A hostile takeover. According to guidelines issued by the government china said it will raise penalties on intellectual property theft this is an attempt to address a major Sticking Point in the ongoing us china trade war the worlds 2nd largest economy is also looking to lower the threshold for criminal punishments for those who steal i p the u. S. Wants china to crack down on ip theft and to stop forcing American Companies to hand over their commercial secrets as a condition of doing business there the 2 countries are working toward a phase one trade deal theyre very close to signing that agreement a global times also treated china in the u. S. Are close to that one trade deal and China Remains committed to continuing talks for a phase 2 or even a phase 3 deal with the u. S. Earlier today when asked about that trade deal Chinese Ministry of Foreign Affairs spokesperson reiterated china stands on a quality and neutral stance. To moment or. Guarding the china u. S. Trade issue our stance is clear and consistent we hope the u. S. Side will meet us halfway find a solution that is acceptable to both sides based on equality and Mutual Respect it serves the interests of both countries and the world. But the partial deal leaves the more controversial issues for later discussions this leaves us in beijing officials lawmakers and even trade experts doubting that a phase 2 deal will even be signed by next year a chinese official told reuters its trump who wants to find these deals not us we can wait reuters also reported signing the phase one deal could slide into next year as beijing demands for removal of more tariffs beijing officials dont anticipate discussing a phase 2 deal before the u. S. Election in part because they want to see if trump actually wins a 2nd term for more on the ongoing issues regarding the u. S. China trade war and the u. S. Acquisitions that we just spoke about we bring in the editorial director at the American Institute for Economic ResearchJeffrey Tucker jeffrey thanks so much for joining us today i want to dive right in and start with the ongoing trade war contrary to media reports both sides are saying that theyre close to a phase one deal but will we see the signing of that partial deal before the end of this year. I think its likely theyll be some cosmetic deal if not before the end of the or maybe for the 1st of the year just just for political reasons for hopes that markets can begin to calm down but i dont really think its going to amount to anything so heres whats really important to keep your eye on here what china wants is a lowering of the Tariff Barriers so they comes top of this for tele route telling tory measures that matters more than anything else the trumpet ministration does not want to budge any aspect of the terrorists at all this is very critical to understand the tariffs were never really a bargaining chip they were always a policy that trump wants and sacked he thinks the tariffs are as great contribution to the world you know hes reversing 60 years of american trade policy and he thinks that makes him awesome and its wonderful and not only that he believes that theyre actually working for the American Economy despite all. And nobody can convince them otherwise so this is very important let me ask you this a lot of people are saying and even the chinese whom ive spoken to before about this trade war ive been following this for since the start of it are saying that they expect the terrorists or at least some of them to remain in place even if a deal is signed do you believe that. Yes i do believe this i dont think theres going to be any movement now they may not get worse but all of the existing tariffs are expensive to trump sat out to do years ago he said that even during campaigns of what he promises what he wants he loves the revenue and he thinks theyre good for the American Economy again despite all evidence so i dont think theres any chance for for china to win on this tariff thing and this is this is an implacable position by the trumpet ministration its time that wall street and World Markets deal with it tariffs are u. S. Policy you mentioned something about you know china to go shares way to deceive tribes going to win elections i mean that i think is really true they dont want this guy to continue this and by the way i dont either i mean i think this is this is a crazy policy and im in fact im speaking for practically every important trader in the world every market watcher and certainly almost every economist through that with the exception of the 2 or 3 that are working for the Trump Administration these tariffs are very. Now what is heres the other questions like what does trump want from china and i can tell you what they want what he wants he wants china to bail him out of the problem the u. S. Has right now in massive grain surpluses especially in soybeans right so the u. S. Has the industrial policy that is massively over producing soybeans and corn and were looking for markets for these things they want china to buy a bunch of slavery in that nobody i dont really want to say this is the center of the problem well jeffrey and i think its interesting that you mentioned the what he wants you know one of the big issues that has been mentioned is ip theft and one of the big concessions that china is now looking at is raising penalties on ip theft and now this seems to be a very controversial issue of course but is this part of phase one or is it moving towards phase 2 i mean is this going to move the needle when it comes to coming up with a deal here for china ok so travis made a big deal about this ip theft and by the way its very popular in the twitter sphere everybody. Still you know people the way america owns no ip these are all private companies that own