ratio go down to i think a little or c. and not for anything like well europe we are seeing in a recession or grow the sourcing in greece spain and italy is dead to g.d.p. ratios are actually increasing more and more with us today because now there's many people are able to pay revenue into the government because they aren't spending money and don't have you know they don't have a job so they can't pay any taxes but i wonder who is clearly not working so what is the endgame here which is not to reduce that one bad assets is a total loss. and a half weeks or so the sequester spent but congress is going to tell us that we're going to send it in effect in europe in five years it's been going on what are you going to take all of the economies and in the tank here to sequester three weeks old let's go i don't think i don't get me wrong i don't think our economy we want to be but i would i would i would say that from when the president took the keys of this economy to where we are now our economy is not in the tank we've seen gro

ratio go down to i think a little or c. . and not everything like well europe we are seeing a lot of research or grow the sourcing in greece spain and italy is dead to g.d.p. ratios are actually increasing more and more with austerity because now there's many people are able to pay revenue into the government because they aren't spending money and don't have you know they don't have a job so they can't pay any taxes but i wonder who is clearly not working so what is the endgame here which is not to reduce them on assets is a total of three and a half weeks or so that the sequester is spent in fact but congress is going to tell us that we're going to send it. in effect in europe five years has been going on what are you going to take all of the economies and in the tank here to sequester three weeks old let's go to i don't think i don't get me wrong i don't think our economy we want to be but i would i would i would say that from when the president took the keys to this economy to where we are now our economy is not in the tan

bond obligations back in two thousand and eight iceland's deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt weight technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's islip that was humiliated the world over they should definitely think again. however polls are showing many in iceland now turning away from the ruling coalition which led the economy to steady growth voters have been lured away by the opposition and as you know skepticism iceland applied for membership after the two thousand and eight banking crisis but since then the locals have been put off

bond obligations back in two thousand and eight i slow deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial down in that's history in both the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. on this story we're now joined live by dr stephen mcconaughey from birmingham city university dr mccarthy welcome to the program iceland is widely seen as an economic recovery success story do you agree or not. well it's recovered there's no doubt about it. it was able to in effect if not what the debt so to sort of to ign

bond obligations back in two thousand and eight iceland's deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructure their debt and growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again but polls show many an hour you sort out turning away from the ruling coalition that libya. anime to steady growth voters lured away by the opposition and its euro skepticism now during the two thousand and eight banking crisis when i was economy was on the brink of a breakdown the e.u. seemed a safe haven parliament voted in fav

bond obligations back in two thousand and eight i says to to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in its history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. but polls show many in iceland are now turning away from the ruling coalition that led the enemy to steady growth boaters lured away by the opposition and its euro skepticism during the two thousand and eight banking crisis when iceland's economy was on the brink of a breakdown the e.u. seemed a safe haven parliament voted

bond obligations back in two thousand and eight i slung the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in that's history in both the little strait and europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. well despite the rapid recovery after the economic meltdown people are turning their back on the ruling coalition preliminary results suggest that voser voters have chosen the more euro skeptic opposition during the two thousand and eight banking crisis when iceland's economy was on the brink of collapse that you seemed l

bond obligations back two thousand and eight i slung the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastated financial meltdown in that's history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. russian officials blacklisted by the u.s. have rejected all delegations against them calling them politically motivated well the key is the people on the list of being responsible for the death of lawyers sergei magnitsky in police custody will the three years ago and let's not get the. culture good morning so will el

bond obligations back in two thousand and eight iceland's deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in that's history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. however polls show many in iceland are now turning away from the ruling coalition which left the economy to steady growth many voters have been eroded away by the opposition and its euro skepticism iceland applied for your membership up to the two thousand and eight banking crisis but says that locals have been put

bond obligations back in two thousand and eight iceland's deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt weight technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown is history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so it's something it's iceland that was humiliated the world over they should definitely think again. and coming out for you this hour upping the pressure ukraine's former prime minister yulia timoshenko could soon be charged with murder she's already selling a seven year prison sentence on this could see her behind bars all night all the details on that just ahead after the break. my ski theatre i'm a the second to be a

