This is boom bust one business show you cant afford to miss friendship or in washington coming up the numbers are in the United States took a major hit to its g. D. P. In the wake of the coronavirus dropping more than 30 percent annually straight ahead we analyze the extreme drop and the state of the real economy here in the u. S. Plus a big texas seeing an influx of antitrust cases as tech tensions continue to rise across the globe later on in the show where to take a look at the cases and whats at stake moving forward with a packed show today so lets dive right in. And we lead the program with the latest Economic Data out of the United States the Commerce Department reported wednesday Gross Domestic Product fell by a record 31. 4 percent in the 2nd quarter of 2020 now the number was a slightly better than the 31. 7 percent decline projected in august the contraction was more than triple that of the previous record holder of 10 per cent in the 1st quarter of 1958 now economists suspect substantial gains in the 3rd quarter as millions of americans have gone back to work and businesses have started to open their doors to customers once again and on that same no private Sector Companies added 749000. 00 jobs in the month of september according to payroll firm a. D. P. A. D. P. Reported the sectors that gained the most jobs were trade transportation and utilities followed by manufacturing then leisure and hosp. Valley which has just been decimated by the kobe 1000 pandemic and the health and Education Services sector so what does this all mean for the overall state of the economy and the prospects of a recovery were going to get some expert analysis from professor Richard Wolfe author of the sickness is the system when capitalism fails to save us from pandemics or itself and boom bust cohost to christy i thank you both for being here professor wolf i want to start with you many people still believe that this rebound is still intact and that the 3rd and 4th quarter will swing back and expectations are that the economy will expand at an annual rate of 30 percent as businesses have reopened and millions of people have gone back to work as we just mentioned now do you see this as realistic given the current recovery trajectory. No i dont i think theres youre going off a lot of wishful 3 d. Is it possible yes or no modern 15 questions were asked that we recruit numbers theres pain that right near our grandchildren magnet which has been rearing we seen in the history of after will always leni. Thanks thats what we have to look at how damaging is it to our universities and schools how much of the education right being destroyed or cut back or reduced what is no long term effect on supply lines and all real root things that make an economy worse we have seen tremendous damage done and we want only a good beginning of sorting out what the effects are and so traditions that were all going to have a robust a recall agree that really is an election focused dreaming and not serious and of course those numbers may say that we saw again but whether were really feeling it on main street as weve talked about that main street wall street dichotomy here many times over is certainly to be seen kristie the market was up substantially wednesday as lawmakers tried. Once more to pass a quote of a deal after weeks of stalemate but markets fell drastically as House Speaker nancy pelosi and treasury secretary stephen failed to come to an agreement although both sides they will continue to Work Together and then they kind of rebounded just a little bit before it closed what are you taking away from Market Movement on wednesday afternoon well i think we talked about this numerous time between myself and a host of other guests that weve had on the show but none of us and i mean none of us believe that a deal would actually get done in the 11th hour the market was just extremely optimistic today something that something could get done and stocks were roaring up today and that included economic sensitive names such as airlines industrials banks cruise lines they were all whole fall that something would get done and thats what it was this was the whole rally the money this was a very misplaced hope rally and apparently stocks are bouncing a little bit on again the hope that talks will now continue and craft a package that would eventually get passed in both chambers of congress but currently as it stands right now the senate and the house are quote very very far apart making it clear that the senate will not come up to the 2. 2 trillion mark so Morgan Stanley as well as other big banks theyve also cited that additional stimulus package just before the end of the year is unlikely to be delivered and there can be expected to be more fiscal gridlocks to come with a divided government so we can definitely expect as well professor wolf calls political theater to come as we get more finger pointing between democrats and republicans over who is responsible for this lack of progress over a very much needed stimulus bill now professor wolf who we just talked about those job numbers put out by a. D. P. I mean were looking at in the last 24 hours Companies Like disney they laid off 28000. 00 employees across its parks royal dutch it cut between 7. 