Browse content similar to 11/11/2015. Check below for episodes and series from the same categories and more!
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Tonight, a year from the US elections, we are live in New | :00:07. | :00:10. | |
Hampshire - the first primary state to cast its ballot for president, | :00:11. | :00:13. | |
to ask if the anti-politics movement could change the vote. | :00:14. | :00:21. | |
We've got momentum because people want to see our country be great | :00:22. | :00:24. | |
What would you do on the first day in the White House? | :00:25. | :00:29. | |
We'd do many things, so many things you wouldn't believe it. | :00:30. | :00:31. | |
The Bank of England governor declares good things are happening | :00:32. | :00:37. | |
The financial services employs many people across the UK, it is our | :00:38. | :00:50. | |
largest export industry, about 8% of GDP, it is incredibly important that | :00:51. | :00:53. | |
we get this right, we think we've made a lot of progress. | :00:54. | :00:57. | |
We'll hear if it's time to get over the crash, and learn | :00:58. | :01:01. | |
And science has found a new secret route to happiness. | :01:02. | :01:05. | |
You just have to give up looking at Facebook. | :01:06. | :01:14. | |
Exactly a year from today, this country will have | :01:15. | :01:20. | |
The race for the White House is a long, protracted | :01:21. | :01:26. | |
and often baffling affair for those watching it outside America. | :01:27. | :01:28. | |
But this time around, there's a sense | :01:29. | :01:31. | |
those in this country feel just as confused by what they're seeing. | :01:32. | :01:36. | |
The Republican Party, which controls both Houses of Congress, | :01:37. | :01:39. | |
is in the midst of an identity crisis which is tearing it apart. | :01:40. | :01:43. | |
What's emerging from the rubble is an anti-politics voice - the likes | :01:44. | :01:46. | |
of which we are already familiar with in Europe and at home. | :01:47. | :01:50. | |
But could this anger at the establishment ultimately decide | :01:51. | :01:53. | |
It's a question we'll be asking politicians in just a moment. | :01:54. | :01:58. | |
But first, we caught up with some of the candidates in this key electoral | :01:59. | :02:03. | |
Veterans' Day in America is a colourful affair. | :02:04. | :02:09. | |
The soldiers and their families, the living embodiment of America's | :02:10. | :02:12. | |
history, the legacy of her battles lost and won. | :02:13. | :02:20. | |
And here, in New Hampshire, a key target state | :02:21. | :02:24. | |
for presidential candidates, many have come to pay homage, not | :02:25. | :02:29. | |
just to fallen friends, but to a rising star, | :02:30. | :02:31. | |
a would-be commander-in-chief who looks like this. | :02:32. | :02:36. | |
Donald Trump, businessman, or should that be showbusinessman, | :02:37. | :02:39. | |
who I first met a few years back, wants to be president. | :02:40. | :02:42. | |
I asked him how he explains the momentum. | :02:43. | :02:45. | |
We're doing so well in all the polls and we're leading | :02:46. | :02:48. | |
as you saw last night - we were number one in the polls. | :02:49. | :02:51. | |
We had seven polls today on the debate, as to who won, | :02:52. | :02:54. | |
We have a great momentum going, because people want to see | :02:55. | :03:00. | |
our country be great again, it is as simple as that. | :03:01. | :03:05. | |
What would you do on your first day in the White House? | :03:06. | :03:08. | |
So many things you would not believe me. | :03:09. | :03:10. | |
"The Donald", exposed to the US public through reality TV. | :03:11. | :03:15. | |
I think everything we do is better than Hillary. | :03:16. | :03:18. | |
Viewing figures remain his favourite metric. | :03:19. | :03:20. | |
I can tell you also the ratings were much greater. | :03:21. | :03:23. | |
Is it all about ratings, or politics? | :03:24. | :03:30. | |
And for over 100 days here, he's led the polls as the Republican | :03:31. | :03:35. | |
Donald Trump lives in a world of winners and losers | :03:36. | :03:39. | |
and he understands what it means for America to be second place | :03:40. | :03:42. | |
and that means he will bring his A game to the office. | :03:43. | :03:45. | |
People are rallying around what he is standing for and what he is | :03:46. | :03:52. | |
standing for are those good, solid values that I think we've lost. | :03:53. | :04:00. | |
Ask about Trump's political qualifications | :04:01. | :04:02. | |
This is the anti-politics politician, | :04:03. | :04:09. | |
and the Republicans are lapping it up. | :04:10. | :04:15. | |
Donald Trump has both emerged into and defined something you might | :04:16. | :04:18. | |
No one expects him to back up his claims with proof. | :04:19. | :04:22. | |
Evidence, data, that is for wimps, unless you are talking about TV | :04:23. | :04:25. | |
No, Donald Trump defines himself as the man who understands | :04:26. | :04:28. | |
the American dream, and just as importantly, the American fear. | :04:29. | :04:31. | |
If there's something you don't agree with, well, you're wrong, | :04:32. | :04:35. | |
that's the world according to Donald Trump. | :04:36. | :04:37. | |
