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This picture,

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truly one of the most
unusual ever filmed,

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contains scenes which
under no circumstances

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should be viewed by anyone
with a heart condition

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or anyone who is easily upset.

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We urgently recommend

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that if you are such a person
or the parent

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of a young or impressionable child
now in attendance,

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that you and the child
leave the auditorium.

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- ( rock music playing )
-  Yeah

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Louie Louie, whoa baby

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l gotta go now

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Louie Louie, whoa baby

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l really gotta go now

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The Communist world
is fallin' apart

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The capitalists
are just breakin' hearts

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Money is the reason to be

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lt makes me just
wanna sing Louie Louie

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Louie Louie, whoa baby

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l gotta go now

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Louie Louie, whoa baby

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l really gotta go now

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Some say it will,
some say it won't

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Now you see it,
now you don't

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We spent all our money
on a disaster movie

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lt makes me wanna sing
Louie Louie

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Louie Louie, whoa baby

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l gotta go now

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Louie Louie, whoa baby

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l really gotta go now

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Oh, let's give it
to 'em right now.

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( trumpet playing )

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Narrator: Rome was the largest
and the most beautiful city

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of the ancient world.

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The magnificent facade
of the empire, however,

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could not conceal
the seeds of decay,

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the unhealthy dependence
of the economy on slaves,

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the disparity between
rich and poor.

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Behind the splendor
of the Forum

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were vast areas
of crowded slums.

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Escape from the slums was difficult
for there were few jobs available

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and practically none
for the unskilled.

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To keep idle citizens entertained
and out of mischief,

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frequent games and spectacles
were held at public expense.

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At first, only chariot races
were sponsored.

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But by the reign of Trajan,

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brutal combat to the death
had become popular.

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Earlier in Rome's history,

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elected representatives
exercised the power.

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But by now,
every function of government

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had been absorbed
by the emperor

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who was above the law
and ruled by decree.

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That a people as civilized
as the Romans,

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with the most humane
system of law ever devised,

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could tolerate the violation
of human beings

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is astonishing.

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This imbalance
and the irresponsible behavior

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of public officials
would become major reasons

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for Rome's eventual decline.

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Michael Moore: l wonder how
future civilizations will view our society.

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Will they judge us by this?

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-  He's a cat flushin' a toilet...
- ( mews )

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He's a cat flushin' a toilet,
he's a cat flushin' a toilet

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He's a cat flushin' a toilet.

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( mews )

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Moore: Or will they
judge us by this?

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Man #1 :
Do you see the sheriff's car?

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Man #2: Yeah, right there.
The sheriff-- that's the first car.

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- Woman: No--
- There he is.

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Man #3:
Three, four, five, six...

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Woman: Seven.

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- Man #1 : Give me the phone.
- Woman: lt's on this--

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it's on the c--
it's on the couch.

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All right, that's as close
as l can get, Dad.

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- Don't stand in front of the door, Dad.
- ( knocking )

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( whispering )
Get out from the--

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Hey, Sheriff, Robert
inside the house here.

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- ( knocking )
- ( loud banging )

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Woman: They're trying to beat
the back door in, Dad.

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( loud banging )

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There are four of us in here.
They're beating on the door.

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We're not gonna resist,
but you will have to come

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in the house on your own.

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But there are four souls
in this house.

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Woman: Dad, don't stand
in front of the door.

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- Do not.
- ( doorknob rattling )

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( banging continues )

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Woman:
Another witness.

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Tell your name to the camera.

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- l'm David Phillips.
- Chris Collins.

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And Audra Collins.

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( banging continues )

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- David: And this is America?
- Chris: Uh-huh.

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Audra: This is America, folks,
what you're watching right here.

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- Sheriff's office.
- Robert: Yeah, we know.

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- Okay, y'all have to come out, please.
- Robert: All right.

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Woman: We cannot act like this--
this is just something that's okay.

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And so this is new.

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They've never come out
and boarded up our house

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after they've evicted the person

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and threw their furniture
in the dumpster.

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So they're letting us know

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that they are stepping it up,

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boarding up somebody's house.

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This has been my family home.
This is my parents' house.

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l've lived here for 41 years.

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This is the only home
l've ever really lived in.

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This is the only-- this will always
be home to me, no matter what.

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- l'm a carpenter.
- Woman: There you go.

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Man #1 : Sandra, they're leaving.
Let them leave.

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- Man #2: l'm a carpenter. So what?
- That's all l am.

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- Well, people pay their bills.
- This could happen to you.

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Carpenter: That's right.
So why do you think l'm doing it?

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l don't have to be happy about this,
but that's what l do.

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Sandra: That's all l'm saying is that
maybe you can make another choice.

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- That's all we're saying.
- That's no reason for...

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Sandra:
You're a working-class person.

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...people here to get upset
and almost get themselves hurt.

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We ain't gonna get hurt.

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Are you threatening us?

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Y'all gonna get on out of here.
You might end up even getting hurt.

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Talking about us getting hurt,
you might get hurt.

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Man: There's gonna be
some kind of a rebellion

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between the people
that have nothing

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and the people that's got it all.

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l don't understand.

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There's no in-between no more.

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There's the people that's got it all

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and the people that have nothing.

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We gotta get this stuff
out of the house and packed up

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and be out of here
in about 30 days

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even though we don't
have a place to go.

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Oh.

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Woman:
We designed this house.

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The property that it's on
was my family farm.

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So l've lost a piece
of my heritage with this.

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Why do you do this
to the hard-working people?

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Why do you take everything?

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You take everything
away from them.

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We're just middle-class,
hard-working people

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trying to make a living.

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Just trying to survive.

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An old Browning.

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( grunts )
My pistol,

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my dad's pistol, my pistol.

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( sighs )

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- ( knocking )
- Man: Sheriff's department.

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lt's supposed to be 30 days.

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l got 30 days to get my stuff out.

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- That's what the guy told me.
- No.

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What?

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lt's currently scheduled for today.

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But...

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The paper's telling us
that we are due

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to do an eviction here
today at 9:00 AM.

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Huh, shoot.

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Well, he's surprised too.

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The house is gone.

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That cop told me that the house

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has already been sold
to somebody else.

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So we don't own the house no more,
somebody else does.

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Moore:
This is capitalism,

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a system of taking and giving--

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mostly taking.

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The only thing we didn't know

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was when the revolt would begin.

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Man: Everything,
we've tried everything...

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except robbing a bank.

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l'm thinking about
maybe doing that.

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You know, that's one way
somebody could get their money back.

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lf they did it--
they did it to me,

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l don't know why
l can't do it to them.

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Peter Zalewski:
This is my second Hyundai Sonata.

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l'll probably get a new car next year.

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And when l do,
it'll probably be another Sonata.

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You know, l'm not a car guy.

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lf l can go in there
and steal a condo

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for the equivalent of what
a Mercedes would cost

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or a Bentley would cost,
l'm all about that.

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Moore:
Meet Peter Zalewski,

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Florida's up-and-coming
real estate whiz.

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Here we go.

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Moore: He calls his
real estate company Condo Vultures.

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( stuttering )
We have a very good sign.

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You have the final notice
of eviction.

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So you can see this person
was basically thrown out

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by the police department.

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Welcome.

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Moore:
Peter deals exclusively

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with clients who buy up
foreclosed homes

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and then resell them at a profit.

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lt's gonna be about
830 square feet or so...

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At the end of the day,
the only people who are buying

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are primarily individuals
that we represent...

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Today it's on the market
for $66,000.

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...which are basically bottom feeders
who are going in there.

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They have no compassion,
no sensitivity.

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They're running purely off numbers
They're coming in all cash,

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00:11:00,181 --> 00:11:02,483
and they're looking to slit
any single seller's throat

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00:11:02,517 --> 00:11:04,525
regardless of what
their situation is.

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00:11:04,566 --> 00:11:06,769
So people always ask,
''What's 25 cents on the dollar?''

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00:11:06,805 --> 00:11:08,496
This is it.
This is what you're gonna get.

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00:11:08,533 --> 00:11:11,599
The vulture basically represents
a bottom feeder

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that goes in there
and cleans off a carcass.

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00:11:14,805 --> 00:11:17,226
Because they're dealing with
so many different germs and situations,

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00:11:17,268 --> 00:11:19,472
they'll have to vomit on themselves
and there's some sort

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00:11:19,508 --> 00:11:21,363
of cleansing process that occurs.

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00:11:21,397 --> 00:11:23,185
The vultures
aren't actually killing,

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00:11:23,220 --> 00:11:24,910
they're the ones
doing the clean-up.

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00:11:24,948 --> 00:11:26,376
Which bank you want?
Bank of America?

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00:11:26,420 --> 00:11:28,208
What we do is we tap into data...

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00:11:28,244 --> 00:11:29,770
and boom, voila.

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00:11:29,811 --> 00:11:33,040
Here we got 3,400 foreclosing
by Bank of America.

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00:11:33,075 --> 00:11:34,482
Gotta love it.

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00:11:34,515 --> 00:11:36,937
As we collect data,
it's giving us

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00:11:36,979 --> 00:11:39,597
the insight into the battlefield,

217
00:11:39,635 --> 00:11:42,864
almost like a drone that flies
over the battleground in Afghanistan

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00:11:42,898 --> 00:11:45,746
or in Pakistan or in lraq.

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00:11:45,778 --> 00:11:47,851
The current asking price is 355.

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00:11:47,890 --> 00:11:49,864
Again, it was purchased for 840.

221
00:11:49,906 --> 00:11:52,109
A little bit of a discount.
You're gonna have two...

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Our people are using
that data to be able to go in

223
00:11:54,193 --> 00:11:57,062
and try to steal properties,
legally and ethically,

224
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but take them at the bare-bone
bottom price.

225
00:11:59,089 --> 00:12:00,976
lt's all about taking right now.

226
00:12:01,009 --> 00:12:03,790
Look at the-- look at the roof--
completely gone and missing.

227
00:12:03,825 --> 00:12:06,192
We haven't had a hurricane
in five years.

228
00:12:06,224 --> 00:12:08,166
( laughing )

229
00:12:08,208 --> 00:12:10,630
Welcome to the housing crash,
Miami style.

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00:12:10,672 --> 00:12:12,297
So this-- this is what capitalism is

231
00:12:12,336 --> 00:12:14,408
and this is why the information
is so critical.

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00:12:14,447 --> 00:12:15,942
We go in there,
we alert them to it,

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00:12:15,984 --> 00:12:17,413
and if they like it, you know--

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00:12:17,456 --> 00:12:19,343
( imitates shotgun )

235
00:12:19,376 --> 00:12:20,750
- Look at the window.
- Look at that.

236
00:12:20,783 --> 00:12:22,474
Looks like the house
next door was on fire.

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00:12:22,511 --> 00:12:24,300
This is straight up capitalism.

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00:12:24,335 --> 00:12:26,724
- Fire damage.
- l wonder if somebody was living there...

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00:12:26,767 --> 00:12:28,677
Zalewski: Everybody's got
this desire to go in there

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00:12:28,719 --> 00:12:31,053
and take advantage
of others' misfortunes.

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00:12:31,086 --> 00:12:32,166
Somebody asked me,

242
00:12:32,207 --> 00:12:34,279
''What's the difference between
you and a real vulture?''

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00:12:34,318 --> 00:12:37,035
l said, ''lt's very simple.
l don't vomit on myself.''

244
00:12:39,310 --> 00:12:42,244
Our topic today:
What is capitalism?

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00:12:42,285 --> 00:12:43,398
Capitalism?

246
00:12:43,438 --> 00:12:45,805
Well, why should there be
any question about it?

247
00:12:45,837 --> 00:12:49,153
Hasn't it given us the highest
standard of living in the world?

248
00:12:49,197 --> 00:12:51,815
We're free to try to make a profit,

249
00:12:51,853 --> 00:12:54,057
to just get by, or to fail.

250
00:12:54,093 --> 00:12:56,002
That's what capitalism is:

251
00:12:56,044 --> 00:12:58,433
a system of free enterprise.

252
00:12:58,476 --> 00:13:00,680
Now tell us what
''free enterprise'' means.

253
00:13:01,900 --> 00:13:04,201
Moore: l went to see
my friend Wally Shawn,

254
00:13:04,236 --> 00:13:06,341
a playwright
and sometimes actor.

255
00:13:06,380 --> 00:13:07,842
lnconceivable!

256
00:13:07,884 --> 00:13:10,982
Moore: But Wally also studied
history and politics

257
00:13:11,020 --> 00:13:13,769
and even a little
elementary economics.

258
00:13:13,804 --> 00:13:17,894
Free enterprise
is a form of words

259
00:13:17,931 --> 00:13:20,549
that is intended
to conjure up in your mind

260
00:13:20,586 --> 00:13:25,321
a little town with different shops.

261
00:13:25,354 --> 00:13:28,169
And the guy who runs
the best shop

262
00:13:28,202 --> 00:13:30,591
has the most customers.

263
00:13:30,634 --> 00:13:32,936
Narrator: There is the basis
of the capitalistic system:

264
00:13:32,969 --> 00:13:34,496
the profit motive.

265
00:13:34,537 --> 00:13:37,254
He's in business to make money.

266
00:13:37,290 --> 00:13:39,656
Shawn: The original
theory of capitalism

267
00:13:39,689 --> 00:13:42,558
is that it's a very clever way

268
00:13:42,601 --> 00:13:46,791
of society voting on what goods

269
00:13:46,825 --> 00:13:49,126
it wants made.

270
00:13:49,161 --> 00:13:50,916
What do you use this for?

271
00:13:50,952 --> 00:13:54,629
That's-- l could use that
for practically everything l ever do.

272
00:13:54,664 --> 00:13:58,177
You know, society votes.

273
00:13:58,216 --> 00:14:00,387
They like the way this guy

274
00:14:00,424 --> 00:14:03,009
makes ice cream.

275
00:14:03,047 --> 00:14:04,608
But the other guy,

276
00:14:04,647 --> 00:14:07,843
they don't like
his ice cream that much

277
00:14:07,879 --> 00:14:12,548
and they don't buy it,
so it fades out.

278
00:14:12,582 --> 00:14:15,102
lt's on me.
That is a good fit.

279
00:14:15,143 --> 00:14:19,299
Shawn: The basic law of life
is that if you have things,

280
00:14:19,334 --> 00:14:22,563
you can easily get more things.

281
00:14:22,598 --> 00:14:25,467
Very quickly, one guy can have

282
00:14:25,509 --> 00:14:28,095
five times more
than anybody else.

283
00:14:28,133 --> 00:14:30,434
- Free enterprise.
- Competition.

284
00:14:30,469 --> 00:14:31,876
Woman:
The profit motive.

285
00:14:33,797 --> 00:14:36,578
Moore: My dad, an assembly-line
worker at General Motors,

286
00:14:36,613 --> 00:14:38,206
bought and paid for our house

287
00:14:38,244 --> 00:14:41,757
before l graduated
from kindergarten.

288
00:14:41,796 --> 00:14:44,796
We had a new car
every three years.

289
00:14:46,756 --> 00:14:49,473
We went to New York
every other summer.

290
00:14:49,507 --> 00:14:52,354
That's me on Wall Street.

291
00:14:52,387 --> 00:14:54,209
And that's me
directing my first movie

292
00:14:54,244 --> 00:14:55,705
at the World's Fair.

293
00:14:55,747 --> 00:14:59,609
We went to Catholic schools,
we lived a good life.

294
00:15:01,315 --> 00:15:04,511
lf this was capitalism,
l loved it...

295
00:15:04,547 --> 00:15:06,913
and so did everyone else.

296
00:15:06,946 --> 00:15:10,775
During these years
a lot of people got rich

297
00:15:10,818 --> 00:15:14,647
and they had to pay
a top tax rate of 90%.

298
00:15:14,690 --> 00:15:16,697
90% ?

299
00:15:16,737 --> 00:15:18,493
Yep.

300
00:15:18,529 --> 00:15:22,904
But they still got to live
like Bogie and Bacall.

301
00:15:22,945 --> 00:15:25,182
And what did we do
with all their money?

302
00:15:25,217 --> 00:15:27,868
We built damns, bridges,

303
00:15:27,904 --> 00:15:31,548
interstate highways,
schools, hospitals.

304
00:15:31,585 --> 00:15:33,919
We even sent a guy to the moon.

305
00:15:33,952 --> 00:15:36,254
Things seemed to be going
in the right direction.

306
00:15:36,287 --> 00:15:39,222
Dad had a secure job
and Mom could work

307
00:15:39,264 --> 00:15:41,598
if she wanted,
but didn't have to.

308
00:15:41,632 --> 00:15:45,374
Middle-class families only needed
one income to survive.

309
00:15:45,407 --> 00:15:48,538
Our union family had
free health care and free dental.

310
00:15:48,575 --> 00:15:51,891
The kids could go to college
without getting a loan from a bank.

311
00:15:51,935 --> 00:15:55,415
Dad had four weeks
paid vacation every summer.

312
00:15:55,454 --> 00:15:59,131
Most people had
a savings account and little debt.

313
00:15:59,166 --> 00:16:02,778
And Dad's pension was set aside
where no one could touch it.

314
00:16:02,813 --> 00:16:06,643
lt would be there for him
when he retired.

315
00:16:06,686 --> 00:16:10,580
We got all of this because
our main industrial competition

316
00:16:10,621 --> 00:16:13,043
had been reduced to rubble.

317
00:16:13,085 --> 00:16:15,638
Here's what the German
car industry looked like.

318
00:16:15,677 --> 00:16:18,972
And here's the Japanese
auto industry.

319
00:16:19,005 --> 00:16:21,012
l guess you could say
it's easy to be number one

320
00:16:21,052 --> 00:16:23,867
when you have no competition.

321
00:16:23,900 --> 00:16:26,355
Yes, of course
not everything was perfect.

322
00:16:26,396 --> 00:16:28,218
We didn't mind having to put up

323
00:16:28,252 --> 00:16:31,066
with a little bit of this
and a little bit of that...

324
00:16:33,564 --> 00:16:36,084
just as long as we could be
middle-class.

325
00:16:38,331 --> 00:16:41,876
And we could count on our kids
having it better than we had it.

326
00:16:41,914 --> 00:16:45,110
lt sounded like
a good deal to us.

327
00:16:45,146 --> 00:16:49,139
Capitalism-- no one
ever had it so good.

328
00:16:56,698 --> 00:16:58,640
And then, right when
we were in the middle

329
00:16:58,682 --> 00:17:01,977
of this big love affair
with capitalism...

330
00:17:01,977 --> 00:17:04,343
Announcer: The ABC
Sunday Night Movie ''The Gambler''

331
00:17:04,377 --> 00:17:05,970
will continue in its entirety

332
00:17:06,009 --> 00:17:09,457
following this live report
from ABC News.

333
00:17:09,497 --> 00:17:14,166
We are at a turning point
in our history.

334
00:17:14,200 --> 00:17:16,371
Moore:
Along came Debbie Downer.

335
00:17:16,408 --> 00:17:20,020
Too many of us now
tend to worship

336
00:17:20,056 --> 00:17:24,278
self-indulgence
and consumption.

337
00:17:24,311 --> 00:17:28,140
Human identity
is no longer defined

338
00:17:28,183 --> 00:17:31,761
by what one does,

339
00:17:31,799 --> 00:17:34,548
but by what one owns.

340
00:17:34,582 --> 00:17:36,175
This is not a message

341
00:17:36,215 --> 00:17:39,630
of happiness or reassurance,

342
00:17:39,670 --> 00:17:41,808
but it is the truth

343
00:17:41,846 --> 00:17:43,755
and it is a warning.

344
00:17:43,798 --> 00:17:45,685
Moore:
Wow, what a bummer.

345
00:17:45,718 --> 00:17:48,718
lt was time to bring
a new sheriff to town...

346
00:17:48,757 --> 00:17:49,804
( horse whinnies )

347
00:17:49,845 --> 00:17:52,212
...one who knew how to act
like a president.

348
00:17:52,245 --> 00:17:55,757
He knew how to handle workers
who wanted a better wage.

349
00:17:55,797 --> 00:17:57,968
( gunshot )

350
00:17:58,004 --> 00:18:00,819
All right, mister, l guess you win.

351
00:18:00,852 --> 00:18:02,281
Moore:
Or these annoying feminists

352
00:18:02,324 --> 00:18:04,975
whining about their
Equal Rights Amendment.

353
00:18:05,012 --> 00:18:07,379
Well, l can change that in a hurry.

354
00:18:09,012 --> 00:18:12,656
Moore: A man who knew
how to get the job done.

355
00:18:12,692 --> 00:18:16,074
Ronald Reagan
came out of the B movies

356
00:18:16,115 --> 00:18:20,108
to become the most famous
corporate spokesman of the 1950s.

357
00:18:20,147 --> 00:18:22,732
lt's a transistor radio too.
Weighs only a few ounces.

358
00:18:22,770 --> 00:18:24,145
You can slip it
right into your pocket.

359
00:18:24,178 --> 00:18:26,447
Boraxo waterless hand cleaner
really cleans up for us.

360
00:18:26,483 --> 00:18:28,337
Moore:
He had found his calling

361
00:18:28,370 --> 00:18:31,184
and Wall Street
had found their man.

362
00:18:31,218 --> 00:18:34,152
You see, the banks and corporations
had a simple plan:

363
00:18:34,194 --> 00:18:37,422
to remake America to serve them.

364
00:18:37,457 --> 00:18:38,984
But to pull it off would require

365
00:18:39,025 --> 00:18:41,927
electing a spokesmodel
for president.

366
00:18:41,969 --> 00:18:45,995
And on November 4th, 1980,
that's what we did.

367
00:18:46,033 --> 00:18:47,789
...that l will faithfully execute

368
00:18:47,824 --> 00:18:49,929
the office of President
of the United States.

369
00:18:49,969 --> 00:18:52,074
Crowd:
Ronald Ronald Ronald...

370
00:18:52,112 --> 00:18:54,250
Thank you.

371
00:18:54,288 --> 00:18:56,906
Moore:
lt was an historic moment

372
00:18:56,944 --> 00:18:59,595
because now corporate America
and Wall Street

373
00:18:59,632 --> 00:19:02,501
were in almost complete control.

374
00:19:02,544 --> 00:19:05,129
See that guy standing
next to the president?

375
00:19:05,167 --> 00:19:07,917
You know, the one
that looks like a butler?

376
00:19:07,951 --> 00:19:10,220
His name was Don Regan,

377
00:19:10,255 --> 00:19:12,426
the Chairman of Merrill Lynch,

378
00:19:12,463 --> 00:19:16,805
the richest and biggest
retail brokerage firm in the world.

379
00:19:16,846 --> 00:19:19,694
He took the key position
of Treasury Secretary

380
00:19:19,726 --> 00:19:23,436
so he could enact the tax cuts
that the rich wanted.

381
00:19:23,470 --> 00:19:25,674
Regan then became
White House Chief of Staff

382
00:19:25,709 --> 00:19:29,124
as the president started to fade.

383
00:19:29,165 --> 00:19:32,165
Then they should give the president
what 43 governors have,

384
00:19:32,205 --> 00:19:34,572
a line-item veto.

385
00:19:34,605 --> 00:19:36,677
- And...
- ( applause )

386
00:19:36,717 --> 00:19:40,612
- You're gonna have to speed it up.
- Oh.

387
00:19:40,653 --> 00:19:43,686
Moore: Who tells the president
to speed it up?

388
00:19:43,724 --> 00:19:47,401
The man from Merrill Lynch,
that's who.

389
00:19:47,436 --> 00:19:51,713
Things in America would never
be the same again.

390
00:19:51,756 --> 00:19:55,051
The country would now be run
like a corporation.

391
00:19:55,083 --> 00:19:57,090
We're going to turn the bull loose.

392
00:19:57,131 --> 00:20:00,359
( cheering, applause )

393
00:20:00,395 --> 00:20:03,842
Moore: And four years later,
when Reagan ran for reelection,

394
00:20:03,883 --> 00:20:07,178
it was all smiley faces
and happy talk.

395
00:20:07,210 --> 00:20:09,632
l really feel that we're gonna
be better off in the long run.

396
00:20:09,674 --> 00:20:12,488
We're on the upward swing

397
00:20:12,522 --> 00:20:15,904
and the factories are working
much stronger than before.

398
00:20:15,946 --> 00:20:18,247
We're back on top.

399
00:20:21,641 --> 00:20:23,910
Moore: Actually,
what Reagan presided over

400
00:20:23,945 --> 00:20:28,320
was the wholesale dismantling
of our industrial infrastructure.

401
00:20:28,360 --> 00:20:32,037
This was not done to save money
or remain competitive,

402
00:20:32,072 --> 00:20:34,047
as companies back then
were already posting

403
00:20:34,088 --> 00:20:37,350
record earnings in the billions.

404
00:20:37,384 --> 00:20:40,962
No, it was done
for short-term profits...

405
00:20:44,903 --> 00:20:47,685
and to destroy the unions.

406
00:20:47,719 --> 00:20:50,686
Millions of people
were thrown out of work

407
00:20:50,727 --> 00:20:53,923
and the remaining workers
were told to work twice as hard.

