tv Boom Bust RT October 31, 2018 12:30am-1:01am EDT
a co money city it was almost no coal mines left. the jobs are gone all the coal was a shed that's. lived to see these people the survivors of disappearing before their eyes. i remember thinking when i was younger that if anything ever happened to the coal mines here that it would become a ghost town but i never thought in a million years i would see that and it's happened it's happened. it's seemed wrong. but old paul just don't call. me old yet to shape out these days to come to advocate and indeed from an equals betrayal . when so many find themselves worlds apart when she's to look for common
ground. this is boom bust broadcasting around the world covering the world of business and finance and the impact upon all of us i'm part chilton washington thank you for being with us we're glad you're on board coming up today we take a look at global homeownership rates and then at some new u.s. housing numbers and we also look at the big apple events in the big apple new york city we'll tell you what took place and take a look at how consumer phone buying habits are changing with molly barrows plus
there is a new study out of australia which tells a story of academic infiltration in many nations nations universities by what amounts to spies and foreign agents alex mahela that joins us to discuss all of that directly ahead but first we had some headlines go. u.s. consumer confidence is that its highest level since the year two thousand the consumer confidence index or c.c.i. measures consumers' assessment of the present economic conditions in the united states and has increased from one hundred thirty five point three percent in september to one hundred thirty seven point nine percent in october even though it was one day left while some stock market traders and others are questioning the u.s. economic future based upon the c.c.i. consumers expect the economic growth to continue through at least the end of this year consumer spirits may be based upon that low unemployment rate we've spoken about before which currently stands at three point seven percent again that's the
lowest u.s. one employment rate since one thousand nine hundred sixty nine. and others maybe question the u.s. economic future as large credit card issuers capital one and discover are each tightening their lending criteria some say the move could signal the company's longer term concerns about the economy the revised standards impact credit limits and speaking about the u.s. economy during a recent earnings report conference call capital one c.e.o. richard fairbanks said quote and in some ways it almost feels too good to be true credit limits have been seen as a gauge of credit company views about the economy and their future and the future of the economy after the financial crash of two thousand and eight those credit limits were reduced sharply and began to increase only again in twenty fifty. and speaking of confidence any commies consumer confidence in the united kingdom has dropped two points although it did not go as low as some expected perhaps there is
more optimism related to bracks at the monks u.k. consumers and in the eurozone economic confidence also fell for the tenth straight month confidence particularly low in the manufacturing center sector in the e.u. and also in the euro zone the g.d.p. growth rate fell for the third quarter and stands at one point seven percent that's down four tenths of a percent from the second the two point two percent g.d.p. in q two some economists blame the italian budget crisis as one reason for the slowdown. and even as the united kingdom consumers may be more optimistic about the economic future than expected global businesses continue their exodus from the u.k. as the looming breakfast deadline gets closer and closer today there is more news that banks are leaving london from down under and beginning to look elsewhere in the european union just shift their primary points of operation the commonwealth bank of australia for example as applied for a banking license in the netherlands as the bank plans to open up an office if not
headquarters in amsterdam other large aussie banks have looked elsewhere in the. you including in germany the recent spate of announcements have threatened london's mantle as the financial hub for european finance and business as businesses leave london paris and frankfurt are seen as places where businesses may relocate their operations. today apple unveiled its leaner and meaner technology at an event in the big apple new york city there's a thinner i pad and lighter macbook air both with apple says or have improved security you may recall the company unveiled its new i phone last month but not everybody is lining up to buy the new products tech giants have to offer including smart phones molly barrows contributor for america's lawyer joins us now to explain
are some people getting sort of fed up with all the new cell phones out there are they still just as popular as ever. you know they're pretty popular but i don't think the demand for smartphones is going to go away necessarily but it's the demand for the newer ones you know there was a time when every time a new smartphone came on the market people were lining up there flying off the shelf and that's not the case anymore according to a new report from the wall street journal people are holding onto their older cell phones a lot longer which of course has caused a little consternation among carriers but the main reason and there are several seems to be tied to expense some of these phones are pretty pricey costing as much as a thousand dollars and also you know these contracts that they used to have it used to be that the price of your phone was tied to your monthly service bill now it's separate so once the phones paid off people like to see that lower monthly service bill they're not in any hurry to bump up their monthly costs again and so you're also seeing a similar trend in the u.k. replacement phone sales have been down for the past five years and then of course you had just last week which you reported on boom bust the italian competition
authority find both samsung and apple more than five and a half million dollars a day equivalent thereof because they were basically pushing updates software updates for their phones on their customers and once they did it their phones were moving slower and as a result they were getting new phones and it turns out their investigation that that was the intention of these new updates that they were designed to slow these phones down to be like hey go get a new phone sorry your old one is not working anymore so those sorts of things you know are going to help annual sluggish sales but it's still continuing to be pretty popular people aren't giving them out they're just not buying the new ones as quickly bart. molly my brother in law has a two thousand and three phone i don't know if it's a nokia or something and he only keeps like five or six addresses it or not addresses phone numbers in it and when it gets low he never accept an update on the phone never ever so he wouldn't get one of those makes slower things but when the phone does slow down he just hits a factory reset and he loves his phone and you know the worst case is you've got to
