ford to judge cabinet has always and repeatedly maintained denial of these allegations against him and he too will have a chance to present his case to the committee lol Ponty is a commentator and journalist was recently written an article in defense of the Supreme Court nominee and the process normally things would be handled during the immediate hearing that is going on instead when the hearing was over and Mr Cavanaugh was only hours away from being voted on something very strange happened one of the senators Dianne Feinstein of California said Oh I have received a letter I've been holding it for 6 weeks and this letter oh as we're going to kucing you have something I'm not sure it's true said Dianne Feinstein but I'd. We should stop the entire procedure right now now understand tonight lection is coming rather rather soon in the United States and the face meetings are held very long then the entire nomination could be in a cocked hat I mean it just disappears what difference would the timing of made if it came in sooner that letter it would let people feel that this is not a politically but the Pilatus process that it was an open honest and and even handed process rather than something to him simply be used to drag out and delay this process and necessarily pass the deadline but wouldn't you say that something like this this is a ledger of a serious accusation to someone who is nominated to the highest judicial position in the United States don't you think that it deserves the pause it deserves someone saying hang on a minute let's take a look at this and investigate further if it had been handled the normal procedure we would all tend to agree with that the difficulty is it now appears there's been a deliberate political stall simply to push this past the election and that stalled for a reassessment 15 questions in addition to the letter itself which we've only shown to Republicans on the committee a few days ago than Feinstein had withheld its contents all together and one can now understand why her the accuser does not even know or remember what year the suppose 'd that sexual problems occurred in or what month or in what building in other words the accusation is breathtakingly vague and yet the accuser and her supporters in the Democratic Party turned and said oh well with us have the f.b.i. Investigate this too I mean we I mean this is low this isn't that exactly why the f.b.i. Or there's some sort of investigation is needed if the details are vague so far surely you want someone to investigate to find out more are. Not necessary. Really Not if the place in appears to have only a political purpose and not to be necessarily le to them it Oh that's it but that's that's how that's how you view would that's how other people view it Professor Ford herself says I need to be heard I need to say the truth and this needs further investigation you can't dismiss something is illegitimate without investigating it and she will certainly have a chance to be heard on Thursday they have the difficulty of course is that for example this is Miss Ford declared that she wanted the Kavanaugh to speak 1st when he had not even been shown or informed of any detailed charge against him of any detailed accusation so he was put on a star chamber kind of situation where he was to defend himself against undefined charges will there but another chance to speak that's the point but she was insisting that he had to speak 1st and she would only speak thereafter when he could not question her in American law as I imagine in British law the tradition is you have the right to confront your accuser and to question your accuser and yet she did not want to be questioned the 1st she's objected quite loudly to the fact that Republicans have hired a woman prosecutor precisely to get away from the stereotypical image of a group of older Republican men confronting a lone woman. Lowell Ponty there commentator and journalist who's recently written an article in defense of the Supreme Court nominee Brett Kavanaugh. 11 minutes up to 8 o'clock here in London we hope to go to India shortly to discuss the decision on adultery by the Supreme Court in the meantime though it's back to Bracks it here on news day as the leader of the opposition party German carbon Well meets the e.u. Chief negotiator Michel Barnier in Brussels later today it comes after the Labor leader say that his party would vote against a Bracks a deal unless it kept the u.k. In the E.U.'s customs arrangement and protected Walker's rights we're joined now by our correspondent in Brussels Adam Fleming good morning to you Adam and the e.u. Has been talking to the British government why discuss this is the opposition leader now. So Michel Barnier the chief negotiator has a policy of basically having his door open to anyone who wants to come and speak to him whether it's a trade union from France fishermen from Denmark or British politicians even ones who aren't in government because he wants to hear about the state of the British political debate about brags because he knows that the final Bragg's deal that he eventually negotiates with the British government will have to be voted on in the British parliament so he wants to know what the territory is and he knows that because the split in the governing Conservative Party any deal will have to rely on the votes of Labor members of parliament in the u.k. So it's probably worth listening to what Jeremy Corben has got to say having said that though yes this is not a negotiation this is a chance to chat this will not really have an impact on the actual Bragg's treaty or the final deal but obviously Germany called will have some questions to ask and