I think he's a vehicle for anger for a lot of people. | :04:38. | :04:40. | |
There's a sense in which some people want a strongman, someone to come | :04:41. | :04:43. | |
There is a way in which this is a kind of post-modern | :04:44. | :04:50. | |
period for many Republican voters, where there are not objective truths | :04:51. | :04:53. | |
I think Trump is the avatar of anti-reason. | :04:54. | :05:04. | |
Trump says he wants to deport illegal Mexican immigrants | :05:05. | :05:07. | |
and build a wall across the border to stop them coming back. | :05:08. | :05:10. | |
They bring in drugs, they bring in crime. | :05:11. | :05:13. | |
An accusation that has sealed his popularity on the right | :05:14. | :05:19. | |
of the party, and left Hispanics in America reeling. | :05:20. | :05:27. | |
Alfredo opened up this diner in Chicago's south side four years ago. | :05:28. | :05:30. | |
"If he came into my restaurant", he tells me, "I would show him | :05:31. | :05:34. | |
how hard we work and remind him of his own Latino employees that | :05:35. | :05:36. | |
Now every year more than 800,000 Hispanics turn 18, in other words | :05:37. | :05:52. | |
one every 30 seconds reaches the voting age in this country, the | :05:53. | :05:55. | |
When Bush won the presidency, he did so on 40% of the Latino vote, | :05:56. | :06:04. | |
but that growth in the population means that any future Republican | :06:05. | :06:06. | |
It makes you wonder why some of them aren't trying | :06:07. | :06:10. | |
When all of you guys pile on, that is actually going to help me. | :06:11. | :06:18. | |
Ben Carson, retired neurosurgeon, and creationist, believes you | :06:19. | :06:24. | |
fight illegal immigration with armed drones on the Mexican border. | :06:25. | :06:28. | |
He's another candidate with no executive experience and is fending | :06:29. | :06:31. | |
off one of the strangest accusations of any electoral cycle. | :06:32. | :06:33. | |
Claims he invented a violent past in which he threatened his own | :06:34. | :06:36. | |
mother with a hammer, to give himself an interesting back story. | :06:37. | :06:42. | |
The Republican party is going through a very odd period right now. | :06:43. | :06:45. | |
The question is whether the fever will break or the virus will end. | :06:46. | :06:55. | |
I hope it does, but I'm not certain that it does. | :06:56. | :07:00. | |
But you're quite right, usually the Republican party is a very orderly | :07:01. | :07:03. | |
party and it is about the next in line and they nominate people with | :07:04. | :07:07. | |
governing experience, people who are safe and who can be counted on. | :07:08. | :07:11. | |
Ohio Governor and presidential candidate. | :07:12. | :07:17. | |
He is seen as solid, part of the establishment, and he's struggling | :07:18. | :07:20. | |
I think that people look at the problems and they look at the | :07:21. | :07:32. | |
dysfunction and they think, "Maybe we better have a whole new | :07:33. | :07:35. | |
"Maybe this football team doesn't work any more". | :07:36. | :07:38. | |
"Maybe we should pick some people out of the stands and see | :07:39. | :07:41. | |
But I think at the end, that's not the way we operate. | :07:42. | :07:49. | |
Come on, folks, we all know you can't pick them up and ship | :07:50. | :07:52. | |
Kasich and Trump clashed at last night's TV debate over | :07:53. | :07:57. | |
Republican commentators declared Kasich the loser. | :07:58. | :08:05. | |
But those close to the centre, like the Cuban-American Marco Rubio, | :08:06. | :08:08. | |
may ultimately have the last laugh in this race. | :08:09. | :08:12. | |
Because for all the feel this has of a beauty contest, what it really | :08:13. | :08:16. | |
First in the changing demographics of the country as a whole, | :08:17. | :08:20. | |
and secondly, just as importantly, in what they call delegate maths. | :08:21. | :08:22. | |
It is the Republican party delegates who ultimately choose | :08:23. | :08:25. | |
their candidate when they meet for the convention next summer. | :08:26. | :08:28. | |
And this party tends to have a bias towards centrism, | :08:29. | :08:30. | |
Once the sound bite and the fury of the noisy ones dies down, | :08:31. | :08:46. | |
But don't underestimate the anger of America right now or | :08:47. | :08:49. | |
the disarray of the party these candidates want to lead. | :08:50. | :08:56. | |
What to make of this race and the questions this is throwing up? I'm | :08:57. | :09:09. | |
joined by Frank Guinta and David Boutin. David, listening to the | :09:10. | :09:14. | |
analogy that Kasich was using, he said it is like we have football | :09:15. | :09:18. | |
players that don't work and we are trying to bring in new players to | :09:19. | :09:23. | |
see if anyone scores goals. Does that sum up the Republican party? | :09:24. | :09:30. | |
That is a good analogy. It is not in soccer, you call it a striker, we | :09:31. | :09:33. | |
are trying to find a quarterback for our team in this country and that is | :09:34. | :09:41. | |
the conversation that is going on at the family table. When you look at | :09:42. | :09:47. | |
these extreme candidates, the insurgents by Donald Trump, Ben | :09:48. | :09:51. | |
