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Full Show 5-17-18

May 17, 2018|

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

This is the financial exchange with the very Armstrong and chokes. We're exclusive look at business and financial news affecting you today you're simply to a world. Stay informed and a today about economic and market trends plus get breaking business news. And the financial exchange with the very Armstrong and chunks. It is good. Day of the grocery store we have news about Wal-Mart son of a gun. We had been dead and buried just a week ago and they seem to be re emerging Kroger. Making a big acquisition. Voters in big in the northeast but there are very large grocery retailers they just bought and automation and robotics company and then finally we're gonna talk about teacher compensation hi everybody Berrian truck with you here it's a Thursday morning in. Just last week after Wal-Mart announced their potential acquisition of flip card and a lot of paper down on the company that they reported earnings today there are pretty strong. Yeah a company coming out with a pretty good earnings report for the first quarter. They beat on earnings by two cents a share so about 2% they beat on revenue by about two billion dollars went to gain about 2%. And their same store sales growth was two point 1%. Compared expectations of 2% overall pretty decent quarter for the it's not a you know knock your socks off quarter throughout the kind of quarter where you say while wal mart's U chugging ahead. But it's when we say. You know that the first quarter wasn't good this one kind of puts him back and a little bit more stable footing. Same stores up what 2%. Two point one it what do you make of the digital side. So their online sales growth was 33% year over year it's still awful is very low number yeah it's it's always been your criticism it's still low numbers so it's it's not you know the the core part of their business now it's good to see that they are seeing some growth there how much is Amazon going. Their actual online sales. Is that we know their revenues up but that was based on a lot on that whole foods acquisition. Yes if you look at their online. And affirm years are chugging along 20%. Know me take a look and see where they. The clicking right now just for there. On line sales that e-commerce sales growth. Gets about 19% neo somewhere in that ballpark to bigger chunk though you know Amazon you talk about how much they do in terms of e-commerce sales. 212 billion dollars a year so the big mistake that Wal-Mart made was giving Amazon a 1015 year head start. Effectively I mean they they and that they they did not adapt quickly enough I mean that's that's the big thing now to. He is a thing we we we can knock Wal-Mart all that we want or the fact is they still are the biggest retailer in the world and okay. Second places you particularly close and you talk about how what Amazon does as far as you know sales compared to Wal-Mart ams and as a third of wal mart's sales. It's beyond my area you know you just I just think about. Consumer behavior you know look at the three guys in this room and I bet you barely a week goes by where we aren't buying something that each of us individually or not buying something on M us. Yeah the world's not people shop at Wal-Mart. Yeah and shopper is going to have its fake again you look at the northeast and in in just three in this room particular. That the average Wal-Mart shopper. Makes below median income. Yeah that's that's what it is and a half Omar on us but that they insisted it be a major source of revenue for Wal-Mart news food stamps so. You know the people who are typically on. Food stamps and often early adopters for new technology to begin with him and so I don't know Wal-Mart. Are they fifteen years late to the party no I don't think so is ego and who was buying all these goods online fifteen years ago true no one. I think they're probably five to seven year easily and I still think be given their size to miss it's a big mistake by management but. It it's they should. Have a competitive advantage in the grocery business though. In just only because they have so many darn locations compared to a whole foods. Competitive. And turn it internal I think online grocery and our reality there's always buys groceries and one wonders how percent of people it if it has to be changing shock with the the Kroger or purchase of coddle. And I think I'm pronouncing that correctly. I mean Colorado is a robotics company in the United Kingdom there's nothing for program by domestically so they had to go overseas to find one. But they bought at the technology company in robotics company. For the purpose of getting groceries delivered to residential. Consumers but that doesn't mean it's a big piece today. Nobody is an egg and it elect where do you see. The grocery business five years from unite EU EU diet I think we're on the same page on this. We buy some things on line but for the hole we're in that armor for store went to place. I am in general what you see for most forecasts. Okay is that online grocery sales are gonna double over the next five years. It's not very much is now it's going to be like two or 3% of overall professionals why so much focus on it verbal he's comfortable in that you'll go crow overspending Kroger. Incur stock is up to. Kroger spending a fortune on it wal mart's ape like every grocer. Is saying we have to be in this space they are they misdirected is market basket the more appropriate place and these are people gonna tenure should now. Our consumers gonna continue to go to the growth restored by fresh grapes fresh oranges fresh fish. Well if you if you look at Kroger in the size of this deal in terms of the overall company okay crew were spending about a quarter billion dollars to do it's now okay. Kroger today if we look how big of a company they are there 21 billion dollar company. In terms of their overall revenue than they did in the last year and they did a 122. Billion dollars in rapid. Okay big chunk OK it's it it's a big chunk in terms of revenue they did. This is a drop in the bucket in terms of their overall you know picture what they're spending your like. Crew overspend like hundred billion dollars a year just buying their groceries to spend the quarter billion on robotics company. It's a drop in the bucket. Mean. You don't think so well no I hoped 88 you know you how hard is it for grocer to make a quarter billion dollars of profit. It's it's it's really hard and in the market so far as I'm okay I'm a 120 billion dollars a year is that they do in revenue and their profit is usually somewhere between two and four billion dollars to two to 4% margin business that's that's kind of what the grocery business is T I think Kroger and Wal-Mart are. Following him is on. And I think Amazon's purchase of whole foods has scared the Dickens out of all these other first hours I think because they know what Amazon has done to many other industries. Think about the businesses that Amazon has put out. And and just taken to wipe the not I think if I'm Kroger CEO on sane they're coming for me next in I'd better have a strategy. I think it's I think those are all fair statements to make them I just think that with the grocery business and any do you get the trains for the people were going to be buying groceries for film was going forward people talkers aged people my age. The trains for them. Is towards more local sourced in more sustainable Prodi's. They like to see if he gets feel the same way when you get six kids right and around the house that they're starving and squawk on the stats show that we're not happened six and you gotta get to soccer practice and you know late in the car's broken and nobody you can have on like grocery and you figured it out. It was not easy. But grocery shopping wasn't the biggest problem you had. Now but boy it sure would have been nice you know so I just I I. Again I'm I am skeptical on online grew ever becoming mainstream evening ticket skeptics know when does it like I don't know when sticks with even like the blue paper stuff no one sticks with that's not for. They do you're going grossed out your point my son Michael you'll be working with tomorrow. He ordered for minster cart one time. Yeah and he didn't like it and while I I don't think he dislike it I just think it's he still prefer going to the store. My sister and I start my sister ruckus over the weekend they users instead cart. Literally they do and do what is obviously that are like it. Communal that are early thirties so gentle and originals yup they're kids they're not all tell you know 6637. Minutes later tonight and you know you look at commuting in New England. I don't care wary you'd be you know on KP can be in the Boston area in New Hampshire. Commutes are cool but doing it's not the rest of the country. New York's worse. I knew we don't LA thank you yeah. The people chuck want convenience. But that they're not buying this stuff that's what I like the data shows that no one buys this stuff now yet I. I can that's what I'm saying that's my in Hoyer points. A I and you Amazon's about the lord doors off with some on line grocery I think if it and they might there but again I think it did that these these moves by Wal-Mart. And by Kroger yard demonstrating your point yeah. I think we're due will say you know only if and I still probably use it. And that's what I'm saying like. I'm not saying online grocery isn't going to have sale yeah I'm saying it's not going to be the main weighed 90% of people buy their groceries. They're both time will tell that's one organ have to wait out. How generous art teacher benefits and do they make up for lower pay. This leads into a conversation. As a relates to teacher compensation. We have a poll question but before we. Go to the poll question I came across a study jock and it's shared with me is done by a the National Education Association. And me. Released their annual rankings of the State's. Teachers' salaries. So I haven't by state I'll share it wouldn't you. The highest compensating state is New York State at 81902. Dollars that's what the average teacher makes it near state Coca. Average teacher in Massachusetts earn 70100. Dollars Connecticut 73147. Dollars. Rhode Island 66477. Dollars New Hampshire 57000. Dollars or bought 57000. Dollars main. Is the lowest in New England at 51000 dollar pro tools cost of living as well. But our poll question has to do with teacher compensation. Do you think it would it would how to post that poll question Tucker who do you think teachers are paid to do I think teacher do you think teachers are underpaid. You can go to our website which is financial exchange showed a condom let us know your thoughts on this. Right now 85% of our listeners thinks that in that teachers are underpaid and somewhat surprised that. But go to our website financial exchange showed a com in order to vote. And then. If you wanna participate by the techs liner tech's number is 63566. If you have not texted us before. They treat my first name at the beginning of your text Berry. Do you think teachers are underpaid I just gave you. The the levels of compensation for all six New England states and I added in New York State as we have some posters. And on the island so will will talk about it when we return to the financial. Have a question for Berrian junk now you can text us at 63566. And take part in the show at any time. Start your text through keyword Barry and join our exclusive club days as the financial exchange radio network. Hi this is very our stroke like many if you are. I was very interested to watch the markets after president Trump's tax reform bill passed last December if you have an irate Horry wrought by area count one little nugget that didn't get much media attention after the bill was signed with the idea of Roth conversions or re characterizations. Under the prior rules if you attempted to convert a traditional diary tour rock you could undo that request and not get a tax it as long as you made the request before October 15 of the tax year in question after January 1 of Tony eighteen that provision no longer exists if you're concerned or have questions about how this change will affect you call me right now to get my free guide about Roth conversions the number is 803934001. That's 