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tv   Counting the Cost 2018 Ep 6  Al Jazeera  February 13, 2018 8:32am-9:01am +03

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q. and a it centers on her childhood friend choice and still arrived at court within the last hour she's accused of controlling the president and meddling in state affairs u.s. president donald trump has unveiled a four point four trillion dollar budget for twenty nineteen it ramps up spending on infrastructure and the military but proposes deep cuts to health care programs for the poor and elderly it also includes eighteen billion dollars towards trump's promised border wall with mexico. to police officers in the u.s. city of baltimore have been found guilty in what's been described as the biggest police corruption scandal there in a generation daniel hills and marcus taylor facing life in prison for selling drugs and guns robbing homes and arresting innocent people ukrainian opposition leader mikhail saakashvili has arrived in poland after being deported from kiev he was detained by armed men in a restaurant in the ukrainian capital and then taken straight to the airport saakashvili is a former president of georgia later became a provincial governor in ukraine but those are the headlines the news continues
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here on out as era after counting the cost statement that's a watching by foot. news has another the. but the message is a simplistic and misinformation is rife listening post provides a critical counterpoint challenging mainstream media narrative at this time on al-jazeera. alarm hasn't seeker this is counting the cost on al-jazeera your weekly look at the world of business and economics this week wild swings for global stock markets why it could be a sign the borrowing costs are going up faster than expected. also this week suffragettes one hundred years on a look at how women in twenty eighteen are still fighting for equal rights in the workplace. plus a surge in u.s.
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oil production and why that's making life more difficult for opec. now they've been an eerie sense of calm where the markets had been concerned all of last year but this week everything changed and we saw a brutal sell off in global stocks which accelerated as the week got underway on monday and tuesday stocks fell dramatically around the world to raising all of twenty eight thousand gains in a matter of hours and then they recovered and have been pretty volatile since so what just happened well the prospect of higher interest rates across the globe was the main reason given by analysts for the market rout the world economy is just emerging from a period of record low lending rates and in some cases negative interest rates all designed to kickstart the economy nearly a decade of easy monetary policy has sent asset prices sky high now that's likely to end things like stocks bonds commodities and currencies are going to have to
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adjust to joining us now from london is david mad and markets analyst at c.m.c. markets good to have you with us david so the general. the consensus this week has been the stock price is a been high maybe too high for months if not years and that. a big drop was seen as a somewhat likely if not inevitable is that how you see it. that's exactly how i see it for too long investors were sleepwalking into the into the raging bull market that was going on underneath them and investors and traders forgot the financial markets can fall as well i was right and there was so much positive downturn there was so much positive economic indicators and there's so much enthusiasm surrounding global stock markets particularly those in the united states such as that of the dow jones and the s. and p. five hundred investors quite frankly got complacent there the ignore the fact that volatility was at multi-year loans and they assumed that the stock market's weak
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we'd keep reaching fresh record highs or a multi-year highs here in europe or in asia and then we did hit a bit of a speed bump and we saw. average earnings in the united states spike a lot last week sending fears we could have for rises from the federal reserve this year and that's what prompted this exodus out of equities i don't think this is as i just think this is a classic example of the market being over both of overstretched how the sell off we've seen recently was about the frost being taken off the top of the market and why do interest rate rises or in this case concerns over future rate rises why does that automatically mean a drop in stock prices what effect does that have the knock on effect on the economy and on investor worries well the knock on the knock on effect on the stock market is fairly straightforward a lot of the money that's in the stock market particularly in recent months has
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been borrowing money so investors are borrowing basically all time low rates rock bottom rates to invest in the stock market which was until recently having a higher yield to very recently and the prices were going up also looking at what's going on in the cash market or the government bonds markers higher interest rates warrant higher deposit higher yields a catapult. yes and also higher yields of government bonds so investors look highly highly value stocks i think while i invest in highly value stocks which are the media which have a reasonable yield or i can have a similar yield from u.s. government securities are perhaps some cash accounts with quite substantially lower risk so the there's a lot of talk about i could have been overbought in the first place and there is a prospect of higher interest rates all of a sudden traders cash in their stocks a plow the money into government balance and cash and just finally david are we now entering a new a new era where the era of easy money is is pretty much over and the low interest
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rates that fueled that we're now we're now into a new phase of raising rising rates and attempts to call the economy i think we're entering the transition period whereby central bankers in the last number of years had a very aggressive loose monetary policies to kick start the kickstart economies around the world and we're now are probably in the phase where the central banks are looking to step back and in many cases actually tighten the ties the monetary policy they get in the form of higher interest rates or a reduction in the stimulus package so it's almost like the economy has gotten off the ground another country is going to have to have to survive more of us all of them term rather than the guiding hand of central banks good to speak with you david madden in london thank you all for every six marked one hundred years since the first women were given the right to vote in the u.k.