Carson, do you think they are speaking to an America that will | :09:52. | :09:53. | |
stay with them for the next 12 months? Honestly, they are speaking | :09:54. | :10:06. | |
to a sliver of the Republican Party that is with some justification very | :10:07. | :10:10. | |
angry with Washington. But I believe at the end of the day, when we vote | :10:11. | :10:17. | |
here in New Hampshire, we will see someone other than Donald Trump or | :10:18. | :10:23. | |
Ben Carson, who will win the New Hampshire primary. You have not made | :10:24. | :10:27. | |
up your mind. You watched the debate last night, presumably, who did you | :10:28. | :10:37. | |
like? I did watch the debate, and like everyone here in New Hampshire, | :10:38. | :10:40. | |
I like to see the candidates upfront, in the living rooms of my | :10:41. | :10:45. | |
friends and colleagues throughout New Hampshire. I'm looking for | :10:46. | :10:50. | |
someone who is a leader and has a vision and who can win the general | :10:51. | :10:53. | |
election. I have not figured out that person yet. We have a great | :10:54. | :11:01. | |
group of candidates who are speaking to the anger and frustration of | :11:02. | :11:05. | |
Washington, DC, and you get a lot of energy and excitement as a result of | :11:06. | :11:10. | |
that, but today in November, three months from the New Hampshire | :11:11. | :11:13. | |
primary and there is a lot left to play in this game. It is to be | :11:14. | :11:18. | |
determined. I will say, as we continue, the campaigning, and the | :11:19. | :11:21. | |
debates, in terms of who I will support. I was with Donald Trump | :11:22. | :11:27. | |
this morning, his book speaks of the real anger that many people in the | :11:28. | :11:31. | |
room were feeling at the moment, whether that is about wages or | :11:32. | :11:37. | |
immigration or about a past time of America that felt better. Where is | :11:38. | :11:42. | |
the anger coming from? The anger is that we have high unemployment, we | :11:43. | :11:49. | |
have under employment, the lowest Labour participation rate in modern | :11:50. | :11:52. | |
history, and economically people are not doing as well as they were | :11:53. | :12:01. | |
before 2008, and there's a level of frustration at our president, at | :12:02. | :12:05. | |
least among people in our party and also independent voters. This | :12:06. | :12:09. | |
antiestablishment wave, do you think this is what... I assume Jeb Bush | :12:10. | :12:15. | |
will be part of this and also Kasich, maybe Marco Rubio, they can | :12:16. | :12:21. | |
reject those voices, and say, we don't like anyone who has worked in | :12:22. | :12:27. | |
government or politics before? This all began in 2007, that is when it | :12:28. | :12:36. | |
started to bubble, and it came to the top around 2008 and the | :12:37. | :12:40. | |
beginning of the year after that, when we had to bail out the banks | :12:41. | :12:48. | |
and the auto industry. The president put up the programme for homeowners | :12:49. | :12:51. | |
who were experiencing bankruptcy, and people back home simply said | :12:52. | :12:57. | |
they had had enough of government interfering with their lives and | :12:58. | :13:01. | |
with the marketplace, and that has continued in the last few years. We | :13:02. | :13:08. | |
had Obama K, which has had an impact on our economy and employers and | :13:09. | :13:13. | |
they have not hired more people because they are frayed of going | :13:14. | :13:22. | |
over that threshold -- Obama Care. You are talking about this as if the | :13:23. | :13:28. | |
publican party did not control the Senate and Congress, there must be | :13:29. | :13:32. | |
an anger with the party itself, is on deck was not -- the Republican | :13:33. | :13:38. | |
Party. It is twofold, the majority of the time under Obama, has been | :13:39. | :13:47. | |
with a majority of Democrats, the Republicans only took over the house | :13:48. | :13:57. | |
recently. As a result of that, we are not over what the President's | :13:58. | :14:00. | |
proposals are cover but there is frustration within the party that we | :14:01. | :14:06. | |
cannot get things done. As a result, the voters are looking at candidates | :14:07. | :14:11. | |
other than the traditional US Senator candidates. I will be very | :14:12. | :14:17. | |
unfair, who would you put money on right now? It will determine who | :14:18. | :14:23. | |
will win the New Hampshire primary, and I think it is too early to tell. | :14:24. | :14:30. | |
Although I have a candidate that I'm supporting, it is too early, and | :14:31. | :14:35. | |
there's a lot which will happen in the next few months. Frank Guinta, | :14:36. | :14:43. | |
David Boutin, thanks very much. We will be catching up with a | :14:44. | :14:46. | |
Democratic strategist as Wheeler at the Hillary Clinton campaign in a | :14:47. | :14:54. | |
York. -- as we look at the Hillary Clinton campaign in New York. | :14:55. | :14:57. | |
It's the best of our industries, it's the worst of our industries - | :14:58. | :15:00. | |
It's the best, because we are world leaders in international banking, | :15:01. | :15:05. | |
