Kill 3 networks in the a. P. We have now won the battle looked at by rob ronalds has more from las vegas. The supporters and volunteers for senator Bernie Sanders are partying here in the streets of las vegas they are very enthusiastic celebrating what was indeed a very formidable victory by sanders who racked up twice as many votes as 2nd place finisher joe biden he did so by well the together a coalition of young people lachie knows and liberals who responded to his platform of universal Health Care Immigration reform and forgive this of all student debts now the army of sanders volunteers many of whom you see enjoying the night behind me knocked on doors thousands of them spent weeks or months working on the campaign pounding the pavement and now they are enjoying their the fruits of their victory the attention will now shift to the South Carolina primary which takes place in a week and but more importantly to the super tuesday on march the 3rd thats when big diverse delegate rich states like texas california thats the choose it should bridge and you all vote on the same day and there is no question but that ads of this moment Bernie Sanders has the momentum moving into super tuesday italy has seen a surge in corona virus cases in the north of the country 79. 00 people are confirmed to be infected and 2 people have died most cases are in the lombardy and vendetta regions the government says it will forcibly in lockdown affected areas meanwhile china has reported an increase in new infections of the epicenter of the outbreak in who province 630 more cases were confirmed on saturday up from almost 370 the previous day 96 more deaths were also reported. React machar has been sworn in as south sudans Vice President since he forms a new Coalition Government with former rival president salva kiir theyre aiming to end years of conflict ahead of elections to be held within 3 years we so mentally so mentally where that we would Work Together to put as. People in but as. Their unity it will be as going to be. Peoples diets and to buy them once again to believe. That if i would be done dozens of Opposition Party supporters have been detained in kazakhstan during a crackdown on antigovernment demonstrations there is a there are over restrictions on the creation of Political Parties thousands of antigovernment protesters ever our lead in algeria is capital it comes on the 1st anniversary of the start of the demonstrations that forced longtime president optimizes beautifully cut to step down protest or still want his allies removed from power. The chief executive of europes Largest Airline ryanair is facing backlash over comments he made about Muslim TravelersMichael Oleary told a british newspaper he thought muslim men should be profiled at airports because in his words that is where the threat is coming from those are the headlines our knowledge is 0 the debt machine is coming up next thanks for watching. Debt it drives markets creates profit and generates an endless cycle of production and consumption. We live on credit our homes cars schools and government expenditures are financed by borrowing. Data has become the engine of our growth the lifeblood of our Global Economy. Its an economic machine impacting the Global Economy with more and more date being produced day in and day out. This debt machine has grown to Epic Proportions and now seems to have spiraled out of control public debt the debt held by governments is soaring. The eurozone is having a much harder time than other economies emerging from the crisis of spiraling debt why and what are the solutions. Its a debt machine once youre on it very hard to feel like that if i must use them to look good also some public put on that lets start over and create a system of credit which would actually be sustainable which wouldnt destroy the planet because the current machines to a. Diminishing or high low up idea can that can exist to a piece on duty do test on come on adequate off economy. As you came out as 2nd here. Impose paramedics on it to produce a live wire problem sick over to that somebody to see that. And then who. Is a pow and i deny me. Said that then on any. When its date reaches a certain level the government gets caught in a spiral to repay its debt and the interest on it the government has to borrow more money year after year. Most eurozone countries are now in that situation they borrow heavily on the Financial Markets and from large private banks that fight fiercely to keep them as clients. Banks love to make loans to sovereigns why because behind the sovereign are millions of taxpayers and theyre not like the shoppers or its not like the consumers in a business because those tax payers never go away theres a new one born every single day and theyre going to pay taxes for the next 150 yes unless the country collapses so why wouldnt you lend to them because you know youre going to get your money back you know theres no Bankruptcy Law you know that you can always make a profit on its safe lending whereas if i go to a firm that wants to innovate and produce a new asset you know firm that maybe once decided they want to build steam engines and 1700 or something i dont have to risk assess the risk. Well thats too risky why should i invest in that why dont i lend to the government of spain or to the government of italy or to government of portugal i know there are a german taxpayers there a french taxpayers there all of whom are affectively backing up this debt so i fear of taking risks. Government data has soared into the trillions of dollars in euro zone countries but those figures dont really mean