we figure if the 1% has the money, the other 16% must be confused. how can anyone be satisfied when 26% of us are unemployed or underemployed? just the latest example of the split in the country between those that have and do not have and those that are working together in alignment to help each other. i want to bring in former director under president reagan david stockman. a man who was one of the most aggressive in capitalism and opponents of capitalism. i want to continue the conversation we were having about the education newt and mitt are giving us. your assessment of the indictments of one another. freddie mac and fannie mae were a ses pool. newt was him krcritical in taki money from freddie mac and pretending they needed a
historian. but bh you look at the other side, i think unfortunately, romney was disingenuous when he e said he got an education in company creation, job creation and growing economy as an lbo artist. let s make a distinction. lots of folks in silicon valley start businesses. what s the difference in what mitt romney was doing? leverage just financial speculation. i was in the business for the same reason he was. i would not pretend i learned anything in that time that tells me how to improve the u.s. economy or how to build companies or create jobs. what i learned was how to strip mine the cash out of the company to pay the debt. what i learned was how to powder up the pig in order to sell it in the quickest and make money. it made some large gains. in some cases, had some bankruptcies in others.
government. if you re buying something from the government for cheap. i would guess there was a relationship. they put in $17 million. they took out $300 million years later on the yellow pages. technology was all the rage. how could you make it in the yellow pages unless you bought it really cheap and were part of a crony crowd that took it over for cheap. let s call that the italian job. when you look at the record, $100 in and a billion out. one was an italian job one was an inside job and one was a screw job. and that s a way to make money, but that s a fraudulent way to represent the narrative of capitalism. the question is is there anything can any of these candidates draw a distinction between crony capitalism and
other peoples money as we are all learning this. it becomes remarkably frustrating for the american voter, let alone people sitting around here to reconcile it. so i m interested in your thoughts of how we can apply pressure to all three of these people. the president, mitt romney and newt gingrich to talk about the elephant in the room. the elephant in the room is the federal reserve. the problem behind all this is the try fek ta of free money. 2% for ten years, you re encouraging people to build up leverage and spectate. it only showers gains on a few things. that doesn t help the economy. that s churning. you re saying any type of regulation is about speculation? those would be irrelevant. one issue is cheap money and the second is banks. banks are not free enterprise.
it was mainly free money from the fed. almost 0 interest rates. massive encouragement for people to leverage speculate. the reason those work is you have the green span put in the bernanke put. borrow 99 cents. buy 100 cents worth of assets and don t worry that anything bad is going to happen because the fed has your back. you re say we have done nothing since 2008. so is it going to take meltdown for a reset meeting? it sounds like it s going to hit rock bottom somewhere. . we re doing the same thing over and over. the top six banks had $6 trillion in assets. they now have $9 trillion. the top three banks in france have $6 trillion in assets. we have banks everywhere in the world out of control, stuffed with bad assets being propped up