tv Boom Bust RT May 28, 2020 12:30am-1:00am EDT
this is the one business show you can't afford to miss branch of war in washington . the e.c.b. is forecasting a major hit to the eurozone economy due to the covert night outbreak and this comes as the european union is i a major stimulus package to save the region's economy and if it coronavirus continues to pound brazil as the latin american giant is now the new epicenter of the virus we break down the toll the disease is taking there and around the globe and later.
a new era of private space development lies over the rise in the future hold for the growing sector we have an expert panel standing by with a packed show today so let's dive in. and the eurozone economy is doing worse than initially expected facing a recession as bad as the european central banks worst case scenario according to e.c.b. president christine legarde now economic output in the block is set to contract between 8 and 12 percent this year old guard pointed out a previous estimates of the milder downturn are now out of date the e.c.b. will release official projections for economic growth and inflation in the block and next week meanwhile the european union on wednesday proposed a 750000000000 euro recovery package to help member states deal with the recession brought forward by the ongoing coronavirus pandemic president of the european commission spoke about the situation. the aim must be to invest together and our
common good we will be bolts by raising unprecedented amounts of funding at european level we will be focused by channeling the funding to the new priorities that will shape the future. and to achieve this we're setting up the next generation e.u. worth 750000000000 general we will use the bulk of this money to help member states recover from the crisis and build up their long term resilience cut by city. and for more on the state of world economy of us bring in professor richard wolffe host of economic update and boom bust co-host christine. let's start off with you professor wolf we actually had a question here for you actually the vice president of the e.c.b. has actually backed the unprecedented stimulus packages launched in the region and
now fiscal deficits are expected to widen even further what are the financial repercussions of this and is there any other alternative. well the situation has been allowed to get your rate your arse hole sure a unified way through or economically a bit hard to achieve last launch the reform and it's a little it can eat grass should do 8 august or enormous really i think they are actually going to grow an enormous amount of money it made them very well not be enough they had hoped to somehow just lie through very much looking at her long term consequences not on what the borel. transformers are what and guide them commentary consequently in that way they're like the united states and the girl huge amount of money cross your fingers don't move. very hard
and worth the consequences because unless you actually read mr bascomb you know we're really not going to worry over our because research the rot really finally crash it's that red river intensity that makes them accurate mid going to be our earlier predictions we're out of date we're going to head home to slip through them very very serious a problem for europe and now kristie kind of the same point the same day that the e.u. proposes a $750000000000.00 euro recovery fund japanese prime minister shinzo abbay approved a new $1.00 trillion dollars stimulus package what's included in that package. well this package is really significant not only because of the sheer amount in the package but also the scale of it it significant as it includes direct spending measures higher medical spending rent subsidies and business subsidies now this new package will take depends total spending to combat the crown of virus to about $2.00 trillion dollars or about 40 percent of gross g.d.p.
and to further modest putting this into perspective this lending is now approaching the size of the u.s.'s who is currently sitting on top with $2.00 trillion in 8 programs so now in order to fund this japan will issue an additional $31.00 trillion yen and government bonds which will push the new j g being issuance in this fiscal year to a new record of 90 trillion yet and analysts suspect that this may not even be the end of it and there could even be potentially a 3rd round of helicopter money and if it does depend make face the very real possibility of a credit downgrade which would be just disastrous for the economy now professor wolf i wonder if you're here because as hostilities intensify between the 2 sides how bad could relationships between china and the u.s. actually get could this turn into another full on cold war and what will it mean for the economy going forward and i just want to point out that you know we've had some new news about the c.f.o.
of wall weigh in their canadian court case as well for extradition so there are a lot of things happening here that are not going to help necessarily relationships between china and the united states. well i think what you mean if i can agree with a historical parallel which is really all we know. is a little bit like what happened after world war one as part of the great depression contrie strategy to get it through with a minimal they quickly discovered that you know hold that the invisible hand of capitalism will heal itself that won't turn out the want real well so then they try to get it law and with a little then ill. little isn't enough and they have to give and which more then every instant be rich 60 so then they turn as you can see we're doing to be ashamed of his anger trying to push themselves at the expense of somebody else badmouthing of our marriage dumping on immigrants and now the cold war revival with china it's
a way of deflecting attention from the difficulties at home there's somebody embroiled out here are going to go all the answer depends on how desperate to start and support and since the initiative here comes from the united states and not from china or all kinds of reasons the bottom line now is how desperate will. come as we get closer to election time to face a crisis which they will need to blame on someone and the work to make that someone china is what we're watching. now kristie i want to talk about this because we have the r. and b. actually crashing to record lows against the u.s. dollar amid these tensions between the u.s. and china what's happening in this escalating battle between the 2 superpowers on your own your opinion there. while the reason for that particular leg down this morning appears they coming from 2 of china's most valuable u.s.
