alan greenspan and john taylor are with me here right on set. they will go face to face and see who should be blamed for the housing bubble and the financial crisis. but first we want to go to cnbc steve liesman for some news on the fed's next meeting which is december 17th to 18th. steve, good evening. what you got? >> reporter: good evening. a taper by the french at its meeting next week looking more likely than not. the economic data, market reaction to it and statements by fed officials point that the fed could reduce the amount of stimulus it provides the economy through quantitative easing. the fed offered three tests for tapering and they look to have been met. first is confidence in the outlook. now 193,000 back in september when they said tapering was a close call it was 44,000 less. unemployment rate down to 7%. .2 down from where it was in september. they cited fiscal uncertainty as a reason not to taper now. looks to be a pretty solid budget deal in the works. interest rates short term rates have behaved. a sign that markets believe

alan greenspan will wax poetic on central bank business. and the electric guitar that bob dylan is holding? highestout to go to the bidder. the story is coming up in pop. jeff bezos made headlines with plans for drone delivery services. this week, he is doing it again with rockets. three, two,r, one --ignition. >> the secret of private space companies founded by bezos. successfully tested a new engine for rockets. they will show humans into space. -- shuttle humans into space. ♪ money." we arech also streaming live on bloomberg.com, your tablet, and your smartphone. i am adam johnson. it is jobs friday. economists are running their numbers to try to figure out how many people were hired. they're also trying to estimate the impact of the fed's massive bond buying program. not to mention the near zero interest rate policy. bill gross tells market makers that it will be time for the fed to walk the walk starting very soon. us to second they allow talk about taper and begin tapering -- whether december is the month is still up for grabs. the

alan greenspan says he got it wrong. the man nicknamed the maestro admits a flawed philosophy may have contributed to the worst financial crisis since the great depression. >> not since the great depression has the federal government stepped in to help a failing financial institution in this country the way they did over this past weekend. brokering a deal for jpmorgan chase to step in and take over bear stearns. >> in the months after the collapse of bear stearns in 2008, we watched huge financial institutions from aig and washington mutual that simply fell apart. the man who had been a high-level financial adviser since the nixon and ford administrations then served as federal reserve chairman before the collapse was suddenly admitting to a house oversight committee that he'd been working on a mistaken assumption for decades. >> you found that your view of the world, your ideology, was not right. it was not working. >> precisely. that's precisely the reason i was shocked because i had been going for 40 years on more wi

of course, i love alan greenspan's wisdom. i spent all my 14 years on the committee with him as chairman. and ben bernanke has really surprised me with his creativity in dealing with unprecedented situations. but i guess my heart is with greenspan. >> yeah, i mean, i got to say, dan clifton, look, i worked for volcker once upon a time. stayed in touch throughout the years. i believe he's the greatest central banker. in fact, i believe he's the greatest central banker since the federal reserve was created in 1913 because he basically eliminated a 15% inflation rate which was destroying the economy and the financial markets and every other darn thing. and he did it against great political opposition. reagan was for him, but builders were coming at him with 2 x 4s. people were picketing. they were marching on the fed. i mean, that took, i believe the word is chutzpa for volcker to do it or character. what's your quick take? >> that's absolutely correct. compare it to today. we're worried about tapering, $10 billion or $15 billion

alan greenspan says bitcoin has bubble written all over it. and two kings of rock -- their stuff is on the block. ford is unveiling its 50th anniversary of the mustang. that is happening today, all over the world. this is the first time that they will sell outside of north america since 1964. over one million people on a mustang in the first two years. new features on this year's version -- lower roof, wider wheelbase, and a more efficient engine. that is a first since 1986. what people really want to know will ford's ceo alan mulally become the next ceo of microsoft? we get a chance to hear from the horse's mouth, along with some breaking news. >> you told the board of ford that you will stay at the company. are they asking you again to renew your commitment? >> i love serving ford. i have no changes planned. >> let's try again. >> if i get it next fall, alan, can you tell me that you will still be in the ceo seat? >> i love serving. >> you have always told me in the past, you will stay until the end of 2014. >> i love serving ford and there