803934. Zeros or one or you can download it right now at Armstrong advisory dot com. Securities are with the securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group the securities America companies are unaffiliated. As we age estate planning and asset protection become a Paramount importance to maintaining a happy and successful lifestyle many families to go through this process think about transferring their home to their children to protect it from the nursing home if you're not careful a nursing a mistaken judge your financial wellbeing and transferring your property isn't always the best solution because you're looking at huge capital gains taxes and home sold if you find yourself in a similar position you need time let's -- brand new guide the risks and rewards of real estate ownership a senior partner with Cushing and Dolan and host of the legal exchange radio show Todd will break it down for you piece by piece and in turn will help you avoid probate and unnecessary taxes are better ways to own real estate. And this guy can help you understand how to protect what is arguably your most valuable assets call today for your free guide at 8668485699. That's 8668485699. Don't put your home at risk given away from your children's creditors and keep it safe from the nursing home call 8668485699. Or log on to legal exchange showed dot com. Everybody it's very Armstrong NG to Jay is the executive vice president at liter bank. And we're here to talk about a brand new product available for landlords it's called Z deposit dot net Jake. What. Barry we created a security deposit product. To really help the problem a lot of play in order facing with security deposits which is. You know one it's time consuming to open the small internal security pop number sons. And yet to go into the bridge yes sign paperwork and their small dollars and in the turn. And it's likely to complaints in Massachusetts really tough for landlords and security deposit accounts. 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Folks if he'd like to learn more about C deposit go to their website Z deposit dot net. Or you can call and speak to somebody on disease deposit team it's 7816418691. Or online at Z deposit dot net it helps. Landlords manage their tendon deposits two great concept you might want to learn more about 7816418691. Security suffered through securities America Inca member Sandra SIPC and advisory services arbiters securities America advisors think Gary Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated. The financial exchange for Barry and chuck is alive on FaceBook and YouTube every morning beginning at ten and this is the financial exchange radio network. I your tax dollars are really the subject of this conversation because we're talking about do you think teachers. Are underpaid and those of you who are paying property taxes. And you've had this conversation at town hall meetings throughout the wing and the last fifty years. Right now Tucker would appear that about 47%. Of our listeners think that teachers are underpaid. And then on our excellent couple of interest England's 978 rates. New teachers are underpaid you know I'll need a masters to get the job. And then there are stepping and his guys. It is you know you even like like so you study education you know undergraduate degree in education. I think you can get a job in the end you have to have a masters within five years. Of starting to it depends on the state but most states right now if you look. At how a lot of them are set up. Effectively. You might be able to technically apply for a job without a masters yet it you're competing it's people out. Master it's OK so let me I'd just finish at that pace then there are stepping creases each year after about twelve years teachers make a fair salary. Finally writes yes I do think teachers are underpaid. IE. What you two were actually ear you're probably more to speed on this than I am I have nieces that are teachers that you are both married. Two people in the education profession. Are you on starch and yes there are underpaid. I think it depends. And thought okay. I think. If you look at the overall compensation. On average it's not necessarily under paying teachers. But what you end up seeing is that in a lot of cases teachers have to spend money out of their own pocket for basic supplies for their classes and so large chunks of theirs salary can and getting eaten a way through some of those expenditures number 12 that is real that's that's not. A fake story out yet you think it's the UC's teachers that I have to spend like you know hundreds if not thousands of dollars each year just really basic school that's crazy and it's it's like. Not even stuff that's complicated it might be like they need masking tape in the school won't give them masking tape to like repair books that have been damaged or something you know like stuff like that so. I think that when you factor some of that stuff in it's you know it's. Some that I guess to play into the game where I'd kind of goes on the other side is the one thing that. Just about every public school teacher has just about no one else in the country has this point is pension. And when you factor in that pension kind of swings my pendulum back towards the other side. Because. Effectively. Their retirement is taken care. So how much is that pension worth you know I think if you were to calculated as a 41 K benefit is it 15% of their salary 20% of theirs now every. Eerie because in order to get that pension and correct me if I'm wrong but. You have to serve 35 years under the new pension laws that they have the of did do 35 years of service. And cash let's stay in one job 35. I mean there's very little turn over Ian. The teaching profession yeah so apparently mostly most Amanda staying in thrown at a time are they staying because of the pensions probably a lot of mark CA I. Right I think your on the right path here I I think pensions. Are the big problem for teachers. But I think for a different reason you're you're attributing it to as a cost issue I think were teachers and firefighters and police officers all public servants. I think where you folks live shot yourselves in the foot is you've negotiated these outstanding pension deals with their handcuffing me. And there are handcuffing you to the state in which you reside so let's say Europe Boston cop who right that's the topic our teachers what's to pick on. Boston Police officers. Well that's good and well for us well the I've got friends that are Boston cops and and I've I've had this conversation if you can have a reasonable conversation with them. We're ready they're not in a a group setting. You can make progress with them and but. I've had the conversation chart where it said okay you're Boston Police officer in you've taken the sergeants exam. And use you use but there's no positions open dubious sergeant heard the captain. What if you could leave Boston and become the police officer and a sergeant in Phoenix Arizona. Cedar there handcuffed by these jurisdictions. What about Rhode Island very small state they can't leave. In it in in its worst than you think when you when you talk about how a lot of people with pensions especially public pensions are handcuffed and give you an example. Based on and on the Illinois tier two pension that's out there for teachers okay. What you see is if you leave that program them with less than 25 years of service. You don't get anywhere near you if your full benefit you effectively subsidize the people who stay longer so you can work 24 years and you could say you know what. It's time remove have to go somewhere else in you get anywhere near the money that you put in even though if you stay. Two years longer all of a sudden you start to get this exponential curve that ramps up. And so you're subsidizing people who simply stay there longer as opposed to. Saying OK if you work X number of years are gonna get you know XX pension just like you would if you. We're throwing money into a 41 care for a three BC and that I think. A problem with public servants have done is they've said give me a pension. And I'll give up my free agents that us in all I have to do is look at professional sports look what happened to professional sports back in the seventies. When they became free agents look at salaries for baseball players hockey players football players NBA players look at what a hockey player was making. In 1972. And then do even when you adjust for inflation and everything else and take a look at what they're making in 2018. Here's the counterargument to. The ones that we look at in all of those industries they're the top paid ones out if you look at what minor league baseball players get a Minor League Hockey players get. It's significantly less is in a lot of cases it's pretty close to minimum wage actually him and so what I think you would likely see. The top and teachers paid date they get paid through the Rufino. If you had a teacher make it to a degree if you're one of the best teachers out there and you have you know a true free agent system more hey they can go wherever they want. They'll get paid. A ton of money and do you think you'd get even the second tier which may be better teachers because they think they're going to be good teachers. Potentially mean you make it I don't know if you know their people who avoid going into teaching profession because they sail it it I don't want to deal with waiting for pension and I know we'll tell you case and as an individual I didn't go into teaching I would love to have been a teacher. But I couldn't afford. Debit there's there's definitely a lot of people who I think probably think along those lines. But it's I think on the net when you when you factor in those pensions in the cost of those pensions and things like that. I have a hard time saying. The teachers are underpaid based on you at the the full dollar value of their comp though they may be underpaid in terms of their near there waged today as far as. You know that they're not getting what they should today when you factor in that the first Compton the pension. I tend to side on the other side there. Our poll question is do you think teachers are underpaid financial exchange showed dot com or text us your comments at 63566. When we come back it's Wall Street watch. Life goes on FaceBook and follow us on Twitter. Show breaking business news is always first right here on the financial exchange radio network. This is a special announcement for all landlords chasing down league rent payments and making trips to the bank to deposit checks take a hassle out of rent today we're zero and leader banks all mine rent collection tool he ran automatically deducts tenant's rent and deposited into your account visit WWW duds he ran dot net to learn more when Z rent your payments for each unit received regularly on the same day every month tenants pay nothing in the first six months or free for all landlords visit WWW dug see rent dot net to learn more or call 7816418691. If you have a Roth IRA for personal investments here's something you need to know under the new tax reform bill Roth conversions are now permanent Colby Armstrong advisory group right now and get their free guide about rough conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com securities are for your securities America incorporated member finreg SN BC and advisory services over the mysterious American advisors incorporated Barry Armstrong represented Armstrong advisory group in the securities America companies are unaffiliated. 