and it earns a remarkable amount for the country. | :15:06. | :15:07. | |
Well, you don't need me to remind you of why. | :15:08. | :15:11. | |
And today the Bank of England held an open forum to | :15:12. | :15:14. | |
take soundings on how to better ensure we get more wisdom and less | :15:15. | :15:17. | |
Most striking was the bank governor's declaration that | :15:18. | :15:20. | |
the industry is increasingly "part of the solution rather than | :15:21. | :15:25. | |
the problem", notwithstanding some bad apples, hinting it's time | :15:26. | :15:29. | |
We'll discuss that shortly, but some first thoughts from Duncan Weldon. | :15:30. | :15:40. | |
Today, the great and the good of the financial sector gathered at | :15:41. | :15:45. | |
London's Guild Hall to discuss the city. | :15:46. | :15:48. | |
Before 2008, financial services were the UK's | :15:49. | :15:49. | |
golden goose, but then that golden goose fell the nest and Britain had | :15:50. | :15:52. | |
Seven years on, policy towards bankers is changing direction. | :15:53. | :16:00. | |
A survey carried out by the Bank of England found that only one in three | :16:01. | :16:05. | |
members of the public think that what happens in financial markets | :16:06. | :16:08. | |
It is to try and allay those sort of fears that the Bank of England | :16:09. | :16:14. | |
is today hosting what it calls its open forum. | :16:15. | :16:18. | |
It is public meetings in London, Birmingham and Edinburgh. | :16:19. | :16:23. | |
It is even encouraging people to take to social media | :16:24. | :16:25. | |
In fact, earlier today, BOE Open Forum briefly trended on Twitter. | :16:26. | :16:29. | |
Although to be fair, it did not get as much attention | :16:30. | :16:32. | |
But the people inside the hall were more interested | :16:33. | :16:35. | |
We want to profile today not only the progress made | :16:36. | :16:41. | |
in reforming markets but to spur this continual process of review. | :16:42. | :16:45. | |
This isn't just about fixing the fault lines of the last crisis. | :16:46. | :16:48. | |
It's also about seizing new opportunities from | :16:49. | :16:52. | |
And it's about building truly global markets in the UK and elsewhere. | :16:53. | :16:59. | |
With cross-border governance and co-operation structures | :17:00. | :17:06. | |
Britain has two financial systems, including the city in Canary Wharf. | :17:07. | :17:22. | |
The international firms have driven much of the sector's growth. The | :17:23. | :17:27. | |
combined balance sheet is, the value of their liabilities, have soared | :17:28. | :17:32. | |
over the last few decades. In the 1960s, the banking system balance | :17:33. | :17:36. | |
sheet was slightly smaller than the UK economic output. By 2010, it was | :17:37. | :17:42. | |
almost six times as big, doubling in size in just 15 years. Today, Mark | :17:43. | :17:47. | |
Carney said that by 2050, it could have grown to 15 times GDP, but is | :17:48. | :17:52. | |
this something to celebrate or something to fret about? One person | :17:53. | :17:56. | |
not fretting was on his way to dinner when we spoke to him and | :17:57. | :18:01. | |
doesn't always dressed like this. Over 1 million people are employed | :18:02. | :18:04. | |
in financial services, not just in London but across the country, and | :18:05. | :18:10. | |
the associated support services that go with core financial employment. | :18:11. | :18:13. | |
It is undoubtedly a great asset, we are very good at it in this country | :18:14. | :18:18. | |
and it contributes about 8% of GDP, about the same as the creative | :18:19. | :18:23. | |
industries as a whole. Recent IMF research suggested that in general a | :18:24. | :18:28. | |
bigger and more developed financial sector is good for growth. But, and | :18:29. | :18:32. | |
this is important, they also found it is possible to have too much of a | :18:33. | :18:37. | |
good thing. That beyond a certain point, a large financial system, | :18:38. | :18:43. | |
rather than adding to economic growth, added to economic | :18:44. | :18:45. | |
volatility. In Japan, the US and Ireland, they found that tipping | :18:46. | :18:49. | |
point had been passed, and while they did not specifically look at | :18:50. | :18:53. | |
the UK, given how large our financial system is, you could guess | :18:54. | :18:57. | |
which side of the line we would be on. It is not so much the size of | :18:58. | :19:01. | |
the system that is a worry but what it does. If it is just financing, it | :19:02. | :19:08. | |
is a problem that is too big. In the last 30 years we have had gross | :19:09. | :19:14. | |
value added compared to the rest of the economy... If the financial | :19:15. | :19:18. | |
sector was nurturing capital development of the economy, if it is | :19:19. | :19:25. | |
too big or too small... When you have a useless financial sector just | :19:26. | :19:28. | |
focused on itself, that is a problem. The forum today asked the | :19:29. | :19:33. | |
questions but did not get to the answers. Is the financial sector | :19:34. | :19:38. | |
fixed? Did we overdo it with the post-recession clamp-down? Are we | :19:39. | :19:42. | |
just being too quick to forget the lessons of the recent past? Some | :19:43. | :19:45. | |