408
00:20:55,334 --> 00:20:58,650
But wages for working people
remained frozen.

409
00:21:00,486 --> 00:21:03,202
The richest Americans
had their top income tax rate

410
00:21:03,238 --> 00:21:06,052
cut in half.

411
00:21:07,813 --> 00:21:10,780
lnstead of being paid
a decent wage,

412
00:21:10,821 --> 00:21:13,472
we were encouraged
to live on borrowed money

413
00:21:13,509 --> 00:21:17,404
until our household debt
was nearly 100% of the GDP.

414
00:21:17,445 --> 00:21:20,478
There was an explosion
of personal bankruptcies.

415
00:21:20,516 --> 00:21:24,226
We found it necessary to lock up
millions of our citizens.

416
00:21:24,260 --> 00:21:26,464
Sales of antidepressants
skyrocketed

417
00:21:26,500 --> 00:21:28,988
as insurance
and pharmaceutical company greed

418
00:21:29,028 --> 00:21:32,094
pushed the cost
of healthcare up and up.

419
00:21:32,131 --> 00:21:35,514
All of this was great news
for the stock market

420
00:21:35,555 --> 00:21:38,489
and for America's CEOs.

421
00:21:43,299 --> 00:21:44,924
Moore:
Half of Flint was now receiving

422
00:21:44,962 --> 00:21:47,996
some form
of government welfare.

423
00:21:48,034 --> 00:21:49,822
During the end
of the Reagan years,

424
00:21:49,858 --> 00:21:52,956
l made my first movie about
what had happened to the country

425
00:21:52,994 --> 00:21:56,310
and specifically to my hometown
of Flint, Michigan,

426
00:21:56,354 --> 00:21:59,452
the birthplace of General Motors.

427
00:21:59,490 --> 00:22:03,199
GM was posting profits
of over $4 billion

428
00:22:03,234 --> 00:22:05,143
while at the same time eliminating

429
00:22:05,185 --> 00:22:07,836
tens of thousands of jobs.

430
00:22:07,873 --> 00:22:11,648
l went to see GM's chief lobbyist
in Flint, Mr. Tom Kay,

431
00:22:11,680 --> 00:22:14,746
to ask him why
this was happening.

432
00:22:14,784 --> 00:22:17,654
General Motors wouldn't be doing
anybody any service

433
00:22:17,696 --> 00:22:19,103
if it goes bankrupt.

434
00:22:19,136 --> 00:22:20,827
lt has to do what it has to do

435
00:22:20,864 --> 00:22:23,930
in order to stay competitive
in today's economic climate.

436
00:22:23,967 --> 00:22:27,862
Moore: Even if that means
eliminating 18,000 jobs?

437
00:22:27,903 --> 00:22:30,750
Even if it means
eliminating 20,000 jobs.

438
00:22:30,783 --> 00:22:32,986
- Or 30,000?
- Whatever.

439
00:22:33,023 --> 00:22:37,398
- How about all the jobs here in Flint?
- lt could feasibly happen.

440
00:22:37,438 --> 00:22:39,893
Moore: And it did.

441
00:22:39,934 --> 00:22:42,617
Nearly all the jobs were eliminated

442
00:22:42,654 --> 00:22:45,304
and GM went bankrupt.

443
00:22:47,037 --> 00:22:50,517
Perhaps more distressing was the fact
that the rest of America

444
00:22:50,558 --> 00:22:54,518
was now starting to resemble
Flint, Michigan.

445
00:22:54,557 --> 00:22:58,550
But there were some cities
that still took pride in their greatness.

446
00:22:58,589 --> 00:23:00,279
Cleveland

447
00:23:00,317 --> 00:23:02,706
Come on down
to Cleveland Town, everyone

448
00:23:02,749 --> 00:23:05,531
Come and look
at both of our buildings

449
00:23:05,564 --> 00:23:08,248
Here's the place where
there used to be industry

450
00:23:08,284 --> 00:23:11,001
This train is carrying jobs
out of Cleveland

451
00:23:11,035 --> 00:23:13,904
See the sun almost
three times a year

452
00:23:13,948 --> 00:23:16,598
This guy has at least two DUls

453
00:23:16,636 --> 00:23:19,450
Our economy's
based on LeBron James

454
00:23:19,483 --> 00:23:22,199
Buy a house
for the price of a VCR

455
00:23:22,235 --> 00:23:24,820
Our main export
is crippling depression

456
00:23:24,859 --> 00:23:27,706
We're so retarded
that we think this is art

457
00:23:27,738 --> 00:23:32,178
lt could be worse, though,
at least we're not Detroit

458
00:23:32,218 --> 00:23:34,323
We're not Detroit.

459
00:23:34,362 --> 00:23:37,907
Moore:
No, they're not Detroit.

460
00:23:37,946 --> 00:23:40,466
For 20 years l tried
to warn GM and others

461
00:23:40,505 --> 00:23:44,018
that this day was coming,
but to no avail.

462
00:23:44,057 --> 00:23:46,228
Maybe now they'd listen.

463
00:23:46,265 --> 00:23:48,599
So l went down to the headquarters
of General Motors

464
00:23:48,632 --> 00:23:52,145
one last time to share
some of my ideas.

465
00:23:52,184 --> 00:23:54,257
You don't have permission.
You can't film here.

466
00:23:54,296 --> 00:23:55,244
Huh?

467
00:23:55,289 --> 00:23:57,012
You don't have permission
from General Motors.

468
00:23:57,048 --> 00:23:59,536
- You can't film here.
- l'm just going up to see the chairman.

469
00:23:59,576 --> 00:24:01,485
No, sir.
No, sir.

470
00:24:01,528 --> 00:24:03,666
You know, l've been doing this
for, like, 20 years.

471
00:24:03,703 --> 00:24:05,132
l understand, sir.

472
00:24:05,176 --> 00:24:08,524
And l have not been
let into this building for 20 years,

473
00:24:08,567 --> 00:24:12,080
and l think it's about time
someone just let me in

474
00:24:12,118 --> 00:24:13,679
and let me talk to them.

475
00:24:13,719 --> 00:24:15,507
l've got some good ideas.

476
00:24:15,543 --> 00:24:19,798
4-7 to 7-6 Bravo Area Alpha.

477
00:24:19,830 --> 00:24:22,132
Man:
Go ahead.

478
00:24:22,166 --> 00:24:25,265
lt's Michael Moore here
to see the chairman.

479
00:24:27,477 --> 00:24:29,899
Repeat that.

480
00:24:29,942 --> 00:24:31,949
lt's the filmmaker
Mr. Michael Moore.

481
00:24:31,989 --> 00:24:33,898
He's here to see the chairman.

482
00:24:35,093 --> 00:24:36,620
- Gentlemen.
- Yes.

483
00:24:36,661 --> 00:24:38,963
You need to get prior permission.
You cannot film here, okay?

484
00:24:38,996 --> 00:24:41,614
But if l can't go in and get permission,
what am l supposed to do?

485
00:24:41,653 --> 00:24:44,041
l guess they're right.
Breaking up is hard to do.

486
00:24:44,085 --> 00:24:46,288
Stop that. Don't do that.
Just go in the building.

487
00:24:46,324 --> 00:24:48,909
Moore: For 35 years,
GM made more money

488
00:24:48,947 --> 00:24:50,955
than any other corporation.

489
00:24:50,996 --> 00:24:52,522
But eventually,
Germany and Japan

490
00:24:52,564 --> 00:24:55,247
rebuilt their car industry
and produced vehicles

491
00:24:55,283 --> 00:24:58,185
that were safer than ours,
more fuel efficient

492
00:24:58,227 --> 00:25:00,300
and rarely, if ever, broke down.

493
00:25:03,283 --> 00:25:07,473
ln Germany, unions help hire and fire
the board of directors

494
00:25:07,506 --> 00:25:10,768
so the workers have a say
in what's going on.

495
00:25:13,522 --> 00:25:15,431
You see, the people
of Japan and Germany

496
00:25:15,698 --> 00:25:18,993
fight to make sure that even
their conservative political leaders

497
00:25:19,025 --> 00:25:21,065
don't destroy their middle class.

498
00:25:25,233 --> 00:25:27,753
So where exactly
are we right now?

499
00:25:27,793 --> 00:25:32,168
On the day that General Motors
declared Chapter 11 bankruptcy,

500
00:25:32,208 --> 00:25:35,503
l went with my dad to visit
the AC Spark Plug plant

501
00:25:35,536 --> 00:25:38,023
where he had worked
for over 30 years.

502
00:25:38,064 --> 00:25:41,576
- So you worked actually right here.
- You'd have to go--

503
00:25:41,616 --> 00:25:45,260
they had a ramp that took you
up over that, just beyond that...

504
00:25:45,295 --> 00:25:46,757
- Just beyond that space there?
- Yeah.

505
00:25:46,799 --> 00:25:48,708
- And then the factory was all over there?
- Yeah.

506
00:25:48,751 --> 00:25:51,053
Moore: The whole complex
is, like, two miles long.

507
00:25:51,087 --> 00:25:53,324
l remember Mom bringing
us kids in to pick you up.

508
00:25:53,359 --> 00:25:55,181
- 2:30 every day.
- Yeah, uh-huh.

509
00:25:55,215 --> 00:25:58,117
You'd walk out of there,
right over in there in fact.

510
00:25:58,159 --> 00:26:00,046
And we'd be waiting
in the car for you

511
00:26:00,079 --> 00:26:02,467
and we'd see you
come down the ramp.

512
00:26:02,510 --> 00:26:05,957
We got real excited
every time we saw you.

513
00:26:05,997 --> 00:26:08,386
l was there 33 1/2 years.

514
00:26:08,429 --> 00:26:10,404
- 33 1/2 years?
- Uh-huh.

515
00:26:10,445 --> 00:26:13,128
Moore: What's your best memory here,
being here, working here?

516
00:26:13,166 --> 00:26:16,199
My best memory?
l think the people.

517
00:26:16,237 --> 00:26:18,147
They were a really good bunch.

518
00:26:18,189 --> 00:26:20,938
- You liked the crowd you worked with?
- Yeah.

519
00:26:20,973 --> 00:26:24,104
Frank Moore:
A good place to work. l enjoyed it.

520
00:26:24,140 --> 00:26:26,889
But l'm sorry to see it go.

521
00:26:34,187 --> 00:26:36,805
Moore:
Shortly before Christmas 2008,

522
00:26:36,843 --> 00:26:39,843
Republic Windows & Doors
in Chicago, lllinois,

523
00:26:39,883 --> 00:26:42,982
abruptly fired
its entire unionized workforce

524
00:26:43,019 --> 00:26:45,954
of over 250 people.

525
00:26:45,995 --> 00:26:49,311
They were given
only three days' notice.

526
00:26:49,354 --> 00:26:51,329
Bank of America
would no longer provide

527
00:26:51,370 --> 00:26:53,475
a line of credit to the company,

528
00:26:53,514 --> 00:26:57,442
and so the workers were not paid
the money owed to them.

529
00:26:57,481 --> 00:27:00,164
Man #1 : My life revolves
around this job.

530
00:27:00,202 --> 00:27:04,195
l live according to my obligation
to my job, you know?

531
00:27:04,233 --> 00:27:08,128
And it's not just me,
it's all of the workers here.

532
00:27:08,169 --> 00:27:10,852
We go above and beyond

533
00:27:10,889 --> 00:27:13,376
the call of duty for Republic.

534
00:27:13,416 --> 00:27:16,034
And at the end,

535
00:27:16,072 --> 00:27:18,789
Republic cares nothing for us.

536
00:27:20,552 --> 00:27:23,399
Man #2: We found out that
they're gonna shut the plant on Tuesday.

537
00:27:23,432 --> 00:27:26,530
We don't deserve what
they're doing to us, you know?

538
00:27:26,568 --> 00:27:29,731
lt really hurts because,
like l said,

539
00:27:29,767 --> 00:27:31,654
this is my second family.

540
00:27:31,687 --> 00:27:34,174
So it was-- it really hurts.
lt really hurts.

541
00:27:34,214 --> 00:27:37,956
l'm gonna miss
all of them, you know?

542
00:27:37,991 --> 00:27:40,838
l'm gonna miss them
and l don't think

543
00:27:40,871 --> 00:27:43,107
anybody on this planet

544
00:27:43,142 --> 00:27:46,241
deserves what they've done to us.

545
00:27:53,413 --> 00:27:55,387
Moore: Scenes like this
were being repeated

546
00:27:55,429 --> 00:27:59,323
all over the country,
and no one seemed to mind.

547
00:27:59,365 --> 00:28:01,667
Zambezi, Zambezi

548
00:28:01,700 --> 00:28:04,700
-  Zambezi, Zam.
- Woman: Whoo!

549
00:28:04,740 --> 00:28:08,449
Moore: The president was enjoying
his final year in office.

550
00:28:08,484 --> 00:28:10,688
But as the economy
started to fall apart,

551
00:28:10,724 --> 00:28:14,685
he decided it was time
to roll out the C word.

552
00:28:14,724 --> 00:28:17,626
Capitalism is the best system
ever devised.

553
00:28:17,667 --> 00:28:19,009
Moore:
Huh. Really?

554
00:28:19,043 --> 00:28:22,174
Voices from the left and right
are equating the free enterprise system

555
00:28:22,211 --> 00:28:25,723
with greed and exploitation
and failure.

556
00:28:25,763 --> 00:28:27,672
Moore:
Hmm, greed,

557
00:28:27,714 --> 00:28:30,747
exploitation, failure?

558
00:28:30,787 --> 00:28:32,248
Go on, l'm listening.

559
00:28:32,290 --> 00:28:36,960
Capitalism offers people
the freedom to choose

560
00:28:36,994 --> 00:28:39,449
where they work
and what they do...

561
00:28:39,489 --> 00:28:42,075
Reporter: Pat Andrews
has been looking for work.

562
00:28:42,113 --> 00:28:45,822
Every morning she scans
the classifieds in vain.

563
00:28:45,857 --> 00:28:47,547
There isn't anything in here.

564
00:28:47,585 --> 00:28:50,399
l'm not gonna be a gentleman's club
hired dancer either.

565
00:28:51,681 --> 00:28:55,029
...the opportunity to buy
or sell products they want.

566
00:28:55,072 --> 00:28:56,927
Reporter: Tom Rendon
has avoided layoffs

567
00:28:56,961 --> 00:28:59,513
at his sign company
in Stockton, California,

568
00:28:59,552 --> 00:29:01,374
all because this one word
now makes up

569
00:29:01,407 --> 00:29:03,382
for half his business.

570
00:29:03,424 --> 00:29:06,839
lf you seek social justice
and human dignity,

571
00:29:06,879 --> 00:29:10,556
the free market system
is the way to go.

572
00:29:10,591 --> 00:29:12,217
( applause )

573
00:29:13,311 --> 00:29:16,311
Moore: And for those seeking
justice in Pennsylvania,

574
00:29:16,351 --> 00:29:20,093
free enterprise
was definitely the way to go.

575
00:29:23,454 --> 00:29:25,047
Wilkes-Barre, Pennsylvania,

576
00:29:25,086 --> 00:29:27,158
has one of the highest rates
in the state

577
00:29:27,198 --> 00:29:30,678
of young people locked up
in the juvenile home.

578
00:29:30,717 --> 00:29:32,953
Perhaps it's because
the good people here

579
00:29:32,989 --> 00:29:35,258
employ the practices
of capitalism

580
00:29:35,293 --> 00:29:38,392
in dealing with
their wayward youth.

581
00:29:38,429 --> 00:29:41,211
The county hired a private
profit-making corporation

582
00:29:41,245 --> 00:29:45,205
with a sweet-sounding name,
PA Child Care.

583
00:29:46,396 --> 00:29:49,211
lt was owned and run
by two businessmen,

584
00:29:49,244 --> 00:29:53,717
one of whom was Robert Powell,
an attorney and entrepreneur.

585
00:29:53,755 --> 00:29:55,610
His good friend Judge Conahan

586
00:29:55,644 --> 00:29:57,912
closed down
the public juvenile home

587
00:29:57,947 --> 00:29:59,802
and then got
PA Child Care to build

588
00:29:59,835 --> 00:30:02,868
an $8 million
privately-owned facility

589
00:30:02,907 --> 00:30:04,729
and charge it back to the county

590
00:30:04,762 --> 00:30:07,348
for a mere $58 million lease.

591
00:30:09,210 --> 00:30:12,690
Let's meet some of Wilkes-Barre's
juvenile delinquents.

592
00:30:12,730 --> 00:30:14,934
Magee smoked pot
at a high school party.

593
00:30:14,970 --> 00:30:18,068
l was very rebellious
when l was at this age.

594
00:30:18,105 --> 00:30:20,789
Moore: Matt, he got into
an argument at the dinner table.

595
00:30:20,826 --> 00:30:23,379
l threw a piece of meat,
as in steak,

596
00:30:23,417 --> 00:30:25,784
cooked dinner,
at my mother's boyfriend.

597
00:30:25,817 --> 00:30:28,086
Moore: Jamie got in a fight
at a shopping mall

598
00:30:28,121 --> 00:30:29,331
with her best friend.

599
00:30:29,368 --> 00:30:32,663
l just figured, you know, we just weren't
gonna be friends anymore.

600
00:30:32,697 --> 00:30:35,118
Moore: And Hillary made
a MySpace page

601
00:30:35,161 --> 00:30:37,233
making fun
of her assistant principal

602
00:30:37,272 --> 00:30:39,661
for being strict and having
no sense of humor.

603
00:30:39,704 --> 00:30:42,999
And it said some pretty silly,
like, 14-year-old-girl stuff.

604
00:30:43,032 --> 00:30:46,610
Moore: Her assistant principal
called the police.

605
00:30:46,647 --> 00:30:50,771
They all appeared before
kindly Judge Mark Ciavarella.

606
00:30:50,807 --> 00:30:53,425
These kids were about
to get their first lesson

607
00:30:53,463 --> 00:30:55,351
in American capitalism:

608
00:30:55,383 --> 00:30:59,987
time is money, lots of money.

609
00:31:00,023 --> 00:31:03,186
l went in front of the court,
in front of Mr. Ciavarella,

610
00:31:03,222 --> 00:31:04,945
and l wasn't even in front of him
for four minutes.

611
00:31:04,982 --> 00:31:06,990
l was only in front of him
for, like, two minutes.

612
00:31:07,030 --> 00:31:10,510
Hillary: The first thing that
Judge Ciavarella said to me was,

613
00:31:10,549 --> 00:31:13,299
''What makes you think
you can do this kind of crap?''

614
00:31:13,333 --> 00:31:15,667
l'm sure he knew in his mind
when l walked in

615
00:31:15,701 --> 00:31:17,391
that he was locking this kid up
no matter what.

616
00:31:17,429 --> 00:31:18,673
He didn't even look at me.

617
00:31:18,709 --> 00:31:21,556
Once l entered the courtroom,
l didn't have any chance.

618
00:31:21,589 --> 00:31:23,760
There was about six kids
who went in front of me.

619
00:31:23,796 --> 00:31:25,738
Every single kid who went
in front of Ciavarella,

620
00:31:25,780 --> 00:31:29,009
for all different reasons--
some minor, some serious--

621
00:31:29,044 --> 00:31:30,669
got sent away.

622
00:31:30,708 --> 00:31:34,449
Moore: Although Wilkes-Barre is located
in the United States of America,

623
00:31:34,484 --> 00:31:38,445
here capitalism
trumped democracy.

624
00:31:38,483 --> 00:31:41,581
Robert Powell, one of the owners
of PA Child Care,

625
00:31:41,619 --> 00:31:45,841
cut a business deal with Judge Conahan
and Judge Ciavarella.

626
00:31:45,875 --> 00:31:49,170
Judge Ciavarella then stepped up
his conviction rates.

627
00:31:49,202 --> 00:31:50,860
Many of these kids
were funneled

628
00:31:50,899 --> 00:31:55,470
into PA Child Care's
for-profit juvenile facility.

629
00:31:55,506 --> 00:31:56,848
And for their troubles,

630
00:31:56,882 --> 00:32:00,907
the judges received
over $2.6 million

631
00:32:00,946 --> 00:32:04,742
while the owners of PA Child Care
received tens of millions

632
00:32:04,785 --> 00:32:07,273
of taxpayer dollars
from the county.

633
00:32:07,313 --> 00:32:10,313
And where did Powell go
to enjoy all that money?

634
00:32:10,353 --> 00:32:12,458
On his private plane

635
00:32:12,496 --> 00:32:15,431
and his yacht,
the ''Reel Justice.''

636
00:32:17,040 --> 00:32:21,742
6,500 children
were unjustly convicted.

637
00:32:21,776 --> 00:32:25,038
lt was good business
while it lasted.

638
00:32:26,127 --> 00:32:28,876
Reporter #1 : Two Luzerne County
judges in big trouble with the law.

639
00:32:28,911 --> 00:32:29,859
They're going to jail.

640
00:32:29,904 --> 00:32:31,278
Reporter #2:
Some kids were locked up

641
00:32:31,311 --> 00:32:35,402
even when probation officers
objected to detention.

642
00:32:35,439 --> 00:32:38,308
ln there you lose track of time
and you lose track of the date.

643
00:32:38,350 --> 00:32:39,528
l was barely keeping track.

644
00:32:39,566 --> 00:32:42,566
lt was supposed to be, like--
l believe it was, like, two months.

645
00:32:42,606 --> 00:32:44,908
And it went from two months
to nine months.

646
00:32:44,942 --> 00:32:47,527
He said originally
three to six months,

647
00:32:47,566 --> 00:32:51,395
but somehow l ended up
being there 11 1/2 months

648
00:32:51,437 --> 00:32:54,154
and l never went back
in front of the judge at all

649
00:32:54,189 --> 00:32:55,750
for him to give me extensions.

650
00:32:55,789 --> 00:32:57,512
Moore:
Not only did PA Child Care

651
00:32:57,549 --> 00:33:00,265
pay off the judges
to fill their cells,

652
00:33:00,301 --> 00:33:02,854
but their employees were the ones
who got to decide

653
00:33:02,893 --> 00:33:06,154
when a child had
enough rehabilitation.

654
00:33:06,188 --> 00:33:09,384
But that makes sense,
because any time a governmental unit

655
00:33:09,421 --> 00:33:11,876
turns over to
a profit-making corporation

656
00:33:11,916 --> 00:33:14,217
the duties it should be performing,

657
00:33:14,252 --> 00:33:16,194
what do you expect to happen?

658
00:33:16,236 --> 00:33:18,723
Matt: lt makes me feel like
an item that they just used

659
00:33:18,764 --> 00:33:21,065
to just get money
and then tossed me aside.

660
00:33:21,099 --> 00:33:25,376
l'm just trying
to work on my flying

661
00:33:25,419 --> 00:33:27,524
and just trying to prepare
for my future

662
00:33:27,562 --> 00:33:30,661
so l can put this all behind me,
finally be done with all this.

663
00:33:30,698 --> 00:33:33,065
During the whole trial
l wasn't in control at all,

664
00:33:33,098 --> 00:33:35,432
but with flying it's only me.

665
00:33:35,466 --> 00:33:37,833
lt's just that l just get
to do everything by myself.

666
00:33:37,865 --> 00:33:39,807
l'm the only one on the control.

667
00:33:39,849 --> 00:33:41,605
Moore:
Matt loves to fly

668
00:33:41,642 --> 00:33:44,773
and hopes to become
a pilot someday.

669
00:33:44,809 --> 00:33:47,329
lf he does,
he'll get his second lesson

670
00:33:47,369 --> 00:33:49,856
in capitalism:

671
00:33:49,897 --> 00:33:52,798
that in America,
sometimes you're better off

672
00:33:52,841 --> 00:33:55,177
working at Mickey D's.

673
00:33:55,177 --> 00:33:57,632
- ( applause, cheering )
- Remember Sully?

674
00:33:57,672 --> 00:33:58,948
Captain Sullenberger,

675
00:33:58,984 --> 00:34:01,886
who safely landed an airbus
in the Hudson River

676
00:34:01,928 --> 00:34:04,830
- saving the lives of 150 passengers?
- ( patriotic music playing )

677
00:34:04,872 --> 00:34:07,621
- Man: A true American hero.
- ( applause )

678
00:34:10,631 --> 00:34:13,413
Moore: He met the mayor.
He went to the State of the Union.

679
00:34:13,447 --> 00:34:16,032
Heck, he even went
to the Super Bowl.

680
00:34:16,071 --> 00:34:18,209
And then he went to Congress.

681
00:34:18,246 --> 00:34:21,181
Sullenberger:
Flying has been my lifelong passion.

682
00:34:21,222 --> 00:34:23,294
But while l love my profession,

683
00:34:23,335 --> 00:34:25,920
l do not like
what has happened to it.

684
00:34:25,958 --> 00:34:27,966
- ( music halts )
- lt is my personal experience

685
00:34:28,006 --> 00:34:31,072
that my decision to remain
in the profession l love

686
00:34:31,110 --> 00:34:35,550
has come at a great financial cost
to me and to my family.