you've got to wonder what sort of questions will be what would you want to know from Michel Barnier Well there's lots of speculation that actually the Labor Party have been working with the e.u. To craft the Labor Party's position because the shadow Bragg's secretary keer Starmer who is the Labor Party's Bragg's representative he has been coming to Brussels all of this process having private meetings with senior people from the e.u. Side. And the evidence that this is happening is that Labor's position is much closer to the E.U.'s preferred outcome Labor have said they would want to stay in a or the customs union with the e.u. They also say they'd want to have exactly the same standards as the e.u. When it came to see when it came to product safety the environment and workers' rights and the e.u. Love it when they hear that because that's the kind of deal they want with the u.k. Of course the problem is it comes back to that point Jeremy Corbyn isn't in the government and the government's position is that they don't want to be in the Customs Union and they don't want to stick at that closely to the regulations and the other thing the E.U.'s insisted on is the Irish border there's been a huge difference between the u.k. Autism is position and where the e.u. Is proposing Yeah we're still no closer to an agreement on that particular issue but about your reminder here or do you think that there might be some sort of movement. Well Jeremy Corbin thinks that his policy of staying in the Customs Union and maintaining the same level of standards means that the Irish border issue is solved and the kind of agrees with him and that the point is that if the u.k. Has an incredibly close relationship with the e.u. And the e.u. Has quite a lot of oversight about how things work in the u.k. And the u.k. Doesn't have the option to diverged from European standards in all sorts of things then that means the Irish border issue goes away but the fact is that the actual people who are negotiating the government are still completely opposed to the idea that's on the table for avoiding a hard border in northern Ireland that's been put forward by the does Europe have some sort of a crystal ball is it looking into the future and considering the possibility that someone else might be in charge of the u.k. The not so distant future some Sometimes they do they do but the scenario they're most worried about is a new conservative prime minister replacing 2 reason may for so from within her own party and the reason they fear that is what if you get somebody who's got more extreme views what if you get somebody who's a bit more volatile and so perhaps we just walk away from the whole process and also what if you get somebody who doesn't like what's been agreed so far and just rips up the 80 percent of the Braggs treaty that's been agreed and all those compromises and concessions and painstakingly get negotiated paragraphs just go out the window because the new British prime minister doesn't like the sound of it and also they're worried about what Prime Minister and what political party is in government after Bragg's has happened and will they stick to what's been agreed and that's one of the reasons that the e.u. Wants to put lots of mechanisms in the process of various points to make sure that the u.k. Sticks to 6 what's been agreed to and i'm our correspondent in Brussels thank you very much. Let's take you to India now and get more on that story a breaking news story that's coming out of there where the Supreme Court has ruled that adultery is no longer a criminal offense instead describing it as a civil matter more now with on this story with the B.B.C.'s Dina good to Divino this is a very old low quite entrenched within the society quite significant this ruling isn't it. Absolutely it's 158 year old law so it's called as the Victorian era law in India and what the top court in India said today is that the husband is not the monster off the wife so the Indian law punished any man who has an affair with a woman without the consent or connivance of a husband with 5 years in jail and the person had to pay a fine There was no punishment for the woman and she was seen as a victim and the court said that this is no longer a crime in India and without a shadow of doubt they have said adultery can still be grounds for divorce and doing that they have agreed with around 60 other countries where adultery is not a criminal offense anymore and the vet and that phrasing Divina husband was not the master of his wife that was key to this ruling the fact that in a way it wanted men and women to be on equal grounds Absolutely because till now the law dictated that the woman could not be punished as an a better instead the man was considered to be a Saddam Hussein and that's exactly what was challenged by Joseph shines a 41 year old Indian businessmen living in Italy had petitioned the India stop court to strike down the slow and the in his petition he said that mattered women are not a special case for the purpose of prosecution for adultry they are not in any way situated differently than men so this law was seen as having more biased towards women but in the modern times the court has said that is not so however it's interesting because India's ruling party the b j p had opposed the petition saying that adultery should remain a criminal offense to protect the sanctity of marriages but the top court said that the law cannot preserve the marriage when there are 2 people who are unhappy in it so though it could be a ground for divorce certainly does not paramount to punishing anybody with 5 years in jail did we get any reaction so. Far from the government the