much if you dont compare them to the wealth of a country its Gross Domestic Product or g. D. P. The countrys debt is measured as a percentage of g. D. P. Here debt represents 50 percent and here 100 percent of g. D. P. In 1902 maastricht treaty laid down the terms for an integrated europe. In order to keep debt from getting out of control experts agree that a countrys debt should not exceed 60 percent of its g. D. P. But that critical threshold has been largely exceeded by most European Countries he joins us from get us what he can ask about it so more now we have a pretty up with the beauty of rio might have a pretty rigid there. When debt exceeds a certain level tax revenues start going up to pay interest on the debt instead of funding government expenses hospitals schools teaches. How can that data be repaid how can we ever get out of the spiral. If you put 2 on both in that as you know i guess youre yet divvy almost of a dead to cvs everybodys 100000000 copies are wrong he was up i think they sell out their coverage i dont know but a lot of that sean paul is exam proof for saying of all of his says that they did to cause like the balliol were tossed him it on bossy when i drove spur years should i think its. The property to go neighbor kid physick. About little to quit their battle. Off you did get you up at it. Has always existed it dates back to the origins of civilization it even predates the invention of money. The very earliest mesopotamian scriptures that we have are actually debts and credits calculating who owes what to whom when temples and other large bureaucratic systems. So what you have actually are Credit Systems and in mesopotamia they dont have cash. Private data has always existed but Government Data 1st emerged in italy in the Major Trading cities during the late middle ages. Florence jenner and venice were constantly at war which cost them dearly. To pay for those sovereigns borrowed from prominent family 1st government bonds were traded paying interest. Those prominence creditor families founded the 1st italian banks that started lending a lot of money to european markets who were caught up in endless wars. Most often the bankers were worried by the warlike rulers an easy way of getting rid of debt one that would be used for centuries. At the time governments had power over creditors only much later would that balance of power be reversed. After the 2nd world war in 1945 americas Marshall Plan granted 13000000000. 00 u. S. Dollars in aid to europes industrialized countries exceptional growth followed and the 30 years after the war were good. So good that they were known as the economic miracle in germany and the glorious 30 and France Business was brisk industry was in full swing and the growth of consumption was spectacular. She declined the polytunnel news unit on the his basically put it to School August recess im suited for humanly move to a bill to slug subi and cause so much wrong machinery if we wanted to our or figured on compile your film and the whole goes to show the doc opportunity would be filming on in bungay arse you did was it i wanted but he was a guy world cinema in the closets only there on time the b. B. Was an image will be a few miles of iraq good. In cost asked. By the end of the postwar boom in the early 1970 s. Government debt in europe was a great called low is thanks to growth and inflation but the economic machine would soon be upset by 2 major events. Good evening on august 15th 1971 Richard Nixon president of the United States his coffers had been emptied of the gold reserves by the vietnam war announced a staggering measure that would drastically change the world economy. And the dollar against the speculators. I read that secretary connally to suspend temporarily the combat ability of the dollar into gold or other reserve assets except in amounts and conditions determined to be in the interest of monetarist ability and in the best interest of the United States. But it was not a temporary measure at all the us president definitively kept the fixed relationship between the dollar and gold. The donor became a floating currency like every other currency around the world. All the currencies of the world that were either tied to the u. S. Dollar of the british pound by 971. 00 were now pure fee at currencies theyre not backed by anything theyre just backed by the confidence that people have in those currencies. Abandonment of the Gold Standard kid the way for significant currency market speculation. The free circulation of capital on International Markets intensified it was the beginning of a period of great financial instability. Yet. 2 years later in 1973 another major event occurred the 1st oil crisis. In one year the price of crude oil soared going from 2. 00 to 6. 00 about. Normal necessity to begin to meet. The dude it could be carter went to dinner some counseling to do so says on this subject dont include the option of the fed the minute he go to miter and say look democracy would set up a 40 minute no one knows a month that the knowledge will not suddenly produce be taller boozer. Comedy block no im pretty exact amount to him sure but it was. The sudden increase in the price of oil weighed heavily on the world economy. Put the brakes on growth. Production costs went up prices went up to. Inflation is skyrocketing. High inflation has a major drawback it impoverishes savers and investors since their money depreciates. For governments inflation became a new enemy to be defeated at all cost. After removal going on would have rescued a brief federal sop at all those are the Federal Reserve there is