put five six numbers in all the time so i know there are some people are getting fed up with this i mean given everything that you've said molly what does this mean for the future of smartphones. well it's actually pretty interesting you know people are buying on like we said they're just not as desperate to upgrade because a lot of the new features that are coming out even though you have apple which came out with their new i phone last week and they're saying hey it's got all these special features people are like whatever sort of like your relative who saying you know i have my basic uses for my phone i don't need all these fancy have grades you're not going to entice me to get a higher bill and trade in my other phone for a new one that's more expensive but you know it's interesting there's a just this year the mobile world congress men they're talking about the future of smartphones and they're basically saying demand is going to continue to be huge and a big part of it is because they're making these additional technology features which are slowly evolving everything from get this we've heard a little about facial recognition they're going to try to make that standard i believe but they want flexible smartphones maybe even possibly foldable so that
they don't break as easily new ways to supply power so you're not stuck constantly hunting for a place to charge it and some more virtual features a variety of those wishing clues virtual images and set of just taking a picture you'll be able to look at what almost like you're in a store looking at what's on a bookshelf or a grocery store shelf so with all that in mind they expect there's going to be a consistent demand and by twenty twenty one international data corporation says worldwide smartphone shipments are going to be increasing by one point seven billion phones so everybody wants one everybody wants one molly but i just keep saying i mean to me all of the apps they load on there and apps that you can't rid of and all of the updater right and it was one thing back in the day where you did just one phone number six and maybe a couple addresses to now is there's so much there that is just overwhelming and and to me it just seems like maybe there's going to be
a lot of folks who maybe i'm just too old school that say enough is enough and to stick with something boy molly so helpful for you to take you through this thank you so much molly burrows contributor american lawyer thanks molly. are they smart . as markets continue to try to regain their footing technology stocks the darlings for the past two years have taken it on the chin with netflix dropping six point five percent in the past five days going from three hundred thirty two dollars per share down to two hundred seventy eight per share in trading today and amazon is down three plus percent in the past three days and trading about fifteen hundred dollars per share today yesterday i noted amazon trading was sixteen hundred dollars so it job dropped a lot just in the last twenty four hours both amazon and netflix have taken about a twenty percent loss in the month of october over all the u.s. market valuations also dropped by roughly one hundred twenty seven billion dollars
in the past few days. time now for a quick break but stay here because when we return alex male of edge joins us to discuss a new study which tells the story of academic infiltration in many nations universities as we go to break the dow jones made major rebound today after shooting up over four hundred points as of his nasdaq also made major gains to gold oil and bitcoin sadly are down for the day see in a minute. you know world is a big part of their lives and conspiracies it's time to wake up to dig deeper to hit the stories that mainstream media refuses to tell more than ever we need to be smart we need to stop slamming the door on the shouting past each other
it's time for critical thinking it's time to fight for the middle for the troops the time is now for watching closely watching the hawks. in twenty forty you know bloody revolution of. the demonstrations going from being relatively peaceful political protests to be increasingly violent revolution is always spontaneous or is it still or here. put me in the new bill is that i do schooling you go to the former ukrainian president recalls the events of twenty fourteen. those who took. his invested over five billion dollars to assist ukraine in these an article that will ensure a secure and prosperous and democratic.
welcome back u.k. chancellor philip hammond has proposed a digital services tax on companies like amazon facebook and google under current law u.s. tech companies doing business in the united kingdom only pay taxes on profits earned in the u.k. that could change under the proposal coupled with accusations that u.s. companies are using artificial means to keep their profits. taxes low it's no surprise there's been an increase in tensions over this issue for example while facebook made over one point two billion dollars in the u.k. last year the company only paid about one thousand million dollars in taxes chancellor hammond said his proposed tax would only target companies that make more
than five hundred million pounds about six hundred million u.s. dollars every year the plan is to create an additional tax rate of about two percent on companies which make money from things like social media platforms and or search engines the european union is also considering variations of such a digital tax into. crypto currency and block chain experts are in high demand and they are being snapped up left and right and news today the big four accounting firms ernst and young p.m.g. delight and price waterhouse cooper have been trying to increase their bench of crypto and block chain experts currently p.d.p. a c. has the most with more than four hundred block chain specialists in addition employing the use of block chain auditing tools ernst and young has already employed such block chain auditing tools the news comes with the work speed interest in block chain technology which is being adopted by businesses in myriad economic sectors including but not limited to finance real estate healthcare and
retail. and more tech news the u.s. government has told american firms they will no longer be doing business with food jean gin and watch integrated circuit a chinese company this comes after the u.s. largest chip maker micron technology filed a massive lawsuit against a semiconductor company accusing them of intellectual property theft gin was fired back accusing micron of being part of a quote international all of the which seeks to block the rise of china based chip makers peers pivotal to the larger plants of china as the nation has been looking to lessons its use of non-domestic techne. knology the chinese government has allocated over one hundred fifty billion dollars towards a fund which serves as a chip and technology incubator for such companies in china who musters may recall the back and forth on chinese tech companies earlier this year which resulted in.