687
00:34:35,589 --> 00:34:37,760
My pay has been cut 40%.

688
00:34:37,797 --> 00:34:41,310
My pension, like most airline pensions,
has been terminated.

689
00:34:41,349 --> 00:34:44,731
So please do not think l exaggerate
when l say that l do not know

690
00:34:44,772 --> 00:34:47,936
a single professional airline pilot
who wants his or her children

691
00:34:47,972 --> 00:34:49,499
to follow in their footsteps.

692
00:34:49,540 --> 00:34:52,158
Moore: Whoa, you cleared
the room with that one, Sully.

693
00:34:52,196 --> 00:34:54,399
l don't think the congressmen
wanted to hear that stuff.

694
00:34:54,436 --> 00:34:57,250
- They like you as a hero.
- The current experience...

695
00:34:57,284 --> 00:34:59,673
( patriotic music over dialogue )

696
00:35:11,234 --> 00:35:13,209
Moore: What was
your starting pay as a pilot?

697
00:35:13,251 --> 00:35:15,454
l made $19,000 the first year.

698
00:35:15,490 --> 00:35:18,806
l was bumped up to about 22,000
or 23,000 the second year.

699
00:35:18,850 --> 00:35:21,370
Last year, gross pay

700
00:35:21,410 --> 00:35:23,744
l made $17,600.

701
00:35:23,777 --> 00:35:26,265
There's a joke in the airline
when we get our wings pinned on us

702
00:35:26,305 --> 00:35:29,621
as new-hire airline pilots
that the company just kinda says,

703
00:35:29,665 --> 00:35:32,316
''Hey, don't apply for food stamps
in your uniform.''

704
00:35:32,352 --> 00:35:35,102
Moore: l don't know about you,
but l want the pilot

705
00:35:35,136 --> 00:35:38,780
who's got me 30,000 feet up in the air
to be paid really well

706
00:35:38,816 --> 00:35:41,750
and not sitting up in the cockpit
digging through the pilot's seat

707
00:35:41,792 --> 00:35:43,702
looking for loose change.

708
00:35:43,744 --> 00:35:45,631
There was a period
of about four months

709
00:35:45,664 --> 00:35:48,314
where l was on food stamps.

710
00:35:48,352 --> 00:35:49,781
- You were on food stamps?
- Yes.

711
00:35:49,824 --> 00:35:52,474
- And you were still flying the plane?
- Yes.

712
00:35:52,511 --> 00:35:54,780
With my--
with my food stamp card.

713
00:35:54,815 --> 00:35:57,466
The lady l talked to
in the food stamp office,

714
00:35:57,503 --> 00:36:00,318
when l told her l was a pilot,
she didn't bat an eye,

715
00:36:00,350 --> 00:36:02,587
but she didn't--
l knew she didn't believe me.

716
00:36:02,622 --> 00:36:05,142
Moore: How have you gotten by?
How have you been able to afford things?

717
00:36:05,182 --> 00:36:07,670
Relying on credit cards
to buy the groceries at times

718
00:36:07,710 --> 00:36:09,368
- when l wasn't on food stamps.
- Oh, really?

719
00:36:09,406 --> 00:36:11,609
l have about $10,000
in credit card debt

720
00:36:11,646 --> 00:36:13,555
just on the necessities,

721
00:36:13,597 --> 00:36:16,052
not on the big-screen TV
and the stereo.

722
00:36:16,094 --> 00:36:19,159
Moore: You're using it
to buy your groceries and get by.

723
00:36:19,197 --> 00:36:21,051
- Yes.
- Do you have any student loan debt?

724
00:36:21,085 --> 00:36:22,710
- Yes.
- How much?

725
00:36:22,749 --> 00:36:24,243
Mine is about 80,000.

726
00:36:24,285 --> 00:36:27,546
- l took out $100,000.
- Moore: Student loans?

727
00:36:27,580 --> 00:36:30,329
And by the time l pay it back,
at this rate,

728
00:36:30,364 --> 00:36:32,633
it'll probably cost me well over
a half a million with interest

729
00:36:32,668 --> 00:36:35,123
and fees and penalties.

730
00:36:35,164 --> 00:36:37,302
lt's something that l don't--
l don't like to spend a lot of time

731
00:36:37,339 --> 00:36:38,965
thinking about
because it's abysmal.

732
00:36:39,003 --> 00:36:41,370
lt's one way that l get down
really quickly

733
00:36:41,404 --> 00:36:42,996
about my chosen career field

734
00:36:43,035 --> 00:36:45,369
is to think about how much l owe
and how little l make.

735
00:36:45,403 --> 00:36:48,185
Moore: Have you had to work
a second job to make ends meet?

736
00:36:48,219 --> 00:36:50,488
l walk dogs on the side,

737
00:36:50,522 --> 00:36:53,588
l distribute MonaVie Juice.

738
00:36:53,626 --> 00:36:56,758
l have known pilots
to donate plasma

739
00:36:56,794 --> 00:36:58,550
for extra cash.

740
00:36:58,586 --> 00:37:01,336
- You mean they give blood?
- They-- well--

741
00:37:01,369 --> 00:37:03,889
So they can make extra money
even though they're flying an airplane?

742
00:37:03,930 --> 00:37:05,839
Yeah.
They donate their plasma.

743
00:37:05,881 --> 00:37:09,972
So they get the blood back,
but you can get paid for plasma.

744
00:37:10,008 --> 00:37:11,252
- ( chuckles )
- Oh, l see.

745
00:37:11,289 --> 00:37:13,012
They suck the blood out of you,
take the plasma...

746
00:37:13,048 --> 00:37:14,455
- Give you the blood back.
- ...give you the--

747
00:37:14,489 --> 00:37:16,277
Oh, well then,
not such a bad deal.

748
00:37:16,313 --> 00:37:19,661
The only reason people stay flying
is because they love it.

749
00:37:19,705 --> 00:37:21,493
And managements
take advantage of that.

750
00:37:21,528 --> 00:37:24,724
The airlines
have managed to farm out

751
00:37:24,760 --> 00:37:28,983
a lot of the flying to commuters

752
00:37:29,015 --> 00:37:32,081
in an effort to basically
bust the unions.

753
00:37:32,119 --> 00:37:34,126
You can't compete

754
00:37:34,167 --> 00:37:38,225
to a lower and lower level
every year

755
00:37:38,262 --> 00:37:40,564
without skimping
on safety somehow.

756
00:37:42,774 --> 00:37:47,378
Moore: At approximately 10:15 PM
on February 1 2, 2009,

757
00:37:47,414 --> 00:37:50,032
Continental connection flight 3407

758
00:37:50,070 --> 00:37:52,558
began its descent
to the airport in Buffalo.

759
00:37:52,598 --> 00:37:54,223
( sirens wailing )

760
00:37:54,262 --> 00:37:56,050
Man: Stand by, there's some
ground communication,

761
00:37:56,085 --> 00:37:57,907
either state police
or sheriff's department.

762
00:37:57,941 --> 00:37:59,567
We need to find out if anything
is on the ground.

763
00:37:59,605 --> 00:38:01,907
This aircraft was five miles out,
and all of a sudden

764
00:38:01,941 --> 00:38:03,697
we have no response
to that aircraft.

765
00:38:03,733 --> 00:38:06,602
All l could tell you is there was
an aircraft over the marker

766
00:38:06,644 --> 00:38:09,546
and we're not talking to them now.

767
00:38:09,588 --> 00:38:11,660
Moore:
No one survived the crash

768
00:38:11,700 --> 00:38:14,514
and 50 people lost their lives.

769
00:38:15,988 --> 00:38:19,119
The media focused
on the actions of the pilots.

770
00:38:19,156 --> 00:38:22,090
Reporter: Captain Marvin Renslow
and First Officer Shaw

771
00:38:22,131 --> 00:38:24,270
were chatting about their careers.

772
00:38:24,307 --> 00:38:26,576
Moore:
''Careers'' is a euphemism

773
00:38:26,611 --> 00:38:28,912
for what the pilots
were really talking about:

774
00:38:28,947 --> 00:38:32,907
how little they were paid
and how overworked they were.

775
00:38:32,946 --> 00:38:34,954
There would be
no discussion in the media

776
00:38:34,994 --> 00:38:37,165
about why we have
an economic system

777
00:38:37,202 --> 00:38:40,682
that allows a pilot to be paid less
than a manager at Taco Bell.

778
00:38:40,722 --> 00:38:42,063
Reporter:
First Officer Shaw

779
00:38:42,098 --> 00:38:45,578
made between
$16,000 and $20,000 a year

780
00:38:45,617 --> 00:38:49,032
and at one point
worked a second job.

781
00:38:49,073 --> 00:38:51,407
Moore: Her second job
had been waitressing

782
00:38:51,441 --> 00:38:53,350
at a coffee shop.

783
00:38:54,609 --> 00:38:57,991
How are these companies
able to get away with this?

784
00:38:58,032 --> 00:39:00,617
( laughs )
l guess that's the point of capitalism.

785
00:39:00,656 --> 00:39:03,306
lt allows you to get away
with anything,

786
00:39:03,344 --> 00:39:06,575
like making a profit
off the death of an employee.

787
00:39:08,079 --> 00:39:10,348
Sweetie, l can open it.
Let's try it with this.

788
00:39:10,383 --> 00:39:12,358
Moore:
This is lrma Johnson.

789
00:39:12,399 --> 00:39:15,246
lrma's husband Dan
worked in middle management

790
00:39:15,279 --> 00:39:17,351
at Amegy Bank in Houston, Texas.

791
00:39:17,391 --> 00:39:19,365
- Wanna try to spread it?
- No.

792
00:39:19,406 --> 00:39:21,828
Moore:
Dan recently died of cancer,

793
00:39:21,871 --> 00:39:25,929
leaving behind lrma
and their two sons.

794
00:39:25,966 --> 00:39:28,421
But unbeknownst to lrma,
Amegy had taken out

795
00:39:28,462 --> 00:39:32,258
a secret life insurance policy
on Dan's life.

796
00:39:32,302 --> 00:39:36,360
The bank generously named itself
as the beneficiary

797
00:39:36,397 --> 00:39:38,786
in the event of Dan's death.

798
00:39:38,829 --> 00:39:41,829
The insurance company
then accidentally informed lrma

799
00:39:41,869 --> 00:39:45,830
that Amegy Bank had received
a check for $1 1/2 million

800
00:39:45,869 --> 00:39:48,684
just weeks after Dan died.

801
00:39:48,716 --> 00:39:50,439
Thank you for helping.

802
00:39:50,476 --> 00:39:51,490
Johnson:
They never told me.

803
00:39:51,532 --> 00:39:54,914
l wanted to find out, well,
why did they purchase a policy for him?

804
00:39:54,956 --> 00:39:56,811
- Moore: You didn't know about it?
- No.

805
00:39:56,843 --> 00:40:00,356
And they named themselves
as the beneficiary.

806
00:40:00,395 --> 00:40:01,344
Yeah.

807
00:40:01,387 --> 00:40:03,459
Moore:
So your husband's death

808
00:40:03,500 --> 00:40:06,347
made them $1.5 million richer?

809
00:40:06,379 --> 00:40:08,550
Mm-hmm.

810
00:40:08,587 --> 00:40:11,969
l know it's not right
for them to try to profit

811
00:40:12,010 --> 00:40:14,345
from my husband's death.

812
00:40:14,378 --> 00:40:16,101
When l first realized
what was happening,

813
00:40:16,138 --> 00:40:20,032
l was in disbelief.

814
00:40:20,073 --> 00:40:22,691
- lt's hurtful.
- l'm so sorry.

815
00:40:24,106 --> 00:40:25,480
Um...

816
00:40:27,881 --> 00:40:31,329
it's hurtful and l wanted answers.

817
00:40:31,369 --> 00:40:33,922
Moore: lrma contacted
Michael D. Myers,

818
00:40:33,961 --> 00:40:36,350
a local attorney who had
already been looking into

819
00:40:36,392 --> 00:40:39,556
these kind of corporate
insurance policies on their employees.

820
00:40:40,904 --> 00:40:43,392
With the normal use of life insurance,
where you're guarding against

821
00:40:43,432 --> 00:40:47,807
the loss of a loved one
or a breadwinner of the family,

822
00:40:47,848 --> 00:40:52,070
you don't want that person to die.

823
00:40:52,104 --> 00:40:54,176
With these policies,
the companies that buy these

824
00:40:54,215 --> 00:40:56,004
want the employees to die

825
00:40:56,039 --> 00:40:58,625
in accordance
with the policy projections.

826
00:40:58,663 --> 00:41:02,405
You are more valuable dead
to a company than alive.

827
00:41:03,654 --> 00:41:07,003
American Greetings, RR Donnelly & Sons,
and Proctor & Gamble

828
00:41:07,046 --> 00:41:09,697
are all having problems
with mortality.

829
00:41:09,734 --> 00:41:12,123
These four combined programs
are running at 50%

830
00:41:12,165 --> 00:41:13,594
of expected mortality.

831
00:41:13,637 --> 00:41:16,953
These clients are acutely aware
of this problem.

832
00:41:16,998 --> 00:41:19,583
Basically here the broker
is complaining

833
00:41:19,621 --> 00:41:21,923
that not enough
employees are dying.

834
00:41:21,957 --> 00:41:25,503
And therefore the investment returns
are not matching the projections.

835
00:41:25,541 --> 00:41:27,875
The broker writes
that NCC is running

836
00:41:27,909 --> 00:41:30,494
at 78% of expected mortality.

837
00:41:30,532 --> 00:41:34,242
Okay, so 78% of the people
we expected to die died.

838
00:41:34,276 --> 00:41:37,375
But the problem with that
is three of them were suicides.

839
00:41:37,412 --> 00:41:39,452
And you can't count
on that every year.

840
00:41:39,492 --> 00:41:41,434
Moore: Can you think
of any other situation

841
00:41:41,475 --> 00:41:45,631
were you'd actually want
people to die?

842
00:41:45,667 --> 00:41:49,692
Combatants in war, l guess.

843
00:41:49,731 --> 00:41:53,375
Wow, when do you want
people to die?

844
00:41:53,410 --> 00:41:54,971
l-l don't know.

845
00:41:55,010 --> 00:41:58,654
War situations,
terrorism situations.

846
00:42:00,513 --> 00:42:03,099
Drug trials, perhaps.
l don't know.

847
00:42:03,138 --> 00:42:05,626
l don't know.
That's an odd question.

848
00:42:05,665 --> 00:42:08,763
Moore: l didn't understand
how any of this could be legal.

849
00:42:08,801 --> 00:42:11,518
After all, there's a reason
that there's a law

850
00:42:11,553 --> 00:42:15,775
prohibiting me from taking out
a fire insurance policy on your house

851
00:42:15,809 --> 00:42:19,867
because l have a vested interest
in your house burning down.

852
00:42:19,905 --> 00:42:22,904
Since Attorney Myers had been
researching this for years,

853
00:42:22,944 --> 00:42:24,918
l asked him which companies
were profiting

854
00:42:24,960 --> 00:42:26,684
from these insurance policies.

855
00:42:26,720 --> 00:42:28,094
l don't know,
you don't know,

856
00:42:28,128 --> 00:42:30,648
because there's no place
you can go and find out

857
00:42:30,687 --> 00:42:34,167
whether your company
is a purchaser

858
00:42:34,208 --> 00:42:36,411
- of these types of products.
- Which ones do you know?

859
00:42:36,447 --> 00:42:38,072
The ones that we know
that have slipped out are

860
00:42:38,111 --> 00:42:40,052
Bank of America, Citibank,

861
00:42:40,095 --> 00:42:43,258
Wal-Mart, Winn-Dixie,
Proctor & Gamble,

862
00:42:43,295 --> 00:42:45,334
McDonnell Douglas, Hershey,

863
00:42:45,375 --> 00:42:48,222
Nestle , AT&T,
Southwestern Bell,

864
00:42:48,255 --> 00:42:50,229
Ameritech, American Express--

865
00:42:50,270 --> 00:42:52,245
- This is blue chip you're talking about.
- Yeah.

866
00:42:52,286 --> 00:42:55,352
These aren't fly-by-night companies
trying to do a scam here

867
00:42:55,389 --> 00:42:57,462
so they can collect a check
if one of their employees dies.

868
00:42:57,501 --> 00:43:00,664
There are probably
several million Americans

869
00:43:00,701 --> 00:43:04,378
who are covered by one of these policies
or have been at some point.

870
00:43:04,413 --> 00:43:05,623
There's a lot of it out there.

871
00:43:05,661 --> 00:43:07,733
Moore:
This is Paul Smith.

872
00:43:07,772 --> 00:43:11,187
He used to be what is known
as a loyal employee.

873
00:43:11,228 --> 00:43:15,287
Smith: l worked for Wal-Mart
for 18 years and l gave them 110%.

874
00:43:15,324 --> 00:43:17,015
l mean, l loved that company.

875
00:43:17,052 --> 00:43:18,481
And as it turned out,
Wal-Mart took out

876
00:43:18,523 --> 00:43:21,458
over 350,000
life insurance policies

877
00:43:21,499 --> 00:43:23,539
on rank and file associates.

878
00:43:23,579 --> 00:43:24,724
These weren't executives.

879
00:43:24,763 --> 00:43:28,058
These were people like my wife,
a cake decorator for 18 months.

880
00:43:28,091 --> 00:43:31,538
That's the type of people they were taking
insurance policies out on.

881
00:43:31,579 --> 00:43:35,408
Moore: Paul's wife LaDonna
left her job at the Wal-Mart bakery

882
00:43:35,450 --> 00:43:38,133
so she could be a stay-at-home mom
for her two kids.

883
00:43:38,171 --> 00:43:41,204
Smith:
She had asthma real real bad.

884
00:43:41,242 --> 00:43:43,097
She went into
the emergency room one night

885
00:43:43,129 --> 00:43:45,017
and a nurse comes out and says,
''Are you Mr. Smith?''

886
00:43:45,049 --> 00:43:46,478
And l said, ''Yes.''

887
00:43:46,521 --> 00:43:50,416
And she said, ''We don't think
your wife's gonna make it.''

888
00:43:50,457 --> 00:43:52,344
Moore:
LaDonna slipped into a coma

889
00:43:52,377 --> 00:43:54,613
from which she would
never awaken.

890
00:43:54,648 --> 00:43:56,721
Her family rushed to the hospital,

891
00:43:56,761 --> 00:43:59,095
even though there was nothing
they could do to help.

892
00:43:59,129 --> 00:44:01,584
There was a wall here
and LaDonna's in the room

893
00:44:01,624 --> 00:44:02,998
on the other side of the wall.

894
00:44:03,032 --> 00:44:05,203
And Jessica kept saying,
''Where is she?''

895
00:44:05,240 --> 00:44:07,760
And l said, ''She's right on
the other side of that wall.''

896
00:44:07,800 --> 00:44:11,247
And Jessica said,
''Can we cut a hole in the wall

897
00:44:11,287 --> 00:44:13,676
so that we can see her?''

898
00:44:13,719 --> 00:44:15,661
And that just sticks with me.

899
00:44:15,703 --> 00:44:17,459
Do you remember that?

900
00:44:19,479 --> 00:44:23,669
Smith: We had to stay in there with her,
and so we'd write letters to her.

901
00:44:23,702 --> 00:44:27,979
''My dear wife, l miss you more
than any words can possibly say.

902
00:44:28,022 --> 00:44:29,516
You are my life.

903
00:44:29,558 --> 00:44:31,859
You always see beauty
in the simplest things.

904
00:44:31,894 --> 00:44:36,149
l've always admired you for that.
l wish l could have told you that more.

905
00:44:36,181 --> 00:44:38,352
l want you to come back
to me soon.

906
00:44:38,390 --> 00:44:41,259
l still have a lot left to learn
from you, baby doll.

907
00:44:41,301 --> 00:44:43,373
Your loving husband, Paul.''

908
00:44:45,237 --> 00:44:47,571
You okay, Wesley?

909
00:44:48,916 --> 00:44:51,567
She was 26 years old.

910
00:44:51,604 --> 00:44:54,419
LaDonna: You're silly.
You're silly.

911
00:44:54,452 --> 00:44:57,965
Myers: The younger a person is,
the higher the benefit is

912
00:44:58,003 --> 00:45:00,687
because they're expected
to live longer.

913
00:45:00,724 --> 00:45:02,829
Women are also expected
to live longer than men.

914
00:45:02,867 --> 00:45:05,714
So the most valuable employee
to the company

915
00:45:05,747 --> 00:45:08,529
if they're dead,
is a young woman.

916
00:45:08,563 --> 00:45:10,089
Moore:
LaDonna's death earned

917
00:45:10,130 --> 00:45:12,269
one of the richest corporations
in the world

918
00:45:12,306 --> 00:45:14,761
an extra $81,000.

919
00:45:14,803 --> 00:45:17,999
l was faced with over $100,000
worth of medical bills

920
00:45:18,034 --> 00:45:21,230
and a $6,000 funeral

921
00:45:21,266 --> 00:45:24,582
and Wal-Mart didn't offer a penny
to help with that.

922
00:45:24,625 --> 00:45:27,756
l did trust them.

923
00:45:27,794 --> 00:45:30,925
And never in a million years
would l have ever thought

924
00:45:30,961 --> 00:45:33,776
that somewhere
on a profit statement,

925
00:45:33,809 --> 00:45:36,678
''Dead associate, $81,000.''

926
00:45:36,721 --> 00:45:40,550
Wal-Mart doesn't care about you.

927
00:45:40,592 --> 00:45:42,348
When someone passes away,

928
00:45:42,384 --> 00:45:45,067
they shouldn't get
something out of it.

929
00:45:55,311 --> 00:45:57,700
Myers: The common denominator
to each form of coverage

930
00:45:57,743 --> 00:45:59,685
is that when the employee dies,

931
00:45:59,727 --> 00:46:02,826
the employer gets paid
the insurance benefits.

932
00:46:02,863 --> 00:46:05,896
They're often referred to
as ''dead peasant insurance.''

933
00:46:05,935 --> 00:46:09,349
Moore: Dead peasants?
Why'd they use such a creepy name?

934
00:46:09,390 --> 00:46:12,389
Myers: lt's very creepy.
l don't know what it means either.

935
00:46:12,430 --> 00:46:13,542
Dead is clear.

936
00:46:13,581 --> 00:46:16,199
That's the worker who's passed away,
so they're dead.

937
00:46:16,238 --> 00:46:18,572
Peasant, l don't know why
they chose that word.

938
00:46:18,605 --> 00:46:20,547
l don't know if it has
some historical significance

939
00:46:20,589 --> 00:46:23,459
or that's just the way they view
the relative value

940
00:46:23,501 --> 00:46:25,159
of the employees' lives.

941
00:46:25,197 --> 00:46:26,724
Dead peasants?

942
00:46:26,764 --> 00:46:28,804
Yeah, amongst themselves
that's what they call it.

943
00:46:30,316 --> 00:46:34,375
lt's insulting to refer
to my husband like that.

944
00:46:34,412 --> 00:46:36,354
( sniffles )

945
00:46:41,227 --> 00:46:42,721
Moore:
lt turned out that Amegy Bank

946
00:46:42,764 --> 00:46:45,349
had a second
dead peasant policy on Dan,

947
00:46:45,387 --> 00:46:49,216
bringing their total take
to nearly $5 million.

948
00:46:51,947 --> 00:46:52,907
- ls capitalism a sin?
- Father Dick Preston: Yes.

949
00:46:52,907 --> 00:46:54,761
- ls capitalism a sin?
- Father Dick Preston: Yes.

950
00:46:54,795 --> 00:46:57,250
Capitalism for me and for many of us

951
00:46:57,290 --> 00:47:00,486
at this present moment is an evil.

952
00:47:00,522 --> 00:47:04,133
lt's contrary to all that's good.
lt's contrary to the common good.

953
00:47:04,170 --> 00:47:06,308
lt's contrary to compassion.

954
00:47:06,345 --> 00:47:09,193
lt's contrary to
all of the major religions.

955
00:47:09,225 --> 00:47:13,120
Capitalism is precisely
what the holy books,

956
00:47:13,161 --> 00:47:17,633
our holy books in particular,
remind us is unjust

957
00:47:17,673 --> 00:47:20,520
and in some form and fashion,

958
00:47:20,553 --> 00:47:25,124
God will come down
and eradicate somehow.

959
00:47:25,160 --> 00:47:27,397
Moore:
This was Father Dick Preston,

960
00:47:27,432 --> 00:47:30,628
the priest from Flint
who married my wife and me.

961
00:47:30,664 --> 00:47:32,736
Preston:
Capitalism is wrong,

962
00:47:32,775 --> 00:47:36,353
and therefore
has to be eliminated.

963
00:47:36,391 --> 00:47:38,300
Moore:
Eliminated?

964
00:47:38,343 --> 00:47:40,253
That might be a little harsh,

965
00:47:40,295 --> 00:47:42,204
so l decided to go
and talk to the priest

966
00:47:42,246 --> 00:47:44,450
that married my sister
and brother-in-law.

