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Speaker 1: This is Bloomberg Surveillans. We think we're heading into an

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Speaker 1: eighties and nineties type environment where it's a Warren Buffet

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Speaker 1: slash Peter Lynch type world where you buy good companies

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Speaker 1: and you stick with them. We live in a world

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Speaker 1: which is more more weightless in tangibles are such an

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Speaker 1: important part of the economy. I think it's pretty clear

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Speaker 1: that if you only looked at the economic data and

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Speaker 1: not at the market, the fed Woody raging d hen March,

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Speaker 1: Bloomberg Surveillance your link to the world of economics, finance,

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Speaker 1: and investment on Bloomberg Radio. Good morning everyone, Michael McKee

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Speaker 1: and Tom Keene worldwide Bloomberg Surveillance. Who welcome all of

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Speaker 1: you on Bloomberg Radio Plus. I'm Bloomberg's thrilled that you

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Speaker 1: listen on iTunes. Are podcasts that are out there. Bloomberg

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Speaker 1: twelve Boston, Bloomberg eleven three on New York, down to

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Speaker 1: Washington FM and Good Morning, Good early morning on the

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Speaker 1: West Coast and across Sirius and next M channel one

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Speaker 1: nineteen in Bloomberg nine sixty the Bay Area. In this

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Speaker 1: uh half hour, in this hour, I think I can

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Speaker 1: say is the Beach read of the year for thinking people.

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Speaker 1: Jeff Garden to join us front of his Yale University

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Speaker 1: and we'll talk about what we don't know about globalization

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Speaker 1: and what we need to know as well. Bloomberg Surveillance

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Speaker 1: brought you by Cone Resideck Accounting Tax Advisory just sees

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Speaker 1: opportunities in commercial real estate your business. These market focused

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Speaker 1: guidance from the industry leading experts at Cone Resnick find

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Speaker 1: out how a cone resn dot com. Michael, you okay

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Speaker 1: over there, Peyton Manning retiring, You're gonna survive. It's we're

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Speaker 1: We're glad, He gets out while getting good. Dean Garden,

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Speaker 1: Michael's sedated after rooting for the Bloomberg the Denver Broncos.

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Speaker 1: We called the Bloomberg Broncos as well. Um From Silk

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Speaker 1: to Silicon Jeffrey Garten, The Story of Globalization through ten

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Speaker 1: Extraordinary Life. I want to get to the book, but

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Speaker 1: first I have to talk about this political process and

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Speaker 1: the discourse you teach with Steve Roachump at Yale. Roach

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Speaker 1: gives out seas, you give out a's we know how

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Speaker 1: the dance goes. And when you talk about Wall Street

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Speaker 1: in Washington, I go back to him sitting with a

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Speaker 1: son of arguably the most decorated military officer of America

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Speaker 1: in the last century. Your father, who fought three wars

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Speaker 1: World War Two, he was at pork Uh pork Chop

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Speaker 1: Hill in Korea, he was in Vietnam as well, your

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Speaker 1: head must be forget about the politics. Your head must

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Speaker 1: be spinning at the discourse that your father served in

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Speaker 1: three wars. To get us to this point, well, you know,

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Speaker 1: my father died a couple of months ago, and he

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Speaker 1: died in in his sleep, which I was grateful for,

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Speaker 1: and I'm I'm glad he died when he did. I

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Speaker 1: think if he will were watching the primaries now, Um,

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Speaker 1: he'd burst a coronary because you know, he and and

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Speaker 1: and and his comrades. They fought for in America that

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Speaker 1: is a lot different than the one that is being discussed.

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Speaker 1: They fought for a country that was a leader on

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Speaker 1: the global stage. They fought for a country in which

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Speaker 1: um immigrants came in and had upward mobility. I mean,

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Speaker 1: I don't know about you, but you know I'm the

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Speaker 1: third generation. My father was second generation, My wife's parents

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Speaker 1: were second generation. Our grandparents all came from somewhere else,

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Speaker 1: and UM, that's what that's what this country stood for.

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Speaker 1: And those wars were fought to defend a way of

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Speaker 1: life that was an open that was an open society

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Speaker 1: that basically said to the rest of the world, UM,

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Speaker 1: we can take you and we can do some great things.