reactions are still coming in been able to speak to the lawyer of the petitioner who said the diluting adultery laws will impact the sanctity of marriage is and it will hurt marriage bonds however the activists have been really happy those who would oppose this law saying it's about time that India strikes down Victorian era laws and this is the 2nd in just under a month the law which has been struck down from that at the 1st one was Section 377 which criminal criminalized offense in gay sex in India and that's been struck down and the 2nd one obviously adultery being a punishable offense has been struck down quite a move the B.B.C.'s Dina good to live with us from Delhi Many thanks good morning 20 posts 8 months you can hear the latest hello Alan kettle on based newspaper sport is so on it's front page says thank you very much Madrid why are they thanking Madrid because Madrid got beaten last night humiliated really by surveyed by 3 goals to nil but earlier Barcelona in Catalonia were also beaten unusually by a very low ranked team lead goners who wanted to one sport described that as a defensive shipwreck So they went terribly impressed with their performance either but it is as you were at the top of the Spanish league because neither side won 1st time that 2 sides have been beaten on the same day and league since January 25th Dane Aidan has had getting the headlines in England wonderful cultivate Liverpool for Chelsea in the English League Cup those 2 play again in the English Premier League at the weekend later today we'll find out whether it's Germany or Turkey who host euro 2024 and it's the opening ceremony of the Ryder Cup Europe against the United States they don't play the Gulf or stop the Gulf until tomorrow but you can think you know if that sounds well let's go into business news. To admit it's awful it's a cloak it's. Lel. But you have. You can all see was a bit confused about sounds familiar but chances are that one of the teenagers was with ours on the hugely popular if you can for one and if you are one of the parents who struggles with to get the controller out of the hands big news for the players and full sone Philip what's going on well we're going to talk about fortnight so before I talk about fortnight and how significant it is a best explain why anybody should actually care because if you said no I'm going computer games and if. You fall over this is a big deal especially if you companies like Sony Microsoft for nights played by $80000000.00 people a month that's a big deal players have to fight to the death they can compete online against other people from anywhere in the world to give you a rough taste of how With these he received an Messner from the website p.c. Gamer he's got a quick explanation for a fortnight though is Ace It's called The Battle Royale game so it's about $100.00 players jump into an online match and they're trying to eliminate each other and the last one who's standing certain wins the game so there's only one winner but there's hundreds of players and I think that creates a lot of tension that people find very addicting you jump in and you're competing it's all these hundreds of players there's lots of things that can happen during the course of a game and it doesn't feel repetitive and so I think people just really buy into that I think part of its appeal too is that it's very hard to me it's not overly violent even though it is a shooter there's not you know blood or gore and so it's very appealing to the widest possible audience and in addition to that it's available on so many devices that anyone can play it. Right so if you were playing for 9 you had to play using a platform you had to play using something like a Play Station or you had to play using an x. Box and as you were sitting there playing the games it was the fact that people got to be able to frankly shoot their friends in the back several 100 of their closest friends in the back that got people out there playing and then Sony decided that you know well if you're going to play station you're not allowed to play with anyone else's go one of the other systems so imagine if Persia cars or if Miss Avies Benz cars came out and said That's all some congratulations will them for buying Mercedes if you use any other kind of brand of car ever or if your friends use them you can't talk to your friends anymore and you can imagine that 80000000 people playing the game every month got a little bit annoyed about this and there was a huge uproar and in this exports versus Playstation situational Microsoft this is Sony If you want to prefer to look at it that way the fans just kept walking and walking and walking and whacking away at Sony Sony is back down so this may seem like a slightly strange story but when 80000000 people are playing something even if they're only spending $10.00 a month while playing it racks up to big amounts of money very quickly. Wow Mr Hampshire we thank you now 2016 more than 100 different skin lighting products were banned in Uganda the government prohibited them for containing chemicals that are thought to have cancer causing side effects but a large amount of beauty products still find their way into Uganda the B.B.C.'s patients or Hari has been embedded with a team of law enforcement officers in western Uganda at the border with the Democratic Republic of Congo Congo where she sent us this river walking about 10 or so minutes into a village past we've come across a young man who was caring for cut on the band products and he was taking them uphill in the law enforcers have stopped him and is trying to explain himself and I'm not going to a fund is a money the money. Is a money very young