good questions. Of course, there are two | :19:46. | :19:47. | |
financial service industries. The one designed to serve us, | :19:48. | :19:49. | |
and the global one that sees We need both domestic | :19:50. | :19:52. | |
and international finance to work. With me are fund manager | :19:53. | :19:57. | |
Nicola Horlick and economist John Kay, author of | :19:58. | :20:01. | |
Other People's Money, about the John was at the open forum this | :20:02. | :20:13. | |
morning. As I understand it, the book effectively says the banks are | :20:14. | :20:17. | |
solving each other's problems in complicated ways rather than dealing | :20:18. | :20:22. | |
with ordinary... Yes, we had figures about bank assets and liabilities | :20:23. | :20:26. | |
having grown to six times GDP, but what is behind that is the assets of | :20:27. | :20:29. | |
banks are mostly the liabilities of other banks, and... From each other? | :20:30. | :20:36. | |
Overwhelmingly trading with each other. The complexity was created by | :20:37. | :20:46. | |
bankers? Some of it is created by bankers, let's not say to milk the | :20:47. | :20:50. | |
rest of us but to bemuse the rest of us. Quite a lot comes from the | :20:51. | :20:54. | |
complexity of the regulatory system. We need to see regulation as being | :20:55. | :20:59. | |
as much a part of the problem as of the solution. That has generated a | :21:00. | :21:04. | |
lot of this activity and the complexity of it. That is the basic | :21:05. | :21:09. | |
critique, in a nutshell. I think back to the 70s and the early 80s, | :21:10. | :21:14. | |
and how dire the economy was. What would we have done if we had not had | :21:15. | :21:18. | |
financial services? It is very important to our economy, as | :21:19. | :21:23. | |
everyone keeps saying 1 million people are employed in financial | :21:24. | :21:26. | |
services in the UK, or relatively highly paid. The money they spend | :21:27. | :21:32. | |
promotes lots of other businesses in our country. -- all relatively | :21:33. | :21:36. | |
highly paid. Estimates vary, but it is between 8-10% of GDP produced by | :21:37. | :21:42. | |
the sector. You are talking about the international industry and what | :21:43. | :21:46. | |
it sells to the world, the tens of billions of pounds of exports, | :21:47. | :21:50. | |
correct? Well, some of it is domestic banking but that is the | :21:51. | :21:54. | |
boring bit. The useful bits for the economy in a balance of payments | :21:55. | :21:59. | |
sense? Yes. We were lucky, we spoke English and that is why London was | :22:00. | :22:03. | |
chosen as the financial centre of the world. They sit in the middle of | :22:04. | :22:08. | |
the time zones. So we have lots of global heads of banks who sit | :22:09. | :22:14. | |
here... Do you think any distinction should be drawn, John, between the | :22:15. | :22:17. | |
failures of the British banking system to serve industry in | :22:18. | :22:23. | |
Middlesbrough or an average saver, and the international banks which we | :22:24. | :22:27. | |
are hosting? German banks selling services to Singapore... The | :22:28. | :22:31. | |
distinction you are making is quite important. Most of the 1 million | :22:32. | :22:36. | |
people Mark Carney was talking about are doing rather mundane clerical | :22:37. | :22:41. | |
jobs in branch banks, call centres, insurance offices. A number of | :22:42. | :22:45. | |
people work in what we might call the city, that is perhaps 150,000. | :22:46. | :22:52. | |
The remuneration there of course is dramatic. The exports they generate | :22:53. | :22:58. | |
is tens of billions. I don't think we know what the exports they | :22:59. | :23:02. | |
generate are, just as we don't know what the contribution to GDP is. | :23:03. | :23:07. | |
When you start burrowing down on the statistics, I am afraid you discover | :23:08. | :23:11. | |
it is a bit of a mess. The truth is that the ordinary ways of measuring | :23:12. | :23:16. | |
economic output don't work very well when you apply them to financial | :23:17. | :23:22. | |
services. Is one of the reasons the public are frankly a bit sceptical | :23:23. | :23:26. | |
when they hear people saying, is it time to draw closure on the crash, | :23:27. | :23:30. | |
is it still feels as though the culprits got away with it. Not | :23:31. | :23:36. | |
enough people went to jail. Hmm. It is difficult to know whether people | :23:37. | :23:41. | |
should have gone to jail. You have to demonstrate they actually | :23:42. | :23:45. | |
committed a crime. I'm not sure they were crimes as such. What happened | :23:46. | :23:49. | |
was, there was a excess liquidity in the system. All sorts of very bad | :23:50. | :23:54. | |
decisions were made. Whether that is a criminal offence, I'm not sure. | :23:55. | :23:58. | |
Decisions they benefited from and then ultimately did not serve the | :23:59. | :24:04. | |
shareholders or tax-payers... That is a slightly different argument. | :24:05. | :24:08. | |
One thing I find a little odd is the shareholders did not play a bigger | :24:09. | :24:12. | |
role. There were lots of warning signs and not many shareholders | :24:13. | :24:18. | |