his predecessor alan greenspan led in policy by discretion. we're doing this because we think its best and we're not going to tell you the reasoning behind it, bernanke has gone out of his way to use explanations to the public. he uses terminology that may not be your average person's vernacular, but he has increased the amount of transparency. >> and in this case what does that mean? >> very low interest rates for a very long time. his message is that the fed is going to remain supportive of the economy regardless of this small retreat from the bond buying stimulus that it undertook today. >> so it's not a signal that it's going to be reduced another $10 billion a month after that. >> he suggested that it might happen but it's not necessarily the case. >> he emphasized that it's very dependent on the data, and as yellen and the rest of the committee will see it going forward. as we start to see job growth, they don't just look at the unemployment rate. is it because o people are movig or leaving the labor force, but it's also data dependent,

i will ask somebody who has some ideas alan greenspan, the former chairman of the fed. of course you can! even if that heart was broken by zack peterson. bake the world a better place with nestle toll house. bake the world a better place ♪ (train horn) vo: wherever our trains go, the economy comes to life. norfolk southern. one line, infinite possibilities. where their electricity comes from. they flip the switch-- and the light comes on. it's our job to make sure that it does. using natural gas this power plant can produce enough energy for about 600,000 homes. generating electricity that's cleaner and reliable, with fewer emissions-- it matters. ♪ pop in the drum of any machine... ♪ ...to wash any size load. it dissolves in any temperature, even cold. tide pods. pop in. stand out. >>> for almost 20 years, my next guest presided over america's economic well-being, from 1987 to 2006, allan greenspan was the chairman of the federal reserve board. shortly after his tenure began, black monday hit, then game the stock market boom, the dotcom bubble, 9/11s, the wars in

his predecessor alan greenspan believed in policy by discretion, and it was sort of we're doing this because we think its best. we're not going to tell you the reasoning behind it, and ba bernanke has gone out of his way to discuss the policy. he has not use the average person's vernacular, i think he does his best to describe why the fed is doing what it's doi doing. >> in this case what does this mean? >> very low interest rates for a very long time. the fed is going to remain supportive of the economy regardless of this small retreat from the won't buying stimulus that it undertook today. >> it's not a signal that it's going to be reduced another 10 $10 billion after that. >> he suggested that might happen but that's not been the case. >> it's very dependent on the data and we'll see it going forward. if we see significant declined in the unemployment rate, we look at john growth and they look at unemployment rate moving because people are moving or leaving the labor force. it's important to recognize that the fed does not look at one number. looks at five or six numbers in the ma

former fed chair alan greenspan. and as we approach the first anniversary of the newtown massacre, what can the u.s. learn from other nations about gun policy? i'll take you to japan for a fascinating look at a nation that loves violent video games but has a gun death rate that is very different from america's. it's a preview of a "gps" special airing tonight at 7:00 p.m. eastern. >>> but first, here is my take. when nelson mandela was released from prison in 1990, i remember being struck by how old-f old-fashioned he seemed. he spoke with the language, kay dance and manner of figures from the 1940s and '50s. as someone who grew up in india he reminded me of the videos i had seen of mahut ma gandhi and nero. he had the same formal way of speaking and dressing, the same dignity of bearing, the same sense of history. and mandela really was a throwback to an older time of great leaders who through courage and sheer willpower changed the course of history. 27 years in prison had kept intact his manners but also his moral

we spoke to alan greenspan and he said that the currency doesn't make sense to him. >> this move by the central banks comes after two fraud cases where suspects were taken into custody. we have a chinese central bank that is warning financial institutions. they say to individuals that it is fine to get involved in, but banks cannot get involved in it. they cannot buy or sell bitcoins or insurer bitcoin products. it is a currency with real meaning and is a virtual commodity. it does not have the same status. the german police here arrested two suspects in a fraud for illegally generating bitcoins. paying talked about greenspan.ith he says it is a bubble and he does not see any value. it seems to the next moves will come from regulators from the states and elsewhere. regulators may be forced or feel that they needed to clamp down. >> even regulators are divided on the legal status. we are expecting rules. they are not agreeing. >> you see a lot of information gathering. there is a committee that looks at what a bitcoin is and how it is created. central banks, because they regulate banking