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activists at the forefront of that campaign were known as suffragettes on a b phillips has their story. the way i did. was not cheering was an epic victory celebrated in the museum of london one hundred years since the first british women got the vote all thanks to the suffragettes who took on the establishment and won. it wasn't easy they chained themselves to fences outside parliament many were arrested beaten went on hunger strike one even threw herself at the king's horse in the famous dopy race. she died but the cause did not the suffragette struggles but they ultimately won for what they make british society today one hundred years on what they believe that women have achieved true equality. it wasn't until nine hundred twenty eight
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that younger and poorer women were also given the vote and says this very in character actor the suffragettes always hoped to inspire future generations when we went off i that's not going to be the end of all the fights you know we're going to have to keep fighting i'm sure and i just hope that we can set the precedent for that and they know keep fighting just as hard as we. she no doubt would agree emily pankhurst leader of the suffragettes and great grandmother of helen who wonders if the glass is only half full if every single measure of political equality we still have so far to go in every single parliament and in particular i need you k. we only have thirty two percent representation if you look at all other aspects of democracy so the legal system it's the the media reporting of parliament and of politics we still have a lot to go so well. comedy throws light on women
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struggles today it's humiliating but it also made it a fantasy the first week in our relationship that i earned. with british institutions from parliament to the b.b.c. by revelations of gender discrimination. and it feels like we're just failing over and over but we have to remember the suffragettes failed for over fifty years they only succeeded once and we only need to succeed once they are impossible is our normal life and we are the hopes of the suffragettes. our debt to the heroines of the past maligned in their day as misguided radicals we remember them as being on the right side of history a century later the struggle for equal pay in workplaces across the globe continues in twenty eighteen the world economic forum highlighted that women will have to wait two hundred seventeen years before they earn as much as men and have equal
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representation in the workplace. oxfam says that the economic model is not working women consistently earn less than men and usually have lower paid and more insecure forms of work the six point four percent of the fortune five hundred list of the biggest u.s. corporations are run by women the world's two largest economies china and the us consistently ranked poorly on the un's annual global gender pay gap survey but there has been some progress in january iceland became the only country in the world to make pay inequality illegal in april or u.k. companies with more than two hundred fifty workers will be required to submit data on pay grades and explain any gender gap we're joining us now from lancaster in england is sylvia well be a professor of sociology and unesco chair in gender research lancaster university there thanks very much for being with us so let me ask you first off then why does
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the gender pay gap exists and what are the factors. that that influence the pay gap the gender pay gap as a consequence of gender inequality is in employment and also in the wider society some research to tie to looking specifically the components of that disaggregated that gender pay gap into several parts some other is to to direct discrimination and prejudice against women some of that is due to indirect discrimination when women are treated less well for characteristics which aren't just about being women for example working part time some issues are to do with wider gender issues in society such as issues of the domestic division of labor and where the society looks after children or whether it's only the woman's responsibility and also issues of education whether women have equal access to education and indeed much broader issues of the extent to which there is gender balance and decision. making
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and whether women are full participants in the decision making in a particular society and if women are full participants in that decision making then you can see the fine tuning of both employment practices and policy practices which would facilitate women's greater engagement in employment and by close the gender pay gap in the u.k. they're trying a different approach the government is talking about making companies reports their their their pay and they do there by highlighting the disparities between men and women do you do you think that that perhaps might be more effective in equal pay legislation in terms of kind of shining an unforgiving light on companies that persist with this gender pay gap the effect of it in britain recently has been intriguing many people who did not know that they were being paid less than the month sitting next to them have suddenly realized that there is
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a significant gender pay gap and added their voices to this issue and we've seen some significant changes in company policies as a consequence has been a very interesting development in addition to the other rules but despite all of this these trends and changes it is estimated according to the world economic and economic forum the gender pay gap could take up to two hundred years to close or what do you make of that yes that's very very slow isn't it their estimates i think are based on slow changes in education working through the system and they have a notion of this very long change in the pipeline and eventually is that these gender gaps will close so on the one hand it's optimistic in that they think that this will just happen on the other hand this is a very slow process another big argument has been made though as well for that closing the gender pay gap is that it does have. it does actually boost the economy
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have you seen evidence of that indeed this is part of some of the principles behind the united nations sustainable development goals where goal five treats gender equality as a necessary component of sustainable economic growth so there is a wider recognition of these issues in international circles in the o.e.c.d. and also within the united nations but not every country in the world is running up to that. is very uneven you're absolutely right country is differ in the extent to which they drop these policies there are enormous differences between countries in the extent to which women are included in the decision making processes and this has significant impact on the development of those policies. if you look at the countries with the narrowest gender gaps in decision making for example the nordic countries then you see the narrowest gaps in women's
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participation in in economic development so yes enormous differences in countries around the world the differences show in the outcome for both justice and economic growth so we're well be thanks for being with us thank you very much indeed. still to come on counting the cost to our is in debt find out why that's ringing alarm bells and which country is lending it money. first changes to middle east aviation this we could help bring costs down for passengers on monday ryanair said it's launching flights to jordan for the first time the low cost irish line already flies to israel in morocco its first route from a man in jordan to power force in cyprus will begin in march now billionaire entrepreneur lawn musk made headlines to this week his company space x. sent one of his tesla electric cars into space well grenell supports three.