bond obligations back in two thousand and eight i slung the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt weight technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. however polls show many in iceland now are turning away from the ruling coalition which let the economy to steady growth many voters have been learned away by the opposition and as you know skepticism icelander apply for membership up to two thousand and eight a banking crisis but since then locals have been pulled

bond obligations back in two thousand and eight i slew of deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept going and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history in both the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world they should definitely think again. russian officials blacklisted by the u.s. have rejected all the allegations against them washington accuse the people of the list on the list of being responsible for the deaths of sergei magnitsky in police custody more than three years ago. the details now of the russian reaction on that . they say that the publication of this

bond obligations back in two thousand and eight i slow deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt weight technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes and five years stating french down its history it boasts the lowest jobless and less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should only thing again. however polls show many in iceland now turning away from the ruling coalition which led the economy does steady growth many voters have been lured away by the opposition and it was skepticism i applied for you members of the two thousand and eight to banking crisis of those that locals have been put all by is own financial troubles that doesn't even cable for b

bond obligations back in two thousand and eight i slew of deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in that's history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. but polls show many in the country now turning away from the ruling coalition that lead the economy to steady growth voters being lured away by the opposition and its euro skepticism now during the two thousand and eight banking crisis when i suppose economy was on the brink of a breakdown the e.u. seemed a safe have

obligations back in two thousand and eight i phones definitely g.d.p. ratio was twice that of the prince yes iceland allowed its banks to collapse under their own debt weight technically bankrupt the island nation managed to get an impressive job of turning its economy around its bank sector return to profitability its business restructured their debt and it kept going and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history it boasts the low end europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think. while the u. has been beefing up support for the sewer and rebels and in fact volunteers heading for the war zone is stoking fears of a homegrown terror threat officials say radicalized youngsters could pose a serious security threat when they return from the front lines hundreds of europeans are said to have already taken part in the conflict

back in two thousand and eight i slow deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so some think it's iceland that was humiliated the world over they should definitely think again. and we're now joined live by every kind of bag men they profess sometimes undergrad to listen to for european studies at the before us university musselburgh meant you were part of the assembly that revise the atlantic constitution after major antique license protest back in two thousand and eight i contend with the state

bond obligations back in two thousand and eight i slung the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes. and five years after the most devastating financial meltdown in the history it boasts of the lowest jobless rate in europe less than five percent now those own strongest the con germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. this is all see and coming out upping the pressure ukraine's former prime minister yulia timoshenko could soon be charged with murder has already serving a seven year prison sentence and this could see her behind bars for life. plus one who came to why americans are losing faith in the world presented to them by the u.s

bond obligations back in two thousand and eight i slid the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in its history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. oh showing in iceland now that they're turning away from the ruling coalition that lead the economy to its steady growth voters have been lured away instead by the opposition and its euro skepticism during the zero eight banking crisis when i suppose economy was on the brink of meltdown the e.u. seemed to be a safe have

bond obligations back in two thousand and eight i slid the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in that's history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if something gets iceland that was from elite of the world over they should definitely think again. well despite of rapid recovery after the economic meltdown people are turning their backs on the ruling coalition polls indicated that they are likely to cast their vote for the more euro skeptic opposition now during the two thousand and eight banking crisis when iceland's economy was on the brink of a collapse th

ratio is just under three sound they have no money and plenty of debt they borel. more to serve their bond allegations back in two thousand and eight i slid the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt way technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business is restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history both the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. despite the rapid recovery after the economic meltdown people are burning their backs on the ruling coalition preliminary results suggest that voters have chosen the more euro skeptic opposition now during the two thousand and ei

bond obligations back in two thousand and eight i slung the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own weight technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in that's history it boasts of the lowest jobless rate in europe less than five percent now the euro zone's the strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. now despite the rapid recovery after the economic meltdown people are turning their backs on the ruling coalition polls indicate that they are likely to cast their vote for the more euro skeptic opposition now during the two thousand and eight and king crisis when iceland's economy was on the brink of collapse th

bond obligations back in two thousand and eight i slid the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business was restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history both the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. political science professor a wrinkle bagmen says moderation and a sense of proportion where the key to success is saying is that iceland was able to avoid very strict authority measures rather there were mixed measures of easing in peaceful consulate dacian in this country and that costs are. sort of a term created some s