just no yeah fellow easy late plus will this no see you for valley going to me community you really are out there see going to be on the side out you cause i said i used to are classic you just dont call me a serial if what i was eagleman know in gone by gar on credit during the debate you feel silly it put you to such an icon by the convo but like you the idea to dish well much other friends your much of the money for today are see. But really dig that do all the kills you simply did before a welcome knowledge on global use it is on point only because if there are so many to not a clearance you get one or is it an economy to the finish on a cyclical season was wondering ago to make it up it will moan that it is on was under the economy all i wanted to fault was this additional lies of trying to buy them for that to develop is good i did continue pretty good continue on will say that. Nobody but. I dont not only see yelling for what you. Please you. Have no. Time now when you let it be weeks on a back to the hard basket will be the kimosabe on the day. If you didnt know but starting in the 1980 s. The industrialized countries began to borrow heavily on the International Market after which their public debt would never stop increasing. Margaret thatcher became Prime Minister in the u. K. And Ronald Reagan president and the United States it was the advent of neo liberalism and economic doctrine that also spread throughout europe. Governments everywhere were lowering taxes privatizing public assets these would be the years of easy money. Stock markets expanded wall street in new york the city in london. On both sides of the atlantic governments deregulated bank credit unchecked capital flows moved through markets worldwide. By deregulating and liberalizing those governments became dependent on Financial Markets which by then were an inescapable part of the Economic System. The debt machine was taking shape nearly everyone went into debt governments businesses and individuals. The Economic System had turned into a machine for creating debt. And the banks got rich on the interest paid by borrowers. Credits became the primary fuel for growth but how does created work. Banks possess only a small amount of the money they lend money is created by private banks on a simple request for credit and a promise of repayment. The sum is raised as soon as the loan is repaid that is a huge thing and its. How weve always created money from the beginning and its a wonderful thing if you have a Banking System that can create credit like that is a very good thing. Because it means you can create finance in a crisis you can bail out a id you could finance Climate Change you could you can finance a war and thats how weve always done this the public hasnt understood that the public thinks that money comes from me working hard if you know that for us you know during the soil working hard and at the end of the month i am money we are all wrong the bali bomb get rid of it so the it that a 1000000 people or so the renewable. Become left on his deal is going to bury the view of an awful. Void that would be in people raleigh i believe it lives a little more loans only of me to do the please do no border little locket did the new york city lit up usually like says oh it will be a whole lot of a new orleans. Clear about it gong to say about the piece also to know the gone piece also done on dollars and cents on this persona for example is another name to tell a soul economical love about as good as it is put to the put it document utility economy manassas on if you nasi going to tell you going to the Central Banks produced 5 percent of the credit in the world the private banks produce or create art of the net 95 percent of the credit in the world and they have no virtually no regulation over that now what kay has argued in the 1930 s. Was. We must manage this process it can create vast bubbles of debt it can go out of control. The 929 wall street crash in the United States prompted the british economist John Maynard Keynes to warn politicians the credit machine needs to be controlled to benefit all of society not just speculators. When we managed the Financial System between 19051971 there was not a single financial crisis anywhere in the world and then in 1071. 00 the bankers lobbied and they said no no no we dont need controls you know the market will discipline us we will blah blah blah and we began to lift all these regulations and crises began one after the other 1st to the periphery and then in a coup. 1909 saw the birth of the euro and the European Central bank had been created to ensure its stability. At the time Global Growth was strong the level of public debt was starting to decline europe was breathing easy. Confidence Financial Markets lent generously to governments and the weakest economies spain greece italy portugal suddenly had access to loans a very low Interest Rates close to those available to germany. That low cost financial windfall was an economic boost all was well fall out. Meanwhile in the United States americas housing bubble was expanding and in 2007 the subprime crisis struck thousands of homeowners lost their homes they had taken out loans with Interest Rates that rose sharply and they found themselves unable to make their mortgage payments many banks were in danger. On september 15th 2008 Lehman Brothers one of the largest u. S. Investment banks collapsed elected in. A phenomenal speculative surfin mess because the. Present so that your couscous a posse of honestly didnt so give you the prison p. D. P. You dont. Continue to look good if a few more on to. Lea