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Speaker 1: But that's not the discourse that that exists. Now we

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Speaker 1: gotta get to your book, but I gotta follow up

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Speaker 1: and ask how did that change change? How did we

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Speaker 1: get to a country where people are so afraid of

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Speaker 1: the rest of the world. I think we dropped. I

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Speaker 1: think we became very complacent. That is for if you

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Speaker 1: look at the end of the Second War, World War,

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Speaker 1: and when my father came back from the Pacific, UM,

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Speaker 1: there was no country in the world that could challenge us.

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Speaker 1: We basically created and Tom alluded to this, before you

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Speaker 1: know a world. We created the rules. It was an

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Speaker 1: open global economy. It was open to our companies, which

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Speaker 1: were the most powerful in the world. Um. We had

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Speaker 1: the best education system, we had the best technology, and

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Speaker 1: so we could flourish in that global economy for a

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Speaker 1: long time. But somewhere around the nineties, UM, a lot

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Speaker 1: of other countries began to catch up and we were

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Speaker 1: asleep at the switch. And I think now what we're

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Speaker 1: realizing is that we have a lot of work to

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Speaker 1: do internally in order to continue to flourish, in order

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Speaker 1: for most of our people to continue to flourish in

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Speaker 1: this global economy. And that's what we have to do

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Speaker 1: rather than close is down. We were just speaking with

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Speaker 1: Admiral James dadis from the Tough School, and he said,

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Speaker 1: one of the most important things for new president coming

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Speaker 1: off is to have good advice, good people around him.

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Speaker 1: What advice would you give the next president to whomever

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Speaker 1: he or she is. What's the most important thing they

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Speaker 1: need to do to change that? Well, I think if

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Speaker 1: I had to put my finger on the single biggest thing,

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Speaker 1: it's the workforce. If we have if everybody is employed

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Speaker 1: in decent jobs, I think many of the issues that

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Speaker 1: we're concerned about, we'll go away. Okay, we're getting to

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Speaker 1: your book now. In terms of the workforce, globalization has

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Speaker 1: affected the workforce in profound ways. And it's not eas

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Speaker 1: easy as saying we just want to, you know, get

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Speaker 1: everybody into good jobs. That just doesn't happen. No, that's right,

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Speaker 1: And but the thing is, the jobs of the future

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Speaker 1: are not the jobs of the nineteen seventies of the

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Speaker 1: nineteen eighties, and we need an internal system that is

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Speaker 1: going to be able to prepare more and more people

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Speaker 1: for these new jobs, whatever they are. I don't think

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Speaker 1: we can know exactly what they'll be, but we need

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Speaker 1: an education system that is far more effective. We need

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Speaker 1: the most modern kind of infrastructure so the economy is

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Speaker 1: more um um competitive, and that itself will also generate

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Speaker 1: lots of jobs um And I think we need a

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Speaker 1: kind of social safety net that allows people to be

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Speaker 1: unemployed for a while while they're training for something else,

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Speaker 1: and not fall all the way down the rabbit hole

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Speaker 1: if you're just joining us. Jeffrey Garten serving with Nixon, Ford, Carter, Clinton,

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Speaker 1: and also serving in New Haven, Connecticut for decades. The

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Speaker 1: book is From Silk to Silicon, a story of globalization

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Speaker 1: through ten extraordinary lives. Everyone yearns for technological progress that

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Speaker 1: will provide investment that will put American jobs for work.

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Speaker 1: We did that with the underwater cable. My most enjoyable

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Speaker 1: chapter of your book is linking the old World to

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Speaker 1: the New World. Cyrus Field did that a zillion years ago,

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Speaker 1: and we know it created a lot of jobs. You

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Speaker 1: got INDI go grow of Intel later on. I believe

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Speaker 1: he created a lot of jobs. Why can't we reduc

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Speaker 1: that in your eleventh, twelve or thirte person you would

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Speaker 1: write about in five years? Well, I think we can.

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Speaker 1: But let me just drop back and say what I

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Speaker 1: tried to do in the book was to talk about

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Speaker 1: globalization in a way that people could better understand and

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Speaker 1: relate to. So rather than talk about big trends, I

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Speaker 1: talked about people who did something really They did something

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Speaker 1: really spectacular, and they changed their world. And they not

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Speaker 1: they not only changed the world they lived in, but

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Speaker 1: the impact was so great they continue to change our

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Speaker 1: So let me let me comment on the two people

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Speaker 1: use and I think you're absolutely right that major breakthroughs

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Speaker 1: can create all kinds of jobs that are future oriented.