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Are you thinking about transferring your home to your children are protected from the nursing home did you know that if you do you put at risk for your children's creditors including future divorces do you really wanna write a check to your former son or daughter in law just to buyback your own home hi this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's in addition to your state income tax -- better ways to own your realistic -- can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of real -- call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at risk 8668485699. Or log onto legal exchange showed dot. Whether you're celebrating a milestone or diversifying your portfolio precious metals are Smart meaningful investment one ounce and 110 ounce silver and gold bullion coins are now available at all leader bank locations bank locally and -- your gold locally it just makes sense of leader bank a call and learn more call 8776917900. Or visit leader bank dot com not a deposit not FDIC insured uninsured by any federal government agency not guaranteed by the bank and may go down in value leader back a step ahead this is a special announcement for a landlords chasing down only rent payments and making trips to the bank to deposit checks take a hassle out of round date with easy round leader banks all mine rent collection tool he went automatically -- tenant's rent and deposited into your account visit WWW -- he -- dot net to learn more would see rent your payments for each unit received regularly on the same day every month tenants pay nothing in the first six months -- free for all landlords visit WWW -- he -- -- meant to learn more or call 7816418691. Time now for the street watch a look at the market's performance so far today the victim Marian joke right here on the financial exchange radio network. Michael Armstrong joins us on the line now for Wall Street lots of us who do little bit of retail shattered today Mike let's start with the G. Any yet JC Penney have another tough quarter they beat by air earnings by a penny but they based on revenues. Culture is just point 2% vs 2% expected. CEO blaming the grind on the cooler weather. During the spring season. Nobody likes and wave their horse sale on the weather. Stock is down 35 cents. Little bit over 11% at current share price down to two dollars and entities that. Yet the stock now down 97% over the last eleven years of not good for Jason Perry shareholders. Kroger today make in a big move with a potential acquisition. Yes certainly yes supermarket operator is going to be using the delivery technology that Bieber should deliver technology of this British online supermarket in avocado. Obviously the growing it and accurate in that state for virtually delivery in the act of two. If there and on as well in the cart stock is up about two and sent out there. And Jack in the Box also make some moves they down about seven and a half percent I didn't even know Jack in the Box are still around. Yeah and my west paper they're fast food chain. Based health six cents a share short of their estimates. Is it revenue fell short comps scales social skills shortage well. Really lowered guidance as well based on all of this stopped initially it was down only 3% premarket as you mentioned that the. Good thank you Mike. Jack in the Box by the operates in 921 states throughout the United States and not knowing not appear in the northeast predominantly I believe West Coast. A little bit into the midwest well metallic McDonald's or. Tuck here but it's. Null I drink I won in a Dallas couple weekends ago you know I finally went to about a year and a half ago what Carl's junior actor about those too and give into them. Now it heads literal biased it's her good. It's it's pretty good good bird yeah it's it's it's not bad so in we are talking about Macy's yesterday there another 3% today. Yet I mean it was a good quarter of them are not as a today I'd I'm gonna check out a story this weekend. Southwest airlines' wanna get away Meriden that's there're. Tacked on tag line social wanna get away. Well the they had a passenger who died tragically. Last month. And there introducing 49 dollar fares so if you want to get away there having a four day sale this week. The other moving now back some of these though lower prices that you haven't seen in a little while from them. In a way to try to get people back to was traveling on the airline their president Thomas Neal and said. In their earnings call that they did seem impact their bookings after the instant on flight thirteen eighty. And so they're trying to while win customers back with some lower fares here southwest is also had a couple other issues recently. Debts you know again maybe maybe you're simply being highlighted the cause of the other problem monthly thirteen eighty with that engine exploding in her life. But they've had a couple other issues one with a crack in the windshield of a plane. One with some additional engine trouble on some flights so it's you know something that. They'll bear some watching here and I know that. Investigators have completed their analysis are completed the initial inspection of that first plane. But still looking folk we have they're still gonna see if there is a systemic issue with southwest or this was an account just a one off you know situation. Bury our struck here and like many if you I was very interested to watch the markets after president Trump's tax reform bill passed last December. If you have an higher rate or a raw fiery count. One little nugget that did not get much media attention after the bill was signed. Was the idea of Roth conversions were re characterizations. Under the prior rules if you attempted to convert a traditional higher rate to a Roth diary. You could undo that request and not take it tax it as long as you made the request before October 15 of the tax year in question. After January 1 of 2018 that provision no longer exists. If you're concerned or have questions about how this change will affect you call me right now to get my free guide about Roth conversions. The phone number is 800. 3934001. That's 800. 3934001. Or you can download it right now at Armstrong advisory. Dot com securities offered to securities America incorporated member finreg SIPC and advisory services are for their securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated. You know chuck we are had a poll question today as it relates to teachers. And we did get a lot of people texting is CN and and giving us their feedback as it relates to educators. You know 617 writes while Barry teachers work 36 hours but thirty C six weeks a year. Most of us were forty to fifty there is great and I don't think it's 36 they don't they work. How many. It's it's more than that these days and I'll tell you look not my wife is a teacher. She's doing a whole lot of work most of the summer. What kind of work really re never seen all these comments come about yet three month months off you know summer she just go on sand you know she is just to go in a couple days a week this is an off. Honest to god and with. It pisses me off. Also you really feel that she's Acker hit that did this solely Texan vote or your three months off food. An aunt and look but my wife I'll tell you. She's working typically. Six to eight hours every day in the sense you know it she'll take off you know fourth of July week in and or else I'll take her phone from her so she can't work anymore. But she's doing work all through this America's. I think teachers are underpaid because of their own ignorance and and I think cops are underpaid and firefighters and I think they. You know I think the unions had the right intention right we want to take care of our our union members and give in the pension. But the they gave up free agency and. Free agency is valuable just ask anybody in the private sector mean you guys are free agents right EU. You you're kitten paid based on your value and if you're not be paid based on your guy you when you're gonna get the. Data Dodd to dip in its I think you know the people Lucy teachers have been all this time off. Ghost in the teacher actually does during the late. Again and my wife is responding to parents all summer she's dealing with kids who you know don't wanna take this class and all parents started off the parents are were brought it on honestly. I don't know how any teachers deal with some of these pair tried being a volunteer coach which he guys start coaching and it's your fault her. Yep and it's tax cuts. I used to coach Weis he didn't play in the game this 'cause he's awful not ever sporting a tri shot is still toxic towns don't have. What do we got about a lot of play in the band. Do you think teachers are underpaid that's our poll question. 46%. Of our listeners think that yes they are under paid 53%. Are saying no they are not underpaid. Yesterday. There was news that broke during your program about Michigan State in their 500 million dollar settlement with the Larry Nasser victims. This is a big settlement dwarfing most others. Yeah I mean you compare this to what we saw from the out Penn State here escape Jerry sandusky scandal where. That was a 109 million dollar settlement there were thirty plaintiffs in that case and in this case the sheer number of plaintiffs is just massive. 300 in 32 women now who sued the university. Half a billion dollars being paid out by the university. The apprentice and if it is an admission that they they were responsible did not take the action that they should have. Multiple top of multiple is even the right work hundreds of times literally that's like twenty almost 20% of their endowment. There endowment I tagged after I saw that and outs and didn't cover with the endowment size was in the article and so what looked it up two point seven billion dollar endowment their right to check for 500 million. To big chunk and I'd like to be an alumnus that you know you've been contributing. You know a thousand bucks a year since you graduated and and now you're seeing and teased the mismanagement. Of the school just cost us. 500 million as I mean they let this go on for 2530 years of dogs it's it's unbelievable how it got to this appointee you know I don't think people are going to be satisfied until you see. The administration. And people that allowed this to occur it's one thing said Nasser to jail right in unique approach I got the death penalty but. What what about the administration it like the the if you wanna stop this kind of thing from happening Aaliyah send them to jail. Make them do time even if they only do five years or ten years make the people that covered this up sipping Penn State didn't send any help in jail. He had to send him to Egypt had rats that is how you use stop this type of behavior because there's such a temptation to just. You know kick the can down the bullets. It's no different from what we see with you know white collar crime month on the corporate side where you say OK you know we find the company will. Great what's the incentive for an individual not to do anything right yet that the company was fine but individuals are what matter they're the one who make decisions actually if you're not dealing with this on an individual level. Cannot deal with. Prop the United States birth rate. Has hit a new record low level we're gonna talk about that when we return birth rates weighed down we'll give you the stats on it and the logic behind abduction there is any logic behind it we'll talk about birth rates next on the financial exchange. Vote on our daily poll question had financial exchange showed John come one you're mayor buyer of the media player and watch the show while you work. This case the financial exchange radio network. As we age the state claiming an asset protection become a Paramount importance to maintaining a happy and successful lifestyle many privilege to go through this process think about transferring their home to their children to protected from the nursing home if you're not careful a nursing home stay can judge your financial well being and transferring your property isn't always the best solution because you're looking at huge capital gains taxes and homes sold -- you find yourself in a similar position you -- time let's -- brand new guide the risks and rewards of real estate ownership a senior partner with -- and Dolan and host of the legal exchange radio show Todd will break it down for you piece by piece and in turn will help you avoid probate and unnecessary taxes are better ways to own real estate and this guy can help you understand how to protect what is arguably your most valuable assets call today for your free guide at 8668485699. That's 8668485699. Don't put your home at risk to get away from your children's creditors spent keep it safe from the nursing home call 8668485699. Or log on to legal exchange showed dot com. I this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the rock fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of twenty team that change cannot be on gun if you have a -- diary or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Securities