their bond obligations back in two thousand and eight i slung the deficit to g.d.p. ratio was twice that of the pigs yes i sell out its banks under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around it's going sector return to profitability its businesses restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history it boasts the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again. but polls show many in the country now turning away from the ruling coalition which have led the economy to its steady growth voters have been lured away by the opposition and its euro skepticism during the two thousand and eight banking crisis when iceland's economy was on the brink of a breakdown the e.u. seemed to be a safe haven for

their bond obligations back in two thousand and eight i slid the deficit to g.d.p. ratio was twice that of the pigs yes iceland allowed its banks to collapse under their own debt wait technically bankrupt the island nation managed to get an impressive job of turning its economy around its banking sector return to profitability its business is restructured their debt and it kept growing and many of their people were able to keep their homes and five years after the most devastating financial meltdown in the history both of the lowest jobless rate in europe less than five percent now the euro zone's strongest economy germany has five point four percent so if some think it's iceland that was humiliated the world over they should definitely think again but polls show main iceland are now turning away from the ruling coalition that led the economy to steady growth voters have been lured away by the opposition and its euro skepticism during the banking crisis what i saw as a country was on the brink of a meltdown the e.u. seemed a safe haven parliament voted in favor of j

ratio was one hundred twenty seven percent it was much higher than it is right now and going into the eisenhower administration it was still quite high and many economists argue the eisenhower paid down the national debt by stimulating the economy by building the interstate highway system by putting people to work building this national infrastructure couldn't build an international broadband system be the stimulus that could bring about full employment and at the same time upgrade america to world class status data. that's quite a vision that we probably do something more incremental at this point in our country we would help all of those municipal networks come to being we'd find ways to connect them but absolutely the potential for economic growth increased productivity new ways of making a living you know new richness in america could be spurred by not just paying for some parts of this high speed internet access network but also loaning out capital to new competitors who want to build part of the network themselves right now this is like it's a luxury and so access to capital is

ratio was one hundred twenty seven percent it was much higher than it is right now and going into the eisenhower administration it was still quite high and many economists argue that eisenhower paid down the national debt by stimulating the economy by building the interstate highway system by putting people to work building this national infrastructure. building a national broadband system be the stimulus that could bring about full employment and at the same time upgrade america to world class status data. that's quite a vision that we probably do something more incremental at this point in our country we would help all of those municipal networks come to being we'd find ways to connect them but absolutely the potential for economic growth increased. productivity new ways of making a living in a new richness in america could be spurred by not just paying for some parts of this high speed internet access network but also loaning out capital to new competitors who want to build part of the network themselves right now this is like it's a luxury and so access to capital is very difficul

ratio in the world and spends a fourth of all tax revenues on debt obligations that was peter schiff from euro pacific capital from lincoln to bush to obama funding wars has always been a challenge next we'll look into the fine print of creative wartime spending then our t.v. producer bob inglis and i will debate in s.c.c. will the bank of wal-mart and virgin in space all of this up next. hour of. sleep. relieve. the worst fear for the little things. like how to get a. radio guy for a minute. i want to clear a budget if you've never seen anything like this until. pretty dumb stuff in the field that you won't find it here if you're looking for relevant stories unique perspective from tom my skin's dark. wartime financing is always a challenge but governments are never short of creative solutions will explore how the iraq and afghanistan wars have been financed off budget but first history offers an instructive insight so let's take a look at what president lincoln and his treasury secretary salmon pj's did during the civil war just a few months after iraq did the northern treasury fac

ratio under 3% which is what economists say we need to stabilize our debt. all of this is part of a broad, holistic approach to our budget challenges. >> you are not concerned about -- >> i think democrats and allies understand that this budget the president will put forward tomorrow is not his ideal budget, it is a document that recognizes that to achieve a bipartisan solution to our budget challenges, we need to make tough choices. it demonstrates in stark con it's a -- contrast to the house republican budget that you can invest in our economy and protect our middle class and protect our seniors and reduce the deficit. you don't have to go the route of chairman ryan, which is to eviscerate, devastate, programs that help the middle class, block grant and disarrayed or slice down medicaid so families who rely on medicaid, including families with chern who are disabled, you don't have to voucherize medicare and shift somehow thousands of dollars of cost annually onto vulnerable seniors to reduce the deficit and you don't need $5. trillion in tax cuts to the w