listed mega cap companies who are now pushing ahead with multibillion dollar share sales and hong kong now this comes as u.s. lawmakers are putting additional pressure on chinese companies are to disclose their financial information either that or face delisting from the exchanges so the companies now are not in sync which is an online gaming company and j.d. dot com the economist dion has often compared to amazon the 2 company about aiming to raise about $2.00 to $3000000000.00 in a june listing and by doing that google china is also exploring options of doing a secondary less than hong kong or elsewhere and now this is a have major ripple effects across the entire investment community as china has arranged the premier growth. re and a major allocation in any investment firm portfolio so i back want to argue that the entire ball rally in the last 10 years apparently driven by the china growth he says so by restricting access to investment opportunity this will severely impact returns and my delisting where essentially just invoking another barrier and restricting capital flow in the market so this will have
a tremendous result and opportunity lost on both sides as companies won't have access to u.s. capital and u.s. will have access to china's growth professor richard wolf and kristie arcos a boom bust thank you so much for that expert analysis. thank you and let's take another global look at the trends and spread of the coronavirus with our 2 correspondents tablature where we worldwide today so brand worldwide the virus has now affected nearly 5800000 people and killed over 350000 here's what's going on globally so i made this pie chart and i'm looking at down by regions that have kept some countries although i happen not mentioning them to show for example in north and like in europe there are other countries being affected so 1st i'm going to be talking about confirmed cases so the most cases have been in north america obviously in the u.s. where there's been 1700000 cases and 1100000 cases which are actually still active and as of may 20th each state that had imposed
a stay at home order has begun lifting the restrictions and people are allowed in some places to go back to restaurants and offices and places overall worship now moving over to europe these 5 countries have been hit the worst u.k. has out over 267000 come from cases followed by spain 236000 were italy is not too far behind 231000 france and germany are behind these 3 but their numbers are significantly lower and all of european countries have started easing some kind of restrictions for example in italy while foreigners can't visit yet locals are flocking to their beaches now moving over to asia where russia and india have had the most confirmed cases in russia currently has over 370000 cases and moscow will began to gradually ease
some restrictions starting june 1st and india has about 157000 cases and most of india's cases are concentrated in the in. western area which is home to the financial hub and then we have south america where brazil and per room are seeing a number of confirmed cases now brazil still has the most at 400000 cases but many health officials worry that number is actually about 20 times higher now over to the middle east. is still leading with a 140000 cases and their newly elected 268 member parliament met today and images from the meeting showed that many did not even wear masks and did not observe a social distancing either now lastly in africa right here south africa still has the most confirmed cases with over 24000 where they will begin to ease restrictions
starting june 1st and i want to go over to the next chart which shows which countries have the new new list cases so that us in north america is trending with the most cases but it's actually that trend is going down which is why some states are starting to lift a lot of restrictions and so what's really significant in this picture is that some countries are appearing to have significant increases in new cases in asia russia and india are seeing new increases daily and even lower to south america brazil is still seeing the most chile and mexico are also following in new confirmed cases that we're seeing within the last 24 hours now moving over to the middle east were as iran has had the most confirmed cases could tar and saudi arabia are catching up
where they're getting a lot of new cases and then we have in africa you can see this right here but south africa still leads in confirmed cases but at a very low number and then lastly we have. europe which united kingdom has had the new cases but lastly i want to talk about the number of deaths which has had 100000 in north america in the us this yesterday actually and now what's the difference is that in europe to mortality rate is a lot higher as in the us the mortality rate is about 5.9 percent in europe differs between 11 to 16 percent and in south america brazil is also still leading with number of deaths in mexico asia and china there is about 4600 deaths and but with the crazy thing here is verses in asia with a population of 1400000000 people we have in the us population of
330000000 where the mortality rate has been a lot higher. correspondents thank you for keeping us up to date. time now for a quick break here because when we return a new era of private space development lives over the horizon but what could the future hold for the growing sector we have an expert panel standing by and as we go to break here are the numbers at the close.