967
00:47:44,486 --> 00:47:46,690
l'm sure he would have
a more balanced approach

968
00:47:46,727 --> 00:47:48,766
when it came to capitalism.

969
00:47:48,807 --> 00:47:52,581
lt is immoral, it is obscene,
it is outrageous.

970
00:47:52,614 --> 00:47:55,232
You know...

971
00:47:55,270 --> 00:47:57,506
it is really radical evil.

972
00:47:57,542 --> 00:47:59,745
lt's radically evil.

973
00:47:59,781 --> 00:48:03,163
Moore: Wow, does their boss know
that they're talking like this?

974
00:48:03,205 --> 00:48:06,107
l thought it best to go
and check this out with the bishop.

975
00:48:06,148 --> 00:48:08,320
Bishop Thomas Gumbleton:
The system doesn't seem to be

976
00:48:08,357 --> 00:48:11,968
providing for the well being
of all the people.

977
00:48:12,004 --> 00:48:14,786
And that's what makes it

978
00:48:14,820 --> 00:48:17,187
almost in its very nature

979
00:48:17,220 --> 00:48:20,994
something contrary
to Jesus who said,

980
00:48:21,028 --> 00:48:24,410
''Blessed are the poor,
woe to the rich.''

981
00:48:24,451 --> 00:48:27,517
That's right out
of St. Luke's gospel.

982
00:48:27,555 --> 00:48:29,759
Moore: How have we put up
with this system for so long?

983
00:48:29,795 --> 00:48:31,867
l mean, it's--
they talk about--

984
00:48:31,907 --> 00:48:36,097
The system has built into it
what we call propaganda.

985
00:48:36,130 --> 00:48:38,269
l'm in awe of propaganda--

986
00:48:38,306 --> 00:48:41,154
the ability to convince people

987
00:48:41,186 --> 00:48:44,001
who are victimized
by this very system

988
00:48:44,033 --> 00:48:46,880
to support the system
and see it as good.

989
00:48:46,913 --> 00:48:50,174
We know that American capitalism
is morally right

990
00:48:50,209 --> 00:48:52,281
because its chief elements--

991
00:48:52,321 --> 00:48:55,255
private ownership,
the profit motive

992
00:48:55,297 --> 00:48:58,199
and the competitive market--
are wholesome and good.

993
00:48:58,240 --> 00:49:01,404
They are compatible with God's laws
and the teachings of the Bible.

994
00:49:02,369 --> 00:49:04,191
Moore: For as long
as l can remember,

995
00:49:04,224 --> 00:49:07,672
l've been told that competition
and profit are good things.

996
00:49:07,712 --> 00:49:09,719
( distorted )
They are compatible with God's laws

997
00:49:09,759 --> 00:49:10,872
and the teachings of the Bible.

998
00:49:10,911 --> 00:49:14,107
Moore: And if increasing profits
means locking up a few kids

999
00:49:14,144 --> 00:49:16,184
or cashing in on the death
of an employee...

1000
00:49:16,223 --> 00:49:18,940
( distorted ) Compatible with God's laws
and the teachings of the Bible.

1001
00:49:18,975 --> 00:49:22,106
Moore: ...it is morally right to provide
for the stockholders.

1002
00:49:22,143 --> 00:49:24,379
( distorted )
They are compatible with God's laws

1003
00:49:24,414 --> 00:49:25,592
and the teachings of the Bible.

1004
00:49:25,630 --> 00:49:28,729
Moore:
Debt, eviction and exploitation.

1005
00:49:28,766 --> 00:49:32,082
( distorted )
God's laws and the teachings of the Bible.

1006
00:49:32,126 --> 00:49:34,941
Moore: What were we really
pledging our allegiance to?

1007
00:49:34,973 --> 00:49:37,788
( distorted )
The profit motive.

1008
00:49:37,822 --> 00:49:40,407
Moore: And so all good Americans
came to act as if they believed

1009
00:49:40,445 --> 00:49:43,479
our capitalist economic system
was compatible

1010
00:49:43,517 --> 00:49:45,753
with the teachings of the Bible.

1011
00:49:48,508 --> 00:49:51,378
( organ music playing )

1012
00:49:53,692 --> 00:49:57,369
When l was a kid,
l wanted to be a priest.

1013
00:49:57,404 --> 00:49:59,127
lt wasn't because
of the fancy getups

1014
00:49:59,163 --> 00:50:01,334
or the Knights of Columbus
escorts,

1015
00:50:01,372 --> 00:50:04,535
or even the groovy nuns
who were so good to me.

1016
00:50:05,531 --> 00:50:08,913
lt was because of the priests
who went on the march from Selma,

1017
00:50:08,955 --> 00:50:11,410
or tried to stop the war,

1018
00:50:11,451 --> 00:50:14,767
or devoted their lives to the poor.

1019
00:50:14,811 --> 00:50:18,607
They told me quite clearly
what Jesus said,

1020
00:50:18,650 --> 00:50:22,840
that the first shall be last
and the last shall be first;

1021
00:50:22,874 --> 00:50:25,459
That the rich man
will have a very hard time

1022
00:50:25,497 --> 00:50:27,472
getting into heaven;

1023
00:50:27,513 --> 00:50:31,190
That we will be judged by how
we treat the least among us;

1024
00:50:31,225 --> 00:50:33,746
And that there are no people
more important to God

1025
00:50:33,785 --> 00:50:36,206
than the poor.

1026
00:50:36,248 --> 00:50:38,670
Since that time,
it seems that Jesus got hijacked

1027
00:50:38,713 --> 00:50:41,560
by a lot of people who believe
that the son of God

1028
00:50:41,593 --> 00:50:45,782
was sent here to create
heaven on earth for the well-to-do.

1029
00:50:45,816 --> 00:50:47,921
l must have missed
that part of the Bible

1030
00:50:47,960 --> 00:50:51,124
where Jesus became a capitalist.

1031
00:50:55,255 --> 00:50:56,782
Man:
Please tell me, master,

1032
00:50:56,823 --> 00:50:59,474
what must l do
to have eternal life?

1033
00:50:59,511 --> 00:51:02,893
Go forth and maximize profits.

1034
00:51:04,663 --> 00:51:07,859
You say the Kingdom of Heaven
is at hand,

1035
00:51:07,894 --> 00:51:09,356
but when exactly will it come?

1036
00:51:09,398 --> 00:51:13,424
When you deregulate
the banking industry.

1037
00:51:13,462 --> 00:51:16,429
- ( voices overlapping )
- Help me.

1038
00:51:16,469 --> 00:51:18,891
l've been this way for 20 years.

1039
00:51:20,661 --> 00:51:24,010
l'm sorry, l cannot heal
your pre-existing condition.

1040
00:51:25,941 --> 00:51:27,534
He'll have to pay out of pocket.

1041
00:51:30,805 --> 00:51:33,194
Moore: Somehow, l don't think
Jesus came to earth

1042
00:51:33,236 --> 00:51:36,269
so he could ring the bell
at the New York Stock Exchange.

1043
00:51:36,308 --> 00:51:38,218
And yet,
from the very beginning,

1044
00:51:38,260 --> 00:51:40,977
the rich have claimed him
for their own.

1045
00:51:41,012 --> 00:51:44,656
When l'm on Wall Street
and l realize

1046
00:51:44,692 --> 00:51:48,652
that that's the very nerve center
of American capitalism,

1047
00:51:48,692 --> 00:51:52,204
and l realize
what capitalism has done

1048
00:51:52,243 --> 00:51:55,723
for working people in America,
to me that's a holy place.

1049
00:51:55,763 --> 00:51:56,875
Let me add to it.

1050
00:51:56,915 --> 00:52:00,776
Over the whole duration of the lraq war
and the terror war,

1051
00:52:00,818 --> 00:52:04,494
you look at the world's stock markets
and you look at the world economy,

1052
00:52:04,530 --> 00:52:08,326
and despite these horrible pockets
of unrest and killing and murdering

1053
00:52:08,369 --> 00:52:11,151
that we've been describing,
it's never been better.

1054
00:52:11,185 --> 00:52:13,040
The global economy
has never been better

1055
00:52:13,073 --> 00:52:15,593
and the global stock markets
have never been better, Jimmy.

1056
00:52:15,633 --> 00:52:17,575
lt is either a God-given miracle

1057
00:52:17,617 --> 00:52:19,504
or it has something to do
with the victories

1058
00:52:19,537 --> 00:52:21,806
of the spreading world
of capitalism or both.

1059
00:52:21,840 --> 00:52:23,695
Moore: They think
Wall Street's a holy place.

1060
00:52:23,728 --> 00:52:26,543
What do you think
Jesus would think of capitalism?

1061
00:52:26,576 --> 00:52:30,766
l think he would
simply refuse to--

1062
00:52:30,800 --> 00:52:33,904
to be part of it.

1063
00:52:35,023 --> 00:52:37,772
Moore: Jesus would refuse
to be part of it,

1064
00:52:37,807 --> 00:52:39,694
but he probably had
a special place up there

1065
00:52:39,727 --> 00:52:42,541
for whoever leaked
a secret Citibank memo

1066
00:52:42,575 --> 00:52:45,804
about their plan to rule the world.

1067
00:52:45,838 --> 00:52:47,747
Back in 2005 and 2006,

1068
00:52:47,791 --> 00:52:50,027
Citigroup wrote
three confidential memos

1069
00:52:50,062 --> 00:52:54,339
to their wealthiest investors
about how things were going.

1070
00:52:54,382 --> 00:52:56,683
They reached the conclusion
that the United States

1071
00:52:56,718 --> 00:52:58,856
was no longer
really a democracy,

1072
00:52:58,893 --> 00:53:01,544
but had become a plutonomy--

1073
00:53:01,581 --> 00:53:04,548
a society controlled exclusively
by and for the benefit

1074
00:53:04,589 --> 00:53:07,556
of the top 1%
of the population

1075
00:53:07,597 --> 00:53:09,604
who now had
more financial wealth

1076
00:53:09,644 --> 00:53:13,125
than the bottom 95% combined.

1077
00:53:13,165 --> 00:53:16,263
The memo gloated about the growing gap
between rich and poor

1078
00:53:16,300 --> 00:53:19,616
and how they were now
the new aristocracy

1079
00:53:19,660 --> 00:53:23,434
and that there was no end in sight
for the gravy train they were on.

1080
00:53:23,468 --> 00:53:26,883
There was, though,
one problem.

1081
00:53:26,923 --> 00:53:28,385
According to Citigroup,

1082
00:53:28,427 --> 00:53:30,914
the most potent
and short-term threat

1083
00:53:30,955 --> 00:53:32,678
would be societies demanding

1084
00:53:32,715 --> 00:53:35,203
a more equitable share
of the wealth.

1085
00:53:35,243 --> 00:53:39,433
ln other words,
the peasants might revolt.

1086
00:53:39,466 --> 00:53:41,735
Citigroup lamented
that the non-rich

1087
00:53:41,770 --> 00:53:44,136
might not have
much economic power,

1088
00:53:44,170 --> 00:53:47,552
but they do have
equal voting power with the rich.

1089
00:53:47,594 --> 00:53:50,441
One person, one vote.

1090
00:53:50,473 --> 00:53:53,026
And that's what
really scares them--

1091
00:53:53,065 --> 00:53:55,400
that we can still vote.

1092
00:53:55,433 --> 00:53:58,597
ln fact, we have
99% of the votes

1093
00:53:58,633 --> 00:54:01,316
and they only have 1%.

1094
00:54:04,264 --> 00:54:08,061
So why do the 99%
put up with this?

1095
00:54:08,104 --> 00:54:11,399
According to Citigroup,
it's because the majority of the electorate

1096
00:54:11,431 --> 00:54:13,820
believe that someday
they will have a chance

1097
00:54:13,863 --> 00:54:16,285
of becoming
well-to-do themselves

1098
00:54:16,327 --> 00:54:19,360
if they just keep trying
hard enough.

1099
00:54:21,607 --> 00:54:23,811
The wealthy were pleased
that so many people

1100
00:54:23,846 --> 00:54:26,563
had bought in
to the American Dream

1101
00:54:26,598 --> 00:54:29,533
while they, the rich,
had no intention

1102
00:54:29,574 --> 00:54:32,356
of ever sharing it with anyone.

1103
00:54:32,390 --> 00:54:35,553
l think capitalism is a lot more
important than democracy.

1104
00:54:35,590 --> 00:54:37,859
l'm not even a big believer
in democracy.

1105
00:54:37,893 --> 00:54:41,341
l always say that democracy is--
can be two wolves and a sheep

1106
00:54:41,381 --> 00:54:42,974
deciding on what to have
for dinner.

1107
00:54:43,013 --> 00:54:46,111
Moore: This is Stephen Moore--
no relation--

1108
00:54:46,149 --> 00:54:48,483
a columnist
and an editorial board member

1109
00:54:48,517 --> 00:54:50,207
of ''The Wall Street Journal,''

1110
00:54:50,245 --> 00:54:53,540
the daily bible
of corporate America.

1111
00:54:53,572 --> 00:54:56,507
Look, l'm in favor of people
having the right to vote

1112
00:54:56,548 --> 00:54:58,915
and things like that, but you know
there are a lot of countries

1113
00:54:58,948 --> 00:55:02,657
that have the right to vote
that are still poor.

1114
00:55:02,692 --> 00:55:05,921
Democracy doesn't always lead
to a good economy

1115
00:55:05,955 --> 00:55:07,810
or even a good political system.

1116
00:55:07,844 --> 00:55:11,072
With capitalism, you are free
to do what you want,

1117
00:55:11,107 --> 00:55:13,081
to make whatever you want
out of yourself.

1118
00:55:13,123 --> 00:55:14,584
lt doesn't mean
you're gonna succeed.

1119
00:55:14,626 --> 00:55:18,849
Remember, the US Constitution
does not guarantee happiness.

1120
00:55:18,882 --> 00:55:21,402
Moore:
Ah, the Constitution.

1121
00:55:21,442 --> 00:55:25,053
All my life l've heard that America
is a capitalist country.

1122
00:55:25,090 --> 00:55:29,181
So l went to see the original Constitution
and check out if it was true.

1123
00:55:29,218 --> 00:55:32,513
l'm trying to see where it sets up
our economic system,

1124
00:55:32,546 --> 00:55:35,644
like where it says we have
a capitalist economy.

1125
00:55:35,681 --> 00:55:37,754
Guard:
The jurisdiction.

1126
00:55:37,793 --> 00:55:39,516
- Judicial part of the--
- Down there?

1127
00:55:39,553 --> 00:55:43,197
Moore: There was no mention
of free market or free enterprise

1128
00:55:43,232 --> 00:55:45,720
or capitalism anywhere.

1129
00:55:46,720 --> 00:55:49,851
ln fact, all l saw
was ''We the people,''

1130
00:55:49,887 --> 00:55:52,375
something about
''a more perfect union,''

1131
00:55:52,415 --> 00:55:55,644
and ''promoting
the general welfare.''

1132
00:55:55,680 --> 00:55:59,989
Welfare, union, we?

1133
00:56:00,031 --> 00:56:02,333
That sounded like that other -ism.

1134
00:56:02,366 --> 00:56:05,661
But no, that's democracy.

1135
00:56:05,695 --> 00:56:07,326
And l began to wonder,
''What would it be like

1136
00:56:07,326 --> 00:56:08,308
And l began to wonder,
''What would it be like

1137
00:56:08,350 --> 00:56:11,547
if the workplace
was a democracy?''

1138
00:56:11,582 --> 00:56:14,778
There's always been a big separation
between how the country is run

1139
00:56:14,814 --> 00:56:17,912
and how businesses
are supposed to run.

1140
00:56:17,950 --> 00:56:19,095
Moore:
lt's true.

1141
00:56:19,134 --> 00:56:20,922
There seems to be a disconnect

1142
00:56:20,957 --> 00:56:23,193
between our professed love
of democracy

1143
00:56:23,230 --> 00:56:26,131
and how we're so willing
to accept a dictatorship

1144
00:56:26,173 --> 00:56:28,922
every day we show up to work.

1145
00:56:28,957 --> 00:56:32,601
lt's not that way
at lsthmus Engineering in Wisconsin.

1146
00:56:32,636 --> 00:56:36,313
They design and build
robotic machines for industry.

1147
00:56:36,348 --> 00:56:39,382
lt's a $15 million-a-year business.

1148
00:56:39,420 --> 00:56:41,143
Man:
All of the workers

1149
00:56:41,180 --> 00:56:44,376
are the owners of the business.

1150
00:56:44,411 --> 00:56:47,826
Moore: He's not talking about
some bullshit stock option.

1151
00:56:47,867 --> 00:56:51,129
He means they're the true owners.

1152
00:56:51,163 --> 00:56:53,880
Man: And it's a democratically-run
operation where every member

1153
00:56:53,915 --> 00:56:56,762
has one vote and an equal say.

1154
00:56:56,794 --> 00:56:58,965
- All in favor?
- All in favor?

1155
00:56:59,002 --> 00:57:01,904
Man: lt takes the money
out of the equation.

1156
00:57:01,946 --> 00:57:03,888
Moore: By taking the money
out of the equation

1157
00:57:03,930 --> 00:57:06,069
so that they can call the shots,

1158
00:57:06,106 --> 00:57:08,342
they end up making more money.

1159
00:57:08,378 --> 00:57:10,898
Cool, huh?

1160
00:57:14,425 --> 00:57:17,108
And how patriotic
that they want to extend

1161
00:57:17,145 --> 00:57:20,821
their love of American democracy
to their job.

1162
00:57:26,872 --> 00:57:28,727
Just imagine if the place
where you worked

1163
00:57:28,760 --> 00:57:31,793
was run by you
and your fellow workers.

1164
00:57:31,832 --> 00:57:33,621
You probably wouldn't
lay off your coworkers

1165
00:57:33,656 --> 00:57:36,471
to increase the value
of your stock, would you?

1166
00:57:36,503 --> 00:57:37,910
Or give yourself
a pay raise

1167
00:57:37,944 --> 00:57:40,693
while making your coworkers
take a pay cut.

1168
00:57:40,727 --> 00:57:42,516
Man:
We don't really do that here.

1169
00:57:42,550 --> 00:57:45,998
You really can't because everyone else
would be looking at you

1170
00:57:46,038 --> 00:57:48,493
saying, ''Why is this guy
so fricking greedy?''

1171
00:57:48,534 --> 00:57:51,022
You know,
it would be too obvious.

1172
00:57:51,062 --> 00:57:52,851
The bottom line is you've
got plenty of people

1173
00:57:52,886 --> 00:57:54,609
who roll up their sleeves
every day and go to work.

1174
00:57:54,646 --> 00:57:56,468
But if there's someone
way up there on the chain

1175
00:57:56,501 --> 00:57:59,403
that collects all the extra money,
that's not fair.

1176
00:57:59,445 --> 00:58:03,057
Moore:
Huh, fairness in the workplace--

1177
00:58:03,093 --> 00:58:05,330
what a novel idea.

1178
00:58:06,709 --> 00:58:09,807
Out in California,
there's a bread factory

1179
00:58:09,844 --> 00:58:13,259
where workers make thousands
of loaves of bread every day

1180
00:58:13,301 --> 00:58:15,210
Man:
The more hours you work towards

1181
00:58:15,252 --> 00:58:16,496
the benefit
of the co-op,

1182
00:58:16,532 --> 00:58:19,282
the more you share
in the profits.

1183
00:58:19,316 --> 00:58:21,421
Man #2:
The workers are happy here.

1184
00:58:21,459 --> 00:58:23,826
No big ls, little yous.
Everyone's the same.

1185
00:58:23,860 --> 00:58:27,208
Me as the CEO,
l get the same share

1186
00:58:27,252 --> 00:58:29,194
that anybody else does.

1187
00:58:29,235 --> 00:58:30,958
And that has proven

1188
00:58:30,995 --> 00:58:33,232
to be very lucrative
for us as workers.

1189
00:58:34,994 --> 00:58:39,369
Moore: Assembly-line workers here
earn over $65,000 a year,

1190
00:58:39,410 --> 00:58:41,417
more than
three times the pay

1191
00:58:41,459 --> 00:58:43,914
for a starting pilot
at American Eagle.

1192
00:58:43,954 --> 00:58:46,637
Man: l'm just hoping
that people take notice

1193
00:58:46,674 --> 00:58:48,746
of this type
of organizational activity

1194
00:58:48,785 --> 00:58:52,047
and start considering it
as an alternative.

1195
00:58:52,081 --> 00:58:53,358
Why do you want
to get rich?

1196
00:58:53,393 --> 00:58:55,248
How many cars do
you really need in life?

1197
00:58:55,281 --> 00:58:59,689
Moore: Clearly, he's not a car guy,
but that's okay.

1198
00:58:59,729 --> 00:59:03,111
His bread factory and hundreds of other
worker-owned businesses

1199
00:59:03,152 --> 00:59:06,600
are proof that people aren't always
motivated by profit.

1200
00:59:06,640 --> 00:59:09,323
( fanfare )

1201
00:59:09,360 --> 00:59:11,880
Announcer:
An historic victory over a dread disease.

1202
00:59:11,920 --> 00:59:15,149
Moore: lnstead of using his genius
to make a ton of money,

1203
00:59:15,184 --> 00:59:18,315
Dr. Jonas Salk spent
all of his time

1204
00:59:18,351 --> 00:59:20,740
putting monkey kidneys
in a blender

1205
00:59:20,783 --> 00:59:22,757
trying to find a cure
for polio.

1206
00:59:22,799 --> 00:59:27,468
And when he did,
he decided to give it away for free.

1207
00:59:27,502 --> 00:59:30,437
This man could have been rich
many times over

1208
00:59:30,478 --> 00:59:33,674
had he sold his vaccine
to a pharmaceutical company.

1209
00:59:33,710 --> 00:59:36,044
But he thought
his talents should be used

1210
00:59:36,077 --> 00:59:37,222
for the greater good.

1211
00:59:37,262 --> 00:59:40,076
And the decent salary
he made as a doctor

1212
00:59:40,110 --> 00:59:42,411
and a research professor
was enough for him to live

1213
00:59:42,445 --> 00:59:44,419
a comfortable life.

1214
00:59:44,461 --> 00:59:46,762
Who owns the patent
on this vaccine?

1215
00:59:46,797 --> 00:59:48,684
Well, the people,
l would say.

1216
00:59:48,717 --> 00:59:52,131
There is no patent.
Would you patent the sun?

1217
00:59:52,173 --> 00:59:55,849
Moore: Yes, we've come a long way
since the days of Dr. Salk.

1218
00:59:55,884 --> 00:59:59,844
Because today our best minds
are used for something else.

1219
00:59:59,884 --> 01:00:00,620
Where do we send our top
math and science people?

1220
01:00:00,620 --> 01:00:03,751
Where do we send our top
math and science people?

1221
01:00:03,788 --> 01:00:05,064
lnto finance.

1222
01:00:05,100 --> 01:00:07,466
They don't go into
science in America.

1223
01:00:07,499 --> 01:00:10,084
They go to Wall Street.

1224
01:00:10,124 --> 01:00:13,058
Moore: Today's students,
unlike in Dr. Salk's time,

1225
01:00:13,099 --> 01:00:15,554
can graduate from college
with a student loan debt

1226
01:00:15,594 --> 01:00:18,496
of up to $100,000 or more.

1227
01:00:18,539 --> 01:00:20,742
These students are then
beholden to the banks

1228
01:00:20,779 --> 01:00:23,626
for the next 20 years.

1229
01:00:23,658 --> 01:00:26,375
And the best way for them
to pay off these banks

1230
01:00:26,410 --> 01:00:28,264
is to go to work for them

1231
01:00:28,298 --> 01:00:30,818
instead of working
for the common good.

1232
01:00:30,857 --> 01:00:35,047
Black: We've taken people that could
be enormously productive--

1233
01:00:35,082 --> 01:00:36,642
just what we're short of
in America--

1234
01:00:36,681 --> 01:00:39,583
and we take them and we
put them in an activity

1235
01:00:39,625 --> 01:00:41,534
that isn't simply less
productive,

1236
01:00:41,577 --> 01:00:44,260
but where they're
actually destructive;

1237
01:00:44,296 --> 01:00:47,940
where actually every day they work,
they make the world worse.

1238
01:00:47,976 --> 01:00:50,910
Moore: So what exactly were the top
students from Harvard

1239
01:00:50,952 --> 01:00:52,861
and other schools
working on these days?

1240
01:00:52,904 --> 01:00:54,846
Derivatives... derivatives...
derivatives... derivatives...

1241
01:00:54,888 --> 01:00:57,190
Credit default swaps.

1242
01:00:57,223 --> 01:00:59,165
l can't make any sense
out of this.

1243
01:00:59,207 --> 01:01:00,898
l might as well quit.

1244
01:01:00,935 --> 01:01:02,757
Moore:
That's exactly how l felt

1245
01:01:02,791 --> 01:01:04,863
when l started hearing
these new terms.

1246
01:01:04,903 --> 01:01:08,863
So l went down to the New York Stock
Exchange to get some answers.

