Mohamed El-Erian gives us his thoughts on living in a Paranormal World

[spark300c]

most of these countries were welfare states with high spending. It was matter of time before they get in debt hole that they could not climb out of. welfare eat way it economy because a lot not want to work or start there own business and make looks heather and prosperous than truly is. the worst the economy gets worst inequity but gets people to drive to increase production. inequity is macro economic signal that economy is not producing at full capacity

[Solosohi]

Lauren's legs @ 27:23 ... woah ...

[jerryvalez]

"I think central banks can no longer deliver economic outcomes, they can deliver market outcomes, but they can't deliver economic outcomes"

amen

[hotsaucze1]

bravo, no distractions or crazy angles, good informative show.

[bullshit3118]

That is bullshit, it is not the policy makers, it is the private sector driving the car. Enough of this government is in the way of free markets, they are little pawns to the paymaster. Mohamed talks very eloquently, but is he one of these vultures waiting to swoop in. The government is the only mediator the people have to control these private sector maniacs. We need to enforce the rule of law and bring back regulation and that is called socialism. I dont care if its an unpopular word at all.

[NathanHaleLives]

@bullshit3118 I couldnt agree with you more. it is hilarious how the political "counter culture" is arguing for more free markets when NOTHING is being regulated. OBVIOUSLY, we have a corporate private enterprise coup d'etat going on here. Americans are so addicted to this free market ideology it makes you wanna throw up. If you morons keep blaming the "gvoernment" as the problem, then its pretty obvious private corporations will "self-regulate." who else will regulate them? WTF?

[spark300c]

@NathanHaleLives I live in the usa. THERE IS NO FREE MARKET!!!!!!!!!! American has fascism. laws on books only favor the elite. Americans have been lied to.

[NathanHaleLives]

@spark300c Correct. We need to install the New Deal II, but without the heinous war myth to kick start the economy. it is a falsehood that WWII created the dynamic economies of the 1950s and 1960s, its the result of the government controlling monopolies and allowing healthy business cycles to rise and fall in the country. Down with Milton Friedman and the rest of the rats.Otherwise, America is gonna implode and all you credit card slaves are gonna be eating from the gutter

[spark300c]

@bullshit3118 problem that government is controled by elites. it been the policy makers drive the car for long time and the lie that private sector was in control. They ensure little guy goes broke and elites they pay them get richer. The free market had rules but elites hate these rules so make regulation that only favor them. many banksters broke the rules free market but can pay off the government so they do not get thrown in jail.

[NathanHaleLives]

@spark300c Firstly, a free market cannot have rules..it's free. if you can unravel that conundrum you should get the Noble Prize in economics. But of course, no one can. Rich people and their stooges--selfish greed mongers (the jealous ones that cant be rich) buy into this ideology. Milton Friedman is one such stooge. Ron Paul is another one. The rich love free markets when they profit, and when they lose they raid the government treasury.Let's overthrow this government. Spirit of '76

[spark300c]

@NathanHaleLives first of all the fee market does have rules. these rule no thief or fraud. No can lie about what they are selling and they can not take way any one by force. another rule is that there can not be cartels. Cartels rig markets make it look it there competition when there is none and can be considered fraud. The 2008 finical crisis was large result of fraud and a banking cartel but there government also push for bank to lend to people who not pay back loans.

[NathanHaleLives]

@spark300c First of all, not it does not. Adam Smith's "hidden hand" theory proposes that price discovery and the value of commodities will decide the flow of goods and services. Theoretically, there are no laws because the market dictates the ebb and flow of supply and demand. In the history of humankind, they have all been regulated because some greedy assholes tend to fall into more money then others. You are talking "legal regulation" of cartels that must be the LAW---REGULATIONS!