join me every day on the alex i'm unsure when i'll be speaking to a guest of the world of politics. i'm sure. i'll see you then. model as a model a business model and we look at these startups in silicon valley like the ones you mentioned we work. waste their. list they're all losing money exponentially so many after a. while maybe the model is to lose money and so who is laundering the money laundering the money. that in. some way you don't feel that's the. bank itself moving to. us we've got to. be in the distance had.
a plan and i'm pleased and i think. this is the only thing that we do. it is music because everybody fights his own way. to. the floor and you can talk to 50 founders were persuaded her to have a whole movie about a lot of. what i see it is this is the found that is a constant thank you. and welcome back wednesday isn't his story today marking the 1st time
a private company has carried humans into earth's orbit with the final destination of the international space station 2 nasa astronauts retired marine corps colonel doug hurley and air force colonel bob behnken will take flight in space x. crew dragon capsule atop the company's falcon 9 rocket the rocket will take off from the historic pad 39 a at florida's kennedy space center the same starting point of apollo era era missions including the moon landing in 1989 now after the falcon 9 launches the crew dragon into the upper atmosphere the capsule will separate from the rocket and begin heading towards the space station the falcon 9 rocket will then return to earth where to supposed to land on a drone ship in the atlantic ocean northeast of cape canaveral for reuse this also marks the 1st launch of u.s. astronauts from u.s. soil since 2011 since then the only way to set astronauts to the i.f.'s has been on russian rockets launched from kazakhstan now when it comes to the cost of these flights a 2 $1100.00 report from nasa office of the inspector general says seats on russian
soyuz launches have cost as much as $86000000.00 each and roughly $55000000.00 on average over those last 10 years the same report estimates seats on the crew dragon will also cost about $55000000.00 with all that said let's take a look at the significance of this moment and the future of commercial spaceflight with erin peggle executive director at the center for space commerce and science and rick tumlinson who is the founder and chairman of space fund as well as the co-founder of the space frontier foundation thank you both for joining us on this massive day here rick i want to start with you how do you mental is this 1st manned space flight to enter the international space station put on by a private company how big is this. this is huge. you know this is where we've been building to for many of us for about 30 years and though this is
the beginning we believe that it is bryant's full word for being able to put human beings in this space. not using the gateway or the airline. that the government now has and opening it up more and more people where we can expand and create an industrial plant. and gentlemen i have some unfortunate and breaking news right at this moment it appears nasa and space x. have been forced to postpone the flight i know there is some weather conditions that were coming up we're getting multiple full reports from multiple sources but that doesn't take away from this conversation because this is still a monumental moment i believe they're going to reschedule it for the weekend so erin i want to talk about this more we just mentioned the cost of these flights costing nasa roughly $55000000.00 versus the upside of more than $85.00 when we're launching out of kazakhstan are these savings going to actually make
a big difference in space exploration. oh absolutely. so it's something to not it's not just about the per seat cost but also about how many people you can send at $1.00 time so you think about the international space station and this is the primary purpose of discrete dragon it requires cost maintenance and part of that is due to age but also because we're in a how this environment with a lot of experiments and kind of learning as we're going so the savings on percy plus being able to send additional people at one time that really allows us to maximize the potential of the i assess offers and now rick are there are some major concerns about having private companies becoming the leaders in spaceflight and exploration i mean it's not always the most trustworthy situation when you put a private company in charge of something that is so important obviously on these 1st several we will see the most everything take precedent and safety and
everything but there are the concerns that as people get complacent in the private sector and they start to try to cut you know save money is that a concern for you. you're inferring that we should trust the government more and by that. the goal here is in transition from government science and exploration activities in space to the opening of a space in the front sooner where people can build businesses and perhaps well now that we eventually know their homes instance we want to get there but the only way to get there is to begin to know our flood of taxpayer funds and start creating revenue streams that allow us to do that and what's now also working with companies like space x. and the other providers that's starting to create a bit of a competitive market using the purchasing power of the government and this new
station we're in pushed cars now so more and more people can go and more and more things will have now erin obviously and as rick actually just mentioned we've been focusing on space x. but because of their big news which was most apt today but of course there is virgin galactic and blue origin as the other big players as well are there plans to actually make these companies profitable and how exactly would that work. well. i think we have to remember that all of these firms are dealing in transportation right so yeah we're going from the from earth to space and that's very big and powerful but the way to be profitable and transportation when the transportation industry is to be able to leverage economies scale to be efficient and be able to increase your frequency of deliveries so they'll get there just brought a stage at this point where their concepts showing that they can do this safely and