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with its twenty seven rocket engines roaring the space x. falcon heavy sword into the florida sky it's the most powerful rocket on earth with a thrust equal to eighteen seven forty seven jumbo jets working simultaneously at full power the successful launch gives a powerful boost to billionaire entrepreneur elon musk's company which wants lucrative contracts with nasa the u.s. military and satellite companies. onboard the unmanned ship musk's own cherry red tesla roadster from his electric car company with the space suit a dummy in the seat and a stereo playing the late david bowie's space oddity on repeat the rockets side boosters separated from the main body and flew back to earth touching down in a perfectly choreographed double landing the boosters will eventually be reused on
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another mission another booster was designed to land of war to ship at sea musk says felt going to have these payload will go into an elliptical orbit of the sun that extends as far out as the orbit of mars and will continue circling for hundreds of millions of years a some people have criticized the norns as an expensive stunt it came a day before musk's tesla electric car an energy storage company reported its biggest ever quarterly loss last more than six hundred seventy five million dollars in the last three months of twenty seventeen companies been spending heavily as it rolls out the next generation of the electric cars and social media platform twitter has reported its first ever quarterly net profits of ninety one million dollars it could be a sign that advertisers are beginning to spread their online spending beyond facebook and google up production from u.s. oil wells is an all time highs u.s.
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energy officials are predicting output will top eleven million barrels per day by the end of the year but this could not come at a worse time for opec which is trying to cut production in order to wipe out over supply concerns and support prices surging u.s. oil production could upset the supply and demand equation in the whole global oil market and there are questions too over whether its potential is being overstated. well joining us now from new york is and twined house senior research scholar at the columbia university center on global energy policy as well as a founding partner of chaos a data analytics company for the energy markets good to have us so let's start off then with that key question about whether demand will keep up with with this increase in supply to what extent is is this going to upset the whole supply and demand dynamic in the or markets demand has been extremely robust the more we talk
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about. and we talk about that a lot of the more of the demand looks to be rising that the stronger demand looks to be but probably the strength of demand of us for years has been really a response to the prices and you're right there's a concern that if prices go back up. we would see some some of the men response we tend to underestimate short term demand responses there not so if you can get that seems and they've also been some significant technical improvements in in the whole shale process and the way they're able to get the oil out and how quickly they're able to do that has that been a factor in all of this i think there's been lots of improvements i wouldn't say how quickly i think that's the opposite i think we. lot of the improvements the cost efficiency the cost savings though been realized in the search for years three years of low prices have come at the expense of the right be the ability to rapidly plough weeks and i believe supply out in fact if you if you look at the trend in
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the last year remember in twenty seventeen for most of the year with these are pumped it was less than people expected and then just recently september october november each other very very rapidly so is the international energy agency right in its in its estimates then are they are they over potentially overstating the. how how far shale could go there's always a risk in all of forecasting or big trouble eating from the recent trend from the latest latest numbers so i think the year is absolutely right it's to underscore the significance of this the revolution of big. media is a game changer in many ways but i think the latest forecast may be all of the mystic and maybe putting too much of fear in the in the most recent increase in the extrapolating from them i think they're very steep gains we've seen are not something we're going to see on their on
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a monthly basis we're going to see from time to time so what does this potentially mean then for saudi arabia and russia and this forecast that the u.s. will overtake them in production what's your take on that you know the forecast you know so it's a good headline that it's going to overtake. saudi arabia and russia is only overtaking saudi arabia because saudi arabia is reining in production deliberately because of the quota that's. sitting that's going to be placed in there in opec production you know saudi arabia could easily. go ahead of us with action i think is it's right you now have a market it doesn't really matter who's on top by a few barrels so you have a market that's not that many of the three major players russia saudi arabia and the u.s. and what happens with these three the minute you use was so in the you have a leading impact on the market and it's all it's all quite a far cry from from what saudi arabia had been trying to do in the past which was