longer being able to do business in the united states after it was learned the company sold products to iran and north korea. and speaking of intellectual property theft a new report out from australia says the chinese military is expanding its collaboration's with foreign universities and times scientists are not coming clean about their military ties to dig deeper we're joined by our teams alex mahela bichon toronto hey alex it looks like many institutions around the world if you look at the study are part of this but some countries in particular seem to be targeted what can you tell us. if you look at the australian policy institute r.c. the australian strategic policy institute they put out the study they were sort of you know ring that bell say take a look at this twenty five hundred is supposedly students so we have different levels of studies and strain their doctorates and b. are involved in these different studies that are going on master's level of course
and we have tons of undergrads as well and twenty five hundred are actually tied to the china people's liberation army that here's where the concern comes in and the concentration of these students here we have a little graphic for you where these compute students are actually going they're going to the five eyes nations which includes the united states britain australia new zealand and canada now if you don't know what the five eyes are they've got to the second world war these five nations decided to spy on everybody except each other together and to share all their information together so it's like one big bulk of countries that don't spy on each other but tend to look at what other people are doing looks like china is infiltrating if you believe this study and the diabolical means or other reasons behind it now the numbers have changed in two thousand and seven to the now you can see that these joint studies that have a bit of that have been happening so these are basically peer reviewed papers that were jointly done with the chinese scientists and their western counterparts back
in two thousand and seven there were ninety four of the ninety five of those dow there were seven hundred thirty four in two thousand and seventeen so up sevenfold you can see that this is happening here in canada university of waterloo it's a very prominent a well known university when it comes to high tech a lot of these people are are here a lot of people from china are studying at the university of waterloo and and here what we're seeing in the study and for also studies from canada is that not universities have been affected by this that we actually have people from the chinese millet military scholars who are working here in canada and doing these type of studies now. let's let's let's really break this down ok so the fear is what is the fear that they're picking up technology from the western world and taking it home now this is what the chinese say this is to create proverb they're picking flowers in foreign lands to make money in china well is that our kind of the point of international studies or the sort of the trading of information and doing this kind of stuff so since i mean they're not really trying to hide this so
this is the fact that this information is going back to china and universities here as well in these countries that are mentioned and they pretty much don't that you know alex and we were talking about this earlier and you know when i went to school back in the dark ages there were you know many international students a lot of chinese students and you know it's assume that a lot of them were going to go back and take with them that knowledge but i don't think they were part of you know that the army that they were actually doing sort of intelligence gathering and i know that based upon what we were talking about earlier you're telling me that they're actually a number of these universities are depending you know the research on what are they saying well i mean let's really break it down in the fact is that most of these people that come here from china to study even if they are from the military disclose their military backgrounds so this is not something that's hidden in most cases so we know that we're working with experts from china to develop whatever kind of technologies that we're developing be it military or communications
technologies except you're also much of this research is actually in the public domain so you can find this stuff on the internet or if you want to find it in the files at universities and take it out you can do that you can get this stuff where any way that you turn it so it's nothing really that secret we're talking about most of the stuff we're talking about and third of all what the universities are saying hey we're making a lot of money here china is actually investing in the research they're sending their students over there paying our universities these students are contributing to local businesses and so you know when you really break it. how much of this is actually something diabolical something's going on sure there is an aspect of it but in the bigger picture really it's about these international studies that are going on and we see that all the time now governments are sometimes saying like you know what we can't do this like we can't trade this information but when it comes to academia that's one of the biggest things in the world is sharing information and that's one of the most important things because that's how you move research
for forward be it from medical to communications or many other things that actually help people not harm people absolutely alex we so appreciate you dig into this for us r.t. correspondent alex male of age thanks alex thank you. homeownership is a luxury in many nations and for those that can afford to own a home it builds wealth and you can obtain a measure of financial independence and security looking at the world in which the developed countries have the highest and lowest levels of home ownership we find the city state of singapore with an astounding ninety plus percent of home ownership followed by bulgaria with home ownership percentages above eighty two percent also high on the list of spain slovenia and finland amongst the lowest of the nations that are germany switzerland with rates just above fifty one per cent. and moving to the united states it appears u.s. housing is slowing as new data points to homeowners staying in their homes longer