we're going to talk about our big financial news program tomorrow with alan greenspan and john taylor, two brilliant monetary thinkers, i mean that sincerely. they've had a longstanding dispute about whether money was too loose for too long in the 2000s and whether that created a bubble. and i'm going to be an honest moderator of that debate. i know they both want that. i want you to tweet u us, #bubbleblame. stay with us. i'm kudlow. we'll be right back to talk about this. and ah, so you can see like right here i can just... you know, check my policy here, add a car, ah speak to customer service, check on a claim...you know, all with the ah, tap of my geico app. oh, that's so cool. well, i would disagree with you but, ah, that would make me a liar. no dude, you're on the jumbotron! whoa. ah...yeah, pretty much walked into that one. geico anywhere anytime. just a tap away on the geico app. >>> we're very excited for a special edition of "the kudlow report" tomorrow night. i'm going to be heading down to washington, d.c. i'm going to moderate a debate between former fed chairman alan g

alan greenspan says it is a bubble. we will see if it pops today. >> police are off the trees, but we are talking about the autumn trees,leaves are off the but we are talking about the autumn statement in the u.k. u.k.re austerity for the 17 months before the elections in your neck of the woods, it looks like they are sticking with austerity. forecasts are a little more bullish than they were this time last year. >> hans, we are looking at apple and china. a huge story. apple will be able to sell their network inside china mobile. some 800 million customers, subscribers. that is seven times bigger than verizon. the question is, will they have any dropped calls? >> talk about the ecb and a moment. let's stay with tech. the google backed bill set for the house vote in washington. are a variety of efforts to regulate and on attand what is going google. anytime the u.s. gets involved, you can expect that it is a first step. if we do see progress on this legislation today, this is just a first step. a lot more has to happen.

greenspan for both his mismanagement of bubbles and keeping rates too low for too long however pole booker is clearly portrayed as the hero in your film how do you feel about volcker's latest act of valor the volcker rule coming to fruition this week you know i think we won't really know until maybe years from now how the volcker rule works i know he was lobbying for some harder. you know rules that i think congress or the lobbies really wanted i think the end result was kind of a draw and i think really you know we'll see what happens in terms of the regulation that comes out of the vocal rule it's really just kind of a start to the process i think you know regulation is such a hard thing to do i think i think at least the rules a step in the right direction the question is is what comes of it i think we really won't know now i want to ask you how you feel about stanley fischer the former head of the bank of israel being named number two at the federal reserve you know i think as many people have noted he was ben bernanke is advisor at mit so i think to me it's just it's it's what

chairman alan greenspan chairman alan greenspan says this. >> you have to stretch your imagination to infer what the intrinsic value of bitcoin is. i haven't been able to do it. you ask me is this a bubble. yes, it is a bubble. >> last month bernanke told congress virtual currencies like bitcoin may have long-term promise. the republican-led house passed a bill renewing the ban on plastic guns just days before it expires. any lewd metal detectors at check points. the senate still has to take up etalt can pass -- elude m detectors at check points. the senate still has to take up the measure. the debate has put 3-d printers at the center of the controversy. >> there has been a lot of talk about how it is easy to make a plastic gun through a 3-d printer. there are questions, like how expensive is it. it is always good to see you. what do you make of this story? >> this is the most dangerous thing. 3-d printing is this marvelous technology that can do all kinds of things. it is a thing we need to understand. unfortunately, it is becoming associated with in the public libertarians want to