their own ip. Here is beholden to tim cook you know that dont you mean trump is beholden to them because he doesnt want to steal any of his any of the ip theres no doubt about that you know. Thats all fine but you know here heres the heres the worst thing that china could ever do is adopt us ip law all right so our patent system is a gigantic mess nobody understands it its full of trolls it choose the expense of a cause billions and billions of tens of billions of years ago your. Idea that china should adopt a us ip laws particular as a party is for pharmaceuticals is utterly absurd so what trump is china to do is to just send out a propaganda message were going to stop stealing but by the way the bush has to be clear what were talking about here and a Global Information age where everything can be reverse engineered you know the demand that china somehow comply with us i p strictures is really hindering their Industrial Development i mean thats just thats ridiculous its really rude and i mean it really is ip and with the u. S. Trying to kind of reconstruct china and what it stands for it seems but i want to ask you about the markets that have been pretty much their highest level amid some trade uncertainty right there roller coaster but is there any interest for donald trump to complete the trade war when markets have still been seeing some record highs he still touting the state of the economy of the United States what do you think. Well i think youve asked a very interesting question ive thought about this a lot i mean and general in a macroeconomic sense employment looks good the markets seem to reach to new highs and to me thats a tremendous credit for the power of the Global Economy to overcome every attempt to me to me thats like a tribute to the power of markets how ever if you look at a much more granular levels things like the u. S. Wind Power Industry or the Steel Industry in people reliance feels like a wall street journal article this morning on a keg company that looks like its going to have to shut its doors because the price of steel is going way up and theyre losing their markets i mean at a grand love a lot of people in particular agriculture everybody is suffering from this trade war so macroeconomic lee it doesnt seem to be like causing a Great Depression like smoot hawley or Something Like that on the other hand there is a lot of damage being done at a much more micro level and it certainly has seemed to restore americas Manufacturing Base those who are sure that its true and people are afraid of the word recession hopefully it doesnt come to that but you know a lot of a lot of hands are pointing at that unfortunately Jeffrey Tucker of the American Institute for Economic Research thank you so much for your time and your expertise. For. And speaking of that scary r word mexico entered a mild recession in the 1st 6 months of 2019 and had a stagnant 3rd quarter according to revised data from the National Statistics agency released on monday the mexican economy could try to buy point one percent in the 1st 2 quarters of this year after declining by the same number in the final quarter of 2018 now no matter how slight economists generally define a recession as 2 consecutive quarters of declining g. D. P. When mexican president under this man well beauprez obrador took office in december of 2018 he had promised to increase growth by in the nation by 4 percent each year now Analysts Expect the economy to make moves in 2020 estimating that the economy will expand by 1 point one percent on the back of increased oil and gas output wage gains and more public spending. Time now for a quick break but hang in here because when we were turned londons transportation regulator has tripped over their license to operate in the navy legal journalist molly barrows hopped in the drivers seat to tell us what this means for the right change giant and our chinese are blocking companies are issuing their own crypto currency focusing on general blocking applications the analyst joins us have to break it down and why this might be an issue and as we go to break heres the numbers at. You. Look at your dollar bill that says a Federal Reserve note note if you look that up in an investor pedia itll tell you its debt debt is a no right theyre not creating this stock has nothing to do with money its created is for mal the high its monetary formaldehyde and theyre trying to theyre complaining that the corpses a great thing and they just are failing to acknowledge that the Global Economy died in 2008 full stop. When there was only johnson. And i just got out of prison for like. 41 yes. 72 years so. I got arrested for took some money to. Go on like just everything was taken out of. Work and. I think it was. Meant to snow man that looks a little bit like me. Because about. Hamas i want to come. So youre going. To go. On the start of to try to give. Them something to do to. Young innocents have come to us. Especially brutal watching incidents because you so often do see their mothers being killed but also be caught up and voted. I do believe they laugh and smile i see it in these little ones the whole facial expression changes. Mcdonalds corporation agreed to pay 26000000. 