offered to securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated are are strong here and I'm. Joined by Todd let's keep from the law firm of Cushing in dole and we're talking about something that sounds pretty basic but how should you all your real estate. Todd if you're real state is in a nominee realty trust. Is that going to be protected from the nursing home and also will it avoid probate when you die out most miss understood. Trust I think in the trust world there's not even a trust the Clinton nominee relationship nominee realizes trust I know but it's not. What I mean by that is. When you put your property in to a nominee realty trust folks please go look at who the schedule beneficiaries are that you listed to separate piece of paper attached it fits that children and you gave way to the children don't even know anymore you'd realize you gave it away because it takes effect immediately not your death what's the difference. Many people think that that doesn't take effect till your death. More importantly if it's. If it was like my wife and I in the schedule beneficiaries as my wife and yeah well that we didn't wondering what's right back in mind game and my wife's name sorties are lighter and point it would even aboard so why is it being done so. Because lots of times people might go to maybe real estate attorney and they think can help the trust and throat in a realty trust. We used realty trust it's just important. That the schedule beneficiaries. Is another state planning trust revolt Kabul or read Europe your remarkable correct or not a person not your kids not yourself. Please look that up if you've got one of these you know it sounds pretty basic how ocean you'll your real state but he gets complex as you get older call Cushing handle and and receive their brand new guide. But the different types of real estate ownership the phone number is 866. 8485699. That's 8668485699. You can download the guide right now by going to legal exchange showed dot com that's legal exchange showed dot com or call toll free 8668485699. We have part of the financial exchange in an instant. By texting us and 63566. Starter tell extra keyword Barry and become a member of our brand new textbooks tell us what you think 24 sevenths right here on the financial exchange radio network. This segment of the financial exchanges brought few bio Peter bank's brand new product called the deposit it's another free program. This streamlined the opening of Tenet security deposit accounts you are totally digital experience landlords can open an account online invite tennis enter their information. In the manage all the security deposits just called Z deposit team to get started. At 7816418691. That's 7816418691. Or. Visit them online at Z deposit dot net that is Z deposit. Dot net member FDIC. Leader banked a step ahead. American women. Are having children at the lowest rate on record with the number of babies born in the United States last year when he seventeen. Dropping to 830 year low these are federal figures that were released today. You guys suck. You and unity I mean. 49 minutes into the show we finally got there if you if you wanna know why baby boomers don't like millennial it's because you don't make enough grandchildren force. Some three point 85 million babies were born this is all part of the article by the way. Says it right here in the Wall Street Journal. Some three point 85 million babies were born last year down 2%. From 2016 and the lowest number since 1987. This according to the Centers for Disease Control and Prevention National Center for Health Statistics. Did general. Fertility rate for women aged fifteen to 44 with sixty point two births per 1000 women. The lowest rate since the government began tracking it more than a century ago. Which are point might be the hold on I'm not done. Bellini the figures suggest a number of women who put off having babies after the 207209. Recession are for going them all together. Kenneth Johnson I didn't others such thing Kenneth Johnson. Is a demographer. At the University of New Hampshire estimates that four point eight million fewer babies were born after the recession and would have been bored. Had fertility rates stayed. At pre recession. Levels and I was relieved to see this Kenneth Johnson studies demographics he's he's a senior fellow like an on demographics UNH. He has expected the birth rate to go up every year and they haven't. I've been in the same camp but how many years abide insane while birth rates are gonna take up they keep going down we've told me I've had I've been advocate for the last two years now. The dearth of bath bid dearth of births could exacerbate I'm very upset about this. The dearth of parts could exacerbate problems of America's aging population that would be me. Maybe baby boomers are in or near retirement that would be me. Leaving a smaller share of young workers that would be you need to pay into social security and Medicare that is creating new funding imbalance. That strains the social safety net that supports the elderly again that would be me. I'm Deborah Levy be the only age group having babies at a higher 12017 with women over the age forty let's do it. Oh it's not it. That you don't want women over forty having babies well I mean. Healthy it's a high risk right now but it's it's it's definitely higher risk that we're we're not having kids kids are expensive gives dirty kids are Mexicans allowed them you know. What's the upside. Here's I did I was able to glean one positive piece of information from this report. In Thursday's figures. Which are preliminary. The decline in teen births fell 7% last year. And since 2007. The teen birth rate has declined by 55%. Good. And it's down 70%. Since its peak in 1991. Precious education right. For teams. Well I I I guess I would ask you guys questioned why. What is why do you think because your jet you're really degeneration that began this whole process right. In my XP when I was in high school. About half a dozen girls a year were pregnant in in our. Year every year now and I in my graduating class was I think. Maybe 300 and we were lucky get half a dozen for our entire class. Pregnant now during the dirt during my span you mean you were unlucky. Not locked or unlocked via now. What any rate the blood and did the the I have a different theory on the go lower teen fertility. Rate accounts for about 13. Of the overall decline in birth rates among US one. So that that's that's actually good at. I think it's good but I think a big part of it and in part of the reason why some of these statistics are coming in the way they are. I don't think people are into acting in the same ways they used. Hillary gone I don't think people are building the same kinds of relationships that they used to then. And I think that is playing in major major role. In not having as many children are your firm to staring at yourself on all those sort of yes interactions I think that that does the amount of technology use is absolutely contributing to this now I think Tristan I think that aid in and on the team level I think it's greatly given phone so they don't you know don't have kids when they're you know fourteen to like beautiful like just loaded multiple that's five pads phones delegate it's the best contraceptive that happen out there to give my phone and like it'll be all right so our iphones have become contraceptive. There. I'd just it feels like that doesn't it just like I'd ever I'd never thought I see I see like what my again my my wife is Ares is the director of guidance and all girls schools allies like I see this stuff. And that some of the stuff that she talks about kids talk about having relationships in the boyfriend. But they've never met the boyfriend in in person yet maps so Buddha. That's changing is Catholic and I don't like it might well where's you have only lives in you know California water how would under testament find out yeah you know it's like whoa what are you actually building that I I think there's something going on with. Technology to hear so do you think this. Birth rate decline is a permanent thing that we need to get used to as a society because it's. It's not built in any financial projections if they get when you look at it and to all joking aside and when you look at the funding of social security and Medicare owes a huge problem for. It's I don't know if it's permanent but I don't think it's going away any time in the next 510 years. Fascinating news is there's he's this is and Varian usual time our country's history it's that. There's going to be some weird stuff that goes on in the 2020s I don't know what it's going to be. Utley just you look at how things appoint a Democrat that would younger you Chandler graphically socially economically there are some weird stuff coming down the pike but we haven't seen anything yet. But I wonder if it doesn't lead to massive immigration. The if because if you don't have workers raided were not having babies if your generation just says what I'd rather put my phone in my life. Then then then in in you don't have children DF dolls and opened the floodgates for immigrants. Or robots if it's got to be wanted to to. Maybe we don't have to have an increase may be part of the Earth's problems we have too many people. And they may work to populist movement and Internet traffic jam it's not usually feel what Richard does total traffic just housing inventory of you name it about the sort of like get rid have to you couldn't get on the Mass Pike from if you come from the west the sport. Is terrible traffic there. Oil is trading at 7189. When we come back gonna give you a detailed analysis as oil prices. A major investment bank is suggesting that oil is gonna hit ninety dollars a barrel. That's about 354 bucks a gallon for gasoline if you wanna help a little help with the math. Dow was down 47 points it's very shocked and Tucker. From the financial exchange. It's not too late to get a great grade and home mortgage leader bank specializes in a wide variety of purchase and refinance loans at some of the most competitive rates in New England a dedicated loan officer will work with you every step of the way and their local decision making means of faster closing call lead 776917. B 900 that's 8776917900. Or visit leader banks dot com member FDIC's equal housing lender and MLS number 449250. Subject to credit approval. Leader bank a step ahead if you have a Roth IRA for personal investments here's something you need to know under the new tax reform bill Roth conversions are now permanent Colby Armstrong advisory group right now and get their free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com securities are registered as American corporate member Finneran said PC and advisory services over the mysterious American advisors incorporated Barry Armstrong were presented at Armstrong advisory group in the securities America companies are unaffiliated. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put it at risk for your children's creditors including future divorces do you really want to write a check to your former son or daughter in law just to buyback your own home -- this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax there are better ways to own your real estate can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of real -- call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at -- 8668485699. Or log onto legal exchange showed dot. Com if you're landlord looking to find an easier way to collect rent payments than you need to hear about leader bank's online rent collection product called Z rent it's a great service for landlords allowing them to collect tenant's rent payments electronically and see rent dot net without the need to collect checks most landlords used local neighborhood banks to do their business and now a collection of local banks are offering this unique program including leader bank and stolen bank member FDIC. If you're a landlord and are interested in having your bank acquired does he ran technology tell them the cold as he ran team at 781 at 6418691. That 7816418691. Or visit Z Rand dot net stop chasing down late payments and running to the bank to make your deposits at your bank to add zero to its list of offerings. Visit C Rand dot net or call 7816418691. For more information that 7816418691781641. -- a lot of people set up brought diary is when they are working there often contributing to them on an annual basis. But the Roth conversions a little bit of a mystery for some folks are Mike what are we talking about when we talk about. Roth IRA conversion yes so unlike the traditional for a one K or IRA where you receive a tax deduction for putting money into an IRA. The Roth IRA you put regular dollars and you don't receive induction but any of the growth is completely tax free number of advantages there there's no required and distribution and can be uses are really good source of tax free income later in retirement. When you convert in higher to a Roth diary which are doing is you're taking money. Out of that traditional account. Putting it into the rock paying the taxes upfront. In order should never pay the taxes on the growth down there. So this is a case where you actually voluntarily decide to pay the tax usually with the idea that you're going to be in a lower tax Prater rather rather a higher tax rate later on. And so this gives the ability to not pay taxes that higher rate later. Absolutely correct so oftentimes people do it in a year which there and lower tax bracket intentionally. But you got to be very careful about when you do it. Folks Roth conversions they can be a little bit Dicey just trying to navigate to different tax brackets and so forth. And so are strong advisory group has put together. A great free guide to give you all the info you need on Roth IRA conversions. It's available right now at our strong advisory dot com in it doesn't cost anything to get it once again the only way that you can get this guy is by don't Armstrong advisory dot com. And you can get the guide titled an important update on Roth conversions for free. At that address Armstrong advisory dot com. Securities offered to securities America incorporated members Jenrette SIPC and advisory services are for the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated. Precious metals are Smart meaningful investment one ounce and 110 down silver and gold bullion coins are now available at all leader bank locations bank locally and buy your gold locally we just make sense give leader banker call and learn more call 8776917900. Or visit leader bank dot com not a deposit not FDIC insured uninsured by any federal government agency god guaranteed by the bank and may go down in value leader back a step ahead. I this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in and higher rate were -- fiery third differences between two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of 2018 that change cannot be and done if you have a Roth fiery or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Securities offered to securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong represented if Armstrong advisory group in the securities America companies are unaffiliated time for bank the pays you with liter maximum award accounts can 1% cash back with a debit purchases and an extra 10% back when you user carted featured businesses to qualify for these and other awards using statements direct deposit 1000 dollars and make a debit transactions each month to learn more call 8776917900. Or visit leader bank dot com minimum to open and -- annual percentage yield ten dollars mass residents only he's been reduced earnings rate subject to change without notice member FTSE leader bank. A step ahead hi this is very Armstrong and if your landlord or property manager I'm sure you've heard me talk about -- rent leader banks tremendous on line rent collection program I'm excited to tell you now about their brand new product called Z deposit this is another free program which streamlined the opening of tenant security deposit accounts three totally digital experience with C deposit landlords can open an account online invite tenants to entered there information and manage all their security deposits Z deposit also automate many of the compliance headaches for landlords such as generating account disclosure forms and will even send out annual interest payments directly to Tenet's -- call the Z deposit teen to get started at 7816418691. That's 7816418691. Or visit them online and see deposit dot net member FDIC leader bank a step ahead. This is the financial exchange with the very Armstrong and chunks of you're exclusive look at business and financial news affecting your day your city your world. Stay info. In the end up today about economic and market trends plus get breaking business news every day. And now the financial exchange with the very Armstrong and chuck Exxon. The price of crude oil theoretically could rise to ninety dollars a barrel we're gonna talk about. What forces could cause that to happen. Then we're gonna talk about what happens Tucker when somebody dies during a cruise can always wondered that you're been on a cruise known ever. I I have been on a couple and we we will share with you Lou with tell you. What happens to the body. With somebody dies and cruise and then organ pro abort it then no no. And then we're gonna go to hear him talk about fort because the air bouncing back after having to stop the production of their F series. But we'll start off track it's very chalk here and Tucker. From the financial change and let's talk about what. It hit eighty dollars a barrel for Brent. Dubbed the error and in west Texas is trading in I've got 71 Ev3. Per Borough that means. Are anticipated three dollar per gallon. For gas it's common would you pay 287 in it to get my duty to raid in nymex last week so yeah. National average now up to ninety OK so we cleared that threshold for the first time. And if we look on a state by state base in New England. Connecticut still love the most expensive for gas 306. A gallon in second place is Rhode Island at 294 then Vermont to 89. And then we've got. Let's see we got Maine to 89 as well them masters to radiate and New Hampshire to 82. It was there you go. The theory that Morgan Stanley is a spouse in which actually makes some sense and it's something that I was an unaware. Here's the a law that's gone into effect. Which forces vessels to consume. Lower sulfur fuels beginning in January. And it's going to lead to a boom in demand for what's called the middle distillate product including diesel and marine gas soil. Triggering the need for more crew. And this is the eighty's this is all going to occur they're predicting Morgan Stanley is to when he. Twenty to be the year where we hit ninety dollars a pair. It's. Do you buy into the theory is it's it's possible I I think that in the long run it in again I still think you've got a weaker dollar that's coming. Over the next couple years well even from where we are today it's kind of like the emissions story and Carson and its emissions for boats that yet it largely as its you know the all the abuse of sulfur that's in fuel largely is responsible for things like acid rain and you know creating additional acidity and oceans bleaching coral and stuff like that we're not talking about you know you're 28 foot cruise now we're talking talk about supertanker that you know is carrying you know tens of thousands of gallons and what kind of fuel it's burning down quality you know they burn a lot you really don't think in a sexy stuff like that you know all that. You don't think about their contribution to the it is to air pollution and but that that's a factor. That could drive the price of oil in ninety. You know how much that the big cargo ships out there and this is fascinating by the way. You know what the cost of fuel is for those annoyed. So if you're talking about the the though large kind of supersize the new was the new Panamax tanker not tankers but cargo ships that are out there her. These are the ones that are near 12100 feet long somewhere in that ballpark like you for football fields. The cost for fuel can be as much as 5400 dollars an hour now okay working out to about a 130000. Dollars a day. Of fuel to the ships need imagine how much they care and few care let me see if I can figure out how does her on the albeit Seifert. For weeks now and trying to see how much fuel that actually use and it's the church. I have no idea being able to fuel its aloft a year ago it is well this give meant to mean weight it's. It's 75 tons of fuel a day now is what it's saying. But any rate that that could be something that drives the costs higher. Interesting that at seventy dollars. A barrel which is where oil is now. Of the top twenty US oil companies that focus mostly on fracking. Only five managed to generate more cash than they spent in the first quarter so. This rising oil price has not helped the trackers that much. Yep part of it part of the issue that a lot of these off Rackers had was. That they hedged excessively and are still selling a lot of their oil at fifty to 55 a barrel instead of at the seventy dollar price shame on them as some of that hedging on winds they'll start to become more profitable in the next year to third quarter probably right I would imagine in that ballpark. Still low look a lot of new production coming on line in the United States Def it see you look at where we are up to at this point and we just got the the most recent numbers from the CIA. Now ten point 72 million barrels a day being produced this week it's an increase of 20000 barrels day over last week and up one point four million from this time a year ago. Exports also making a big jump last week we exported 2.5 million barrels of oil a day. But we're still importing net nine. In that department and now. So you go on a cruise. Institute gentlemen hadn't been known actors share by expert at a time when Ali your payment or congress or they're fun they're there I could pay you to go knickers. I don't know chuck I Beckett if I say hey here's 500 dollars and getting on a boat for three days now. 500 bucks I would what's yours occurred registers it. Why won't I. It's kind of gross to me and just feel like it's a germ filled. And you're about and I and a demo I don't like the motion and all that it'll all ocean. Sick at all ever to grace do you feel like anything about hotels. But is there was there difference. Ones on C and you know you could die you know not land for. Days. And any if you go on a cruise which I have done. There tends to be a lot of people my age and older on cruises. And occasionally they die. I Etsy where it would put the tube where the old in the old days I'll tell you what they did it. The would somebody would die. And you'd know that when your on the cruise and I say the old talking quietly to yours are tightly in the old days would have. You could tell that when you went to dinner. It in you stepped dress that was an empty chair I'll YouTube he's got to dress for an east afterward talks to go to dinner on these cruises. And somebody would die and all of a sudden if there was a lot of extra ice cream being served at dinner. You knew somebody died because this shaft had empty out the freezer in order to store the bought. Debt Caspian urban legend Mel that has to be an urban. This now now people cruises on the title that's why I would assume they have space other than where ice cream they do now they do now but in the old days that's at the east. And now they have more. In that seemed to make cents that's a little more you feel better about that today it seems to be better than oh yep we're right next the Haagen Dazs a I just day. The I I thought it was and I thought it was something you guys would appreciate that the thing I've found amazing actually was there are under in 29. Deaths deaths each year are now on cruises. Outlawed it and that's an average over the lives to a lot of the bodies dumped him for his. Florida's biggest cruise and actually know that was just one of the one of the police is one of the ports happens all Miami Dade County so there were another 206 there from cruise ship flick they have to divert the ship. To unveil. Don't know where it's day one. The crews it's it the day you say to the accompanying passenger. You know were pulling into Puerto Rico do you want us to ship this thing heard you last well we get back though they'll keep the body in the more to the chris' completed ouch geez now. First time it happens it's people die attacker to think. Whether or not I'd like to die on a blow Blake. In the broad scheme of things to pretty good place to go why. Use your enjoying yourself like it's it's better than like. Yeah injuries sophomore out it's the only if if if I think about the worst place and I like the worst place in my opinion will be like. In a slow moving traffic jam like two miles an hour in the last thing you see is like brake lights up a that those that are pressing for efforts like this is the end of my life. Yet to see a steering well that's yet not gone very well at any rate that's I just thought I'd share that with you because. The more you know well if its interest in the NC don't eat the ice cream when you accrues to. I love that I knew would get him I just knew that would bug. They weren't one of our poll questions we we do poll question every day your company to exchange do you think. Teachers are underpaid. Now in order to answer that question you have to know what teachers are paid New York State pays their teachers on average 81000 dollars a year Massachusetts pays their teachers 78000 dollars. Connecticut's 73000 dollars Rhode Island 66000. Dollars New Hampshire. 