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to increase production in the hopes that that shale production in the u.s. would would be driven out of business by either the lower prices because it wouldn't be economically feasible or that strategy clearly hasn't worked as if that's a strategy i'm not convinced that the strategy might have been the case you know i think this prodigy whether it works what it what it was worked. because the market has to be balanced it's been a very dramatic you're drawing inventories over the last more than a year so we are seeing a rebalancing whether it's coming from syria from other sources of supply or on the strength of the man perhaps that you know that doesn't matter so much for the saudis or for anybody else in the market so how big a headache is u.s. shale production for opec going forward then where is something that nobody fully understands because it's a it's a young industry so there's still
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a learning curve it's still evolving things are moving constantly learning the technology the pods the political environment people is that market environment evolves the cassock out to the investors are changing we've seen recently some of the private equity that have been making this. suit for the action possible move away from sue so there's there's a lot of changes in this industry and i think it's a challenge for everyone to understand what their what the trends are what the what the prospects are what the look of it is. and it's not different for the saudis and for anybody else but it's not necessarily all bad news all good news all right and one house could speak with you thanks for having me ship and finally concerns are growing about how much money the government in laos is borrowing from china why in a reports from the laotian capital the n.t.n. . the coffee industry in laos is one of the fastest growing in asia its output is
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still small compared with regional leaders like vietnam and indonesia but fuelled by increasing demand from neighboring china production grew by more than eight percent last year bro is say laos has a real opportunity to take the industry to the next level through improved infrastructure like better processing facilities he must have financing but despite it being one of the few lao export products is no sign the government is willing to help. on regard projects on hydropower on mining on tory right no small are not enough supporters. indeed the government has big plans to shake off the tag of one of asia's poorest countries it wants to graduate from the united nations least developed country status in the next twelve years and it's turned to china to help fund big projects like this economic zone just outside the capital. which is being
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built in anticipation of the city expanding quickly and a six billion dollar high speed train line that are run from southern china. but the amount of money the lao government is borrowing for the projects is causing concern. public debt is estimated around sixty eight percent of g.d.p. and almost half of the money is being borrowed from one source china. financial sources. to be risky because. this is going to be exposed through this business over china created. the lao government says big investment is vital if it's to improve the livelihood of its people one priority is health care which like many aspects of laos society has fallen into disrepair through poor governance and neglect the main hospital in the capital was built by the french in one thousand nine hundred three and is head few improvements since
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but as part of the government's health care reforms work will soon begin on a new hospital to be built on the same size built with chinese money. and that is our show for this week get in touch with us by tweeting me at. a.j. c d c when you do or you can drop us an e-mail counting the cost at al-jazeera dot net is our address there's more for you on line as well al-jazeera dot com slash c.t.c. that will take you straight to a page which has individual sports links and entire episodes catch up. that's it for this edition of counting the cost and has a secret from the whole team here thanks for joining us the news on al-jazeera is next. cut. and monday pointed.
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u.s. and british companies have announced the biggest discovery of natural gas in west africa but what to do with these untapped natural resources is already a source of heated debate nothing much has changed they still spend most of the days looking forward to full dry river beds like this one five years on the syrians still feel battered or even those who managed to escape their country have been truly unable to escape the war. the scene for us where on line what is american sign in yemen that peace is possible but not what happens not because the situation is complicated but because no one cares or if you join us on set there are people that the choosing between buying medication and eating basis is a dialogue i want to get in one more comment because this is someone who is an activist in his post of a story joined the global conversation at this time on al-jazeera coming.
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up. on. the benefit of people so bad to see all. documentaries that open your eyes at this time on al-jazeera. hello i'm daryn jordan in doha with a quick reminder the top stories here on al-jazeera south african media are reporting that president jacob zuma has been given forty eight hours to resign by his party the african national congress follows a thirteen hour meeting on monday to discuss seumas fate he faces hundreds of corruption charges but has refused to stand down before his term.

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