1247
01:01:08,902 --> 01:01:10,560
Sir, can you explain
derivatives to me?

1248
01:01:10,599 --> 01:01:12,737
Can anybody explain
derivatives or credit default swaps?

1249
01:01:12,774 --> 01:01:13,951
Can someone explain
to me what these are?

1250
01:01:13,990 --> 01:01:16,128
Sir, can you tell me what
a credit default swap is?

1251
01:01:16,166 --> 01:01:17,627
Can you explain
a derivative to me?

1252
01:01:17,670 --> 01:01:19,077
Can you tell me
what a derivative is?

1253
01:01:19,110 --> 01:01:21,281
- Nobody'll talk to me.
- l'm just a blue-collar guy.

1254
01:01:21,317 --> 01:01:22,910
l can see that.
Hey.

1255
01:01:22,949 --> 01:01:25,371
- l'm looking for some advice.
- Yeah, good.

1256
01:01:25,413 --> 01:01:28,413
You guys got any
advice for me here?

1257
01:01:28,453 --> 01:01:30,362
A derivative?
Credit default swap?

1258
01:01:30,405 --> 01:01:31,812
( sighs )

1259
01:01:31,845 --> 01:01:34,266
Moore:
l did find one guy on Wall Street

1260
01:01:34,308 --> 01:01:36,064
who wasn't a film critic.

1261
01:01:36,101 --> 01:01:39,329
Marcus Haupt is an lvy League
educated engineer

1262
01:01:39,364 --> 01:01:41,884
who was a vice president
of Lehman Brothers

1263
01:01:41,924 --> 01:01:44,313
and spent 15 years
on Wall Street

1264
01:01:44,355 --> 01:01:47,257
creating what they call
complex financial instruments.

1265
01:01:47,299 --> 01:01:48,728
What is a derivative?

1266
01:01:48,771 --> 01:01:50,778
A derivative
is a secondary bet

1267
01:01:50,819 --> 01:01:52,542
on an underlying product.

1268
01:01:52,579 --> 01:01:54,521
So you may have a stock
and you have an option on that stock.

1269
01:01:54,563 --> 01:01:57,661
And that option on that stock
allows you the privilege

1270
01:01:57,698 --> 01:01:59,967
but not the obligation
to buy or sell.

1271
01:02:00,003 --> 01:02:02,905
How should we put this?
You are allowed to make a decision

1272
01:02:02,946 --> 01:02:05,335
of whether or not you want to ultimately
take that exposure.

1273
01:02:05,378 --> 01:02:07,833
Let me explain it another way.
The derivative's price

1274
01:02:07,874 --> 01:02:09,783
is based on the price
of something else.

1275
01:02:09,825 --> 01:02:11,680
lt's kind of like
a second-degree equation.

1276
01:02:11,714 --> 01:02:14,332
lf you think of,
let's say...

1277
01:02:14,369 --> 01:02:17,664
um, maybe l should go back.

1278
01:02:17,697 --> 01:02:19,769
Let me start this over again.
Let's go back here.

1279
01:02:20,801 --> 01:02:23,288
Moore:
l was lost.

1280
01:02:23,329 --> 01:02:25,914
Maybe there's someone
at Harvard University

1281
01:02:25,952 --> 01:02:27,513
who could explain it to me.

1282
01:02:27,552 --> 01:02:29,886
Yeah, the-- the-- the--

1283
01:02:29,920 --> 01:02:32,735
the-- the-- the--
the buyer--

1284
01:02:32,768 --> 01:02:35,801
so the seller holds the loan
and it might default.

1285
01:02:35,839 --> 01:02:38,905
And they sell off--

1286
01:02:38,943 --> 01:02:41,594
somebody-- somebody else--

1287
01:02:41,631 --> 01:02:44,479
Sorry, let me just back up.

1288
01:02:44,511 --> 01:02:48,056
l apologize.
These are pretty exotic.

1289
01:02:48,095 --> 01:02:50,037
Moore:
Derivatives are nothing more

1290
01:02:50,079 --> 01:02:52,217
than complicated
betting schemes.

1291
01:02:52,254 --> 01:02:55,068
Here's what the math equation
of one looks like.

1292
01:02:55,102 --> 01:02:56,858
Can't figure it out?

1293
01:02:56,894 --> 01:02:59,283
That's okay.
You're not supposed to.

1294
01:02:59,325 --> 01:03:01,496
They've made them
purposely confusing

1295
01:03:01,534 --> 01:03:03,508
so they can get away
with murder.

1296
01:03:03,549 --> 01:03:05,437
Let's say you're a lawyer
and you're coming in

1297
01:03:05,469 --> 01:03:07,225
and you're from the government
and you're trying to evaluate

1298
01:03:07,261 --> 01:03:09,649
if these things
violate the tax code or not.

1299
01:03:09,693 --> 01:03:11,515
lf you can figure out
what they're doing,

1300
01:03:11,549 --> 01:03:13,785
most likely that Wall Street
firm will offer you a job.

1301
01:03:13,821 --> 01:03:17,203
Could l go to Wall Street
and just ask them

1302
01:03:17,244 --> 01:03:19,252
to set up a derivative
on anything?

1303
01:03:19,292 --> 01:03:20,633
Yes.

1304
01:03:20,668 --> 01:03:22,075
Believe me,
if it's out there

1305
01:03:22,108 --> 01:03:23,635
there's a derivative on it.

1306
01:03:23,676 --> 01:03:26,065
Moore:
So this is what Wall Street has come to--

1307
01:03:26,107 --> 01:03:28,474
an insane casino.

1308
01:03:28,507 --> 01:03:30,896
We've allowed them
to bet on anything,

1309
01:03:30,939 --> 01:03:34,043
including our family home.

1310
01:03:39,898 --> 01:03:42,745
Reporter #1 : ...the most powerful central
banker of the 20th century.

1311
01:03:42,778 --> 01:03:44,949
Reporter #2:
Greenspan has become an economic icon.

1312
01:03:44,986 --> 01:03:48,085
Reporter #3: Alan Greenspan says
the economy is hunky-dory.

1313
01:03:48,122 --> 01:03:50,424
Reporter #4: Greenspan gone wild.
lt's like ''Girls Gone Wild.''

1314
01:03:50,457 --> 01:03:53,207
What do Mick Jagger
and Alan Greenspan have in common?

1315
01:03:53,241 --> 01:03:56,372
Alan Greenspan,
who at that moment in time

1316
01:03:56,410 --> 01:03:58,514
was surely thought to be
the smartest man

1317
01:03:58,553 --> 01:04:00,243
who had walked the face
of the earth,

1318
01:04:00,281 --> 01:04:03,281
he starts using a phrase,
''tap your home equity,''

1319
01:04:03,321 --> 01:04:06,038
--that Americans can tap
their home equity,

1320
01:04:06,072 --> 01:04:08,211
which is just
Alan Greenspan-speak

1321
01:04:08,248 --> 01:04:11,063
for ''borrow against
your home.''

1322
01:04:11,096 --> 01:04:13,201
And if you can't repay it
you'll lose your house.

1323
01:04:13,239 --> 01:04:17,232
lt actually started by talking
mostly older Americans,

1324
01:04:17,272 --> 01:04:18,733
people who already
had homes,

1325
01:04:18,775 --> 01:04:21,525
into refinancing
their homes

1326
01:04:21,559 --> 01:04:23,250
to get them out of houses.

1327
01:04:23,287 --> 01:04:26,964
Moore: Yes, get senior citizens
out of their houses.

1328
01:04:26,999 --> 01:04:29,868
The scam to swindle people
out of the homes

1329
01:04:29,911 --> 01:04:32,780
they already owned
was masterful.

1330
01:04:32,822 --> 01:04:35,244
Here's how it worked.

1331
01:04:35,286 --> 01:04:38,799
First, tell these homeowners
that they own a bank.

1332
01:04:38,838 --> 01:04:41,685
And that bank is your home.

1333
01:04:41,718 --> 01:04:45,296
So if your home
is worth $250,000,

1334
01:04:45,333 --> 01:04:48,267
that makes you
a quarter millionaire.

1335
01:04:48,309 --> 01:04:50,578
You're sitting
on a goldmine.

1336
01:04:50,613 --> 01:04:53,395
You own your own bank.

1337
01:04:53,429 --> 01:04:55,632
The bank of you.

1338
01:04:55,669 --> 01:04:58,898
And you can use your bank
to get more money.

1339
01:04:58,932 --> 01:05:00,339
Just refinance.

1340
01:05:00,372 --> 01:05:01,998
Everyone's doing it.

1341
01:05:02,036 --> 01:05:05,200
Of course hidden in the dozens
or hundreds of pages of fine print

1342
01:05:05,235 --> 01:05:07,406
are tricky clauses that allow the bank
to raise your interest rate

1343
01:05:07,444 --> 01:05:09,037
to a number
you didn't know about,

1344
01:05:09,075 --> 01:05:11,017
perhaps so high that you won't
be able to repay your loan.

1345
01:05:11,059 --> 01:05:12,717
But that's okay.

1346
01:05:12,755 --> 01:05:16,071
lf you can't pay it
we'll just take your house.

1347
01:05:18,483 --> 01:05:20,719
Of course, before they
could take your house

1348
01:05:20,754 --> 01:05:23,601
they needed to change
the regulations and the rules.

1349
01:05:23,634 --> 01:05:26,351
Moore:
What's this photo l found here?

1350
01:05:26,386 --> 01:05:28,906
lt was in an annual
report of the FDlC.

1351
01:05:28,946 --> 01:05:33,255
John Gilleran, the head of the Office
of Thrift Supervision,

1352
01:05:33,298 --> 01:05:34,759
which is supposed to regulate
savings and loans,

1353
01:05:34,801 --> 01:05:37,005
he's the guy
with the chainsaw.

1354
01:05:37,041 --> 01:05:39,310
And the four other
grinning idiots

1355
01:05:39,345 --> 01:05:43,687
in the photo are the three
leading lobbyists in banking

1356
01:05:43,728 --> 01:05:47,525
and the deputy director of the Federal
Deposit lnsurance Corporation.

1357
01:05:47,568 --> 01:05:51,364
And they're poised over
a pile of regulations.

1358
01:05:51,408 --> 01:05:53,098
And this is supposed
to demonstrate

1359
01:05:53,136 --> 01:05:56,103
their intention
to destroy regulation.

1360
01:05:56,144 --> 01:05:58,511
And they succeeded.

1361
01:05:58,543 --> 01:06:00,332
And now we know what happens

1362
01:06:00,367 --> 01:06:02,407
when you destroy
financial regulation.

1363
01:06:02,447 --> 01:06:04,716
You produce a financial
catastrophe.

1364
01:06:04,751 --> 01:06:07,271
A growing family
with a lot of debt;

1365
01:06:07,311 --> 01:06:09,383
A young couple
with no down payment;

1366
01:06:09,423 --> 01:06:12,325
A business owner whose
income was hard to document;

1367
01:06:12,367 --> 01:06:15,214
Every one of them was
turned down for a home loan

1368
01:06:15,247 --> 01:06:16,741
by three different lenders.

1369
01:06:16,782 --> 01:06:19,913
l'm with Countrywide
and l got them all approved.

1370
01:06:19,949 --> 01:06:22,818
Moore:
Don't be fooled by the pleasant demeanor

1371
01:06:22,862 --> 01:06:24,454
and blonde hair.

1372
01:06:24,494 --> 01:06:26,795
lt's the same pitch
the mafia gives you

1373
01:06:26,829 --> 01:06:28,552
in the neighborhood.

1374
01:06:28,589 --> 01:06:30,050
( imitating Brando )
l know how you feel.

1375
01:06:30,093 --> 01:06:32,002
You got a lot of debt.

1376
01:06:32,045 --> 01:06:34,117
You don't have any money
for the down payment.

1377
01:06:34,156 --> 01:06:36,425
You can't find
your documents.

1378
01:06:36,461 --> 01:06:39,527
lt's okay.
l'll make you a loan you can't refuse.

1379
01:06:39,564 --> 01:06:41,352
lt's called subprime.

1380
01:06:41,388 --> 01:06:43,592
You pay no interest now.

1381
01:06:43,628 --> 01:06:45,832
You pay a little more later.

1382
01:06:45,867 --> 01:06:49,183
Don't worry about later.
We'll take care of you.

1383
01:06:49,227 --> 01:06:52,261
And like the mafia,
Countrywide,

1384
01:06:52,299 --> 01:06:55,779
Citibank, Wells Fargo,
Chase...

1385
01:06:55,819 --> 01:06:57,543
Let's go.

1386
01:06:57,579 --> 01:06:59,913
...they would someday
stop by to collect

1387
01:06:59,947 --> 01:07:02,663
and take your home.

1388
01:07:04,938 --> 01:07:08,418
Randy Hacker:
l was paying 1,700 a month and making it.

1389
01:07:08,458 --> 01:07:10,978
Then it went to 2,000.
Then it went to 2,300.

1390
01:07:11,018 --> 01:07:13,025
Then it went to 2,700.

1391
01:07:13,065 --> 01:07:14,920
Can't do it.

1392
01:07:18,569 --> 01:07:22,431
Moore: These are the Hackers
of Peoria, lllinois.

1393
01:07:22,473 --> 01:07:24,960
Randy is a railroad worker

1394
01:07:25,001 --> 01:07:27,651
and Donna works
for retirement homes.

1395
01:07:27,689 --> 01:07:31,398
Their farm, which had
been in the family for over four decades,

1396
01:07:31,432 --> 01:07:34,661
had been foreclosed
on by Citibank.

1397
01:07:34,696 --> 01:07:37,379
Randy had had an accident
on the job years ago

1398
01:07:37,415 --> 01:07:39,106
and was now
on disability.

1399
01:07:41,607 --> 01:07:46,080
They absolutely just plain
fucking stole everything,

1400
01:07:46,119 --> 01:07:48,028
my whole life's savings
and everything,

1401
01:07:48,070 --> 01:07:51,780
by a stroke of a pen
and a lawyer and a judge.

1402
01:07:51,814 --> 01:07:55,010
Moore: The Hackers showed me
the foreclosure notice from Citibank.

1403
01:07:55,046 --> 01:07:56,606
What caught my eye

1404
01:07:56,646 --> 01:07:59,264
was the town from which
their mortgage came.

1405
01:07:59,302 --> 01:08:02,782
lt turns out that a company
owned by the big banks

1406
01:08:02,821 --> 01:08:05,636
has chosen to run
60 million mortgages through,

1407
01:08:05,669 --> 01:08:08,833
of all places, one of
the most desperate towns

1408
01:08:08,869 --> 01:08:10,462
in the United States.

1409
01:08:10,501 --> 01:08:12,867
This company hires
the people of Flint

1410
01:08:12,901 --> 01:08:15,170
to send out nearly 60%

1411
01:08:15,204 --> 01:08:18,368
of all the foreclosure
notices in the country.

1412
01:08:18,404 --> 01:08:21,503
ln what seems to be some
sort of cruel joke,

1413
01:08:21,540 --> 01:08:23,907
my hometown was now
in the service

1414
01:08:23,940 --> 01:08:26,274
of helping to turn
the rest of America

1415
01:08:26,307 --> 01:08:28,347
into Flint.

1416
01:08:32,419 --> 01:08:35,288
Typically when a bank forces
a family like the Hackers

1417
01:08:35,331 --> 01:08:37,884
out of their home
they hire professionals

1418
01:08:37,923 --> 01:08:39,614
to come and clean up
the place.

1419
01:08:40,995 --> 01:08:43,166
ln this case,
the bank figured,

1420
01:08:43,202 --> 01:08:46,780
why pay top dollar when
we've got a desperate family

1421
01:08:46,818 --> 01:08:48,759
who will work cheap?

1422
01:08:48,802 --> 01:08:50,841
ln a final humiliation

1423
01:08:50,882 --> 01:08:52,987
the Hackers went
to work for the bank

1424
01:08:53,026 --> 01:08:54,814
that took their home.

1425
01:08:56,705 --> 01:08:59,323
Donna: ''Property is to be turned over
in broom-clean condition

1426
01:08:59,361 --> 01:09:02,175
with all trash, debris
and personal property removed.

1427
01:09:03,937 --> 01:09:05,824
Upon delivery of the keys

1428
01:09:05,857 --> 01:09:09,304
the PAS representative will
hand you a check for $1,000.''

1429
01:09:14,720 --> 01:09:17,785
Randy:
You know, 1,000 bucks

1430
01:09:17,824 --> 01:09:21,119
to get out
of my own house and stuff,

1431
01:09:21,151 --> 01:09:24,086
l really want to thank them.
That was really something.

1432
01:09:24,127 --> 01:09:26,778
My wife worked for a week
to clean the house up

1433
01:09:26,815 --> 01:09:28,855
and make sure it was
presentable to somebody else.

1434
01:09:28,895 --> 01:09:31,415
l'm glad they did that.
l have to thank them.

1435
01:09:31,455 --> 01:09:33,342
lt was awful nice of them.

1436
01:09:33,374 --> 01:09:35,992
Yeah, l'd like to
thank them all right.

1437
01:09:44,637 --> 01:09:47,125
l have one more.

1438
01:09:49,373 --> 01:09:51,991
Oh, that goes to
our bedroom door.

1439
01:09:52,029 --> 01:09:54,004
Trying to think what--

1440
01:09:54,045 --> 01:09:56,249
that goes that that.
l had a lock on it

1441
01:09:56,285 --> 01:09:58,107
to keep kids out
'cause l have guns.

1442
01:09:58,141 --> 01:10:00,377
And here's
your money, Randy.

1443
01:10:00,412 --> 01:10:02,900
Moore:
What you're witnessing

1444
01:10:02,940 --> 01:10:04,402
is a robbery.

1445
01:10:05,787 --> 01:10:09,136
l'm starting to understand
why people,

1446
01:10:09,179 --> 01:10:11,830
they lose their minds
and start shooting people.

1447
01:10:11,867 --> 01:10:14,289
l'm not gonna say l would
do something like that,

1448
01:10:14,331 --> 01:10:16,752
but l can see how
they get people

1449
01:10:16,795 --> 01:10:18,900
into that situation where

1450
01:10:18,939 --> 01:10:22,255
people go in there with bombs
and blow them up

1451
01:10:22,299 --> 01:10:24,153
and shoot at them.

1452
01:10:24,186 --> 01:10:26,193
Anything that happens to them
people, they deserve it,

1453
01:10:26,234 --> 01:10:27,925
is all l can say.

1454
01:10:27,962 --> 01:10:30,067
l hope something happens--

1455
01:10:30,106 --> 01:10:33,172
yeah, well.

1456
01:10:33,210 --> 01:10:35,381
Can't say no more.

1457
01:10:39,897 --> 01:10:41,937
Some roadkill right there.

1458
01:10:41,977 --> 01:10:43,635
Moore:
This is Bob Feinberg.

1459
01:10:43,673 --> 01:10:47,285
He handled all the VlP loans
for Countrywide,

1460
01:10:47,320 --> 01:10:51,095
the nation's largest
mortgage company.

1461
01:10:51,128 --> 01:10:52,983
Although Countrywide
mainly specializes

1462
01:10:53,016 --> 01:10:56,278
in outrageously high interest
loans for low income people,

1463
01:10:56,311 --> 01:10:58,515
Bob's job was to take care of

1464
01:10:58,552 --> 01:11:02,163
some of the country's
top political leaders.

1465
01:11:02,199 --> 01:11:04,687
Bob: One day one of the bigger
bosses called me in the office.

1466
01:11:04,727 --> 01:11:06,385
He said, ''l want you
to call this guy.''

1467
01:11:06,423 --> 01:11:08,310
l said okay.

1468
01:11:08,343 --> 01:11:11,157
And he said,
''He's a friend of Angelo's.''

1469
01:11:11,191 --> 01:11:13,557
Angelo Mozilo's the CEO
of Countrywide.

1470
01:11:13,590 --> 01:11:17,583
''Give him this rate.
Waive these fees.

1471
01:11:17,622 --> 01:11:21,484
And get it locked in.
And don't fuck it up.''

1472
01:11:21,525 --> 01:11:24,176
And l was like,
''Oh, okay.''

1473
01:11:25,781 --> 01:11:27,374
So it was
a special department

1474
01:11:27,413 --> 01:11:29,934
that handled friends
of Angelo.

1475
01:11:31,253 --> 01:11:32,660
Discounts were being given.

1476
01:11:32,693 --> 01:11:34,219
Fees were being waived.

1477
01:11:34,260 --> 01:11:37,162
And at times paperwork
was being waived.

1478
01:11:37,205 --> 01:11:41,132
We literally would
write on the file ''FOA.''

1479
01:11:41,172 --> 01:11:43,790
These were really
important people.

1480
01:11:43,828 --> 01:11:46,413
l had Richard Holbrooke--
Ambassador Holbrooke,

1481
01:11:46,452 --> 01:11:48,557
Donna Shalala,

1482
01:11:48,596 --> 01:11:51,629
people on Capitol Hill, people that
regulate the mortgage markets,

1483
01:11:51,668 --> 01:11:53,839
people that regulate
Wall Street,

1484
01:11:53,875 --> 01:11:56,974
and Jim Johnson,
head of Fannie Mae,

1485
01:11:57,011 --> 01:11:59,760
Alphonso Jackson
the secretary of HUD...

1486
01:12:01,299 --> 01:12:04,168
Senator Conrad from
the Finance Committee.

1487
01:12:04,210 --> 01:12:07,112
l had the TV on in my house.
l was in the kitchen

1488
01:12:07,154 --> 01:12:09,259
and l heard a voice
pontificating

1489
01:12:09,298 --> 01:12:12,015
about predatory lending
and how we have to put an end to it.

1490
01:12:12,049 --> 01:12:14,221
Our nation's financial regulators

1491
01:12:14,258 --> 01:12:15,916
are supposed to
be the cops on the beat

1492
01:12:15,953 --> 01:12:18,255
protecting working Americans

1493
01:12:18,289 --> 01:12:19,947
from unscrupulous
financial actions.

1494
01:12:19,985 --> 01:12:22,570
Bob: Senator Dodd--
Christopher Dodd-- was speaking.

1495
01:12:22,609 --> 01:12:26,121
And l just stared at
the television and l was upset.

1496
01:12:26,161 --> 01:12:28,582
Some of these loans
have legitimate uses,

1497
01:12:28,624 --> 01:12:30,566
when made to sophisticated
borrowers

1498
01:12:30,608 --> 01:12:32,648
with higher incomes.

1499
01:12:32,688 --> 01:12:35,274
l had done a number
of loans for him

1500
01:12:35,312 --> 01:12:37,930
in which he got discounts
and all the things

1501
01:12:37,967 --> 01:12:39,658
that go with being
a friend of Angelo's

1502
01:12:39,695 --> 01:12:41,157
and all the good stuff.

1503
01:12:41,199 --> 01:12:43,086
Moore: The Senate Banking
and Housing Committee

1504
01:12:43,119 --> 01:12:45,639
is supposed to be the watchdog
of the mortgage industry.

1505
01:12:45,679 --> 01:12:48,810
Senator Dodd is the chairman
of this committee

1506
01:12:48,847 --> 01:12:51,367
and has served on it
for over 28 years.

1507
01:12:51,406 --> 01:12:53,545
As a friend of Angelo

1508
01:12:53,582 --> 01:12:56,168
he received
over $1 million worth

1509
01:12:56,206 --> 01:12:58,693
of discounted loans
from Countrywide.

1510
01:12:58,734 --> 01:13:02,345
Someone next door here
is selling a toxic

1511
01:13:02,382 --> 01:13:04,520
piece of crap
loan to somebody.

1512
01:13:04,558 --> 01:13:08,234
l was required to give the most
suitable loan to that VlP.

1513
01:13:08,270 --> 01:13:10,058
Moore:
Did you ever feel that

1514
01:13:10,093 --> 01:13:12,100
what you were doing
might be bribery?

1515
01:13:12,141 --> 01:13:14,988
Bob: l didn't feel like l was
bribing anybody, no.

1516
01:13:15,021 --> 01:13:18,337
l was just doing my job.
l was the VlP guy.

1517
01:13:18,380 --> 01:13:20,038
Everyone in the company
knew who l was.

1518
01:13:20,076 --> 01:13:21,669
You know, everyone.

1519
01:13:21,709 --> 01:13:24,164
So it was kind of
a flattering situation.

1520
01:13:24,204 --> 01:13:27,553
But no, l don't feel like l did
anything wrong at all.

1521
01:13:27,596 --> 01:13:30,530
And if l didn't do it, somebody else
would have been doing it.

1522
01:13:32,331 --> 01:13:34,752
Moore:
That's why we need people like Bill Black,

1523
01:13:34,795 --> 01:13:36,867
one of the bank regulators
who uncovered

1524
01:13:36,907 --> 01:13:39,046
the Savings & Loan scandal
in the 1980s.

1525
01:13:39,083 --> 01:13:41,123
Something improper happened

1526
01:13:41,162 --> 01:13:43,366
and l bet you
the regulators know.