57000. Dollars Vermont 57000 dollars in Maine pays their teachers 51000. Dollars. Our poll question is do you think teachers are underpaid you can participate in the poll by going to financial exchange showed dot com. Thus far. 39%. To view. Think teachers are underpaid 61%. Of you think teachers are not underpaid. You can also text us our text number is 6356663. 566. Coming up we will have a trivia for you from the financial strict. The financial exchanges of live on FaceBook so make sure like your page and watch the guys break down the latest on the markets every day beginning at ten on the financial exchange radio network. Hi this is Barry Armstrong and if you're a landlord or property manager I'm sure you've heard me talk about Z rent leader banks tremendous on line rent collection program I'm excited to tell you now about their brand new product called Z deposit this is another free program which streamlined the opening of tenant security deposit accounts three totally digital experience with C deposit landlords can open an account online invite tenants to enter their information and manage all their security deposits Z deposit also automate many of the compliance headaches for landlords such as generating account disclosure forms and will even send out annual interest payments directly to tennis -- called the Z deposit team to get started at 78164186. And 91 that's 7816418691. Or visit them online -- C deposit dot net member FDIC leader bank a step ahead. Are you thinking about transferring your home to your children -- protect -- from the nursing home did you know that if you do you put it at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to buyback your own home hi this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax there are better ways to own your real -- can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at -- 8668485699. Or log onto legal exchange showed dot com. Hi this is very are strong and if you're a landlord or property manager I'm sure you've heard me talk about Z rent leader banks tremendous on line rent collection program I'm excited to tell you now about their brand new product called Z deposit this is another free program which streamline the opening of tenant security deposit accounts three totally digital experience with C deposit landlords can open an account online invite tenants to entered their information and manage all their security deposits Z deposit also automate many of the compliance headaches for landlords such as generating count disclosure forms and even send out annual interest payments directly to attendance -- called the Z deposit team to get started at 78164186. And 91 that's 7816418691. Or visit them online at C deposit. Dot net member FDIC leader bank step ahead hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in and diary or Roth fiery third differences between two both types of accounts are popular but there's an important change to the rock fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of 2018 that change can not be and done if you have a Roth irate or were thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Securities offered to securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong represented if Armstrong advisory group in the securities America companies are unaffiliated. Join our brand new tax club by texting the word. Barry is 63566. To send your first and last name and get involved today you're listening to the financial exchange radio network. Time for obvious trivia. Last week SpaceX. Called off plans to. Launch a new rocket it hopes will eventually carry astronauts into space will be asking trivia questions about SpaceX. Remember our text number is 635661. Timers need to put my name at the beginning of your text Barry BA RY. True or false. In 2010 SpaceX. Became the first company to launch a privately built spacecraft. In two corporate. And return safely. To earth. Again the text number here for obvious text trivia. Is 63566. True or false in 2010 SpaceX became the first company. To watch it privately built spacecraft into orbit. And return safely to earth. And Tucker yesterday we had a complaint about trivia did you. Fixed that yet not. Linda. But only make it how about we make it right I'm gonna fix it right now Erica Lois I hope you're paying attention is gonna be the seventh. Correct answer that we wiped us out on like number seven I. Listener with the correct answer to the trivia that wig gives it used those folks time that are listening online. Safety copy talent she did it look in right now orientations got it and all of a visual. You know we've missed out when you sit over there. At any rate I knew Willie you know who won and to somebody terrorized move over here now I'll Kamal Al. But let's talk about four last week reported that forward was having production problems. It was actually one of their suppliers yeah the building burned down as our call and it was something you do with the dashboard that was interrupted. Yeah I was a component for on the dashboard and Fortis said that it's gonna take a little bit of time to get things back spool up again. But they said that by Al Monday there F series super duty truck line is going to start going back on line and they are going to begin production again. They are estimating that they lost production somewhere in the ballpark of seven lead 80000. If one PF 150 pickups has set up. He worked extra shifts maybe had a talk about noon news is the in doing an extra shift because they they lost probably the about 10% of what they sell a year and a in terms of lost production Nim has in mind like a lot of times they'll shut down for a couple weeks great number to retool for the next model year so it's you know you know week of production can be a lot of vehicles a year. They'll probably be able to make most of that up they may not have the whole thing because they had a number of weeks via they had eighty days of inventory so they probably drew that down to seventy yes they. They'll probably be to do a little bit of additional building the they don't need to ramp you know all that backed off but they're getting some competition from shabby you know. GM has gotten back into. The the big track business and they're they're trying to get four run for the money I think that. Isn't Chevy the Serbian GM there is the best selling one's new England and I believe there I think they are. What I do know. And this is breaking news brought to you by Tucker sold out. BJ's wholesale has filed for an IPO. Deadly used to be public commemorate the beat they were public. In their New England based company then they went private. And now they're going public with a that. It's I'd think that in this retail. Landscape with what you see here I think that they potentially see a chance to you know racing capital for some further expansion just because. You know these these clubs have largely been near or somewhat immune to the shifting near tides and retail they're not seeing the declines that you're seeing from Mino TJX or Macy's or Sears. They've been pretty resilient they're store for sure busy you walk into one are there. There's still a long line to get out there they are. It and you know what they've figured out where they're Smart had a big they're losing money on but that. Is the place where young families buy diapers. You're young families spend thousand bucks a year and diapers. Diapers that much thousand Boxee it's why not having kids you know just just for the diapers. It's a thousand bucks though it was yet done so but think about it you'd get a young family. In to a BJ's Wholesale Club and they start buying even if they're losing money on the diapers right deprive me and many of these same thing with formula by the big ten's a formula. The need for the babies. Lot of stuff and young in east at BJ's and I added a big east is part of their business strategy he will lose money on them. When there you know up to two years old and we're gonna crush it. Afterwards but it's a great experience walking through BJ's is fun I I like it that's one of the few shopping experiences and actually enjoy. Plus they have stuff I can't buy regular group for debit you to start us ounces Searle and yeah. You're just like alias there you you don't like to check out process well I don't. Item but I thought he knew and enjoy that experience as I figured I'd beat the system but that's why I I am beginning of the line. And I pushed the button and seen. And then we'll let your strategy but is that normal people sit in line patiently. By the way did find the the top selling pickup trucks by state. And most of New England does go towards the Chevy Silverado was the best song truck except for Vermont which refers GM CC air. And I struck the the only state in the country that has the the ram as the best on pick up is Utah law. And when he took a bit in the biggest states buying pickup trucks Texas Florida Georgia they are all. F 150 states there Texas is huge for trucks in Texas passing in the F 150 you just have to have a triumph in the Texas. So do you guys have Q the scars or do you have do you have you have the jets are either yes all three of us have Q this card you know people are dying. Because of Q the scars. Explained. I I was shocked by this has ever and ever left your car on. No I've been either it happens a lot. And it evidently he was sparked a second seat kind of how would happen rages you you have your keys in your pocket. And you forget you put the car park you forget push the button to turn the car off. Yet another vehicle the car still running and you can hear the engine now. Yeah I going to be that they are beeps but the that he's built like so now if you walk into your house. And use somehow. Forgotten and left your car on what's happening Tucker's. People are doing it and it's I think you're 28 instances. And why they don't just have that if you get out of the cart shuts off where is the dying come into place or people like Colin of their garage. All leave the car on by mistake you know and then maybe in doing so around the garage or does it come back into the garage at some point and I mean I hear the car is on. I cars are quiet yet so in some of them requires these days in honor. Mine isn't bullets dreamer went out quiet when I get out of the car but in my the car itself. Peeps are violently like right away artist and a lot of our guys like I was trying to figure this out too but you know I could see where it would happen is. You pull into the garage and you think all forgot my wallet and just gonna run back inside now. And then the white is in the cards auto show it off he's come out what they're building it that that's what they're gonna make Italy software modification has an idea just in something like that may if you wanna leave the car running with Unita and leave the keys in the car seem as you do with the normal. Key system. I think mind shuts off after ten minutes of being in park or something like that is that right I if I think maybe that's only with a remote start knotted just in general and maybe that's just with the remote. You know when doing it that you have to be careful with these key was cars news. My wife keeps her key in her purse and I was driving her car and we went to aghast issues of BJ's in Connecticut. And I went to. Fill up