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Speaker 1: So one of these chapters is about Cyrus Field who

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Speaker 1: UM lived in the mid eighteen hundreds, and he's the

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Speaker 1: guy who built the Transatlantic cable. UM to tell you

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Speaker 1: how monumental that was. UM on the day before that

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Speaker 1: cable was act it was was constructed and was concluded

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Speaker 1: when when it it linked Europe and the US. On

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Speaker 1: the day before news traveled across the Atlantic, no faster

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Speaker 1: than it had for four thousand years. That it was

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Speaker 1: it is, it was a question of the wind on

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Speaker 1: one minute, when that cable was actually joined, we had

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Speaker 1: real time communication between the US and Europe, and within

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Speaker 1: two or three years after that, the entire world was wired.

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Speaker 1: Think of think of the discontinuity. In fact, the trans

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Speaker 1: Atlantic Cable was a far bigger advance and civilization than

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Speaker 1: the Internet, because when the Internet came along, we already

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Speaker 1: could look at our TVs and see, uh, you know,

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Speaker 1: we could see Vietnam real time. So um, the incremental

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Speaker 1: advance of the Internet was far less than going from

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Speaker 1: zero to real time. Les Robert Gordon's point in his

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Speaker 1: in his book that the big advances have been done

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Speaker 1: and now it's incremental change. Well let's let's let's come

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Speaker 1: back to that. But I just, um, I want to

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Speaker 1: I want to reinforce Tom's point, which is that Transatlantic

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Speaker 1: cable was the forerunner of the radio, of the telephone,

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Speaker 1: of the and of the Internet, and so it was

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Speaker 1: a huge job changer. I mean, it basically put the

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Speaker 1: United States into a totally different era of global communications.

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Speaker 1: And you think about the jobs that were created with

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Speaker 1: all the new cables that were you know, being lad

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Speaker 1: and all the equipment that wait with it. But not

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Speaker 1: only that, all the business that took place that couldn't

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Speaker 1: place before. Well, we have to come back. Jeffrey Garden

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Speaker 1: with US of Yale University has a wonderful new book,

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Speaker 1: From Soak to Silicon. Mike wants to follow up. I

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Speaker 1: know where the important thought is, Well, we will do that.

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Speaker 1: From so to Silicon the Story of Globalizations or ten

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Speaker 1: Extraordinary Lives Futures of negative seven down futures negative assured

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Speaker 1: to the market. You see that the Monday after Job today.

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Speaker 1: Coming up Jeffrey Garden and we'll talk to him about

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Speaker 1: Andrew Grove. We'll talk to him about some of the

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Speaker 1: other names of Michael McKee. I know some thoughts as well.

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Speaker 1: Also Jeffrey Garden on the potato Bosel for Tata, talk

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Speaker 1: about that as well. First I check out with Michael

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Speaker 1: bar We want to get the latest World of National headlines. Blank, Tom,

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Speaker 1: thank you very much. Vice President Joe Biden told American

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Speaker 1: troops and the United Arab Emirates the US will wipe

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Speaker 1: out Islamic state militants in Iraq and Syria. Biden is

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Speaker 1: on the Middle East trip. Biden also told the troops

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Speaker 1: the US has carried out eighteen hundred air strikes against

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Speaker 1: ISIS since October. The verbal battle between Hillary Clinton and

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Speaker 1: Bernie Sanders took a more pointed turn at last night's

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Speaker 1: Democratic presidential debate in Flint, Michigan. Clinton accused Sanders of

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Speaker 1: turning his back on the auto industry. Sanders said Clinton's

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Speaker 1: friends on Wall Street destroyed this economy. Republican presidential candidate

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Speaker 1: Donald Trump says Nancy Reagan, the wife of a truly

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Speaker 1: great president, was an amazing woman. She will be missed.

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Speaker 1: Nancy Reagan died yesterday in Los Angeles at age ninety four.

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Speaker 1: Global News twenty four hours a day, powered by our

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Speaker 1: twenty four hundred journalists and more than a hundred fifty

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Speaker 1: news bureaus from around the world Now Michael larn, Mike

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Speaker 1: tomp and MACA thanks so much. Yields elevated off the

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Speaker 1: Job's report on Friday, the tenure year of one point

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Speaker 1: nine zero percent with Jeffrey Garden from Silk to Sila

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