it blows me away alan greenspan was attacked after barney frank and george w. bush got what they wanted and it was his mistake to keep interest rates artificially low. since alan greenspan has retired our monetary policy has become even more aggressive. >> right. >> first of all they condemn what we did over 15, 20 years of extraordinary economic growth and then they double down on that same behavior. >> are there lawmakers in washington, anyone who stands occupant as a thought leader on tissues we've been talking about. >> work on this book, put together the political nature, the political structure of the four caucuses of the house and senate, republican and democrat going all the way back into the 19th-century. we get in every single case sort of symmetrical distributions. the problem is not that this is so severely different from then, it's that back then we talked to each other. and i recall, i was in the ford administration. jerry ford used to rail at tip o'neill from 9:00 a.m. to 5:00 p.m. and tip shot back with more power than jerry was able to muster.

alan greenspan had an easy target in between those two. [laughter] he got it just right with the grand modernization on his watch. people don't quite realize. i think it was the greatest sustained rise in stock prices in all of american history, or maybe anybody's history. at the same time we had a record bull market in bonds. boy, wall street and the economy both flourish. of course, the interesting fact is that no one, including no economist, equipped with the most powerful computers could or did protect the extremes of market behavior. in which we've seen frequently. you know, more troublesome than the return banking crises and economic locations is the fact that they caught us by prize -- surprise. we predicted those demanded a response. the point that i think some applause will talk about today is our response, demanded a response that only an institution equipped with authority and judgment the time to act upon. you know come in any country that role falls a poorly to its central bank. in the united states, of course that means the f

alan greenspan and the federal reserve got a lot of credit. what the caller says is already in effect. step high anden a real people. personalizends to -- behind real people. the media tends to personalize, to focus on the presidency in a way that probably does exaggerate its impact on how most people live their lives. host: you bring people who work for the president. can you talk about second term presidential cabinets and appointments and how they are different from the first term? guest: that is a significant factor. even a president who wins a big endorsement going into a second him,with the public behind the excitement -- the sense of making -- first, inaugural, is largely missing the second time around. there are people who are basically worn out. it does not matter if it is a republican or democrat. if you are working 18 hour days at the white house because you really believe in what you are doing, you can only do it for so long. one thing that happens is, by the end of the first term, you have people who have made that kind of sacrifi

alan greenspan will speak. he called it a bubble. bitcoin made aon splash. next year'sraw for soccer world cup will take place in brazil. it will determine the competition at the tournament. this is a big deal. >> that is more foreign than the jobs report, actually. >> state tuned. current, commodities, stocks, bonds -- we're nearing 1800 and the futures. yields go out. the dollar is stronger, con founding germany. they won a weaker euro and they do not get it. -- this is aond big deal. underer chinese currency, is at australian dollar .91. we scoured the papers. so much is going on this morning. all of it is centered on the passing of nelson mandela. >> he is the front page story. today is job stay. the results of the survey say that payrolls have increased in the month of november. >> the feeling is like this? >> it will probably declined to a low. the assessments have been upgraded. and financial capital rights this warning that bond investors are ratcheting up their payroll expectations above 200,000. the investor feeling within the bond market is -- >>

these people were pushing alan greenspan to do that and he would not do that. he lowered the interest rates way down to one percent, then he started jacking them up very quickly. people who had variable interest got reallyges whipsawed. alan greenspan encouraged them to go into them. he actually encouraged subprime loans. he was behind a lot of the policies that led to a disaster for a lot of middle-class pop families. for those saved by obama's program, there were many who were not, and many of those were on the doorstep of the federal reserve and other regulators. this gentleman is absolutely right. >> this is the last year for ben bernanke. what do you make of his tenure? >> ben bernanke was a remarkable figure. number one, he missed the blowup when he came in. most people forget that. he was warned that the big banks were into the mortgage market, but he said that if the mortgage market had a problem, it was the loners out there and it would not affect the big banks, but he was wrong about that. in terms of stepping in after the -- after the disaster was ov