the car turned off the car and I'm in line to get gas. And she walked into the Vijay says the key to the car is in her purse procedures and and you can't move because I couldn't start the car side to run into the BJ's. Finder that happens a lot to people with Q the scars where one person gets out and has the keys and as the key so. Used to it cute cars and yet I'm not all they're cracked up to be in my opinion and I wouldn't mind if I keep it it would bother me. The Dow was up 38 points nasdaq's up eighteen points when we come back early talking about CBS. And. Viacom that's next on the financial chipped. The financial exchanges alive on FaceBook so make sure to like your page and watched the guys break down the latest on the markets every day beginning at ten on the financial exchange radio network. Are you thinking about transferring your home to your children are protected from the nursing home did you know that if you do you put at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to buyback your own home hi this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's in addition to your state income tax -- better ways to own your realistic action protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of real -- call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at risk 8668485699. Or log onto legal exchange showed dot. Com hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of 2018 that change cannot be and done if you have a Roth diary or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Securities are pretty securities America incorporated -- and SIPC advisory services -- with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated whether you're celebrating a milestone or diversifying your portfolio precious metals are Smart meaningful investment one ounce and 110 ounce silver and gold bullion coins are now available at all leader bank locations bank locally and -- your gold locally we just make sense of -- bank a call and learn more call 8776917900. Or visit leader bank dot com not a deposit not FDIC insured uninsured by any federal government agency god guaranteed by the bank and may go down in value leader back a step ahead time for bank pays you with liter maximum reward accounts -- 1% cash back with debit purchases and an extra 10% back when -- user -- -- businesses to qualify for these and other awards using statements direct deposit 1000 dollars and make a debit transactions each month. To learn more call 8776917. To 900 or visit leader bank dot com minimum to open and earn annual percentage yield ten dollars mass residents only bees may reduce earnings rate subject to change without notice member of the NC leader bank a step ahead. Berry are structured and joined by Todd let's keep from the law firm of Cushing in goal and we're talking about something that sounds pretty basic. But how do you how should you all your real estate. Todd if you're real estate is in a nominee realty trust. Is that going to be protected from the nursing home and also will it avoid probate when you die. Doubt most miss understood. Trust I think in the trust world it's not even a trust the phenomenon the relationship nominee realizes trust I know but it's not. What I mean by that is. When you put your property in to a nominee realty trust folks please go look at who the schedule beneficiaries are that you listed to separate piece of paper attached if it's the children and you gave way to the children beauty but don't anymore you don't realize you gave it away because it takes effect immediately not your death. What's the difference and many people think that that doesn't take effect till your death. More importantly if it's. If it was like my wife and I and the schedule beneficiaries as my wife and yeah well that we didn't do anything right back in my name and my wife's name Sochi are lighter and point it would even aboard so why is it being done so because lots of times people might go to maybe real estate attorney and anything can help the trust in the throat in a realty trust. We used realty trust it's just important that the schedule beneficiaries. Is another state planning trust revolt cobol or read her bureau correct they're not a person not your kids not yourself. Please look that up if you've got one of these you know it sounds pretty basic how should you'll your real state but he gets complex as you get older call Cushing handle and and receive their brand new guy for the different types of real estate ownership the phone number is 866. 8485699. That's 8668485699. You can download the guide right now by going to legal exchange showed dot com that's legal exchange showed dot com or call toll free 8668485699. The financial exchanges all over New England to go to financial exchange showed dot com and search for the station closest to you this is the financial exchange radio network. The correct answer to our trivia question is true. SpaceX became the first company to launch eight privately built. Spacecraft into orbit and return safely to earth in the year 2010. The winner on this question was Mike from wells Maine Mike is taking a fifty dollar gift card W whose. And obvious as five locations in the Boston area including their newest one in Braintree. You know mr. next special event Douby is just visit www. W dot com menu information and reservations retirement SpaceX and on outer space you came get Meehan a crucial. Here's what would you be more likely to go on a rocket bin accrues to know her whole. Now I would love the Miller I would too. I was really fast now when I grow up now would you wanna like land on Mars and like explorer you just Michael rocket for the ride I think it was simply what whatever gets me away from other humans. And it's a fair point you know the moon Mars Jupiter whatever semi into the song let's talk about something that's more likely Monday's happened. Occur. And that is CBS and Viacom this is a road texting story I've been following it for a long time. Sumner redstone is from Boston and Shari Redstone who's also from Boston control both companies may have controlling rights of both companies. And Sherry wants to combined company's CBS and Viacom. What do you think ends up happening on us I think she would she's got voting rights she she controls the voting rights for both companies. And I think Les Moonves and his management team and getting fired. What do you think they end up paying for fine. Is usually if if you're controlling effectively voting rights on both sides what how do you determine a fair and I asked that is the big challenge and that's why CBS's in court. Trying to say we don't wanna be really the the CBS went to court and CBS's Les Moonves. Has gone to court saying. We don't want. To abide by comments being forced on us at a price that we're not willing to pay Viacom's studio yet and it's not a great. Studio immediately knew compared to Disney it's it's pretty dismal. But. CBS. Is probably the number why would you say they're the number one network at a book I thought ABC was in my wrong on that talker. Number one yeah I viewership but I'm pretty sure it's CBS. And Moonves has run CBS or very well that for an extended period of time. And there's this big battle is been brewing for awhile Moonves very strong but he doesn't control the stock. Shari Redstone dusk control stock heat. You look at what Viacom owns these days and Blake all the value was stuff that was popular in the ninety's it isn't today like MTV. Do the exam don't watch MTV on a regular basis anymore Paramount Pictures is so far in the toilet now in terms of what they're producing. They gets it's just unbelievable how. Well how small the slice they have on the movie side of things. Then Nickelodeon I guess they get the kids side there. But it's just the stuff the Viacom owns is just not what it used to be. You know we've talked about Wal-Mart we've talked about Macy's. JC Penney would appear to be circling the dream. That's another term talker that you can use going forward. Little circling the drain means that they probably won't be here longer to their stock is down ten point 5% today at two dollars and 74 cents. Get down too well on the market cap now under a billion dollars this accompanied by the way it is lost 97% of its value. Over the last eleven years this was an eighty dollar stock ups back in march of oh sent him even. In his recently go back to talk about companies and Amazon has just killed. This well. I think Ron Johnson is responsible for the dispute to be honest and more so because he's been gone for five years he has but he lake what the damage he did in the two years he was there is pretty remarkable is that it's it's pretty amazing just how badly here at that company is they've lake. You know it JC Penney was it was very similar to a TJ Mac you are remember folks Ron Johnson had been in the guided design all the apple stores and he's they said well we'll hire Ron Johnson from apple. To run JC Penney our members and in you know it just did not work and he spent an inordinate amount of money lost an inordinate amount of money. And now they're trading to 74 share yet it was his he was appointed in the fall of 2011 when he took over as CEO of the company and the stock was trading at about 39 dollars per share when he finally left and he was there for let's see some start in the fall eleven Hughes coming April 13 he was always there eighteen months that's how bad it went. By the time he left the stock was down to eleven dollars share. Now I have I remember it look that used to be. Pretty good company used to be pretty gutsy was that then and then in TJX world like that that was you know what they invade the same business model that targeted the same shoppers. And Ron Johnson said no we can go upscale and the average JC Penney shoppers in well we're not going with the. I was really tee Jacob we'd better bargains hello and JC Penney I iris but there is a better find there's a better experience overall well. Still looks like it is perhaps. Hey if you're landlord. Or a property manager I'm sure you've heard me talk about zero that's leader banks tremendous on line rent collection program. I am now excited to tell you about their brand new product called Z deposit. This is another free program which streamline the opening of tenant security deposit accounts through a totally digital experience. With Z deposit landlords can open an account on line. Invite tenants to enter their information and manage all of their security deposits Z deposit. Also automates many of the compliance headaches for landlords such as generating cal disclosure forms. And they will even send annual interest payments directly to the tenets. Just call busy deposit team and get started. Tell my told you to call Barry. At 7816418691. At 7816418691. Or visit them online at Z deposit dot net. Member FDIC leader bank east that ahead so weak. Coming back to the ballot and beyond what three more states. Voting on recreational and and and it's medicinal candidates yeah it's. And unlikely set at three states mr. you do talk an Oklahoma couldn't believe you tell us on this list it's it's it's odd to see you talk on the list it's a little strange to think you see Oklahoma analysts it's not something that you know you necessarily. Think he was being do conference center there. But these three states are going to be holding referendums this fall. For. Recreational and then medical on marijuana grows. Interest in in two was to see how the whole game has changed on 61% of the American population today. Is in favor of legal candidates but if you go through and you look at it by each track. People born between the years 1925. In 1945 only 38% of them are favorably campus Boca. When you go in and you look at. Baby boomers. It's 56%. 