Congolese has been found with a product called extract Clare he is sweating a lot he says that he runs the business all by himself refusing to tell the officer says where and to whom he was transporting the goods but they suspect that he is trying to protect the rest of his network he pleads for Massey saying that he is a father of 2 and the sole breadwinner for his family the goods will be impounded and he were born at least. A New Haven I do a. Lot of ground armor game many homes along the border area and even in the original town of say a used as transit points. Would come with law enforcement officers to house where about 2 cartons or some of the banned products are hidden in a bedroom you can clearly tell this is someone's home is on the floor in the bed with a mosquito net and they say that this is one of the points where the smugglers seem to be concealing the goods hiding them fast before transporting them on to the market valves owner says that she was intrusted with them but she does not know the names of the us as you can see here. When you. Get a good look. At the smugglers have been getting creative hiding the banned products in sacks of food and even in plastic jerry cans where they are disguised as palm oil in Alice went 18 a truckload of the cosmetics was discovered in them point to area with the Catalans hidden in a pile of sand over 30 tons have been impounded in different locations across the border line in the last 7 months Dixon's condition is the commission of a customs at the Uganda revenue authority. We had $61.00 I meant compared to about $93.00 the previous year and we recently destroyed 2 containers of these products publicly so these items that had attributed. The last 3 Yes Last year we prosecuted the for the 2 cases across the board so when you take them to court and they are prosecuted. Most of those. Get through that process not actually repeat it but demand for the legal product makes fighting them more complicated a significant amount still makes it onto them. And that is what the authorities are trying to go after at least tons of beauty products still finding their way into Uganda despite that more than 100 different kinds of skin lightening products have been banned by the authorities that report there by patients such a Hari She's been embedded with a team of law enforcement officers in western Uganda that's on the border with a d r c So can I tell you a thing so. Slight if you have a skin like mine which is like full of melanin right and you light in your scheme parts of your body become light and other parts. Of lightening Yes sure. Your face will be really really light but would you shake hands with 2 different people. Your hands might not necessarily be as light as your face but it's also really interesting one of the women were saying to patients that it actually works really fast 3 days and that to me kind of is that is that it isn't red flag absolutely this is News Day Good morning. Distribution of the b.b.c. World Service in the u.s. Is supported by Dana Farber Cancer Institute with more than 800 clinical trials underway so patients have more options more at Dana Farber dot org slash beat cancer and by Carbonite offering data protection solutions for businesses including automatic backup for servers end point protection high availability end disaster recovery and data migration learn more at Carbonite dot com. I'm Robert Siegel during my years in the news business I've seen a lot of improvement in cars better mileage emissions and safety but here's the greatest advance that I've seen yet now your old car can be turned into more of all things considered imagine that donate your car to the station and turn it into the programs you call 186-6789 t.m.c. Take my car please c.c. Dot org. Welcome to after the crash on the b.b.c. World Service with me in golden. 10 years ago the collapse of Lehman Brothers triggered the biggest financial crisis since the Great Depression over the next 5 weeks I'll be examining how the crisis changed the world today and explore how this led to not trust in the 3rd season experts collapsing giving rise to new politics of populism and nationalism join me in golden after the news. B.b.c. News with Eileen McHugh India's Supreme Court has ruled that adultery is no longer a criminal offense describing it as a civil matter the court also ruled that men and women should be treated equally in such cases the colonial era law allowed a husband to pursue a criminal case against another man but women could not file a complaint the 1st of 3 women to accuse President Trump Supreme Court nominee Brett Cavanagh of sexual misconduct is due to appear before a panel of u.s. Senators later today Christine Lahti forward says that Mr Cavanagh assaulted her when they were teenagers in 1980 s. Mr Cavanaugh denies any wrongdoing the Chinese newspaper has accused President Trump of fabricating stories about interference by China in next month's u.s. Congressional elections the Global Times which is controlled by China's ruling Communist Party said the accusation was baseless. The chairman of the Australian Broadcasting Corporation has resigned following allegations of political interference Justin Milne stepped down from a national broadcaster amid reports he had asked for journalists to be fired because their reporting was disliked by the Australian Government Human Rights Watch has accused Iraq's military and security forces of carrying out the forcible disappearance of dozens of men and boys most of whom were Sunni Muslims the rights group says it has documented $78.00 cases including 4 children as young as 9 detained by Iraqi forces between April 24th teen and October 27th. The International Monetary Fund has agreed to speed up a batch of emergency loans to Argentina and provide a bigger bailout than initially planned the i.m.f. Managing director Christine Lagarde said it was the largest ever program of payments put together by the i.m.f. It will boost its 3 year financing package by $7000000000.00 to $57000000000.00. You're listening to after the crash on the b.b.c. World Service with me in golden. 