stood up and said, what are you doing, the people running the banks? | :24:19. | :24:21. | |
That mystifies me, because the fund managers who control large holdings | :24:22. | :24:25. | |
in these banks should have been saying something. There were plenty | :24:26. | :24:29. | |
of warning signs. It mystifies me very much when I asked asset | :24:30. | :24:34. | |
managers, why didn't you do something about RBS, which went bust | :24:35. | :24:39. | |
in 2008, the answer I kept getting was, it was more important for us to | :24:40. | :24:44. | |
be more underweight in the Royal Bank of Scotland than it was to | :24:45. | :24:49. | |
answer back... So the shareholders were saying, rather than do | :24:50. | :24:53. | |
something about a bank about to go bust, we just get out quicker than | :24:54. | :25:01. | |
the next guy? Until we change that kind of structure, we are not going | :25:02. | :25:05. | |
to change much about shareholders and banks. Duncan showed a graft | :25:06. | :25:10. | |
that showed how big the British banking sector has become. -- a | :25:11. | :25:19. | |
graft. -- a graph. Lastly bigger than GDP. Should it worry us? -- | :25:20. | :25:27. | |
lastly bigger than GDP. If the banks want to settle here, we should let | :25:28. | :25:32. | |
them. Overall it is good news for us that the banking sector is as big as | :25:33. | :25:37. | |
it is. And by the way, when we say, banking sector, there are lots of | :25:38. | :25:41. | |
things within banks that are not strictly banking. I have worked for | :25:42. | :25:45. | |
three banks but I am not a banker, I am a fund manager. Lots of things | :25:46. | :25:50. | |
that sit within banks are not strictly banking, it can be managing | :25:51. | :25:55. | |
assets. In terms of whether we should be concerned, the problem is | :25:56. | :25:59. | |
watching over them and regulating them is a very difficult task. It is | :26:00. | :26:03. | |
very hard for the regulators to keep track when you have lots of super | :26:04. | :26:07. | |
clever people doing whizzy things with computers. Does it worry you, | :26:08. | :26:13. | |
John? It worries me a lot. A couple of points in what Nicola said. One, | :26:14. | :26:17. | |
she pointed out that she has worked for several banks and she is not a | :26:18. | :26:23. | |
banker. Most people who for banks are not bankers. We have created | :26:24. | :26:26. | |
huge financial conglomerates which have clashes of culture and conflict | :26:27. | :26:31. | |
of interest, not capable of being managed by anyone, far less | :26:32. | :26:35. | |
regulated by anyone. So instead of saying we need better regulators, | :26:36. | :26:39. | |
which is a hopeless task, we should create a structure in the industry | :26:40. | :26:42. | |
which people can manage, which serves customers better and which is | :26:43. | :26:48. | |
actually possible to regulate I hope in a fairly minimalist way. Thank | :26:49. | :26:50. | |
you both very much. A pretty important social experiment | :26:51. | :26:55. | |
has been carried out in Denmark, with what looks | :26:56. | :26:57. | |
like a very clear result. 1,000 regular users of Facebook | :26:58. | :27:00. | |
were divided into two samples - one lot told to stop using Facebook | :27:01. | :27:03. | |
for a week, the others told to carry on using it | :27:04. | :27:06. | |
as normal, reading about their Both groups were interviewed | :27:07. | :27:09. | |
about happiness and well-being at Yes, on multiple dimensions, | :27:10. | :27:15. | |
the half who had stopped using Fewer of them felt depressed, | :27:16. | :27:23. | |
sad, angry, lonely or worried. More of them were happy, | :27:24. | :27:28. | |
enthusiastic and decisive. Let's talk to Meik Wiking, CEO of | :27:29. | :27:31. | |
the Happiness Research Institute in Denmark, and Charlotte Reed, author | :27:32. | :27:36. | |
of May The Thoughts Be With You. Meik, how strong were these | :27:37. | :27:53. | |
results? How robust were they when you did this test? How accurate do | :27:54. | :27:58. | |
you think the test was? Quite accurate for the short-term effect. | :27:59. | :28:03. | |
We don't know what the long-term effect would be. What we found was, | :28:04. | :28:09. | |
especially within life satisfaction, we saw an increase of 0.5 an hour | :28:10. | :28:14. | |
scale, which doesn't mean a lot to people who don't look at these | :28:15. | :28:20. | |
numbers every day. -- 0.5 an hour scale. If we compared the 10% in | :28:21. | :28:25. | |
Denmark with the richest 10%, the difference between those two groups | :28:26. | :28:31. | |
is one point. And the difference in life satisfaction was halfway | :28:32. | :28:35. | |
point, quite strong in just one week of experiment. The difference | :28:36. | :28:39. | |
between the poorest 10% in the richest 10% in Denmark is not as big | :28:40. | :28:43. | |
as in some other countries. That is true. Let's go into the theory. You | :28:44. | :28:50. | |
ask them all what they posted on Facebook and a large number said | :28:51. | :28:54. | |
that what they put on Facebook is the good news in their lives, the | :28:55. | :28:58. | |
upbeat stuff. This is crucial to your theory about why sometimes | :28:59. | :29:04. | |