66%. Of generation actors are in favor of legal canvas and 70%. A millennium goals now that. Problem is this Silent Generation 25 to 45. There was a vote well but their diet. Yep get a date they if you boarding 25. Another many people know there's not many of them laughed threat it's what what I find amaze easily do vote but the neat not as much this year is they did last year the the shift over time on this issue. It's amazing how rapidly it's changed if you look at the last fifty years ago back to 1969 so 49 years to what do you attribute that. Change. I think you have knowledge I think number one is you have the first generation that grew up with marijuana. As as a regular thing kind of rumors at that age didn't end people realized hate just as he spoke marijuana doesn't mean it like you'd die or become a criminal or you know this and that. I think that's part of it I think there's been more information that's come out regarding its. Health effects compared to something like alcohol movement and people look at and say look at alcohol is legal. This should be a slam dunk to make this legal as well you know given that the side effects from alcohol. But in 1969 only 12% of Americans. Said the marijuana should be legal and even as recently as 96 point 25%. While. So you've got 25 to six when he and that's in 22 years. Remarkable just just a follow up on the CBS item. Breaking news CBS loses bid to block redstone famine controlled it's breaking from Bloomberg yet say they're Les Moonves is polishing up his resonated UB. You'll look long for work he ease ease. Probably the top television executive in the industry. Marie who's gonna know fox Netflix Netflix. Boom. And Eduardo Porter from the New York Times joins us next he's gonna talk about his article the Republican Party insists that making poor people work lifts them up where's the proof. We'll talk about that with Eduardo next on the financial exchange. Barry Armstrong. Chunks on breaking business news every day right here on the financial exchange radio network. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to buy back your own home hi this is Todd lucky and I want you to know that not only does transferring the property your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's -- addition to your state income tax -- -- better ways to own your real estate can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at risk 8668485699. Or log onto legal exchange showed dot com. If you're landlord looking to find an easier way to collect rent payments than you need to hear about leader bank's online rent collection product called Z rent it's a great service for landlords allowing them to collect tenant's rent payments electronically and he rent dot net without the need to collect checks most landlords used local neighborhood banks to do their business and now a collection of local banks are offering to SUNY program including leader bank and stolen bank member FDIC. If you're a landlord and are interested in having your bank acquired does he ran technology Tillman McCall does he ran team at 7816418691. That 7816418691. Or visit Z Rand dot net stop chasing down late payments and running to the bank to make your deposits at your bank to add zero to its list of offerings. Visit C Rand dot net or call 7816418691. For more information that 78164186917816418691. Or zero rent dot net. Hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the rock fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of twenty team that change cannot be done done if you have a -- irate or were thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Securities are -- securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group the securities America companies are unaffiliated time for bank the pays you later banks that reward accounts can 1% cash back with a debit purchases and an extra 10% banquet user carted featured businesses to qualify for these and other awards using statements direct deposit 1000 dollars and make a debit transactions each month to learn more call 8776917900. Or visit leader bank dot com minimum to open and current annual percentage yield ten dollars mass residents only -- may reduce earnings rate subject to change without notice member FDIC leader bank a step ahead whether you're celebrating a milestone or diversifying your portfolio. Precious metals are Smart meaningful investment one ounce and 110 ounce silver and gold bullion coins are now available at all leader bank locations bank locally and buyer gold locally it just makes sense of leader banker called them learn more call 8776917900. Or visit leader bank dot com not a deposit not FDIC insured uninsured by any federal government agency not guaranteed by the bank and may go down in value leader bank a step ahead. Security suffered two securities America team members finreg SIPC and advisory services arbiters securities America advisors think Gary Armstrong representatives Armstrong advisory group in the securities America companies are unaffiliated. We wanna hear from you. Tech Steward Barry's 263566. And let us know what you think about the stories we discuss your team to the financial exchange radio network. We're joined by Eduardo Porter from the New York Times to talk about welfare programs. He wrote an article earlier this week the Republican Party GOP insist making poor people work lists of where's the proof. Good morning Eduardo welcome to the show. Good morning. So you seem skeptical. About. Work and work requirements for things like food stamps and welfare programs. Based on your studies correct. What I can not skeptical about work I think that. Work is the bad. Path out of poverty. It when he played you'll you know can get it and especially quick you can take yourself on on a career path of right and wages. That's the thing is tonight the port requirement as we know that and then at the we have implemented been impacted welfare reforms. I'll have not succeeded. In that in raising the income of families. Who move from welfare to work until I and indeed quite skeptical of these efforts to what patchwork requirements and the safety. Can let's start with the low hanging fruit wood about. A young single able bodied male. Should there be a work requirement for that young single able bodied male. To work in order to receive food stamps. Guess they'll be. Yes I think the dialogue with several stability in the detail so I can imagine a work requirement that would make sense that not only for a young able bodied male. But for every. It's so if he's skipping work requirement had. At some sort. Trading attached to allow people like to be involved in the labor market rather than getting in that you know and that intensity and our job and you get stuck so they're incredible really knock rise. Compared to what they were getting when they were on welfare. I'm also if there's some may be. Outweighs the complementing the income of these low low income workers so that again they can make a better living at the workers. And you know we have. Something called the earned income tax credit. That has been quite effective at doing that and there have been experiment with other way that kind of complimenting they're eagerly awaited. And that's another thing that I think that we could export bad. But the he'd like beef. But we're to that might skepticism comes from the idea that you think. It just get a job is essentially what at what had happened from from the is that people you know a lot of people had just. Got that job the job in the various very low wage. And they and they get stuck there because the United States labor market has. If Paul has developed a really low wage is very stagnant. Job market for folks we've. Lower levels of education. And so if your objective is to reduce poverty and increase you know wellbeing of quite a few Americans. I think that it has so far. What you win when it comes to training workers. You know the we often times companies rely on the state to the federal government to train the workers who does a better job historically Eduardo. A training sale welder or electrician because those are good jobs he isn't it better to have. A private program where electric boat for instance in Connecticut says. We're not gonna rely on Connecticut to train our workers we're gonna do it internally and we're gonna train or welders in our own electricians or you're better off having the government. Well I think again it's typical answer greeted those terror and I think both could do essentially a good job the government really hasn't done it for years and years I mean spending on. A worker training and retraining in the United States is extremely low. Packet you know back to even before old welfare reform there was instant you know training was a waste of money. But there's been a lot of more recent experiments. And pick the experience of other some other rich countries where training that is well he lyrics to the needs of local businesses. Can actually have a really big impact. I'm not only entry wage is also want to career paths once worker center their first job. And so there's been some research done in Ohio and in New York City die an outfit you're known as and the year he quits. That's policy analysis. And I mean it's raining it's this kind of training is not necessarily cheaper immediately you know 101000 dollars per person. But once the. What's legal and the program he brevity and identify what the local business. This is needed where the skills that they needed to make sure that once the training is over these guys have an opportunity in the job market. What treaty over the results are actually quite cool and sustained over many years I mean the payback for these 101000 dollars is actually quite high. You know week we keep hearing about labor shortages whether it's in the housing sector truck drivers there's a variety of industries that are complaining about labor shortages. But Princeton did a study. That said a lot of the reason that the labor participation rate Eduardo is low in that 2554. Minutes historically you'll particularly along among men. Is drug addiction is nothing to do with education it's just that they're addicted to drugs and they think that's. The biggest contributing factor to the decline in labor participation. I think that is a really big a really big factor yes I know I know that paper by Alan Krueger is very low. Seattle he's excellent and the and the papers really very good. You do have to wonder kind of like bill what's the relationship. Mean you know being stuck in a low end jobs in the you know in the mean in the. And speed of high anxiety the the living at the very bottom end of the income ladder. And how that affected drug addiction in the first please could you might get. You know it might be a loop right now you know desperation leads to drug dependency in you try to go on disability what you knockout that good at a later for. And I'm not. I don't know that we understand and quite well how apple. How that all comes together. Because there's other research that has found that. A lot of it depends on how you delete doctors and output is per prescription mr. appealing idea. So counties where doctors are much more you know probably due to prescribe these things do you rate is not surprisingly much higher and that would. The rate of men leaving the labor force is also much higher so again it's complicated and I'm not sure that we understand entirely. You know how that how this but it yet drugs play a big well. Eduardo I always appreciate your perspective and I thank you for joining us today and the financial exchange. Eduardo Porter. Financial from the New York Times and the thought is that. Requiring work. For in order to receive welfare benefits for some reason is not a good idea I I. If it's a tough sell they make whether you even if you could prove his point clinically. It's tough to sell that to the other half of the population that's going to work every day. Well that the easier when that I've kind of looked at is if someone goes on unemployment. You're you're paying them to not work this play of jobs that need to be done why not at least. Say hey. We have jobs that need to get done you have certain skills you fit with this job and a bubble ball mess you up until you find fulltime work that that kind of seems like low hanging sort Johnny for everybody. Well if it's it's look we have things I need to get done we've got six and a half million open jobs in the country. It's funny ability you say something like that and that's like the the Democrat mocked her right to a job for everybody. But then the Republicans would object to Republicans it's a non that's that's that's another former welfare. And it that's that's why I never can get too enamored with politics on either side of the I'll the Dow. Down nine points 24759. Price of crude oil sun and again it's up over 72 dollars a barrel. Crude is at 7207. Per barrel. Very chuck and Tucker signing off for today from the financial expert.