1527
01:13:43,402 --> 01:13:46,217
Moore: One of the leading figures of
that scandal, Charles Keating,

1528
01:13:46,250 --> 01:13:48,934
had an idea on what to do
with Bill Black

1529
01:13:48,970 --> 01:13:51,359
and sent a memo out
with these instructions.

1530
01:13:52,489 --> 01:13:55,391
l asked him who was
looking out for us today.

1531
01:13:55,434 --> 01:13:57,954
Where was the FBl
in all of this?

1532
01:13:57,993 --> 01:14:00,611
The FBl began
publicly warning

1533
01:14:00,649 --> 01:14:03,038
in September 2004

1534
01:14:03,081 --> 01:14:06,180
that there was an epidemic
of mortgage fraud

1535
01:14:06,217 --> 01:14:08,322
perpetrated by the banks.

1536
01:14:08,360 --> 01:14:09,953
Epidemic was their word.

1537
01:14:09,993 --> 01:14:12,578
But when 9/11 hit,

1538
01:14:12,616 --> 01:14:15,715
the Bush administration
transferred

1539
01:14:15,752 --> 01:14:19,646
at least 500 white-collar
FBl specialists

1540
01:14:19,688 --> 01:14:22,371
out of dealing
with white-collar crime,

1541
01:14:22,407 --> 01:14:24,741
even though we were entering

1542
01:14:24,775 --> 01:14:26,662
during the entire
Bush administration

1543
01:14:26,695 --> 01:14:29,150
the greatest wave
of white-collar crime

1544
01:14:29,191 --> 01:14:32,573
in the nation's history,
in fact, in the world's history.

1545
01:14:32,614 --> 01:14:35,680
The FBl says that 80%

1546
01:14:35,719 --> 01:14:37,628
of the mortgage
fraud losses

1547
01:14:37,670 --> 01:14:40,387
are induced
by lender personnel.

1548
01:14:40,422 --> 01:14:41,666
Meaning what?

1549
01:14:41,702 --> 01:14:44,036
Meaning not the borrower

1550
01:14:44,069 --> 01:14:47,069
coming off the street trying
to defraud the savings and loan.

1551
01:14:47,109 --> 01:14:50,819
These are frauds led by whoever
controls the organization.

1552
01:14:50,853 --> 01:14:53,406
- Right.
- lt's typically the CEO in other words.

1553
01:14:53,445 --> 01:14:56,347
So did these CEOs
think they were gonna get away with it?

1554
01:14:56,388 --> 01:14:58,461
They have gotten
away with it.

1555
01:15:00,100 --> 01:15:02,107
Moore:
Yes, apparently they did.

1556
01:15:02,148 --> 01:15:04,798
And with the presidential
election just around the corner...

1557
01:15:04,836 --> 01:15:07,967
- Define rich.
- 5 million.

1558
01:15:08,004 --> 01:15:11,648
...the elites were worried that their crime
spree might come to an end.

1559
01:15:11,684 --> 01:15:14,717
After bilking trillions
from the American public

1560
01:15:14,755 --> 01:15:16,315
by repossessing their homes,

1561
01:15:16,355 --> 01:15:18,526
bankrupting them
when they got sick

1562
01:15:18,563 --> 01:15:20,734
and convincing them
to invest their earnings

1563
01:15:20,771 --> 01:15:23,934
and pensions in the casino
known as the stock market,

1564
01:15:23,971 --> 01:15:27,232
the rich decided to make
one last heist

1565
01:15:27,266 --> 01:15:30,495
and as their 30-year long
party came to an end,

1566
01:15:30,530 --> 01:15:33,879
take as much of the silverware
with them as they could.

1567
01:15:33,922 --> 01:15:36,639
But first they needed
a distraction.

1568
01:15:36,673 --> 01:15:39,804
And as they learned
after 9/11,

1569
01:15:39,841 --> 01:15:42,491
nothing works better
in the home of the brave

1570
01:15:42,529 --> 01:15:45,398
than some good old
fashioned fear.

1571
01:15:45,441 --> 01:15:49,118
And who better to wheel out
for one last scary performance

1572
01:15:49,152 --> 01:15:51,967
than Chicken Little himself?

1573
01:15:52,000 --> 01:15:55,349
Oscar voters,
for your consideration.

1574
01:15:55,392 --> 01:15:56,985
Good evening.

1575
01:15:57,024 --> 01:15:59,445
This is an extraordinary period
for America's economy.

1576
01:15:59,488 --> 01:16:02,008
The government's
top economic experts

1577
01:16:02,048 --> 01:16:04,219
warn that without immediate
action by Congress,

1578
01:16:04,255 --> 01:16:07,124
America could slip into
a financial panic

1579
01:16:07,167 --> 01:16:10,134
and a distressing scenario
would unfold.

1580
01:16:10,175 --> 01:16:13,436
More banks could fail,
including some in your community.

1581
01:16:13,471 --> 01:16:15,860
- ( thunder rumbling )
- The stock market would drop even more,

1582
01:16:15,903 --> 01:16:18,172
which would reduce the value
of your retirement account.

1583
01:16:18,206 --> 01:16:20,759
The value of your home
could plummet.

1584
01:16:20,798 --> 01:16:23,187
Foreclosures would
rise dramatically.

1585
01:16:23,230 --> 01:16:25,369
And if you own
a business or a farm,

1586
01:16:25,406 --> 01:16:27,926
you would find it harder
and more expensive to get credit.

1587
01:16:27,965 --> 01:16:30,518
More businesses
would close their doors

1588
01:16:30,558 --> 01:16:33,013
and millions of Americans
could lose their jobs.

1589
01:16:33,053 --> 01:16:35,736
- ( screams )
- Even if you have good credit history,

1590
01:16:35,772 --> 01:16:38,554
it would be more difficult for
you to get the loans you need

1591
01:16:38,589 --> 01:16:40,793
to buy a car or send
your children to college.

1592
01:16:40,828 --> 01:16:43,162
And ultimately our country
could experience

1593
01:16:43,196 --> 01:16:45,846
- a long and painful recession.
- ( people screaming )

1594
01:16:45,884 --> 01:16:49,844
Fellow citizens,
we must not let this happen.

1595
01:16:49,884 --> 01:16:53,331
Moore: ln reality there was no
need for this speech,

1596
01:16:53,371 --> 01:16:55,378
because the mainstream media

1597
01:16:55,419 --> 01:16:57,595
had already drunk
the Kool-Aid.

1598
01:16:58,906 --> 01:17:01,110
Meltdown.
The American financial system

1599
01:17:01,147 --> 01:17:02,641
is rocked to its foundation.

1600
01:17:02,683 --> 01:17:04,919
The giant bank crumbles,
stocks plummet.

1601
01:17:04,955 --> 01:17:08,183
- Nightmare on Wall Street.
- AlG fights for its life.

1602
01:17:08,218 --> 01:17:10,073
- Blood on the floor.
- Armageddon.

1603
01:17:10,106 --> 01:17:13,106
A category-five test
of our financial levies.

1604
01:17:13,146 --> 01:17:16,462
What the fuck happened?

1605
01:17:16,505 --> 01:17:18,742
Have you ever seen
a dam fail?

1606
01:17:18,777 --> 01:17:22,039
lt starts with a little crack,
a little seepage.

1607
01:17:22,073 --> 01:17:23,502
Reporter:
With overwhelming support,

1608
01:17:23,545 --> 01:17:25,400
Congress struck down
the restrictions.

1609
01:17:25,432 --> 01:17:27,287
Big banking
is barreling back.

1610
01:17:27,321 --> 01:17:29,262
Black:
And it starts eroding

1611
01:17:29,305 --> 01:17:32,883
and it destroys all
the internal strength of the dam.

1612
01:17:32,920 --> 01:17:34,513
Reporter:
Poison from the housing mess

1613
01:17:34,552 --> 01:17:36,941
seeped deeper and deeper
into the banking system.

1614
01:17:36,984 --> 01:17:38,991
Black:
And soon the dam works against itself.

1615
01:17:39,031 --> 01:17:40,941
The weight of the dam
and the weight of the water

1616
01:17:40,984 --> 01:17:42,293
conspire against it.

1617
01:17:42,327 --> 01:17:43,985
Reporter:
lnvestors were dumping Bear shares

1618
01:17:44,023 --> 01:17:45,452
leading a huge selloff...

1619
01:17:45,495 --> 01:17:47,469
Reporter #2:
The stocks of Fannie Mae and Freddie Mac

1620
01:17:47,511 --> 01:17:49,234
were in freefall
this morning...

1621
01:17:49,271 --> 01:17:52,021
Black:
Then there's kind of a significant flow.

1622
01:17:52,054 --> 01:17:55,349
Reporter: Wall Street's losing
streak stretched into its seventh day.

1623
01:17:55,383 --> 01:17:59,245
Black: And then suddenly you've
got 60-70 foot sections.

1624
01:17:59,286 --> 01:18:00,398
A dam exploding.

1625
01:18:00,438 --> 01:18:02,096
Reporter:
Lehman Brothers, bankrupt.

1626
01:18:02,134 --> 01:18:03,857
Merrill Lynch,
sold in haste.

1627
01:18:03,894 --> 01:18:05,748
- Now AlG.
- Black: Just crashing.

1628
01:18:05,782 --> 01:18:07,472
Reporter:
The market's year long slide

1629
01:18:07,510 --> 01:18:10,030
has brought down
some of the biggest blue chips.

1630
01:18:10,069 --> 01:18:11,793
Black:
The water starts rushing through.

1631
01:18:11,829 --> 01:18:14,317
Reporter: This morning,
Washington Mutual has gone under,

1632
01:18:14,357 --> 01:18:16,724
the largest failure
in US banking history.

1633
01:18:16,757 --> 01:18:18,480
Reporter #2:
Stocks fell off a cliff.

1634
01:18:18,517 --> 01:18:21,386
The largest single point drop in history.

1635
01:18:23,956 --> 01:18:27,272
Black:
lt destroys the rest of the dam.

1636
01:18:27,316 --> 01:18:29,040
And the whole failure

1637
01:18:29,076 --> 01:18:31,465
looks like it only takes
two minutes.

1638
01:18:31,508 --> 01:18:34,704
But of course,
it's that little hole

1639
01:18:34,740 --> 01:18:37,522
that's been there
for several years

1640
01:18:37,555 --> 01:18:40,010
that really destroyed it.

1641
01:18:40,050 --> 01:18:43,498
You have this fundamentally
unsound system

1642
01:18:43,538 --> 01:18:46,571
built on
a foundation of sand

1643
01:18:46,611 --> 01:18:48,650
instead of bedrock.

1644
01:18:48,690 --> 01:18:50,926
And it was rotted
from the core.

1645
01:18:52,402 --> 01:18:55,598
lt seems like capitalism
is just collapsing on itself.

1646
01:18:55,634 --> 01:18:57,292
Who got rich here?

1647
01:18:57,329 --> 01:18:59,565
Lots of people got rich
during this time,

1648
01:18:59,602 --> 01:19:04,009
primarily the officers
and directors

1649
01:19:04,048 --> 01:19:06,536
of the large banks
and savings and loans

1650
01:19:06,576 --> 01:19:08,965
and the specialty
non-prime lenders.

1651
01:19:09,008 --> 01:19:12,303
These people became
unbelievably rich.

1652
01:19:12,336 --> 01:19:15,499
And members of Congress got rich,

1653
01:19:15,536 --> 01:19:17,259
especially once
they left Congress.

1654
01:19:17,296 --> 01:19:20,295
A number of them go and work
in the financial institutions.

1655
01:19:20,336 --> 01:19:22,823
Sure, and as do
Rubin and Summers.

1656
01:19:22,863 --> 01:19:26,311
Moore:
Robert Rubin, a one-time top executive

1657
01:19:26,351 --> 01:19:29,286
at both Citigroup
and Goldman Sachs

1658
01:19:29,327 --> 01:19:31,050
champion a change in the law

1659
01:19:31,086 --> 01:19:33,421
that allowed commercial banks
to get into new areas

1660
01:19:33,454 --> 01:19:37,066
like investment banking
and exotic insurance products.

1661
01:19:38,798 --> 01:19:40,838
This made it legal
to let Citicorp

1662
01:19:40,878 --> 01:19:42,569
merge with Travelers Group,

1663
01:19:42,606 --> 01:19:45,507
a deal valued
at $70 billion,

1664
01:19:45,550 --> 01:19:47,786
creating the world's
largest bank.

1665
01:19:47,821 --> 01:19:50,571
After leaving
the Clinton administration,

1666
01:19:50,605 --> 01:19:52,329
Rubin worked for Citigroup,

1667
01:19:52,365 --> 01:19:56,740
earning more than
$115 million.

1668
01:19:56,781 --> 01:19:58,690
Summers made
his money where?

1669
01:19:58,732 --> 01:20:02,344
Summers made his money
as a supposed consultant

1670
01:20:02,380 --> 01:20:05,250
and in giving speeches

1671
01:20:05,292 --> 01:20:07,528
at apparently, in some cases,

1672
01:20:07,564 --> 01:20:10,563
over $100,000 a pop.

1673
01:20:10,604 --> 01:20:14,116
Moore: Summers also made $5.2 million
at his part-time job,

1674
01:20:14,156 --> 01:20:17,254
advising a hedge fund.

1675
01:20:17,291 --> 01:20:18,818
Where did Geithner work?

1676
01:20:18,859 --> 01:20:21,576
Geithner has been a failure

1677
01:20:21,611 --> 01:20:23,782
at pretty much everything
he's done in life.

1678
01:20:23,819 --> 01:20:28,226
Most of the institutions
that destroyed the economy

1679
01:20:28,267 --> 01:20:31,528
were under his direct
regulatory authority.

1680
01:20:31,562 --> 01:20:33,765
How did he get the job
as Treasury Secretary?

1681
01:20:33,802 --> 01:20:36,671
By completely
screwing up his job

1682
01:20:36,713 --> 01:20:39,648
as President of the Federal
Reserve Bank of New York.

1683
01:20:39,689 --> 01:20:41,347
That makes no sense.

1684
01:20:41,385 --> 01:20:42,946
Of course, it makes
perfect sense.

1685
01:20:42,985 --> 01:20:45,025
This is not
new to Washington.

1686
01:20:45,065 --> 01:20:47,432
People who will give you
the wrong answer

1687
01:20:47,465 --> 01:20:50,661
but the answer you want
are invaluable.

1688
01:20:50,697 --> 01:20:52,933
And they often get promoted

1689
01:20:52,969 --> 01:20:55,816
precisely because
they're willing to say

1690
01:20:55,848 --> 01:20:58,215
and do absurd things.

1691
01:20:58,248 --> 01:21:01,924
These are the people
that promised us

1692
01:21:01,960 --> 01:21:05,756
that financial deregulation
would make all of us rich.

1693
01:21:05,800 --> 01:21:09,127
And these are the people who
were personally made rich.

1694
01:21:12,135 --> 01:21:16,062
Moore: lt was not surprising that
the rich wanted to get richer.

1695
01:21:16,103 --> 01:21:19,714
But now they had come up with
a new and brazen way to do it.

1696
01:21:19,751 --> 01:21:23,492
Just back a big truck up
to the Department of Treasury

1697
01:21:23,526 --> 01:21:26,875
and take $700 billion
of our tax money,

1698
01:21:26,918 --> 01:21:28,827
no questions asked.

1699
01:21:28,869 --> 01:21:32,481
l got Michael Moore here. You know who
Michael Moore is, don't you?

1700
01:21:32,517 --> 01:21:35,267
The film director.
He's filming me right now.

1701
01:21:35,301 --> 01:21:36,795
- l got my wife on the line.
- Oh, hi.

1702
01:21:36,836 --> 01:21:38,527
How are you doing?
Baron Hill from lndiana.

1703
01:21:38,565 --> 01:21:39,971
How are you, sir?
Good state.

1704
01:21:40,005 --> 01:21:41,761
- We're from Michigan you know?
- Yeah.

1705
01:21:41,796 --> 01:21:43,323
How did this
collapse happen?

1706
01:21:43,364 --> 01:21:47,423
l got home on a Friday, everything
was just fine in terms of the economy.

1707
01:21:47,460 --> 01:21:50,078
l call back after my plane
landed in lndiana

1708
01:21:50,115 --> 01:21:52,352
just to check in
with my office,

1709
01:21:52,388 --> 01:21:54,144
and all of a sudden we've
got this crisis on our hands

1710
01:21:54,179 --> 01:21:56,154
and that l'm gonna have to vote
when l come back Monday

1711
01:21:56,195 --> 01:21:59,511
for a multibillion-dollar bailout
of the financial industry.

1712
01:21:59,555 --> 01:22:03,330
The word that we got
was that if we did not act immediately

1713
01:22:03,362 --> 01:22:07,966
the economy would collapse,
no doubt about it.

1714
01:22:08,002 --> 01:22:11,198
l felt that
the announcement

1715
01:22:11,234 --> 01:22:13,503
of this crisis in September,

1716
01:22:13,538 --> 01:22:15,326
just a few weeks
before election,

1717
01:22:15,362 --> 01:22:16,606
was very suspicious.

1718
01:22:16,641 --> 01:22:19,543
This is when Congress
is the most nervous.

1719
01:22:19,585 --> 01:22:21,854
And l thought, ''Wait a minute.
What's going on here?

1720
01:22:21,890 --> 01:22:24,224
This is not normal.''

1721
01:22:24,257 --> 01:22:26,046
Moore:
The leadership of Congress

1722
01:22:26,081 --> 01:22:27,608
and the Bush administration

1723
01:22:27,649 --> 01:22:29,885
quickly held a series
of private meetings

1724
01:22:29,921 --> 01:22:32,703
with the titans
of Wall Street to figure out

1725
01:22:32,736 --> 01:22:34,973
just how much money
was needed to cover

1726
01:22:35,008 --> 01:22:38,423
all the bad bets
investors had made.

1727
01:22:38,464 --> 01:22:42,359
A deal was cut with Treasury
Secretary Henry Paulson,

1728
01:22:42,400 --> 01:22:44,789
the former CEO
of Goldman Sachs,

1729
01:22:44,831 --> 01:22:48,540
whose net worth was estimated
at $700 million

1730
01:22:48,575 --> 01:22:52,251
when he left Goldman
to go and run the Treasury Department.

1731
01:22:52,287 --> 01:22:55,931
l think we saw the best of
the United States of America

1732
01:22:55,966 --> 01:22:59,228
in the Speaker's
office tonight.

1733
01:22:59,262 --> 01:23:02,132
Moore:
The best of America?

1734
01:23:02,174 --> 01:23:05,916
Or did he mean
the best of Goldman Sachs?

1735
01:23:05,949 --> 01:23:07,640
The Treasury Department,

1736
01:23:07,677 --> 01:23:09,914
it's basically an arm
of Wall Street.

1737
01:23:09,949 --> 01:23:12,884
All the people in charge
were from Goldman Sachs.

1738
01:23:12,925 --> 01:23:15,924
We call it Government Goldman
in the modern era.

1739
01:23:15,965 --> 01:23:18,037
Moore:
That's because there were now numerous

1740
01:23:18,076 --> 01:23:21,688
former Goldman executives
inside the Bush Treasury Department,

1741
01:23:21,724 --> 01:23:23,895
as there were under Clinton.

1742
01:23:23,933 --> 01:23:26,715
They worked as powerful
lobbyists from the inside

1743
01:23:26,748 --> 01:23:28,952
to abolish
financial regulations

1744
01:23:28,987 --> 01:23:31,354
while we paid
their salaries.

1745
01:23:31,388 --> 01:23:33,559
Black:
Treasury Secretary Paulson--

1746
01:23:33,595 --> 01:23:35,450
he wasn't just randomly
at Goldman.

1747
01:23:35,483 --> 01:23:38,832
He was the guy at Goldman
who got them big time

1748
01:23:38,875 --> 01:23:42,421
into buying these exotic
housing derivatives.

1749
01:23:42,459 --> 01:23:45,775
So he got Goldman in
a huge amount of trouble.

1750
01:23:45,818 --> 01:23:47,891
Moore:
lnsane housing derivatives

1751
01:23:47,931 --> 01:23:50,800
had now destroyed much
of Goldman's competition.

1752
01:23:50,842 --> 01:23:53,264
And with the Goldman boys
now calling the shots

1753
01:23:53,306 --> 01:23:56,023
inside the government,
they would ensure that Goldman

1754
01:23:56,058 --> 01:23:58,676
would end up as the kings
of Wall Street

1755
01:23:58,713 --> 01:24:00,088
when the dust settled.

1756
01:24:00,121 --> 01:24:01,779
Black:
So the last possible people

1757
01:24:01,818 --> 01:24:04,501
that should be giving advice
to Treasury would be Goldman.

1758
01:24:04,537 --> 01:24:05,999
So naturally Paulson,

1759
01:24:06,041 --> 01:24:09,107
former CEO of Goldman,
puts them on.

1760
01:24:09,145 --> 01:24:11,730
And what advice do they
end up giving?

1761
01:24:11,769 --> 01:24:14,485
Well, to use the taxpayers

1762
01:24:14,520 --> 01:24:16,854
to bail out Goldman

1763
01:24:16,888 --> 01:24:19,637
and other favored financial
institutions.

1764
01:24:19,672 --> 01:24:22,541
Well, Secretary Paulson
has submitted

1765
01:24:22,584 --> 01:24:24,372
a simple proposal
to Congress.

1766
01:24:24,408 --> 01:24:26,513
This is it--
three pages.

1767
01:24:26,551 --> 01:24:29,202
lt's about
$1 billion a word.

1768
01:24:29,239 --> 01:24:31,148
And it is quite simple.

1769
01:24:31,191 --> 01:24:34,190
Secretary Paulson gets
the key to the treasury.

1770
01:24:34,231 --> 01:24:37,362
He's gonna start off
by borrowing $700 billion

1771
01:24:37,398 --> 01:24:38,827
in the name
of the American people,

1772
01:24:38,870 --> 01:24:41,968
maybe more later.
And it waives all laws.

1773
01:24:42,006 --> 01:24:44,144
All laws!

1774
01:24:44,182 --> 01:24:47,477
Not even court review.
Pretty simple proposal.

1775
01:24:47,509 --> 01:24:50,924
We are in a real
crisis situation

1776
01:24:50,965 --> 01:24:52,875
that could mushroom

1777
01:24:52,917 --> 01:24:55,186
into something worse
than the Great Depression.

1778
01:24:55,221 --> 01:24:58,669
So l saw fear.
One gentleman started to cry.

1779
01:24:58,709 --> 01:25:01,905
People are telling us
that it's going to be this gigantic calamity.

1780
01:25:01,941 --> 01:25:03,729
And l'm up for election
in two months.

1781
01:25:03,765 --> 01:25:05,455
Eight weeks away
from election,

1782
01:25:05,492 --> 01:25:08,012
l don't want to make a mistake.
What's the right thing to do?

1783
01:25:08,052 --> 01:25:10,125
Heaven help us.

1784
01:25:10,164 --> 01:25:12,073
lf we fail to pass this

1785
01:25:12,115 --> 01:25:14,766
l fear the worst
is yet to come.

1786
01:25:14,803 --> 01:25:16,975
And a few members
were even told

1787
01:25:17,011 --> 01:25:20,458
that there would be martial law
in America if we voted no.

1788
01:25:20,499 --> 01:25:22,571
They were ramming this
thing down our throat.

1789
01:25:22,611 --> 01:25:24,553
They wanted us to vote on it
right away

1790
01:25:24,594 --> 01:25:27,147
without any kind of
thoughtful analysis.

1791
01:25:27,187 --> 01:25:29,161
- No real hearings?
- No real hearings.

1792
01:25:29,202 --> 01:25:31,177
And l wasn't about to--

1793
01:25:31,218 --> 01:25:34,218
l got cornered into voting

1794
01:25:34,258 --> 01:25:36,811
for the lraq resolution
based upon some lies

1795
01:25:36,850 --> 01:25:38,672
that they made to me and l wasn't going
to go through that again.

1796
01:25:38,706 --> 01:25:41,869
l will not wait on events
while danger is gathering.

1797
01:25:41,906 --> 01:25:45,254
l will not stand by as peril
draws closer and closer.

1798
01:25:45,297 --> 01:25:48,013
Use fear and then you
get done what you want.

1799
01:25:49,969 --> 01:25:52,456
And they created
in this window--

1800
01:25:52,496 --> 01:25:55,114
two months before election--
this pressure cooker.

1801
01:25:55,152 --> 01:25:57,737
People understand that
the House of Representatives

1802
01:25:57,776 --> 01:26:00,296
needs to pass this piece
of legislation.

1803
01:26:00,336 --> 01:26:03,151
Mr. Speaker, my message
to the American people...

1804
01:26:03,183 --> 01:26:06,052
don't let Congress
seal this Wall Street deal.

1805
01:26:06,096 --> 01:26:08,550
These criminals have
so much political power

1806
01:26:08,591 --> 01:26:10,925
they can shut down the normal
legislative process

1807
01:26:10,959 --> 01:26:13,261
of the highest lawmaking
body in this land.