90 jobs and down reducing its workforce by 6 percent a couple that with what we just talked about that stimulus package without a new stimulus package the Airline Industry is saying at least 30000 jobs. Are in jeopardy is a bailout necessary to keep this economy moving forward even at the slow pace that you just mentioned or is that not going to do anything to help us out here. You know the ironic answer to your good question is now were already in an on ruling continued was. Really an example of this year the Federal Reserve has begun not only printing money which it was that we booked for and making it available to banks which it was the one before the Federal Reserve is now directly lending to corporations its buying Corporate Bonds in the market directly indirectly what this means is that it requires peroration in america is now on life support from the government and the problem that corporation has for the cheap money Interest Rates are near 0 is the way to solve the problem which is why collaborations are loading d up on debt at levels we have never seen in American History thats the slow moving underlying chiller of any long term recovery that has to be factored in you cant look at the month the month of statistics your example of this is a perfect example they were waiting till the last minute hoping something would happen to get people back in the aim its not going to happen and so now youre going to see this staggered on employment because you dont want to do it all at once that will only jule whatever a months a month number of unemployed might seem to suggest and professor wolf i have to ask your opinion on this because a tuesday on the show we had 2 different analysts give us 2 different distinct perspectives on this next question you know when we talk about theyve been talked about a lot because the the they because just decimated by the pandemic do you think that there should be another bailout for airlines or should we let them fail if they have to. Well i think at the very least we ought to take a long hard look at our Airline Industry the kinds of duplication. Signs of hope sculptured markets that are not working for we throw another stimulus and our whole bunch of airlines that have demand and very little likelihood of demand coming down but i eat a consolidation a mixture of governmental and private management jane he handled the crisis otherwise youre just continuing this now group test situation where yet another industry is on perpetual life of what you can state each brand is worth few months but as the months mount up its beginning could be an endless subsidy and lets remember when you give money to the Airline Industry youre giving it to the board of directors of very small number of people who are going to be using it in what andrew way they speak big theyre taking into account the long term decline of their industry its bizarre that the rest of us and the public dont do to say it and its interesting because we dont mention it as much as we did at the beginning of the pandemic but were still possibly a year out before things return to normal especially within the Airline Industry so you have to keep that in my kristie i want to add a one last story before we go here the chinese r. And b. Is on pace for its strongest month against the dollar since 2008 whats behind the strength. Well thats basically the strength of the investors investors have boosted both china stock and bond market as yields on the 10 year recently top 3 percent which is about 230. 00 bits over the comparable u. S. Yields so more and more people are flowing money and funds into china so the Chinese Government has previously purposely kept its currency weak in order to drive up export and trade but recently both on shore and the off shore on shore and the army has strengthened significantly in the 3rd quarter suggesting that the government is now more willing to allow Market Forces instead to drive up the currency so the strength of the chinese exports over the past 3 months have actually kept pace despite the strengthening of the arm be so that currency value has not hurt demand quite yet so furthermore china has also reported that the authorities plan to reduce barriers to the r. And b. Internationally in an effort to promote and integrate into the Global Financial system so now weve talked about this before that chinas strict currency control is one of the main reason why Foreign Investors dont flock to the r. And b. And why chinese assets arent as popular with the Foreign Investors and currency is one of the most valuable assets that the government has control over and they are loath to give that up but theyre finding that by actually loosening their grip on the currency regardless of whether the r. And b. Exchange is actually free floating in the future or not these reform steps could be enough to untap an avalanche of overseas Investment Funds flowing into china whereby all strengthen both the chinese economy and its position as a rising power Richard Wolffe host of economic up there cohost christiane thank you for that expert analysis. I. Earlier stage data from the madonna crowbars vaccine trials appears to show that the. Drug is safe in older adults now a small study published in the new england journal of medicine found the vaccine produced virus neutralizing antibodies in people over 56 years old an age group that is prone to severe cold in 1000 symptoms study was an extension of bitterness phase one safety trial conducted earlier this year results were similar to those in younger participants one of the studys lead researchers from Emory University in atlanta dr Evan Anderson told reuters the findings are reassuring because of munity tends to weaken with age madeira as part of operation warp speed and one of 11 companies in the final stages of phase 3 trials the last step required before vaccines could be approved for widespread use Company Shares spiked as much as 4 percent on the news wednesday. So with this in mind lets take another look at the trends and spread of the virus globally with r t correspondent sites have a day or so where are we when the you know brand another day just more and more increases and right now close to 35000000. 00 a globally were covering a rate scale at around 75 percent thats 1000000. 