[applause] >> it is also a privilege to introduce alan greenspan. he succeeded chairman of ocher serving as chairman from august 1987 to january 2006. as our second longest-serving chairman after william mcchesney junior he had the distinction of being appointed by four different u.s. presidents during his tenure as chairman we completed the conquest of inflation and experienced the longest peacetime expansion in the history of the u.s. economy. please join me in welcoming chairman alan greenspan. [applause] >> thank you very much, jeff. looking at all the gray hair here, it's very impressive that you all showed up especially dewey. it's hard to realize that dewey dane was appointed by john f. kennedy as a member of the federal reserve board and that tells you something about the continuity and longevity of this institution. i think we are all proud of our experiences with it and i particularly want to thank dewe. like paul and ben i have been given five minutes to reflect on my career at the fed. the dates get more calculated at 16.2 seconds for ea

greenspan play in all of this? >> well, he made clear in his public speeches and book that a libertarian drive was part of the way he looked at the world. he's a very talented man. but that didn't take us where we had to be. >> he was--another former commissioner told us, hard to argue with at that point. >> alan was most powerful man in washington, in a real sense. certainly a rival to the president and had enormous influence on capitol hill. >> and he was at the height of his power. >> he was at the height of his power. >> within eight years, unregulated derivatives and swaps helped produce the largest financial services economy the united states has ever had. estimates of the market for credit default swaps grew from $100 billion to more than $50 trillion, and you could bet on m the solvency olocal communitaf general motors. they also helped produce a huge transfer of private wealth to wall street traders and investment bankers, who collected billions of dollars in bonuses. a lot of the money was made financing

he took over as fed chair from alan greenspan in 2006. two years later, the housing bubble burst and foreclosures exploded. mortgage-backed securities collapsed, taking down some big banks and sending shock waves through the stock market. bernanke's fed responded with masi if we are making progress in terms of inflation and continue job gains and i imagine we'll continue to do probably at each meeting a measured reduction. if the economy slows for some reason or we are disappointed by the outcomes we could skip a meeting or two. on the other side if things really pick up we could go a little bit faster. >> woodruff: bernanke's term ends on january 31. the senate could confirm his successor-- janet yellen-- later this week. we examine today's moves and the larger impact of the fed's stimulus program with three people who watch this all closely. adam posen worked on the monetary policy committee from 2009 through 2012 for the central bank of england. he is now the president of the peterson institute for international economics. john taylor

greenspan. at first it was smooth sailing. the u.s. economy was expanding, storm clouds seemed far away. but all that changed in 2007. >> the economic outlook has been importantly affected by recent developments in financial markets which have come under significant pressure over the past few months. >> reporter: the slump in housing gathered speed, foreclosures surged. publicly, bernanke remained upbeat. >> our forecast is for moderate put positive growth going forward for the next few quarters. >> reporter: in fact, the great recession was just beginning. bear stearns collapsed in 2008 and was gobbled up by jpmorgan chase. lehman brothers collapsed, stocks tanked, and credit markets seized up. >> this plan is an emergency plan to put out a fire. >> reporter: bernanke stepped on the gas and revved up the engines. >> mr. bernanke was aggressive at a time when our country needed him to be aggressive, and quite frankly, needed for him to be decisive, and i think a lot of people don't realize how c

week, trish regan was asking alan greenspan about get -- bitcoin. you have to meet a guy at starbucks and he says he is fresh out? on how closeds they are to age 19. i am kind of into it because i am 40. tom keene thinks it is insane. balance -- alan greenspan does not even believe in it. >> neither does china central bank. >> they are about allen's age. that was the problem last week. china central bank said no way. baidu said no way. it plunged in one day. i could buy one in one hour. >> are you going to buy one? >> on the show. i have a guy. >> all legal and above board? right. we will look forward to that. you are buying one bitcoin? >> one bitcoin for $800. >> we will be back when he buys bitcoin. we have a great program ahead. scott from virginia is in the loop. we will talk about healthcare.gov. did he sign on for obamacare? and scandal -- what does this say for not -- nigella lawson? and also the toronto mayor, tom ford? we are just getting started on this monday morning. ♪ >> it is deadline day for members of congress. they need to enroll