Facebook makes us less happy. Right. We have known for some time through | :29:05. | :29:07. | |
other studies, data across the world, that people care about | :29:08. | :29:13. | |
relative terms. They care about how much money they are making compared | :29:14. | :29:18. | |
to the neighbour, to Mark in the marketing department. We wanted to | :29:19. | :29:26. | |
test the fact that people are really good at making these social | :29:27. | :29:29. | |
comparisons and that social media such as Facebook enable is asked to | :29:30. | :29:33. | |
make even more social comparisons. So the fact that people mainly post | :29:34. | :29:37. | |
all of the great news that happens in their lives, the amazing job they | :29:38. | :29:43. | |
got in the city as you mentioned in the previous story, the wedding | :29:44. | :29:47. | |
pictures, the trip to Bali, we are constantly bombarded with great news | :29:48. | :29:51. | |
from our peers and our networks. We think that the background makes us | :29:52. | :29:58. | |
evaluate our lives less. Charlotte, your experience bears out the fact | :29:59. | :30:03. | |
that Facebook can impact on your mood. Tell us your story. You were | :30:04. | :30:12. | |
depressed, basically. I had depression in 2008, when I got over | :30:13. | :30:16. | |
this horrific state, I decided to post a positive thought that I'd | :30:17. | :30:20. | |
written myself, and put it on Facebook every morning, to try and | :30:21. | :30:24. | |
inspire other people, and those thoughts were to help myself | :30:25. | :30:27. | |
initially, but they helped other people, and I did that because I | :30:28. | :30:32. | |
wanted my friends to get on board. I wanted them to help me get better. | :30:33. | :30:35. | |
Your positive thoughts, they are like thought for the day, you are | :30:36. | :30:41. | |
not saying, I'm packing the Paris. No. It is more motivational. You | :30:42. | :30:49. | |
found being positive good uplift you a little bit? It really helped me. | :30:50. | :30:55. | |
This was a small part of getting over depression, but it really | :30:56. | :30:58. | |
helped my friends, as well, and they would get on board and look forward | :30:59. | :31:02. | |
to my thought each morning. What you think of the result coming out of | :31:03. | :31:08. | |
Denmark which says we basically look at Facebook and we get in -- envious | :31:09. | :31:15. | |
of other people? It depends what you are posting, if you are posting | :31:16. | :31:20. | |
inspiring content which is adding value to people, rather than making | :31:21. | :31:24. | |
them feel insignificant compared to your life, that is not what Facebook | :31:25. | :31:29. | |
should be about. You have a responsibility to not just project | :31:30. | :31:33. | |
this image of a perfect personal but actually tell the truth and be | :31:34. | :31:37. | |
realistic and honest. You have down days, as well. Meik, there are | :31:38. | :31:44. | |
adverts, magazine covers with pretty people, pornography, where you can | :31:45. | :31:47. | |
be a consumer of those things, and be made to feel less satisfied with | :31:48. | :31:54. | |
yourself? You are perfectly right. Social comparisons, conspicuous | :31:55. | :31:59. | |
consumption, this is an old phenomenal, but the new thing is | :32:00. | :32:02. | |
that social media is a fantastic broadcasting system for that kind of | :32:03. | :32:09. | |
behaviour. Charlotte's story is interesting, and there is evidence | :32:10. | :32:15. | |
to support what she experienced. We find that people that keep journals, | :32:16. | :32:22. | |
which is what she has done, they also find their life satisfaction to | :32:23. | :32:25. | |
increase over time, that you simply train your brain to focus on the | :32:26. | :32:28. | |
positive elements in your everyday life. In a word, if there's one | :32:29. | :32:33. | |
thing we could do to consumer Facebook in a way which was | :32:34. | :32:36. | |
constructive and did not make us angry and jealous, what would be | :32:37. | :32:46. | |
your one sentence tip? I would ask people to present a more nuanced and | :32:47. | :32:51. | |
coherent picture of their lives, the good side, but also the bad side. | :32:52. | :32:53. | |
Thanks for joining us. In the history of all the Nobel | :32:54. | :32:58. | |
Prizes ever handed out, eight have been awarded to people | :32:59. | :33:01. | |
who originally come from India. And one of those went to Amartya | :33:02. | :33:05. | |
Sen, 82 years old, he's one of the His Nobel was for economics - | :33:06. | :33:08. | |
he's noted for insights But he's also a philosopher, | :33:09. | :33:13. | |
a writer, Sometimes, frankly, his work has | :33:14. | :33:17. | |
been technical and rather tough going, but he's just published | :33:18. | :33:21. | |
a book of very readable essays on some of the themes | :33:22. | :33:24. | |
that preoccupy him. I met Professor Sen to talk | :33:25. | :33:26. | |
about poverty and about the Indian Prime Minister Narendra Modi, who | :33:27. | :33:31. | |
starts an official visit tomorrow. Why the title, | :33:32. | :33:34. | |
The Country Of First Boys? The Country Of First Boys, | :33:35. | :33:43. | |