on average third quarter data shows homes have been on for eight point two years which is almost twice the amount of time home grown back in the year two thousand at the same time more home owners over more money than in the past here to help us understand what's going on as our friend debbie boyd of deal b. financial services who joins us from dallas debbie great to see you thank you for being with us we know you had a task getting here but we're glad you made it so exciting to have you what's your take on this new data i mean how many folks are underwater and by how much. you know it depends on how much personal family debt they're carrying a lot of families are trying to put kids through college with money from their homes so they're actually taking cash out of their homes to put those kids through college for their kids to get out of college with no debt the other thing is we've got a lot of first time home buyers that can't buy homes because of this point sometimes people are upside down because they've taken money out to pay off credit cards we
are carrying a lot of debt right now and why are they staying in their homes more than in the past and how long longer do they stay there. well i think people are staying there longer and their homes because a lot of people bought new homes or upgraded their homes when the interest rates were down the three percent not too long ago they bought that with the idea of staying there they're not going to move in given that three percent interest rate they might have from six to seven years ago so i think we're going to find him staying there longer to protect that interest rate they've got and are there particular places be when you look at the metro areas and look around the country where this is sort of more prominent where you really can't get out i mean the rates are going to be the same pretty much across the country but the markets are the same right. right right so a lot of markets have a lot of first time home buyer homes a lot of markets don't and that's the problem first time home buyers are now
spending two three four hundred thousand dollars on their first home my first home was seventy thousand so the times have changed a lot people are wanting better nicer brand new homes they don't want to come in and got them and fix them up like we used to so i think their expectations are more i think they want to nicer home than what we started out before they've always had nice homes and i think these interest rates are scaring them a little because they've never seen rates this high even though we did have rates when i first got in the mortgage business at eight and ten percent and that was considered a good rate back then are you seeing in your own business you know home buyers or people that might be would be home buyers saying rates are getting too high for them or are they just raising the concern but they're still going forward. all they're concerned about is the payments so they're going out to look at homes and if they find a two hundred thousand dollar home we average the rates that we put in taxes and insurance and then they look at that payment they're very payment driven not so
much interest rate driven and they go i can't afford that payment well if you look at a cheaper home they're not going to be happy so they're saying never mind i won't buy right now i'll wait til i save up more money to buy a home that i really want and they're getting in these luxury apartment living kind of areas is when we talk about new home owners and i mean it's crazy to think these numbers that you're talking about three hundred four hundred thousand for a new home i agree with you just mind boggling but is there a general problem in the united states with entry level buyers in today's housing climate. that they are they don't have a good idea of what it's like to buy a home they've never bought a home in this kind of environment which means they've got debt income to worry about i had a client fall out of looking for a home last week she got frustrated she said this is so much harder than buying a car like yeah it's a home there is no debt ratios to worry about in credit so they just don't have
a good grasp of what it means to be a homeowner today we have to help them in the mortgage business understand what that means it's a little bit bigger deal than a car is that it is it's a little bit more that's why they did people like you to explain what it all what it all means i know that housing struck stocks drop sharply last week and new home sales also dropped but it was five point five percent in september or seven bright spots when you look at all these numbers for for housing either new construction anything positive to point to debbie there is you know there's always a market rather it's a good market or bad market someone's always there to buy the houses so when first time home buyers aren't buying they're becoming renters you know what happens those houses that they don't buy because they can't quite afford to get in there they end up renting them from investors so investors are are now scooping up better homes and we're putting people in those homes so the investor business is going to pick
up as well that's a bright spot that's a bright spot that's a bright spot for you and we're happy about that and we're happy about the fact that you spent so much time with us today and you made it we know you had trouble get to the studio but really appreciate your efforts a debbie boyd of the g.o.p. financial services thanks a lot debbie see again thank you hi thank you. and that's it for this time thanks for being with us you can catch boom bust on direct t.v. channel three twenty one dish network channel two weighty or streaming twenty four seven on pluto t.v. that's a free t.v.'s that's channel one thirty two ers always hit us up on you tube at youtube dot com slash boom bust r.t. so long for now.
i have the honor to once again the interview alister croaky is a former diplomat and founder and director of conflicts forum and of course we're going to discuss the middle east. kentucky. boy you could very easily. be. a co money since you know coal mines left. the jobs are gone all the coal was just to. live to see these people the survivors disappearing before their eyes. i remember thinking when i was younger that if anything ever happened to the coal mines here that it would become a ghost town but i never thought in a million years i would see that and it's happened it's happened.