10 years ago the world financial system had a heart attack gripped by panic banks stopped lending cash ran out and the world came to the edge of the financial precipice. The impact was immediate as millions of people lost their jobs and as the shock that started in Wall Street reverberated around the world the crisis led to the collapse of the Greek Spanish Icelandic and other economies. I'm professor of globalization and development at Oxford University previously I was director of policy at the World Bank and before that was c.e.o. Of the development bank of southern Africa and was economic advisor to Nelson Mandela when he became president in the country of my birth South Africa in this 5 part series I'm going to look at how the crisis has changed the world in the country's most affected trust in authorities and experts has been eroded and populist politicians have gained power globally the u.s. And Europe have been in feeble by the crisis whereas Asia and Russia have been emboldened by it but we begin in the u.s. Where the crisis began. Trouble had been looming for years but the big trigger was the collapse of one of the biggest investment banks in the us on the 15th of September 2008 Lehman Brothers is going bankrupt and financial markets from Asia to Europe are doing their utmost to prevent Monday from turning from dark to black. Employees America's 4th largest investment bank saw the writing on the wall late Sunday after talks to pull them back from the abyss collapse the consequence was immediate and devastating Professor Jones Stiglitz has received the Nobel Prize for economics explains the significance of this event the financial crisis led to the most serious economic downturn was a global economic downturn since the Great Depression tens of millions of people lost their jobs all over the world and it took a decade for the economies to get back on track in the sense that growth resumed but if you look at where the economies are today compared to where they appeared to be going where they would have been had there not been the crisis the gap would never go away so the cost in terms of the American economy is literally between $5.10 trillion dollars And for the European economy it's probably even greater than that. I'm standing where it will be in the doorway of the building Lehman's used to occupy in New York with 10 years ago Stauffer arrived at work to be told that their bank was no more live in Gray was a senior manager at Lehman's at the time you know the rumors were rough finding I went home and watched the m.d.c. Watched all of my colleagues not all my colleagues but many of my colleagues went to the building to get boxes to take their personal items I decided to call home. I'm the eternal optimist and I was hoping that they could see it was not going to be the end result but unfortunately it was the financial crisis had its root irresponsible behavior by banks money was loaned to people to buy houses they couldn't afford these loans were packaged up and sold on to other banks who then sliced and diced them into complex financial instruments that could be sold on to someone else at every step banks made more money and the bankers bonuses got high and there's a lot of pressure to do more and more deals because very honestly you go to work on Wall Street because you put in make money and you're compensated based on production and I think that in that competitive environment deals were done that shit. With more and more people defaulted on their loans and houses were repossessed house prices collapsed the banks at the center of the spiderweb of loans found their liabilities that's what they owed far exceeded what they could get back or had in reserves that's the assets. Banks like Lehman Brothers found that they formerly lucrative involvement in the slicing dicing and repackaging of loans into what were known as credit derivatives had left them hugely exposed to terrible financial risk they had bet their whole business on credit derivatives and they hadn't even read lies and they weren't the only ones it was estimated at the time over $500.00 trillion dollars of derivatives were issued which is about 6 times the size of the world economy the u.s. Government had previously rescued banks but decided not to do so in the case of Lehman's it was this that led to panic and hysteria in the financial markets all of a sudden banks didn't trust each other and weren't prepared to lend to anyone the system froze. My friend Mohamed El everyone who was the head of one of the largest u.s. Fund managers Pimco at the time of the crisis has a good way of explaining what happened I think of it in terms of you driving into a McDonald's to pick up a hamburger I live in California so we're very proud of how efficient. Dr Who saw and what normally happens is the order and then you go to one window where you pay and then the next window which is within 10 meters or even less you obtain your meal what happened in the financial crisis is that when people got to the payment window and were asked to pay they mistrusting the system we questioned immediate settlement they wanted to hamburgers why then but the system is not good so that the system is built for you trusting the next 10 meters where you have