did alan greenspan's regulatory philosophy play a role? >> i don't think that was a root call of the crisis. i'm not sure simon would own up to having said that, but it was close. i think the crisis had many root causes. part of it was just complacency over a couple of decades. we had several decades of growth, two mild recessions, all this financial innovation which looked like a decent idea at the time. i think everybody got a little too relaxed. not just the new york fed or not just the board of governors or the fdic or occ or anyone else. i think it was part of what was going on. >> so it was mindset rather than looking out for the profits of their friends. that would be -- >> i think that was primarily, yes. >> you agree alan greenspan didn't lean against that wind? >> that's right. to some extent, the new york fed and tim geithner, the president of the new york fed recognized that the system was changing and that it needed closer oversight and some fixing. he initiated before the crisis efforts to make the derivatives markets more ro

ben bernanke along with alan greenspan and paul volcker took time today to reflect on their terms leading the central bank. >> improved communication can help our policies work better whether through the disclosure of the stress test results and by helping the public and the market better understand how monetary policy is likely to evolve. >> president woodrow wilson signed the federal reserve act into law a century ago this coming week, but it took another 11 months for all 12 federal reserve banks to open their doors. >>> j.p. morgan chase may number some hot water again just as the bank is finalizing a $2 billion settlement for turning a blind eye to obvious signs of fraud in bernie madoff's massive ponzi scheme. federal authorities are looking into whether the bank tried to impede the department's investigation into madoff's misdeeds. the treasury's inspector general's office says j.p. morgan is contesting a subpoena that was issued earlier this year. >> the u.s. appears to be flushed with crude. a new forecast from the energy energy administration expects domestic oil output to surge

in the late nineteen eighties fed chief alan greenspan took credit for managing a wall street crash in relation to the asian financial crisis he came into massive criticism defending to spot the two thousand and seven u s housing bubble that led to global financial troubles sinc that crosses the treasury department has tried to steady recovery interest rates are close to zero within prince seventy five billion dollars each month. keep the money flooding into the market but the upswing has been slow in coming. instead it aims to preside over increased ability in its one hundred and sixty s. the main economic news from the us has boosted european stock markets arm at the frankfurt stock exchange when bart sent us this report. the german stock market was certainly in the giving mood one day ahead of christmas eve real good christmas cheer because that reached the new record high of the attacks of nine thousand four hundred eighty eight points. it's never been that high before it's only a few points shy of the ninety five hundred mark. the thing that i was responsible for giving that push

alan greenspan is one of them. >> you have to really stretch your imagination to infer what the intrinsic value of bitcoin is. it and't been able to do maybe somebody else can. if you ask me if this is a bubble, yeah, it's a bubble. >> china is banning financial institutions from handling bitcoin transactions. there is a lot we could do with that sound boy -- soundbite. do we take the high road? saying if you are a banking institution, you can't have anything to do with it. >> in china, we have a graphic here that will show how rapidly both the price has risen in china and how rapidly the share of the bitcoin market has really gotten up there close to 80%. the chinese authorities are saying to hold on and calm down. people can see when they look at the white line, it is all over the shop, but there is a statement saying this is actually a threat to the yuan but it seems really far fetched. >> remember they have a fixed lifespan. only going to be 21 million produced at the end of the run here. the chinese economy can absorb that no matter what value you put on the individual. see here gene

. >> this was a guy who got the baton from alan greenspan in 2005 and 2006 without any storm clouds. everyone thought this was smooth and he would be able to coast along on a goldilocks economy that was happening. it did not work out. students of the great depression, the expert on the great depression found himself confronted with much the same thing. he had to invent new rules and new tools for the federal reserve. that has been controversial. those decisions -- we do not know how the full legacy will be measured. we have not seen the wind down of the risk factors that everyone knows are out there. looking back, critics in washington as well as supporters who say they are thankful ben bernanke was in the job if for no other reason that he provided a cool hand. in terms of how he led the fed and made decisions, controversial as they may be, people in washington are thankful he was there. served to goe best out quietly? when i think about alan greenspan taking a victory lap, people said he looks like a full for doing it. should ben bernanke just go out quietly through the side door?