00 to settle allegations that some restaurants underpaid their staff and 2013 mcdonalds workers through the fast food chain for a variety of labor violations these included using a time keeping system that prevented workers from being paid overtime as well as workers being forced to caulk out during times when the restaurants were quiet and employees were even denied breaks and the class action suit filed in california included 38000 mcdonalds cooks and cashiers all employed across the state as part of the settlement mcdonalds denied any wrongdoing and in a statement a spokeswoman said while we continue to believe our Employment Practices comply with the California Labor code we have decided to resolve this lawsuit filed back in early 2013. Adding that the giant food chain regularly adds trainings and resources to its corporate owned restaurants to promote compliance with labor laws. Who are stuck took a hit on monday after losing its license to drive in london one of the ride sharing companys biggest markets now city officials decided not to extend contract over security and safety concerns legal theres a lot here to legal journalist molly barrows contributor with americas lawyer joins us now to unpack what is going on and get behind the wheel as we say thank you for being with us molly what are the city of londons concerns when it comes to. They have a lot of lets say theyre not very confident in security practices they wonder how how safe how much safety is a priority for some their passengers so a lot of hesitation Officials Say the company is putting passengers at risk they decided not to extend it for that reason and they point to problems but with the Company Security processes that they say have allowed thousands of unauthorized drivers to pick up passengers are not happy about it as you might imagine one eventual say theyve identified 14000 recent trips involving unauthorized drivers passing themselves off as drivers basically by the uploading their photos to the accounts of these approved drivers and they also say has allowed dismissed or suspended drivers to creative recounts and carry passengers as well mover is appealing the citys decision calling it quote extraordinary and wrong they say that theyre going to appeal they are appealing rather this decision in the company also says its recently audited every driver in london and will soon launch a new facial matching process to confirm a drivers identity in hopes of improving safety so they can drive for the mean time until this appeal is heard molly this isnt the 1st time that hoover has lost its life and in london what other places have been restricted. Well theres been a number of cities where theyve actually been banned and in 2017 london refused to renew license back then. Citing similar security concerns including a response to serious crimes were appealed that decision they were given an extension of that license to operate a little bit over a year and in september that was extended to another 2 months but this time city transportation Officials Say theyve lost confidence in the way still handling the safety concerns and according to c. N. N. This is a pretty big hit london is one of 5 cities that accounted for nearly a quarter of the companys bookings last year were says it has nearly 45000 drivers in line and 3 and a half 1000000 customers there regularly losing its app regularly using its app rather so this is a pretty big hit if they dont get if theyre not successful in appealing this decision and as you said there are already countries cities airports that have banned not just uber but other ride sharing Type Companies as well when i know they have in london and in the u. K. In general they have more stringent guidelines you have to have you have to pass physical and mental stability checks as well so thats very important as well now you could tell us this how have these problems impacted financially. Was 5 took a big hit i mean this in his london made that decision over shares fell by more than 5 percent premarket trading and theres a lot of competition now so this company just formed in 2009 theyve expanded quickly to nearly 400 cities worldwide so whats happening in london could impact whats happening in other cities because there is so much competition and hoovers basically got to change its Business Plan to keep up with it and especially keeping up with growing regulations like what youre talking about some countries in airports have banned it altogether Ride Sharing Companies while others are putting more regulations like what you talked about on Ride Sharing Companies and by the way for the record im super glad theyre going to check somebodies Mental Health youre going to get in the car with a stranger you sure want to be sane and and capable so california theyre also having laws that require Ride Sharing Companies to treat drivers like employees so as we know drivers that work for other independent contractors in california say enough you need to give them more benefits need to treat them like employee. Ways so that means the company could be subject to more city and state taxes as well as access fees course that would price would be passed on to customers which make them less competitive and look at what the Companies Reporting as far as their revenues in the 1st quarter of 2018 they say they lost a 1000000000 on 3100000000 in revenue so investors are say its something to watch their struggle to maintain profitability as they grow and face these challenges absolutely thank you so much molly barrows contributor to americas lawyer. Thanks brant. A new report shows just how common it is for blocking companies to attempt to issue their own crypto currency in china approximately 89 percent of blocking firms which amounted to about 25000. 00 might have tried to create and issue their own tokens now in contrast only about 4000 are fully focused on block chain applications joining me now to share this and break it all down is cryptocurrency analyst ben so on ben thank you so much for being with us today. So these firms theyre issuing their own crypto currency this is these are under i. C. A. O. Is that correct. Yeah thats correct so so why is that so significant or even problematic. Well i dont know that its necessarily problematic when when you hear that someones issuing their own tokens their own cr