reliably and to the point where as we see that we're going to see them become more profitable because they'll get better and better and overcome that learning curve and now rick obviously this flight was. but one of the big things that we've heard about it is tourism and i think to what you kind of much of a i want to this is a bigger term but colonization maybe is not the right one how can the private industry sustain itself with nasa and the ultra wealthy as their only customers. again that's and we're going to stay away from the work colonization trying some of whom i am again i don't mean to so much on this it's more enduring the aggro that's great. claims. everything's going to change nothing there's somewhere for time to conversations going to be very you know. i do believe that it's. we will start you know basically and i want to be really clear you have to eat a lot of this to make money name
a new climate. of this and then once they start doing it and building that infrastructure and transportation. then we're going to see lots of private companies coming in and you're kinds of products. that are beneficial to the greatest you could think. rick thomason air and pay go thank you both for their expert analysis i wish it was better news that we would get to see this launch happen on wednesday afternoon but unfortunately we are not and right here in studio we're joined by host of the news with rick sanchez rick sanchez himself who has been following the story. unfortunately we've had a cancellation rick what happened so here's what happened just about 3 minutes ago we 1st heard mission control start to ponder the possibility that this thing might be cancelled then we heard the flight director say if you could just give us 10
minutes if you could just give us 10 minutes we know the window will be clear sounds like there was some conversation going back and forth as to what they could possibly do i'm not expert in you know maybe many things about iraq and so there's no want of a but what we do know is that they were fueling the rocket a rush or they were fueling the rock liquid acid i was waiting out yes yes so but they had to pull the plug they had to pull the plug the conversation seemed to be about whether there was a front in the area that you look you know florida and certainly i know florida and what happens in florida is that you literally have fronts that come through could last like a half hour then they'd leave and it's a beautiful bright sunny day well they just happened to catch one of those fronts that were coming through they've been negotiating whether or not they'd be able to clear that window since early this morning and we've heard it in the conversations and they kept telling us that there was a possibility they would have to cancel that just about. oh i would say about 3 or 4 minutes ago we 1st started hearing the 1st inklings from the flight control
operator saying look i don't think we're going to be able to do this but we can't be sure yet if we could just get 10 more minutes we could make it if we could just get 10 more minutes we could make it now you know at this point we were looking at what 433 right there was no way that they were going to be able to do it at 433 so that's when they pulled the plug admitted in our college call john he told you earlier that it had to be exactly 433 so he said exactly so unfortunately that did not happen with rick sanchez rick sanchez thank you so much for coming out to give us that update here if you have to that's it for this time you saw the demand on the brand new portable t.v. at the valve on smartphones through google play and the apple app store by search of portable t.v. or stream is to your t.v. by downloading the portable t.v. app but apple t.v. and online exportable dot tv keep an eye out for a variety of new content coming soon find out more portable about t.v. next time.
culture on earth has prohibitions against. the same time virtually every culture and nurse words in the in the sleep issues killed the right person one stating it is the most horrendous down wishing seeing the hatch in the room and in the other setting is a wondrous thing they will give you a medal for that. because of this people will meet with you because you're good at doing that sort of say. $54.00 jets and more than $1300.00 military personnel are headed. air force base in alaska where is that to say come on i'll show you what's the reason
for any type of enhanced u.s. military presence in this area rush up. what is it suddenly about the south china sea that makes it so that it 11000000000 barrels of oil. take a look at this map who really owns what kind of says no it belongs to us india says no we claim that that belongs to us both of these countries have nuclear weapons capabilities there is reason for concern so that's why we're going to drill down on this story for you today right here on the news with rick sanchez where you know as we always like to say we do believe by golly it's time to do news again.
and we said. just that. there's enough. but i'm also the most companies you know i've been a kid who says if they. come to see people in the school yeah you know because we didn't you know it's just. it's for you know i called. them and they had to see from the. ceiling in the room you kind of. think. of them they could come to you and this too. so to. speak is the.
greg. i am asked as are this is the cas the report let's talk about some images let's talk about mame warfare here's a damaged and it says right here we don't have protection against maims we've been talking about this on the kaiser report how means are going directly into your own conscious mind shifting global consciousness and presenting a new reality in spanish for our spanish speaking audience noti almost protection from today all those minas clearly. you got that here's another.