i was vice chairman john toenspan -- i was vice chair alan greenspan. he wanted me to do administrative things at first. i became the administrative governor. i did a lot of traveling, mostly to europe. a little bit to asia. at that time, the central very frequently, more frequently than alan greenspan wanted to go there. i did a lot of that. >> what does stanley fischer walked with the job if it is so ill-defined? >> it will be well defined by stanley fischer and janet yellen together. i think janet is very lucky to have a very strong person if this happens like stanley fischer. i'm sure she knows that. it is a very big job, hearing head of the fed, especially now. it is a bigger job than it was 10 years ago. stanley fischer will be a huge help, in part because he actually has run a central bank. but more importantly, i think, because he is very smart and because he has had a lot of international experience at the world bank and the imf and that will be very useful to janet. >> this reminds me a bit of the 1980 ticket floated for a while ford almost co

alan greenspan's take on bloomberg tv. it is a bubble. over in europe we have more rate decision coming down the pike at 7:45 a.m., ecb rate decision. economist not forecasting a change. and a lot of data here in the u.s. as well. 7:30 a.m. challenger job cuts. then 8:30 a.m. initial jobless claims, gdp, headed into jobs friday tomorrow. 945 a.m., bloomberg consumer comfort and then factory orders. 8:30 a.m. treasury secretary jack lew what outline his 2014 regulatory agenda, discussing the state of wall street reform effort. the buzzword is volcker rule. there are headlines, saying volcker rule will put in place tough restrictions on pressing the eu and asia to match financial oversight. >> i would point out, 8:30 a.m. 'sis morning, president draghi press conference at the ecb is a big deal. let's get to company news. >> we start with a setback for bitcoin in china. findountry's central-bank -- banning financial firms from handling bitcoin transactions. it says bitcoin lacks real meaning and does not have the same legal status as other c

greenspan to look at this there was no security trust fund there had never been a so security trust fund all in one thousand nine hundred two and from one thirty five to ninety two all of the retired people one hundred percent of the money that went out was one hundred percent of the money that was coming in from people who were working so the working generation was paying for the retirement of the retired people they looked at that and they said you know what's going to happen with all these baby boomers when they start retiring around you know in the twenty first century they're going to break the system because you're going to go from three or four workers per person retiree person now that there is no trust so no let me finish so for the first time in history we're going to have just one generation double pay the boomers are not going to pay for their parents' retirement but they're also going to put money in a savings account for their own retirement so just the baby boom generation is going to double pay and so reagan doubled the social security tax you'll recall it was always

that has been alan greenspan's choice. >> what about the other guys that we look up to? chose thebuffett, he book but -- and the book by his son about farming and efforts to tackle world under. -- world hunger. as a farmer. right that was his father's pick. >> what a nice dad. what about carlos slim? by theooked at a book ceo of gm and at&t and how he turned those around. >> i am actually fascinated. a lot of these guys are reading financial books. did anyone choose anything a little bit quirky? adams, was picked by tim the institute of international finance. someone wrote to me last night and said, where do i ban fiction books? i guess these people like to learn lessons. >> you do not get to the top i reading charles dickens. certainly not for these guys. >> a lot of history books as well. ended peace"hat was very popular a few years ago, world war i and what led to it. >> i love that. what a great story. thank you so much. simon kennedy there. you can follow him on twitter. with whatull story the big and powerful people in the world read in 2013 and their recommendatio