[spark300c]

@NathanHaleLives first of all you got to understand that inequity is macro economic signal of economy that is under producing. another one reason why some have more money than others is that not have one has same skills. also some time someone invent more productive way doing things and get rich. inequality usually jumps when maximum production curve moves outward. however there have been people who discover that free market limits how rich they can get so they cheat.

[NathanHaleLives]

@spark300c In addition, you are talking about "healthy markets" that benefit all of us, not free markets. Free market ideology is a term used for people that do not want to abide by any government authority or any other authority. This is how you get your monopolies in America. if you are anywhere CLOSE to your "free market" ideology, this it. How's that workin for ya buddy? Of course the cartels have their way, they were no regulated. Fuck that. Socialism regulates these bitches.

[spark300c]

@NathanHaleLives that not my ideology of free market. If monopolies form dishonest means that mean they broken rule of the free market. Free market is free to all parties. You are explaining the some thing that does not have name and close thing I can that you are think of is a black market. It imposable to have a free market with out clean government.

[bullshit3118]

Obama is mirroring Ron Paul. A classic co-opt method. Anyone who has worked in propaganda and intelligence knows what he is doing. Historically, we are the first empire to outlast its life cycle because of fiat money.This is the digital age nightmare. Unless an ideological schism occursin the American military, money printing will go on ad infinitum. there's no need to stop when you can print money out of thin air, hide it, or transfer it. guns and abstract numbers all the way down the line.

[baverch]

Regarding the show format, I think you should skip the talkie bits at the end with the producer and the lady in the control room, it seems to take away from the show's gravitas. Too informal. I can live without word of the day, although it's fun. This episode was great. 100% meaty content.

[stealthpakfa]

did this bimbo say that the US has deflation?

muahahahahahahahahahahahahaha

utterly clueless, wow, just wow!

[RTProducer]

@stealthpakfa yes, deflation does exist. Inflation exists. Dualities require it. that's why the S&P was cut in half during the financial crisis. That was DEflationary.

[lgarvey1979]

@stealthpakfa It is a depression fundamentally. Look at the contraction of M3!



[stealthpakfa]

how about having a show discussing the treasury bubble?

oh i forgot, we dont talk about bubbles.

nasdaq bubble was denied.

housing bubble is denied.

treasury bubble is denied.

[stealthpakfa]

lauren lyster is the typical brainless, clueless, retarded american bimbo.

just another walking vagina.

[RTProducer]

@stealthpakfa I have a theory. My theory is that you are a guy with a small utensil, that is intimidated by women like Lauren, whose thinking capacity supersedes anything that your brain could ever muster on its best day.

Demetri

[yaahme]

Great interview L., I think Mo is right on the light at the end of the tunnel i.e. keep some powder dry for opportunities just ahead of us. 

[BurnIt1000]

Hey Lauren. Your show is awesome. Living in Florida, I wonder when RT's going to get itself, and your and Max Keiser's shows onto Comcast.

[hpaulfuchs]

Hi Lauren,

How about an analysis of the US / NATO invasion and regime change of oil producing countries that had become disenchanted with the petrodollar. See George Washington's current post for more background on ZH.

[007HubbaBubba]

The Lady in Red

[007HubbaBubba]

Vewers Word of the Day:

Optimist,

A person who tells people to cheer up, when everything is going his way.

[GloryAtWill]

How do I contact Lauren Lyster???

[javime99]

Great interview, it's better when you do NOT break rapport in a great interview by doing a segment of word of the day.

[24Adrian24]

@javime99 agreed....is there anyway word of the day can be moved to the end of the interview? its a great segment though so I actually vote to keep it. Keep up the good work....Love this show!