1808
01:26:13,294 --> 01:26:15,149
All the committees
that should be scanning

1809
01:26:15,183 --> 01:26:18,182
every word of what is being
negotiated are benched.

1810
01:26:18,223 --> 01:26:20,841
And that means the American
people are benched too.

1811
01:26:20,878 --> 01:26:23,016
We are constitutionally sworn

1812
01:26:23,054 --> 01:26:25,094
to protect and defend
this republic

1813
01:26:25,134 --> 01:26:28,232
against all enemies
foreign and domestic.

1814
01:26:28,270 --> 01:26:30,953
They say it's gonna be
Y2K all over again.

1815
01:26:30,989 --> 01:26:33,378
This is the same politics
of fear we are hearing

1816
01:26:33,421 --> 01:26:35,810
from the fat-cat financial
bullies from Wall Street.

1817
01:26:35,853 --> 01:26:38,308
Why aren't we asking Wall Street
to clean up its own mess?

1818
01:26:38,348 --> 01:26:41,665
Why aren't we helping
American families faced with bankruptcy?

1819
01:26:41,709 --> 01:26:44,676
Why aren't we reducing debts
from Main Street instead of Wall Street?

1820
01:26:44,716 --> 01:26:46,472
ls this the United States Congress

1821
01:26:46,508 --> 01:26:48,613
or the board of directors
of Goldman Sachs?

1822
01:26:48,652 --> 01:26:51,302
Moore:
The night before the vote

1823
01:26:51,340 --> 01:26:54,089
the American people
in unprecedented numbers

1824
01:26:54,123 --> 01:26:57,025
flooded Capitol Hill
with millions of messages

1825
01:26:57,067 --> 01:26:59,653
demanding that
Congress vote no.

1826
01:27:02,987 --> 01:27:05,769
The bailout package
was defeated today,

1827
01:27:05,803 --> 01:27:07,941
voted down in the House
of Representatives.

1828
01:27:07,978 --> 01:27:09,604
The stock market plunged--

1829
01:27:09,642 --> 01:27:12,195
plunged to the single
greatest point loss

1830
01:27:12,234 --> 01:27:14,438
in the Dow average
in one day ever.

1831
01:27:14,474 --> 01:27:16,000
The question is this:

1832
01:27:16,041 --> 01:27:18,310
is the failure of
the bailout reason enough

1833
01:27:18,346 --> 01:27:21,412
to vote all the incumbents
out of office in five weeks?

1834
01:27:21,449 --> 01:27:23,238
1 2 votes killed it.

1835
01:27:23,273 --> 01:27:25,378
So did the voices of a lot
of the American people

1836
01:27:25,417 --> 01:27:28,613
who called their representatives
and said no.

1837
01:27:28,649 --> 01:27:30,918
Then Congress voted no.

1838
01:27:30,952 --> 01:27:32,840
Tonight Congress
has left town.

1839
01:27:32,872 --> 01:27:35,622
Moore: lt was a rebuke that Congress
and Wall Street

1840
01:27:35,656 --> 01:27:38,339
had rarely,
if ever, experienced.

1841
01:27:38,376 --> 01:27:41,343
lt was what the Citibank
memo had warned against:

1842
01:27:41,384 --> 01:27:43,075
That if the peasants
ever chose

1843
01:27:43,112 --> 01:27:45,152
to exercise their
democratic rights,

1844
01:27:45,191 --> 01:27:48,060
the pillaging by the wealthy
would be over.

1845
01:27:48,103 --> 01:27:52,064
So Paulson and company headed
back up to Capitol Hill.

1846
01:27:52,103 --> 01:27:55,267
And faster than you can say
''Check, please,''

1847
01:27:55,302 --> 01:27:58,914
they cut a backroom deal
with the help of the Democrats.

1848
01:28:00,583 --> 01:28:02,011
This issue supersedes
an election.

1849
01:28:02,055 --> 01:28:03,877
We need to get this right.
We need to do it quickly.

1850
01:28:03,910 --> 01:28:05,284
l agree with the secretary.

1851
01:28:05,318 --> 01:28:07,652
lt's not gonna openly cost
all these hundreds of billions.

1852
01:28:07,686 --> 01:28:09,573
We will recover most of it,
maybe all of it.

1853
01:28:09,605 --> 01:28:12,572
Kaptur:
The Democrats became

1854
01:28:12,614 --> 01:28:15,996
the delivery man
for a bill

1855
01:28:16,037 --> 01:28:18,273
for the Republican
president.

1856
01:28:18,309 --> 01:28:21,658
The presidents and presidents-
to-be made phone calls

1857
01:28:21,701 --> 01:28:24,700
and members-- l know
at least two members

1858
01:28:24,741 --> 01:28:27,042
who have an interest
in the US Senate,

1859
01:28:27,076 --> 01:28:28,221
and promises were made.

1860
01:28:29,572 --> 01:28:31,677
Moore:
Within days, the Congress

1861
01:28:31,716 --> 01:28:33,626
did an amazing about-face

1862
01:28:33,668 --> 01:28:37,562
and gave the banks the 700-plus
billion they wanted,

1863
01:28:37,603 --> 01:28:39,392
the people be damned.

1864
01:28:39,427 --> 01:28:42,242
On this vote
the yeas are 263,

1865
01:28:42,275 --> 01:28:45,439
the nays are 17 1.
The motion is adopted.

1866
01:28:45,475 --> 01:28:49,631
lt was very carefully planned
to happen when it did,

1867
01:28:49,666 --> 01:28:53,528
to involve the players
that it did.

1868
01:28:53,570 --> 01:28:57,399
The message was carefully handled.

1869
01:28:57,441 --> 01:28:59,383
They had Congress right where
they wanted them.

1870
01:28:59,426 --> 01:29:02,425
You don't think it
was just happenstance?

1871
01:29:02,465 --> 01:29:04,221
No.

1872
01:29:04,257 --> 01:29:07,672
This was almost like
an intelligence operation

1873
01:29:07,713 --> 01:29:10,942
that had to be coordinated
at the highest levels.

1874
01:29:10,976 --> 01:29:13,431
This whole fiasco
shows you

1875
01:29:13,472 --> 01:29:17,979
that there are
some forces--

1876
01:29:18,016 --> 01:29:20,504
That are not democratic.

1877
01:29:20,544 --> 01:29:22,332
Right.
That are in control.

1878
01:29:22,368 --> 01:29:25,018
Big time.

1879
01:29:25,056 --> 01:29:27,990
They did a masterful job.
Very well executed.

1880
01:29:30,591 --> 01:29:31,769
Do you think it's too harsh

1881
01:29:31,807 --> 01:29:35,068
to call what has happened
here a coup d'etat?

1882
01:29:35,103 --> 01:29:36,597
A financial coup d'etat?

1883
01:29:36,638 --> 01:29:39,638
No, because l think
that's what's happened.

1884
01:29:39,678 --> 01:29:42,809
- A financial coup d'etat?
- Yeah.

1885
01:29:44,510 --> 01:29:46,037
l could agree with that.

1886
01:29:47,326 --> 01:29:49,333
l could agree with that
because the people here

1887
01:29:49,373 --> 01:29:51,228
really aren't in charge.

1888
01:29:51,261 --> 01:29:53,650
Wall Street is in charge.

1889
01:29:55,357 --> 01:29:57,299
Where's our money?

1890
01:29:57,341 --> 01:29:59,643
l don't know.

1891
01:29:59,676 --> 01:30:01,913
Reporter:
Citigroup is spending $50 million

1892
01:30:01,949 --> 01:30:03,509
on a luxury corporate jet.

1893
01:30:03,549 --> 01:30:06,004
You don't know?
But you're the person--

1894
01:30:06,044 --> 01:30:08,913
you're in charge of--
they put you in charge to find out.

1895
01:30:08,956 --> 01:30:10,582
Reporter:
Goldman Sachs has set aside

1896
01:30:10,620 --> 01:30:12,889
6.8 billion for bonuses.

1897
01:30:12,923 --> 01:30:16,120
But Treasury followed
a don't-ask-don't-tell policy.

1898
01:30:16,155 --> 01:30:18,294
They didn't ask the banks

1899
01:30:18,331 --> 01:30:20,470
what they were going to do
with the money.

1900
01:30:20,507 --> 01:30:23,954
And not having asked them,
the banks are not required to tell.

1901
01:30:23,995 --> 01:30:26,547
AlG poolside meetings
at a Valley resort...

1902
01:30:26,587 --> 01:30:27,732
Doesn't make any sense.

1903
01:30:27,770 --> 01:30:30,356
We're getting word
that 73 people

1904
01:30:30,394 --> 01:30:33,208
received at least
$1 million apiece.

1905
01:30:33,242 --> 01:30:35,282
Why would the Department
of Treasury

1906
01:30:35,322 --> 01:30:37,394
not require the banks
to tell them

1907
01:30:37,434 --> 01:30:38,960
what they're doing
with our money?

1908
01:30:39,002 --> 01:30:42,547
You're going to have
to ask Secretary Paulson that question.

1909
01:30:42,585 --> 01:30:45,302
Because l've asked
that question

1910
01:30:45,337 --> 01:30:48,436
in my role as head of the Congressional
Oversight Panel,

1911
01:30:48,473 --> 01:30:50,480
and so far l haven't gotten an answer.
Maybe you'll get a better one.

1912
01:30:50,521 --> 01:30:52,626
( phone ringing )

1913
01:30:52,665 --> 01:30:54,552
Woman: Good afternoon.
Hank Paulson's office.

1914
01:30:54,585 --> 01:30:56,046
Yeah, this is Michael Moore.

1915
01:30:56,088 --> 01:30:57,746
l'd like to talk
to Mr. Paulson.

1916
01:30:57,784 --> 01:30:59,758
- l'm sorry. Your name again?
- Michael Moore.

1917
01:30:59,800 --> 01:31:01,294
- Michael Moore?
- Yup.

1918
01:31:01,336 --> 01:31:04,402
- ( hangs up )
- Hello? Hello?

1919
01:31:04,440 --> 01:31:07,123
This is crazy what they're doing
with our money.

1920
01:31:07,160 --> 01:31:09,810
lf l could get them
to actually give the money back--

1921
01:31:09,848 --> 01:31:11,511
l'd be in favor of that.

1922
01:31:28,662 --> 01:31:30,996
We're here to get the money
back for the American people.

1923
01:31:31,029 --> 01:31:32,785
l understand, sir,
but you can't come in.

1924
01:31:32,822 --> 01:31:34,196
- Can you just take the bag?
- No.

1925
01:31:34,229 --> 01:31:35,723
- Take it up there?
- Absolutely not.

1926
01:31:35,766 --> 01:31:37,620
Fill it up.
l got more bags.

1927
01:31:37,653 --> 01:31:39,376
10 billion probably
won't fit in here.

1928
01:31:39,412 --> 01:31:40,525
You can't help me
get the money?

1929
01:31:40,565 --> 01:31:41,678
l can't help you
get the money.

1930
01:31:41,717 --> 01:31:43,822
What would happen if l made
a run for it right now?

1931
01:31:45,876 --> 01:31:48,331
Moore:
So l went to another bank.

1932
01:31:49,492 --> 01:31:50,507
We want our money back.

1933
01:31:50,548 --> 01:31:52,042
l went to all the banks.

1934
01:31:52,084 --> 01:31:54,255
- You've seen this guy?
- Yeah.

1935
01:31:54,292 --> 01:31:56,528
Okay, we're here to make
a citizen's arrest, actually.

1936
01:31:56,564 --> 01:31:58,865
Just drop it
from the windows.

1937
01:31:58,900 --> 01:32:01,355
And everywhere l went...

1938
01:32:03,027 --> 01:32:04,271
l got the same reaction.

1939
01:32:04,307 --> 01:32:06,380
We're actually here
to make a citizen's arrest

1940
01:32:06,419 --> 01:32:07,848
of the entire board
of directors

1941
01:32:07,891 --> 01:32:08,971
and the executives here.

1942
01:32:09,011 --> 01:32:10,320
Why don't you speak
to my supervisor?

1943
01:32:10,354 --> 01:32:12,110
- That's him right here.
- Where's he at?

1944
01:32:12,146 --> 01:32:13,869
- ln the white shirt? Blue tie?
- Yup.

1945
01:32:13,906 --> 01:32:15,215
- That's him.
- Receding hairline?

1946
01:32:15,250 --> 01:32:18,665
They're using the money
to buy other companies.

1947
01:32:18,706 --> 01:32:21,259
This is our money.

1948
01:32:21,297 --> 01:32:23,239
Oh, this is
a police officer.

1949
01:32:23,281 --> 01:32:25,321
l wanted to make a citizen's
arrest of the CEO.

1950
01:32:25,361 --> 01:32:27,466
- Mr. Blankfein.
- ( chuckles )

1951
01:32:27,505 --> 01:32:30,155
But you're here, so maybe
you could help me.

1952
01:32:30,193 --> 01:32:33,509
- Let's do it outside.
- $170 billion of our taxpayer money.

1953
01:32:33,553 --> 01:32:36,651
- You're not allowed in the building, sir.
- But l'm here to make an arrest.

1954
01:32:36,689 --> 01:32:38,990
- l'm here to make an arrest.
- Make it outside, sir.

1955
01:32:39,024 --> 01:32:40,398
l can't make it outside.
They're upstairs.

1956
01:32:40,432 --> 01:32:42,254
l'll make an arrest, sir.

1957
01:32:42,288 --> 01:32:43,881
You can arrest somebody?

1958
01:32:43,920 --> 01:32:45,643
lf you can arrest somebody,
l can arrest somebody.

1959
01:32:45,680 --> 01:32:47,021
Sir, leave the building, sir.

1960
01:32:47,056 --> 01:32:48,365
Who else do you want
to leave the building?

1961
01:32:48,399 --> 01:32:50,123
Your cameraman and your crew.
Come on out, sir.

1962
01:32:50,159 --> 01:32:52,908
They don't speak English.
Donde?

1963
01:32:54,479 --> 01:32:57,032
These guys have broken
so many laws, you know?

1964
01:32:57,070 --> 01:33:00,518
This is money.
lt's theft, it's fraud.

1965
01:33:09,645 --> 01:33:11,947
l'm gonna take it back
to the US Treasury

1966
01:33:11,981 --> 01:33:13,705
right in this car.

1967
01:33:13,741 --> 01:33:16,261
lt's safe.
You can trust me.

1968
01:33:17,773 --> 01:33:19,405
( grunts )

1969
01:33:19,565 --> 01:33:22,728
There's just these little hints

1970
01:33:22,765 --> 01:33:27,020
that the unimaginable

1971
01:33:27,052 --> 01:33:31,492
could occur, which is that...

1972
01:33:33,836 --> 01:33:36,803
people in general

1973
01:33:36,843 --> 01:33:39,364
in the United States
could actually

1974
01:33:39,403 --> 01:33:42,664
become angry

1975
01:33:42,699 --> 01:33:44,521
at the wealthy.

1976
01:33:44,555 --> 01:33:47,903
Shame on you!
Shame on you!

1977
01:33:47,946 --> 01:33:50,019
Shawn:
People who became rich in this country

1978
01:33:50,058 --> 01:33:53,986
in the last decades
were not even making

1979
01:33:54,026 --> 01:33:57,703
the things
that everybody loved.

1980
01:33:57,737 --> 01:34:00,999
They were playing games

1981
01:34:01,033 --> 01:34:03,335
that ended up actually
harming everybody.

1982
01:34:03,369 --> 01:34:06,947
( chanting )

1983
01:34:06,985 --> 01:34:11,294
So some kind of disease
has entered into the economy.

1984
01:34:12,841 --> 01:34:16,354
Moore: lt was unusual for Americans
to turn against the rich

1985
01:34:16,392 --> 01:34:19,491
because of the carrot that had
always been held out in front of us,

1986
01:34:19,528 --> 01:34:22,594
that we too could be
one of them someday.

1987
01:34:22,632 --> 01:34:25,283
People were starting not to believe that.

1988
01:34:25,320 --> 01:34:27,905
And that frightened the rich.

1989
01:34:27,944 --> 01:34:31,872
Because off in the distance
they heard something coming

1990
01:34:31,911 --> 01:34:34,464
and it wasn't another dry martini.

1991
01:34:34,503 --> 01:34:37,154
lt was the friggin' people.

1992
01:34:38,982 --> 01:34:41,251
We are ready to take this country

1993
01:34:41,287 --> 01:34:43,359
in a fundamentally new direction.

1994
01:34:43,398 --> 01:34:45,886
That's what's happening
in America right now.

1995
01:34:45,926 --> 01:34:49,439
Change is what's happening
in America.

1996
01:34:49,477 --> 01:34:51,070
Moore:
Holy shit.

1997
01:34:51,110 --> 01:34:53,979
This was not
what Wall Street wanted.

1998
01:34:54,021 --> 01:34:56,410
What if he won?

1999
01:34:56,453 --> 01:34:59,170
What would happen
to their way of life?

2000
01:35:00,933 --> 01:35:03,267
So they did what they always do.

2001
01:35:03,301 --> 01:35:05,373
They threw as much money
at him as they could.

2002
01:35:07,012 --> 01:35:10,307
Goldman Sachs became his
number-one private contributor

2003
01:35:10,340 --> 01:35:13,056
with nearly $1 million in contributions.

2004
01:35:14,820 --> 01:35:18,267
But yet they still weren't sure
what he would do.

2005
01:35:18,308 --> 01:35:21,090
How did he really feel about them

2006
01:35:21,123 --> 01:35:23,491
and their way of life?

2007
01:35:23,491 --> 01:35:27,233
My attitude is that if the economy
is good for folks from the bottom up,

2008
01:35:27,266 --> 01:35:28,379
it's gonna be good for everybody.

2009
01:35:31,362 --> 01:35:33,369
Senator Obama is running
to spread the wealth.

2010
01:35:33,410 --> 01:35:35,745
Joe the Plumber said to him

2011
01:35:35,778 --> 01:35:38,266
that plan sounded like socialism.

2012
01:35:38,306 --> 01:35:40,607
( Russian music playing )

2013
01:35:41,729 --> 01:35:43,191
Joe:
l love America.

2014
01:35:43,233 --> 01:35:46,877
l want to make sure it stays a democracy
and not a socialist society.

2015
01:35:50,081 --> 01:35:53,342
l really think he's gonna bring socialism
if he gets half a chance.

2016
01:35:53,377 --> 01:35:55,995
l don't trust Obama at all.

2017
01:35:57,536 --> 01:35:59,423
l left Europe four decades ago

2018
01:35:59,456 --> 01:36:01,627
because socialism has killed
opportunities there.

2019
01:36:01,664 --> 01:36:05,210
''Someone is going to have to
give up a piece of their pie

2020
01:36:05,248 --> 01:36:07,387
so someone else can have more.''

2021
01:36:07,424 --> 01:36:08,700
l want all my pie.

2022
01:36:10,111 --> 01:36:12,893
Barack Obama is a socialist,
it's that simple.

2023
01:36:16,574 --> 01:36:19,291
Moore:
The scare campaign wasn't working.

2024
01:36:19,327 --> 01:36:22,807
ln fact, the more they called
Obama a socialist,

2025
01:36:22,846 --> 01:36:25,780
the more he went ahead in the polls.

2026
01:36:25,822 --> 01:36:28,407
And by using the word so much,

2027
01:36:28,445 --> 01:36:32,536
it made a new generation curious
about what that was.

2028
01:36:32,574 --> 01:36:35,094
For instance, few of them knew

2029
01:36:35,133 --> 01:36:37,719
there was actually a socialist
in the United States Senate.

2030
01:36:37,757 --> 01:36:40,855
Of course he was from
the gay state of Vermont.

2031
01:36:40,893 --> 01:36:42,202
( moos )

2032
01:36:42,237 --> 01:36:43,863
You say that you're a socialist.
Tell me what that means.

2033
01:36:43,901 --> 01:36:45,690
l'm a democratic socialist,

2034
01:36:45,724 --> 01:36:48,342
which means that the function
of government is to represent

2035
01:36:48,380 --> 01:36:49,755
middle income and working people

2036
01:36:49,788 --> 01:36:52,057
rather than just the wealthy
and the powerful.

2037
01:36:52,092 --> 01:36:53,880
One of the things that we've done here,

2038
01:36:53,915 --> 01:36:56,599
we've become very religious
in worshipping greed.

2039
01:36:56,636 --> 01:36:58,872
We put on the front pages
of the magazines

2040
01:36:58,908 --> 01:37:00,435
guys who have made
billions of dollars.

2041
01:37:00,476 --> 01:37:02,996
We ignore the cops, the firemen,
the teachers, the nurses

2042
01:37:03,035 --> 01:37:06,101
who every day are doing so much
in improving the lives of people.

2043
01:37:06,138 --> 01:37:07,480
We've got to change our value system.

2044
01:37:07,515 --> 01:37:10,165
Moore:
Hmm, that doesn't sound too bad.

2045
01:37:10,203 --> 01:37:14,097
l mean, it sounds like something
maybe we should try.

2046
01:37:14,138 --> 01:37:15,764
Within a few months,

2047
01:37:15,802 --> 01:37:17,776
the Rasmussen poll reported

2048
01:37:17,818 --> 01:37:20,305
that only 37% of young adults

2049
01:37:20,346 --> 01:37:23,029
now favor capitalism over socialism.

2050
01:37:23,065 --> 01:37:26,261
l hope the economy will...

2051
01:37:26,297 --> 01:37:28,435
( people cheering )

2052
01:37:28,473 --> 01:37:31,255
At 11 :00 we project Barack Obama

2053
01:37:31,289 --> 01:37:33,809
President-Elect
of the United States of America.

2054
01:37:33,849 --> 01:37:36,336
( cheering )

2055
01:38:06,134 --> 01:38:08,468
Moore:
Just two years earlier

2056
01:38:08,502 --> 01:38:10,607
had anyone predicted
this moment,

2057
01:38:10,646 --> 01:38:13,101
they would have been
considered crazy.

2058
01:38:14,326 --> 01:38:16,333
But that's how fast
things change.

2059
01:38:18,901 --> 01:38:21,290
lt was in an instant

2060
01:38:21,333 --> 01:38:24,813
a farewell to the old America.

2061
01:38:27,700 --> 01:38:31,180
The country
was electrified by his victory.

2062
01:38:31,220 --> 01:38:33,936
And suddenly people
were inspired

2063
01:38:33,972 --> 01:38:36,723
to do things they never
would have done before.

2064
01:38:37,587 --> 01:38:39,245
Like the sheriff in Detroit

2065
01:38:39,284 --> 01:38:41,967
who decided it was time
to break the law

2066
01:38:42,003 --> 01:38:44,010
in order to help the people.

2067
01:38:44,051 --> 01:38:45,993
Warren Evans:
Doesn't it seem kind of strange to you

2068
01:38:46,035 --> 01:38:49,166
they would seek a government bailout?
l thought that's not what they do.

2069
01:38:49,202 --> 01:38:52,169
1-0-1 radio.

2070
01:38:52,211 --> 01:38:55,625
l thought the free market
is you sink or swim.

2071
01:38:55,667 --> 01:38:58,928
l just saw them sink
and cry like babies

2072
01:38:58,962 --> 01:39:01,417
for assistance from everybody else.

2073
01:39:02,545 --> 01:39:06,506
Today l will be stopping
all mortgage foreclosure sales

2074
01:39:06,545 --> 01:39:08,138
in Wayne County.

2075
01:39:08,177 --> 01:39:11,657
l cannot in clear conscience
allow anymore families

2076
01:39:11,697 --> 01:39:14,118
to lose their homes
through foreclosure sales.

2077
01:39:14,160 --> 01:39:16,811
Moore:
What must the banks have thought

2078
01:39:16,848 --> 01:39:19,783
seeing the law that was set up
to protect their interests

2079
01:39:19,824 --> 01:39:21,482
being subverted?

2080
01:39:21,520 --> 01:39:24,390
Do you think the free market
has failed Detroit?

2081
01:39:24,432 --> 01:39:27,530
Well, l mean, l think that the free market
failed the country.

2082
01:39:27,568 --> 01:39:29,743
You know, this is crazy.

2083
01:39:29,743 --> 01:39:31,631
Neighborhoods that are
completely destroyed

2084
01:39:31,663 --> 01:39:33,900
because too many homes
have been foreclosed.

2085
01:39:33,935 --> 01:39:36,869
And then you wonder,
is this really America

2086
01:39:36,911 --> 01:39:38,885
or is this a third-world country?

2087
01:39:38,926 --> 01:39:40,355
Exactly what are we doing here?

2088
01:39:40,398 --> 01:39:44,359
Until things get so bad that people
can do nothing but protest,

2089
01:39:44,398 --> 01:39:46,286
and then those
are called revolutions.

2090
01:39:46,318 --> 01:39:50,147
Moore:
And sometimes revolutions begin

2091
01:39:50,190 --> 01:39:51,367
in unlikely places.

2092
01:39:51,405 --> 01:39:53,194
Wake up.