some can't even get their heads around the concept, including alan greenspan. >> you have to really stretch your imagination to infer what the intrinsic value of bit coin is. i haven't been able to do it. maybe somebody else can. >> reporter: for those who can stretch their imagination, here are the they ways to get your hands on bit coins. can you buy them online, transfer them to and from other users or mine them on your computer. that's how new bit coins are created when somebody digs them up by solving complex math problems online. is this the end of the george costanza wallet? or is bit coin a bubble about to burst? >> and now a man who's always looking for alternatives to the non-gold backed dollar. mr. paul, dr. paul, good to see you. thanks for joining us. so you say if enough people use bit coin it could help bring down the dollar? you think that's a real possibility? am i getting what you said wrong? and maybe next time it won't be so successful. but the dollar has been under attack since the fed was created in 1913. it has lost 97% of its value. and the end stages of a paper curr

alan greenspan and the federal reserve got a lot of credit. entrepreneurs got a lot of credit. i think what the caller says actually is already in effect in many ways. the media is often a step behind real people. tends tois, the media , toonalize, to dramatize focus upon the presidency in a way that probably does exaggerate its impact on how most people live their lives. host: you bring people who work for the president. can you talk about second term presidential cabinets and appointments and how they are different from the first term? guest: that is a significant factor. it is hard to quantify, but the fact is, even a president who wins a big endorsement going into a second term with the public behind him, the fact of ,he matter is -- the excitement the sense of history in the making that attends a first is largely missing the second time around. that -- there are people who are basically worn out. it does not matter if it is a liberal or conservative, republican or democrat. if you are working 18-hour days of the white house because you really believe in what you are doing,

first, on this date in history, november 5th, 1996, then fed chairman alan greenspan delivered a speech during the dotcom bubble days. >> how do we know when irrational exuberance has unduly escalated asset values which then become subject to unexpected and prolonged contractions? so i c an reach ally bank 24/7, but there are no branches? 24/7. i'm sorry, i'm just really reluctant to try new things. really? what's wrong with trying new things? look! mommy's new vacuum! (cat screech) you feel that in your muscles? i do... drink water. it's a long story. well, not having branches let's us give you great rates and service. i'd like that. a new way to bank. a better way to save. ally bank. your money needs an ally. just by talking to a helmet. it grabbed the patient's record before we even picked him up. it found out the doctor we needed was at st. anne's. wiggle your toes. [ driver ] and it got his okay on treatment from miles away. it even pulled strings with the stoplights. my ambulance talks with smoke alarms and pilots and stadiums. but, of course, it's a good listener too. [ female an

some can't even get their heads around the concept, including alan greenspan. >> you have to really stretch your imagination to infer what the intrinsic value of bit coin is. i haven't been able to do it. maybe somebody else can. >> reporter: for those who can stretch their imagination, here are the they ways to get your hands on bit coins. can you buy them online, transfer them to and from other users or mine them on your computer. that's how new bit coins are created when somebody digs them up by solving complex math problems online. is this the end of the george ca stanza wallet? or is bit coin a bubble about to burst? >> and now a man who's always looking for alternatives to the non-gold backed dollar. mr. paul, dr. paul, good to see you. thanks for joining us. so you say if enough people use bit coin it could help bring down the dollar? you think that's >>> well, i think it is the other way, when the dollar is in trouble that will be one of the alternatives. i guess it will be the play on it, and the bit coins are used. but something has to happen to the dollar, so i think that is wher

alan greenspan says bitcoin has bubble written all over it. and two kings of rock -- their stuff is on the block. ford is unveiling its 50th anniversary of the mustang.

greenspan and ben bernanke. you heard of mount rushmore. today fed rushmore. the top fed analyzers in the world join us. larry kudlow at post nine on the floor of the new york stock exchange. elan of "the washington post," greg and, of course, steve liesman. you all look fantastic immortalized in stone. let's start first of all with there are two questions we want to address, one of which is, which of the chairman faced the biggest challenges during their tenure at the federal reserve and how is history going to treat them and record their events and their actions? larry, you want to give it to paul volcker, but in all fairness you worked with paul volcker so maybe you have an inside track on that. >> perhaps i do and i just saw him. look, i've been watching the fed or working at the fed since the middle 1970s. paul volcker is the greatest chairman in the history of the federal reserve board. he faced 15 to 20% inflation okay which was destroying our economy and the rest of the world's economy. i believe that wa