[RTProducer]

@24Adrian24 @javime99 I noticed one other person mention this as well. We didn't put a word of the day in with El-Erian because we didn't want to cut any of the interview out (it was a pre-tape). It's an interesting request you guys are making. I happen to like putting word of the day in the middle of the show, and think it works really well with the segment. How many think it works better in the middl and how many at the end? I think the commercials, if anything, should go ;)

[24Adrian24]

I'm hoping that the time is extended to allow for a better flowing interview. I was always somewhat impressed with laurens interview skills, but she TRULY shines in this extended format. However, because she asks such great and thought provoking questions the guest really has to give extended replies to cover all the points she makes. At times this actually causes her to cut them off to meet time constraints. Please lengthen the show or yes, get rid of those commercials..tnx!

[NathanHaleLives]

@RTProducer Oh yeah, drop the commercials. Good idea.

[drtphd]

Quality programming. How refreshing.

[AgShaman]

El-Erian reminds me of that French race car driver in the Talladega Nights Ricky Bobby movie.

Lauren has some pretty interesting guests on her show. The James Bros. are my favorites (Turk and Rickards).

At the end of the day...I always tune in...a fella has gotta have a "dreamgirl"

Lauren has my vote.....PHAT Tails indeed! (sorry for the bad behavior)

[1977Melville]

El-Erian on RT?! Did CNBS fire him?

[doverlin]

Fantastic interview. Your guest, a former IMF charlatan, was very entertaining. What he knows and what he espouses are two different things. In the good ol US of A, he recommends holding on to cash and waiting for a bargain. The BIGGEST FAT TAIL is the dollar going to near zero. Does anyone think the dollar will rally or even stay on an even keel with anything of value?

Place your bets ladies and gentlemen.

[mstipich1]

@doverlin

When US pays off their 14 trilion of debt (81% of GDP), dollar will start to get stronger?

[doverlin]

@mstipich1 The US will inflate away the debt and pay it back with dollars worth a fraction of what they were when those dollars were originally borrowed.

The dollar get stronger? Since 1913, the dollar has done nothing but get weaker. What makes you think it will get stronger? Perhaps if the dollar was based on a true gold standard as was prior to 1913 it would get stronger.

Holding cash is a stupid idea.

[mstipich1]

@doverlin

I agree abt the most. Dollar is not money any more... it's "currency".

[HillcrestCapital]

El-Erian wasting his time on RT? What is the world coming to?

[baverch]

Best episode yet!

[NS10M]

Brilliant interview! 

[MrTGolden]

The federal government needs to be shrunk by 1: the tool at the top.

[Cookies205]

If QE3 goes into affect, our system is screwed

[GalaktikNinjA]

Congress is made up of a bunch of lawyers. They don't have a clue as to how to run an economy.

[louis12346]

Sounds like USA needs a Dr. _____ hmmmm

[boohoo746]

OMG! His name is Mohammed!

Doubting interchangeability of "risk-free" and "government debt"? Seriously?? Why does Mohammed hate America?

[jfusci3]

Great interview, Lauren!

Tough to pay attention to your interviewees though because of your stunning looks and intelligence. You're quite a rarity. Question...why no ring on the finger? :)

[ThePoorAristocrat]

Great episode! You guys at Capital Account are awesome! :D

[Weeds1100]

the host prepared really well for the interview. kudos to her!

[heckler73]

"the risks are to the downside" -- El-Erian

When are "risks" to the upside? When Peter Schiff talks about interest rates? LOL

[spoier]

MMM HMMM

[heckler73]

Kurtosis in income distribution, leading to a definably, bimodal neo-feudalism. All that "money" needs to go somewhere, right?

There should be some manner of IQ test administered to those with 1%er incomes.

If they pass, THEN their moral compass can be judged. Otherwise, strip them of their veritable "corporate welfare" and throw them back to the proles.

Wealth is a privilege AND a responsibility.

Those who lack the capacity to handle it, should not.

[joao27pt]

Greetings from Portugal

[ganador3]

Dang! Getting the heavy hitters on for guests. Good job Lauren.

[blazingpenguin]

Obama is going to cause a bunch of drama and blame congress as the root of all evil and then suggest/hint at bypassing congress in the future. Problem, reaction, solution.