in your meal but if you don't trust it and next 10 meters what happened to things you go away hungry even though you have the ability to pay for your meal and 10 meters down the western throws away the food even though it had prepared it and was willing to sell it to you so willing buyers and sellers cannot participate and that is what happened because trust disappeared because counterparty risk was seen to be too high. Everything stopped and why did the suddenly happen why did trust disappear and counterparty risk become too high because no one imagined that Lehman were to fail and no one imagined that the middle to bail in the disability way even failed regularly Monday morning I remember very clearly on Wednesday evening being still at the office calling home and saying please go to the cash machine and pull out the maximum cash we can which was about 500 dollars and I was asked why and I said they simply I don't know what it is back open tomorrow the global repercussions will immediate Jeff Sachs is a renowned economist and senior u.n. Advisor It took a very very short period of time for the crisis to spread throughout the entire world economy and the image that most of the leaders had in mind was that we might be entering another Great Depression I think in a way there panic was overdone actually because reacting to panic buy more panic is not necessarily the right way to do it Franklin Roosevelt had a different idea on March 4th 1933 when he said let me ask my way that the only thing we have. The fear was absolutely palpable and this was a crisis that started at the heart of world capitalism on Wall Street itself so that it made it even more frightening because Wall Streeters are very frightened when terrible things happen to poor people but they're very frightened when bad things happen to rich people. The extraordinary thing about the financial crisis is that it happened in finance as this is the most sophisticated of the global international systems a central banks and treasuries of the elites of a national civil services the jobs in these institutions are highly sought often and go to the best candidates they have lots of data and they are the most powerful part of government because they control budgets and money at there is a seemingly very clear mission financial stability the same is true at the global level where the International Monetary Fund the i.m.f. Is the most powerful most skilled and best paying of the international institutions its mission to his financial stability so how did many thousands of experts get so wrong and allowed this to happen why didn't they see the flashing warning signs. Alan Greenspan was chairman of the u.s. Central Bank the Federal Reserve for 10 years preceding the crisis he was the driving force for the deregulation of banks and for not deflating the blooming derivatives trade and housing markets here he is giving evidence the u.s. Congress in October 2008 immediately after the crisis struck I made a mistake in presuming that the self-interest of organizations specifically banks and others where such as that they were best capable of protecting their own shareholders and their equity in the firms I still do not fully understand why it happened that all the central bankers in national and international institutions allowed this to happen and didn't see the crisis coming troubles me deeply Martin Wolf is chief economics commentator at the Financial Times there's no doubt that the financial institutions and their regulate has made in retrospect enormous mistakes is obscene no doubt about it and I don't think any of them would seriously denied as Martin observes what they were doing was perfectly legal and so the regulations and laws as much as the people are to blame I think there are 2 sorts of things that we have to think about I'm pretty sure that there must have been things going on here which were fraudulent or close to it but the truth is and this is I think really frightening thing that most of it was legal in a way what was frightening about it is that we could get into such a terrible mess. When people were doing things that were clearly very risky but taking risk is not illegal taking risk is what the financial institutions of their full you could say and I think I would say that the real problem was that what was perfectly legal turned out to be spectacularly dangerous the financial crisis was the 1st crisis to highlight the underlying weakness of globalization there are many benefits to increased integration and it has led to unprecedented development and progress in many areas however it also leads to new vulnerabilities and interdependency which is why more cooperation and agreed rules of the game on the needed the opposite was happening the regulators engaged in a race to the bottom I saw it here in the United States where the banks would come to the u.s. Government and say if you don't deregulate we will lose out to u.k. Bangs or European banks or Icelandic banks My view is good if they want to go for set up a gambling casino if they were to behave badly left that's their problem but let's protect America let's protect Americans so I never bought this race to the bottom but a lot of policymakers did and I think the magnitude of the lobbying 5 lobbyist paid by the banking industry for every member of Congress hundreds of millions of dollars in campaign contributions and lobbying the banks didn't know what to invest in real assets they knew how to invest well in political assets. For this the bankers were richly rewarded 3 weeks off they went bankrupt the c.e.o. Of Lehman Brothers Richard Fuld appeared in front of Congress Mr Fuld the bottom line is that