there are two points there, But also the preference for the | :33:44. | :33:48. | |
first boys, like the monitor-type And the teacher says, "Oh, | :33:49. | :33:54. | |
you're the first boy". So it is so focus | :33:55. | :34:08. | |
on the success story. Then they come out of India, | :34:09. | :34:16. | |
they run Microsoft, They run all kinds of things | :34:17. | :34:18. | |
across the world. On the other hand, | :34:19. | :34:22. | |
those who are left behind, boys or Some of them don't manage | :34:23. | :34:24. | |
to get into school either. That inequality, as well | :34:25. | :34:30. | |
as the gender inequality, that I The Indian Prime Minister is | :34:31. | :34:32. | |
on an official visit to the UK We've had a lot of discussions with | :34:33. | :34:38. | |
previous leaders about how much How much of a welcome should we | :34:39. | :34:48. | |
extend to Prime Minister Modi? I think you should offer | :34:49. | :34:54. | |
a very good welcome to a prime The question is, | :34:55. | :34:57. | |
what are the things to discuss? Have they been better than what I | :34:58. | :35:09. | |
expected? They have been somewhat | :35:10. | :35:18. | |
worse than expected. Looking back over | :35:19. | :35:22. | |
the last 20-25 years in India, and Indian history, it has loosened up | :35:23. | :35:25. | |
quite a bit economically, correct? And are you really | :35:26. | :35:27. | |
dissatisfied with that drift? I know you have been | :35:28. | :35:30. | |
very ambivalent. I've been dissatisfied with | :35:31. | :35:32. | |
the slowness of the drift. The oddity of what happened is that | :35:33. | :35:40. | |
when Indian planning began it had a peculiar model of state interference | :35:41. | :35:43. | |
which was entirely wrong. It wanted to do those things | :35:44. | :35:45. | |
which it could not do well. Like controlling industrials or even | :35:46. | :35:53. | |
running industrials And it has neglected those things | :35:54. | :35:55. | |
which the state could do well if they had put the effort into it, | :35:56. | :36:05. | |
namely education and health care. So neglected to do the good things, | :36:06. | :36:08. | |
did all the bad things, You've thought more about what | :36:09. | :36:11. | |
it is and what comprises it. The UK Government had | :36:12. | :36:27. | |
a target to get child poverty more Many people have felt we are | :36:28. | :36:29. | |
not going to hit that target. Poverty was defined | :36:30. | :36:35. | |
in a very obvious way, your income was below 60% of the median income | :36:36. | :36:39. | |
for the equivalent family. The British government has said it | :36:40. | :36:46. | |
thinks that is too simplistic a notion of poverty, | :36:47. | :36:50. | |
just looking at income. It wants to take more measures | :36:51. | :36:52. | |
into account. It wants to look at whether their | :36:53. | :36:54. | |
parents have work, maybe bring in What do you think about how a | :36:55. | :36:58. | |
state should target child poverty? You see sometimes very good | :36:59. | :37:13. | |
arguments could aid bad policy. And this is one of those cases, | :37:14. | :37:15. | |
I think. You have to recognise that | :37:16. | :37:17. | |
the real achievement of Britain, of course, is the period after the war, | :37:18. | :37:20. | |
when the welfare state came in. Gordon Brown lost his job as | :37:21. | :37:26. | |
a likely Prime Minister on grounds that, among other criticisms, the | :37:27. | :37:32. | |
big one made is that 70% was the That was 225% when the National | :37:33. | :37:35. | |
Health Service was introduced. When Harold Macmillan told | :37:36. | :37:48. | |
the British that they had never had A great deal more than anywhere | :37:49. | :37:51. | |
Gordon Brown had reached. Why is it that the debt was not | :37:52. | :38:01. | |
a problem? Because it was steadily | :38:02. | :38:03. | |
falling down. Not | :38:04. | :38:06. | |
because they were doing austerity. But because they were | :38:07. | :38:09. | |
having economic growth And also providing a level | :38:10. | :38:11. | |
of health service which the British I think that Britain is very hard to | :38:12. | :38:18. | |
see in anything which is going And tomorrow morning, British Indian | :38:19. | :38:24. | |
relations will be to the fore The Times has led on a story that | :38:25. | :38:47. | |
George Osborne is issuing an ultimatum over Trident. The Guardian | :38:48. | :38:56. | |
leads with a funding catastrophe warning from universities over | :38:57. | :39:00. | |
exiting the European Union. There is a selective photograph from the | :39:01. | :39:08. | |
daily Telegraph of Jeremy Corbyn. John Kerry warns the climate deal | :39:09. | :39:11. | |
will not be legally binding, that is in the Financial Times. | :39:12. | :39:16. | |
That's just about it for tonight, Kirsty is here tomorrow. | :39:17. | :39:18. | |
But we didn't want to go without making our contribution to | :39:19. | :39:21. | |
a debate provoked by Conservative MP Oliver Colville, | :39:22. | :39:23. | |
who used the hallowed ground of the House of Commons, no less, | :39:24. | :39:25. | |
to propose replacing the lion as a national symbol with | :39:26. | :39:29. |