it is where everyone wants to go in terms of taking that debt-to-g.d.p. ratio down. i had the opportunity to work on balanced budgets. those were in a particular context of a number of things. what i believe is fiscal discipline. ref knews at a certain level -- revenues at searn level and good economic health. one needs to take care and that is the job. i believe that we can make our way to our a place without an amendment specifically. >> i guess i would fall back on president reagan. trust but varyify. i think there has to be something to force the verification. just looking at history. final question. one of the rules of o.m.b. is in the regulatory review area. there has been some discussion about that today. when i talked to small businesses in particular, the regulatory burden is the first thing they mentioned. i hope that you will take very seriously the regulatory review process and should certainly meet the deadlines on a timely basis. to really try to assess what will the impacts of this being b and are there ways this goal can be accomplished without increa

ratio. we've started on that path, we need to continue on that path and think about how we do that in a way that connects to the american people. each of these numbers and things that we talk about are not ends in and of themselves. they are related to people, their lives and their jobs and 3things like our nation's national security. >> the percentage, you talked about g.d.p., the percentage of our g.d.p. that comes to the federal government in the form of revenues, we've been told, is at an historic low. 14% to 15%. typically it's about 18% or 19% of g.d.p. are those numbers -- are you familiar with those numbers? and that approach to looking at revenues as a percentage of g.d.p.? >> yes, sir, i am familiar with the different numbers and different points in time. >> is it true that we are at a very low point in terms of revenues when you look at revenues as a percentage of our economy. of our gross domestic product? >> yes, sir, the numbers when i was in the clinton administration on avera

ratio. we've started on that path, we need to continue on that path and think about how we do that in a way that connects to the american people. each of these numbers and things that we talk about are not ends in and of themselves. they are related to people, their lives and their jobs and things like our nation's national security. >> the percentage, you talked about g.d.p., the percentage of our g.d.p. that comes to the federal government in the form of revenues, we've been told, is at an historic low. 14% to 15%. typically it's about 18% or 19% of g.d.p. are those numbers -- are you familiar with those numbers? and that approach to looking at revenues as a percentage of g.d.p.? >> yes, sir, i am familiar with the different numbers and different points in time. >> is it true that we are at a very low point in terms of revenues when you look at revenues as a percentage of our economy. of our gross domestic product? >> yes, sir, the numbers when i was in the clinton administration on averag

many people think and the president keeps saying that our debt-to-g.d.p. ratio is 77%. but we've examined the rogoff-reinhart study. we've looked at it. rogoff and reinhart used a higher figure because they compared countries around the world, and that was the numbers that they had, the total gross debt. and based on the gross debt when it reaches 90% of g.d.p., you begin to have economic decline. our growth -- our percentage of gross debt to g.d.p. is 104% -- 104%. and i contend, i believe, that the projections for growth for the last four years have all been higher than the growth we've actually seen. in fact, it's been much lower than projected, even by the president and the congressional budget office. so it appears to me that that growth debt figure being over 100% is indicative of a slowing growth. but others instead of rogoff and reinhart have done studies. europe has high debt rates. per capita we have more debt than any country i in europe, me than greece. the studies in europe -- the international monetary fund, the european central bank, the bank for internat

it is where everyone wants to go in terms of taking that debt-to- g.d.p. ratio down. i had the opportunity to work on balanced budgets. those were in a particular context of a number of things. what i believe is fiscal discipline. revenues at a certain level and good economic health. one needs to take care and that is the job. i believe that we can make our way to a place without an amendment specifically. >> i guess i would fall back on president reagan. trust but verify. i think there has to be something to force the verification. just looking at history. final question. one of the rules of o.m.b. is in the regulatory review area. there has been some discussion about that today. when i talked to small businesses in particular, the regulatory burden is the first thing they mentioned. i hope that you will take very seriously the regulatory review process and should certainly meet the deadlines on a timely basis. to really try to assess what will the impacts of this being b and are there ways this goal can be accomplished without increasing costs, burdens and time. ver