since 2000 you've taken home more than $480000000.00 My question to you is that fair for the c.e.o. Of a company that's now bankrupt to have made that kind of money it's just unimaginable to so many people I would say to you the 500 number is not accurate I believe I can compensation was close to 60000000 and I believe the amount that I took out of the company over and above that was a little bit less than 2 $150000000.00 still a large number that Richard food had to clarify that he only and $310000000.00 but he didn't respond to the question in fairness in good times bankers were paid exorbitant bonuses in bad times government bailed out the banks using taxpayers' money and the banks still received big bonuses while ordinary people lost their jobs and suffered enormous pain no wonder the public were getting angry Here's Jeff Sachs again I made a call at one point to Larry Summers who was a senior advisor of Obama and said Larry you've got to stop these bonuses to these banks that you're bailing out and he said oh I can't do that these are contract staff we have the rule of law I said Are you kidding you're bailing them out How can you not impose limits on the bonuses Well they didn't it was outrageous and the public sense that it was outrageous and no one went to jail. No one went to jail but more than that I counted as the C.E.O.'s of the Wall Street institutions went to the state dinners of Mr Obama went to meet with the president is the hallowed leaders of the u.s. Economy. The cozy relationship between Wall Street and the White House was not diminished by the crisis if anything under President Obama and now President Trump It has become even more conflict and will Street spent $2000000000.00 on lobbying and campaign contributions in the run up to the 2016 American election despite the promise to drain the swamp President Trump has continued to recruit from Wall Street in particular Goldman Sachs but the problem was not simply caption even when governments wanted to do the right thing civil servants and ministers simply did not understand the technological innovations that allowed bankers to run rings around them this and the race to the bottom to reduce the restrictions that banks faced helps to explain deregulation in the u.k. And across Europe. Diane Coyle is professor of public policy at the University of Cambridge in England I worked in the treasury in the mid 1980 s. And it had been decided to go ahead with the deregulation that was called Big Bank in the city of London and a lot of the rules would be taken away and banks be much freer to do all kinds of trading they hadn't been allowed to do before and that involved an increase in trading derivatives and I remember a senior official saying to me. We have to write a note for the minister explaining what attribute it is and this is a decision has already been taken and after the event gave us somebody asking for an explanation of what on earth it both they had they had done in unleashing big bag so I think you know it was it illogical a philosophical as much as it was a failure to understand the complexity in the years following the crisis the public's trust in government has fallen in those countries badly affected in Greece Spain Italy it fell over 20 percent and remains well below the levels it was before the crisis trust in financial institutions in advanced economies for even more than they trust in governments but over 30 percent by contrast in countries that were relatively immune from the crisis trust in financial institutions actually increased for example in India 9 out of 10 people responding to the surveys trust financial institutions compared to 2 out of 10 in the u.k. And southern Europe after the crisis the failure to prevent the crisis and the way it was dealt with has contributed to the loss of faith in governments the resulting rise of anti establishment movements of the past 10 years has reshaped the politics of the West. Jamie Bartlett is director of the Center for the analysis of social media and author of the book radicals while writing that book he did dozens of interviews with radical political activists who had given up on mainstream politics I think the the underlying frustration was that almost nobody seems to be in charge anymore that the world is getting very complicated people are subjected to great forces of change in their lives and they feel like nothing is being done or can be done about it that's what I kept hearing you know it's not fit for purpose anymore it doesn't work. In September 2011 the Occupy Wall Street movement started in New York City they had a slogan We are the 99 percent which referenced income inequality between the wealthiest one percent and everyone else within a month protests were going on in over 900 cities across more than 80 countries and establishment sentiment was reflected in both the left and right of the political spectrum. Will play out here because we're tired of the spending tired of the lies that are going on and we want to take our country back and what are some of the lies in the spending that you have particular problem with the bailout the Tea Party movement began following Barack Obama's inauguration in January 2009 as a reaction to that ministrations plans to get financial aid to bankrupt homeowners . Adam to is author of crashed how a decade of financial crises changed the world what you see is that whereas before the crisis Republicans conservatives generally speaking were respectful of the Feds or Thora tea by the time we get into 291011 you have a right wing Tea Party mobilization and support switches sides so that then Anky Ben Bernanke he has a Republican appointee to the position