00 and counting now just in the u. S. More than 7400000. 00 confirmed cases deaths asar passing 211000 now staying on the u. S. Lets take a look at the daily new case and deaths for tuesday which were 43470 now thats a 13 percent increase compared to last week down 2 percent from yesterday but still an increase from the previous week and a deaths 918 were reported yesterday a 17 percent decrease from the numbers we saw last week now nationwide though were still so although the number of the deaths is going down nationwide were still seeing a decrease in state in dad but several states. Are still doing well now these states have had the highest growth in. Reported deaths over the last 14 days here and take a look you know some states like alaska seen a 400 percent increase in deaths compared to last week north dakota 187 percent music 143 percent south dakota and. 91 percent and then you have states like missouri and wisconsin didnt have such a High Percentage of deaths but at the highest number 1000 hospitalizations on record and obviously this is not just unique to the u. S. Because in europe there are now seeing a 2nd wave of the pandemic and its really taken a few countries by storm in fact several countries are now reporting more in daily cases than they did during the beginning of the pandemic back in march lets take a look at specifically i want to take a look at spain and france because there are both saying youll see that stores the end thats had 10 or 29th you see the numbers keep going higher and higher the next one is france france is also seeing a huge jump in numbers so obviously the good news is that theyre all role death rate in europe though is a lot lower so there are higher numbers could also just be contributed to more people being tested then before brant and we just talked about madonnas in their vaccine but are we any closer to actually getting a vaccine approved well like you said there are in there are large scale face 3 trial and of course thats the final stage of her seeking mergence the authorization or approval so well know really soon on down there is were concious seeing in all media appearances and talks with investors their chief conflict being. Telling everyone that theyll have a result a report by of their effectiveness of their vaccine by october so well know very soon maybe either of those vaccines are going to be effective and not just effective but actually a vailable and in our a large scale for consumers brant arky correspondent cites editor thank you for keeping us up to date. Time now for a quick break but hang here because when we return big is seeing an influx of a terrorist cases as tech tensions continue to rise across the globe later on we take a look at the cases whats at stake moving forward as we go to break through the numbers of the close. As election day approaches there are growing concerns whether the outcome will be contested whether the election will be legitimate we are told this election truly matters were always told this however this time around theres a different feel theres an extension to just election how many voters will say not my president after november. Second i mean. This is jackson. Its a. Bit over you know if. Im out. To cause. The movement you dont. See scoots and i use the sixtys to make it a day easier you know food truck used to people. Who clubs people who comes to clubs do he. Said if he pays music that. I do jazz because he makes me copy. She dies because he beats me in the plane flew to. And when you go to jail she was in. Yeah and i said this is the only spot of us in the dark. Welcome back the e. U. May be instituting a new crackdown on tech giants like Google Facebook amazon and apple new n. H. S. Rules would mean the tech giants cannot favor their own services or force users to sign up for bundles of services that crush competition though according to reuters under draft language in the agreement gate keepers such as companies with bottleneck power or strategic Market Status will not be allowed to use Data Collected on their platforms to target users unless this data is shared with rivals theres a lot to talk about here so joining us now to discuss his boom bust cohost investigative journalist ben swan and International Regulatory attorney Myles Edwards thank you both for being here today thank you ben i want to start with you this is been an issue for some time but many of these proposed regulations from the e. U. Come from come from complaints made by googles actual rivals what are those complaints. Yeah its kind of been a Long Time Coming if you will so essentially the way it works is the e. U. Has a system that we dont have here in the United States as part of a settlement that google made with the e. U. Its something called choice cream which every quarter google essentially does an auction that lets Android Users with their mobiles decide what their default Search Engines will be and they give them essentially 4 choices what is what the choose from essentially this was part of a settlement that google had with the e. U. With this 5000000000 dollars Dollar Settlement but the problem is is that you have Search Engines like duck that go that say in fact that google is has not gotten better they have not resolved the antitrust issues in fact this is what the go said quote the current remedy is not a remedy at all it is fundamentally rigged by google to benefit google they say that the e. U. Has been waiting for data in order to prove that google is again rigging these practices in order to favor themselves duck that goes says now that that data is available they have sent over their data to the e. U. Theres other companies as well in germany theres one called it which is essentially a Search En