of the Fed chair suddenly is relying essentially on Democratic support whereas the right wing has broken away and is advocating things as crazy as the return to the gold standard the Tea Party movement became an influential part of Trump space and helped him secure his narrow election victory the Occupy movement has made less impact on the current politics of the USA But internationally it's had a lasting legacy Here's Jamie Bartlett again what they have achieved I think is to get a lot more people in mainstream political parties taking on some of the issues the 99 percent versus the one percent the need for more regulation of international finance they've got those issues on to the agenda of mainstream parties and they've also managed through personnel in a way to stimulate a lot of other movements per day mass in Spain the 5 Star Movement momentum here in the u.k. The Bernie Sanders movement over in the u.s. You actually see a lot of personnel cross over. From that original Occupy group so it's not only an intellectually changing the conversation they've also been able to help start brand new political movements to mean I do lead civic us the organization representing global civil society then Greenpeace and now leads Amnesty International we have to come to terms with the fact that most of our sponsors to this 997 Asian financial crisis and the contagion that came with that the 2008 financial crisis and its aftermath our approach that we've seen on the part of our political leaders has been largely inching the deck chairs on the Titanic while we're sinking. Listening to me talk I was struck by the irony of a conversation I had on Wall Street with Andrew on was trading derivative products in 2008 he saw the housing crisis coming bet on the market collapsing and made himself and Deutsche Bank who he was working for a lot of money he told me he felt like he'd won the biggest hand in the biggest poker tournament on earth but that he was on the Titanic whilst doing it. In Italy today we see the politics of protest entering the mainstream and in many respects the politics of protest has even entered the White House anti establishment rhetoric has entered the mainstream and anti establishment politicians have captured the political tide unleashed by the financial crisis. The growing skepticism about the ability and even the motives of those in authority and power and the fact that all the experts in finance failed to stop the financial crisis has created a fertile climate for populism in the u.k. This fuel the arguments of those campaigning against membership of the European Union the British politician Michael Gove campaign stridently for BRICs and regularly denouncing the experts who said it was a bad idea I think the people his country have had enough of experts with organization that from the acronym he's all of the saying we're fighting off of ex-pats with a single fellow that I think is with acronyms saying that they know what is best in getting consistently wrong this country in the us the tide of anti experts and anti authority sentiment similarly helped Donald Trump build momentum in his campaign to become president and since becoming president he has embarked on trade and other policies which virtually all economists think are a terrible idea not least as they hurt the people he claims to be opening president trumps popularity appears to be because of not despite the fact that he's anti mainstream media and experts Thomas Jefferson Andrew Jackson and Abraham Lincoln and many of our greatest presidents fought with the media and call them out often times on their lies when the media lies to people I will never ever let them get away with that I will do what ever I can that they don't get away with that they have their own agenda and their agenda is not your agenda. President Trump has made a habit of calling people he doesn't agree with liars. The rise of populism was not confined to the u.s. And Western Europe the crisis had at least as profound and long lasting an impact on the politics of Eastern Europe here's Adam tos again this to me is one of the real forgotten stories of 2008 if you look at the economies worst impacted immediately in 2008 they're all East European x. Obviate republics if you want to understand where Hungary is politics turns nationalists in large part a backlash against the i.m.f. Program which the then government of 2008 was forced to accept if you want to understand why Ukrainian politics was destabilized in the way that it was NATO plays a role Putin's antagonism to the West plays a role but the underlying financial crisis in Ukraine is crucial to that. It's not surprising that when the lives of people are hurt by crisis which should and could have been prevented they become disillusioned not only with bankers but with the authorities and experts who they believe allowed this to happen the impact of the crisis was greatest in Europe and the u.s. And so too is the backlash there's no doubt that the pain that people feel is not imagined. My next program looks at the impact of the crisis on jobs and incomes the u.k. And parts of Europe are still suffering the effects was 30 programs imposed after the crisis. The European turned to austerity and 0809 and after is going to puzzle historians I think in the future it's a genuine riddle it looks like an exercise in self harm it's very difficult to avoid the impression that at this point other interests and other dogmatic ideas about how economic policy ought to be organized again the upper hand Joining me golden. For the 2nd episode of off to the crash next week on the b.b.c. World Service. 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