2093
01:39:53,229 --> 01:39:54,822
Moore:
Living in the back of a truck

2094
01:39:54,862 --> 01:39:58,887
after a bank foreclosed on
the home they had owned for 22 years,

2095
01:39:58,925 --> 01:40:02,186
the Trody family of Miami,
with the help of their neighbors,

2096
01:40:02,221 --> 01:40:04,555
took matters into their own hands.

2097
01:40:04,588 --> 01:40:07,458
On behalf of this family
and this community,

2098
01:40:07,501 --> 01:40:10,796
we liberate this home for this family.

2099
01:40:10,828 --> 01:40:12,650
Cut the sign down.
Take it off.

2100
01:40:12,684 --> 01:40:14,855
- ( applause )
- Yay!

2101
01:40:14,891 --> 01:40:17,509
When l say community,
y'all say power.

2102
01:40:17,548 --> 01:40:18,792
- Community!
- Power!

2103
01:40:18,827 --> 01:40:19,842
- Community!
- Power!

2104
01:40:19,884 --> 01:40:21,128
- Community!
- Power!

2105
01:40:21,163 --> 01:40:22,625
- Community!
- Power!

2106
01:40:22,667 --> 01:40:24,390
- Community!
- Power!

2107
01:40:24,427 --> 01:40:26,696
Moore: lt wasn't long
before the guy from the bank

2108
01:40:26,731 --> 01:40:28,836
who had evicted them came back.

2109
01:40:28,875 --> 01:40:30,533
See this?

2110
01:40:30,571 --> 01:40:32,163
l want you to go ahead
and take a picture of that.

2111
01:40:32,203 --> 01:40:34,504
You're trespassing.

2112
01:40:34,539 --> 01:40:36,960
We did an eviction here and the people
went back inside the property.

2113
01:40:37,002 --> 01:40:39,555
Yes.
So l need police assistance.

2114
01:40:39,593 --> 01:40:41,088
When all these houses are empty

2115
01:40:41,130 --> 01:40:43,431
the value of everybody
else's house goes down.

2116
01:40:43,466 --> 01:40:46,433
So if you can keep
these people in this house

2117
01:40:46,473 --> 01:40:48,612
that will help not only them...

2118
01:40:48,649 --> 01:40:51,496
So you see, the situation is that
the people--

2119
01:40:51,529 --> 01:40:53,438
if the bank lets them go back inside,

2120
01:40:53,481 --> 01:40:56,830
then the bank misses the opportunity
to sell the house to somebody else.

2121
01:40:56,872 --> 01:40:59,392
The banks are selling
so many houses right now.

2122
01:40:59,433 --> 01:41:02,781
Well, if the bank lets everybody
get back inside the house for free--

2123
01:41:02,824 --> 01:41:04,679
Then people will have places to live.

2124
01:41:04,712 --> 01:41:07,330
Moore: People fighting back
was an unusual sight.

2125
01:41:07,368 --> 01:41:10,270
So nine police cars
responded to the call.

2126
01:41:10,311 --> 01:41:12,220
Considering the neighborhood,

2127
01:41:12,263 --> 01:41:14,402
the response time
was impressive.

2128
01:41:14,439 --> 01:41:16,261
- You are not in charge.
- l'm not saying l'm in charge.

2129
01:41:16,295 --> 01:41:18,684
l'm saying she doesn't want to be isolated.
You don't have to answer any questions.

2130
01:41:18,727 --> 01:41:20,832
You don't have to say
anything to them, okay?

2131
01:41:20,870 --> 01:41:22,692
Moore:
But the Trodys stood their ground.

2132
01:41:22,727 --> 01:41:25,214
We don't have nowhere else to go.

2133
01:41:25,255 --> 01:41:28,037
- This was the backup plan.
- We're forced to live inside of a truck.

2134
01:41:28,070 --> 01:41:30,917
This was our plan B.
We don't have no plan C.

2135
01:41:30,950 --> 01:41:33,317
That is our grandma and it's not right.

2136
01:41:33,349 --> 01:41:35,738
She's been in this house for 22 years
and y'all gonna put her out?

2137
01:41:35,781 --> 01:41:37,690
How do you feel putting people
out of their homes

2138
01:41:37,734 --> 01:41:39,773
every single frickin' day?

2139
01:41:39,814 --> 01:41:42,115
You should rather be home
instead of do something like that.

2140
01:41:42,149 --> 01:41:45,345
Where is the money the federal
government put in the bank?

2141
01:41:45,380 --> 01:41:49,177
We should be telling you that you're
trespassing because this is our house.

2142
01:41:49,220 --> 01:41:51,641
( crowd yelling )

2143
01:41:55,268 --> 01:41:58,432
Rooted like a tree,
rooted like a tree

2144
01:41:58,467 --> 01:42:00,856
We are here

2145
01:42:00,899 --> 01:42:03,746
Stand up strong...

2146
01:42:03,779 --> 01:42:06,234
Let's go.

2147
01:42:06,275 --> 01:42:08,217
- We did good. We did good.
- All right.

2148
01:42:08,258 --> 01:42:11,422
Moore: The police and the man
from the bank were sent packing.

2149
01:42:11,458 --> 01:42:13,563
Ain't no power
like the power of the people.

2150
01:42:13,603 --> 01:42:15,774
And the power of the people don't stop.
Say what?

2151
01:42:15,810 --> 01:42:18,330
Ain't no power
like the power of the people.

2152
01:42:18,370 --> 01:42:20,825
And the power of the people don't stop.
Say what?

2153
01:42:20,866 --> 01:42:23,419
Don't leave your home.

2154
01:42:23,458 --> 01:42:24,767
Because you know what?

2155
01:42:24,801 --> 01:42:26,973
When those companies say
they have your mortgage,

2156
01:42:27,009 --> 01:42:29,824
unless you have a lawyer
that can put his finger

2157
01:42:29,857 --> 01:42:32,246
or her finger on that mortgage,
you don't have that mortgage.

2158
01:42:32,289 --> 01:42:36,086
And you're gonna find that they can't find
the paper up there on Wall Street.

2159
01:42:36,129 --> 01:42:39,958
So l say to the American people,
you be squatters in your own homes.

2160
01:42:40,000 --> 01:42:42,421
Don't you leave
in Ohio and Michigan,

2161
01:42:42,464 --> 01:42:44,536
in lndiana and lllinois
and all these other places

2162
01:42:44,576 --> 01:42:46,583
where our people are being
treated like chattel.

2163
01:42:46,624 --> 01:42:49,657
And this Congress is stymied.

2164
01:42:49,695 --> 01:42:50,939
Moore: Wow.

2165
01:42:50,975 --> 01:42:53,659
lt's not every day you get
to see a member of Congress

2166
01:42:53,695 --> 01:42:56,319
encouraging open rebellion.

2167
01:42:56,319 --> 01:42:58,457
Back in Chicago,

2168
01:42:58,495 --> 01:43:00,764
the workers at Republic
Windows & Doors

2169
01:43:00,799 --> 01:43:02,009
had a bright idea.

2170
01:43:03,582 --> 01:43:05,818
They decided
that on second thought,

2171
01:43:05,854 --> 01:43:08,920
it wasn't okay to be fired
without notice,

2172
01:43:08,958 --> 01:43:11,925
to be denied their vacation
and severance pay

2173
01:43:11,966 --> 01:43:14,868
and to have their
medical benefits cut off.

2174
01:43:16,893 --> 01:43:19,479
So they came up with a plan.

2175
01:43:19,517 --> 01:43:22,332
Tell Bank of America
and the owners of the company

2176
01:43:22,365 --> 01:43:24,754
that it was a new day in America.

2177
01:43:24,797 --> 01:43:26,652
They weren't going
to leave the building

2178
01:43:26,684 --> 01:43:29,848
until they were paid
what they were owed.

2179
01:43:29,884 --> 01:43:33,681
Yes, it was a good old fashioned
sit-down strike.

2180
01:43:36,348 --> 01:43:38,552
Man:
We understand that perhaps

2181
01:43:38,588 --> 01:43:41,719
some bad business deals
were made.

2182
01:43:41,756 --> 01:43:44,854
But guess what?
We don't make business deals.

2183
01:43:44,891 --> 01:43:47,062
We make windows and doors.

2184
01:43:47,099 --> 01:43:48,953
Why should we be punished?

2185
01:44:00,986 --> 01:44:03,222
Moore: The union organizers
and the workers

2186
01:44:03,257 --> 01:44:06,803
prepared for a police assault
that was sure to come.

2187
01:44:06,841 --> 01:44:09,361
l'm gonna take the chance.

2188
01:44:09,401 --> 01:44:11,224
You're prepared to be arrested?

2189
01:44:11,257 --> 01:44:13,396
l am prepared to be arrested
if it's necessary.

2190
01:44:13,433 --> 01:44:17,230
We've been here since yesterday
and we aren't going anywhere.

2191
01:44:17,273 --> 01:44:19,029
We are committed to this.

2192
01:44:19,064 --> 01:44:21,300
Moore:
lt wasn't long before the media showed up.

2193
01:44:21,336 --> 01:44:24,118
And given the mood of the country
toward the bailout,

2194
01:44:24,152 --> 01:44:27,949
even the TV anchors had run out
of sympathy for the banks.

2195
01:44:27,992 --> 01:44:31,570
ln Chicago, a group of factory workers
watched like the rest of us

2196
01:44:31,607 --> 01:44:34,127
as taxpayers bailed out
the financial industry.

2197
01:44:34,167 --> 01:44:37,298
Now these laid-off workers
are demanding Bank of America

2198
01:44:37,335 --> 01:44:39,921
spend some of its
bailout money on them.

2199
01:44:39,959 --> 01:44:41,966
lt says ''Bank Robbers of America.''

2200
01:44:42,006 --> 01:44:45,039
Look, if we the taxpayers
are going to provide

2201
01:44:45,079 --> 01:44:47,948
a bailout for companies
like Bank of America,

2202
01:44:47,990 --> 01:44:50,740
then the least they can do
is use those funds

2203
01:44:50,774 --> 01:44:53,163
on American workers
and companies.

2204
01:44:53,206 --> 01:44:56,206
Woman:
$25 billion to Bank of America.

2205
01:44:56,245 --> 01:44:58,514
How do people sleep at night
when they act like that?

2206
01:44:58,549 --> 01:45:00,076
l don't get it.

2207
01:45:00,117 --> 01:45:01,939
Because what's the point
of bailing them out

2208
01:45:01,973 --> 01:45:04,526
if there aren't any jobs?

2209
01:45:04,565 --> 01:45:06,986
Moore:
The strike went on day after day.

2210
01:45:07,029 --> 01:45:09,679
The police had not yet come.

2211
01:45:09,717 --> 01:45:12,400
But the son of a Chicago
steelworker did.

2212
01:45:12,436 --> 01:45:16,429
He just also happened to be
the bishop in Chicago.

2213
01:45:16,468 --> 01:45:18,377
Ladies and gentlemen,

2214
01:45:18,420 --> 01:45:20,525
l am Bishop James Wilkowski.

2215
01:45:20,563 --> 01:45:23,629
l know that you are all undergoing

2216
01:45:23,668 --> 01:45:25,609
a great trial.

2217
01:45:25,651 --> 01:45:28,269
You are teaching

2218
01:45:28,307 --> 01:45:30,576
to our young people

2219
01:45:30,610 --> 01:45:32,552
that it is just

2220
01:45:32,595 --> 01:45:36,009
to challenge
that which is unfair.

2221
01:45:37,011 --> 01:45:40,939
l grew up on the far southeast
side of Chicago

2222
01:45:40,978 --> 01:45:42,636
and l saw what happened

2223
01:45:42,674 --> 01:45:45,870
when all the steel mills
disappeared.

2224
01:45:45,906 --> 01:45:48,655
And l saw the impact that it had

2225
01:45:48,689 --> 01:45:50,380
on families.

2226
01:45:50,417 --> 01:45:52,239
But this time

2227
01:45:52,273 --> 01:45:54,248
we are with you.

2228
01:45:54,289 --> 01:45:57,104
And we will not abandon you.

2229
01:45:57,136 --> 01:45:59,046
ln the name of the Father
and the Son

2230
01:45:59,089 --> 01:46:00,649
and the Holy Spirit.
Amen.

2231
01:46:00,688 --> 01:46:02,576
The body of Christ.

2232
01:46:04,784 --> 01:46:06,344
The body of Christ.

2233
01:46:08,784 --> 01:46:10,245
The body of Christ.

2234
01:46:12,495 --> 01:46:15,178
President Obama:
When it comes to the situation

2235
01:46:15,215 --> 01:46:18,476
here in Chicago
with the workers

2236
01:46:18,511 --> 01:46:22,220
who are asking for the benefits
and payments

2237
01:46:22,255 --> 01:46:24,840
that they have earned,
l think they're absolutely right.

2238
01:46:24,878 --> 01:46:28,261
( cheering )

2239
01:46:28,302 --> 01:46:31,433
What's happening to them
is reflective of what's happening

2240
01:46:31,470 --> 01:46:33,357
across this economy.

2241
01:46:33,390 --> 01:46:35,910
Reporter: He said, ''What's happening to
them is reflective of what's happening...''

2242
01:46:35,950 --> 01:46:37,804
Reporter #2: He said what is
happening to those workers

2243
01:46:37,838 --> 01:46:40,325
is reflective to what's happening
across this economy.

2244
01:46:40,366 --> 01:46:43,115
l was watching Obama's press
conference this morning.

2245
01:46:43,149 --> 01:46:45,353
l just got out of bed and decided

2246
01:46:45,389 --> 01:46:48,007
the best thing l could do
was to feed people.

2247
01:46:48,045 --> 01:46:49,474
So l brought some food.

2248
01:46:49,516 --> 01:46:51,720
- l brought some sandwiches.
- Oh, good.

2249
01:46:51,756 --> 01:46:55,400
Moore: ln fact, lots of Chicagoans
showed up to support the workers.

2250
01:46:55,436 --> 01:46:56,930
Reporter: The workers have become
a national symbol

2251
01:46:56,972 --> 01:46:58,914
for thousands of employees
laid off across the country.

2252
01:46:58,956 --> 01:47:01,095
Reporter #2: The sit-in has grabbed
the attention of politicians

2253
01:47:01,132 --> 01:47:04,612
who believe it exemplifies an imbalance
between a Wall Street

2254
01:47:04,651 --> 01:47:08,295
that gets government help
and a Main Street that gets the shaft.

2255
01:47:08,331 --> 01:47:10,240
Moore:
The question started to be asked:

2256
01:47:10,282 --> 01:47:12,649
Was this is the beginnings of a worker's
revolt against Wall Street?

2257
01:47:15,146 --> 01:47:17,186
The people united.

2258
01:47:17,226 --> 01:47:19,201
We'll never be defeated.

2259
01:47:19,242 --> 01:47:22,919
Bail out workers, not the banks.
Bail out workers, not the banks.

2260
01:47:22,954 --> 01:47:27,110
Moore: Pledges of financial support
and food showed up by the truckload.

2261
01:47:27,146 --> 01:47:30,375
Woman: lt's really beyond
what we had at first initially imagined.

2262
01:47:30,409 --> 01:47:33,092
And so now we're dreaming a little bit.

2263
01:47:33,129 --> 01:47:35,998
We even had a conversation--
well, what if we just tried

2264
01:47:36,041 --> 01:47:37,699
to run the factory like a cooperative?

2265
01:47:37,737 --> 01:47:39,678
We don't have any money.
We're not capitalists.

2266
01:47:39,721 --> 01:47:42,688
We're having those kind
of conversations

2267
01:47:42,728 --> 01:47:45,346
and the workers are thinking about it
and it's a difficult thing

2268
01:47:45,384 --> 01:47:47,555
'cause, you know, if you've been
told your whole life

2269
01:47:47,592 --> 01:47:50,755
that things are the way
other people tell you they are,

2270
01:47:50,792 --> 01:47:52,701
to be able to think
l can make it different

2271
01:47:52,743 --> 01:47:55,710
is quite a big deal.

2272
01:47:57,831 --> 01:48:00,383
We're all over the national news.
Everyone is watching you

2273
01:48:00,423 --> 01:48:03,619
because they're so inspired by you.
( speaks Spanish )

2274
01:48:06,182 --> 01:48:07,938
Moore:
After six days of the sit-in

2275
01:48:07,975 --> 01:48:11,073
Bank of America decided
enough was enough.

2276
01:48:11,109 --> 01:48:13,214
Better to pay off
these workers now

2277
01:48:13,254 --> 01:48:16,483
and hope their little
revolution goes away.

2278
01:48:16,517 --> 01:48:20,095
And so the bank and the company
agreed to all the worker's demands.

2279
01:48:20,133 --> 01:48:22,915
Yes we did!
Yes we did!

2280
01:48:22,949 --> 01:48:26,462
The average package for each worker

2281
01:48:26,501 --> 01:48:30,210
will be very close to $6,000.

2282
01:48:30,245 --> 01:48:33,343
But this is about more
than just money.

2283
01:48:33,380 --> 01:48:36,697
lt's about what can be achieved

2284
01:48:36,740 --> 01:48:40,569
when workers organize
and stand up for justice.

2285
01:48:40,612 --> 01:48:42,587
Just to fight--
fight fight fight fight fight

2286
01:48:42,628 --> 01:48:44,897
just to get the most basic thing

2287
01:48:44,931 --> 01:48:46,622
that people should take for granted

2288
01:48:46,659 --> 01:48:50,303
and that's legally theirs.

2289
01:48:50,339 --> 01:48:54,179
We just fight so hard just for
the most basic things in life.

2290
01:48:56,386 --> 01:48:59,386
Moore: lt's a fight we knew
all too well in Flint, Michigan.

2291
01:48:59,426 --> 01:49:02,655
For it was here that my uncle
and his fellow workers

2292
01:49:02,690 --> 01:49:05,308
first brought down the mighty
corporate interests

2293
01:49:05,346 --> 01:49:06,939
that dominated their lives.

2294
01:49:09,089 --> 01:49:12,351
lt was the day before
New Year's Eve in 1936.

2295
01:49:12,385 --> 01:49:15,680
Hundreds of men and women
took over the GM factories in Flint

2296
01:49:15,713 --> 01:49:17,949
and occupied them for 44 days.

2297
01:49:19,745 --> 01:49:22,973
They were the first union that beat
an industrial corporation.

2298
01:49:23,008 --> 01:49:25,212
And their actions eventually resulted

2299
01:49:25,248 --> 01:49:27,615
in the creation of a middle class.

2300
01:49:27,648 --> 01:49:30,648
But back in these days of the Flint
sit-down strike,

2301
01:49:30,687 --> 01:49:34,843
the police and the company thugs
were not going to just stand by.

2302
01:49:34,879 --> 01:49:38,326
After a bloody battle one evening,
the Governor of Michigan,

2303
01:49:38,367 --> 01:49:41,400
with the support of the President
of the United States

2304
01:49:41,439 --> 01:49:45,083
Franklin Roosevelt,
sent in the National Guard.

2305
01:49:45,119 --> 01:49:48,980
But the guns of the soldiers
weren't used on the workers.

2306
01:49:49,022 --> 01:49:50,615
They were pointed at the police

2307
01:49:50,654 --> 01:49:52,541
and the hired goons,

2308
01:49:52,574 --> 01:49:55,956
warning them to leave
these workers alone.

2309
01:49:57,054 --> 01:49:59,771
For Mr. Roosevelt believed
that the men inside

2310
01:49:59,805 --> 01:50:03,798
had a right to a redress
of their grievances.

2311
01:50:05,085 --> 01:50:08,184
Seven years later,
President Roosevelt was too sick

2312
01:50:08,220 --> 01:50:11,897
to go up to the Capitol and give his
annual State of the Union Address.

2313
01:50:11,932 --> 01:50:13,688
Ladies and gentlemen,

2314
01:50:13,725 --> 01:50:16,474
the President of the United States.

2315
01:50:16,508 --> 01:50:20,850
lt has been my custom to deliver
these annual messages in person.

2316
01:50:20,892 --> 01:50:23,794
Moore: So he gave it from
the White House over the radio.

2317
01:50:23,835 --> 01:50:26,769
When it was over he asked
the newsreel cameras

2318
01:50:26,812 --> 01:50:29,746
to step into his room because he
wanted the American people

2319
01:50:29,787 --> 01:50:33,267
to see one particular part
of his speech.

2320
01:50:33,307 --> 01:50:36,787
The President of the United States
then took the radical step

2321
01:50:36,826 --> 01:50:39,411
of proposing a second Bill of Rights

2322
01:50:39,450 --> 01:50:40,791
to the Constitution.

2323
01:50:40,826 --> 01:50:44,306
ln our day certain economic truths

2324
01:50:44,345 --> 01:50:47,411
have become accepted
as self-evident.

2325
01:50:47,450 --> 01:50:49,904
A second Bill of Rights

2326
01:50:49,946 --> 01:50:53,557
under which a new basis of security
and prosperity

2327
01:50:53,593 --> 01:50:55,764
can be established for all

2328
01:50:55,801 --> 01:50:59,346
regardless of station
or race or creed.

2329
01:50:59,385 --> 01:51:02,068
Among these are:

2330
01:51:02,104 --> 01:51:05,901
The right to a useful
and remunerative job;

2331
01:51:05,944 --> 01:51:09,260
The right to earn enough to provide
adequate food

2332
01:51:09,303 --> 01:51:10,797
and clothing and recreation;

2333
01:51:10,840 --> 01:51:13,261
The right of every farmer

2334
01:51:13,303 --> 01:51:15,637
to raise and sell his products

2335
01:51:15,671 --> 01:51:18,671
at a return which will
give him and his family

2336
01:51:18,711 --> 01:51:20,980
a decent living;

2337
01:51:21,015 --> 01:51:24,790
The right of every businessman
large and small

2338
01:51:24,822 --> 01:51:28,051
to trade in an atmosphere of freedom,

2339
01:51:28,087 --> 01:51:31,632
freedom from unfair competition
and domination

2340
01:51:31,670 --> 01:51:34,670
by monopolies at home or abroad;

2341
01:51:34,710 --> 01:51:38,026
The right of every family
to a decent home;

2342
01:51:38,069 --> 01:51:41,549
The right to adequate medical care

2343
01:51:41,589 --> 01:51:45,331
and the opportunity to achieve
and enjoy good health;

2344
01:51:45,365 --> 01:51:48,561
The right to adequate protection

2345
01:51:48,597 --> 01:51:51,858
from the economic fears
of old age,

2346
01:51:51,892 --> 01:51:54,281
sickness, accidents

2347
01:51:54,324 --> 01:51:56,080
and unemployment;

2348
01:51:56,116 --> 01:51:59,051
The right to a good education.

2349
01:51:59,092 --> 01:52:03,314
All of these rights spell security.

2350
01:52:03,348 --> 01:52:06,250
And after this war is won,

2351
01:52:06,291 --> 01:52:09,520
we must be prepared
to move forward

2352
01:52:09,555 --> 01:52:12,522
in the implementation
of these rights

2353
01:52:12,562 --> 01:52:16,174
to new goals of human happiness
and wellbeing.

2354
01:52:16,210 --> 01:52:20,520
For unless there is security
here at home,

2355
01:52:20,562 --> 01:52:25,199
there cannot be lasting peace
in the world.

2356
01:52:34,257 --> 01:52:37,421
Moore: Roosevelt would be dead
in little over a year.

2357
01:52:40,113 --> 01:52:43,309
He would not live to see
the end of the war.

2358
01:52:43,344 --> 01:52:47,021
Nor would there be any enactment
of his new Bill of Rights.

2359
01:52:54,191 --> 01:52:57,060
Had he lived and succeeded,

2360
01:52:57,103 --> 01:52:59,340
every American,
regardless of race,

2361
01:52:59,375 --> 01:53:02,375
would have had a right
to a decent job...

2362
01:53:05,199 --> 01:53:06,726
a livable wage...

2363
01:53:09,198 --> 01:53:10,540
universal health care...

2364
01:53:12,494 --> 01:53:14,152
a good education...

2365
01:53:16,494 --> 01:53:18,566
an affordable home...

2366
01:53:20,621 --> 01:53:22,792
a paid vacation...

2367
01:53:26,445 --> 01:53:28,965
and an adequate pension.

2368
01:53:31,692 --> 01:53:34,180
None of this would come to pass.

2369
01:53:36,172 --> 01:53:40,328
No American would be
guaranteed any of this.

2370
01:53:43,788 --> 01:53:46,308
But the people of Europe and Japan

2371
01:53:46,347 --> 01:53:48,933
got every one of these rights.

2372
01:53:48,971 --> 01:53:51,524
How did that happen?

2373
01:53:51,563 --> 01:53:56,102
After the war, the people
of Roosevelt's administration

2374
01:53:56,138 --> 01:53:58,985
went overseas
to help rebuild Europe.

2375
01:53:59,018 --> 01:54:02,847
During this time new constitutions
were written

2376
01:54:02,890 --> 01:54:07,167
for the defeated nations
of Germany, ltaly and Japan.

2377
01:54:07,210 --> 01:54:09,795
The ltalian constitution

2378
01:54:09,833 --> 01:54:12,680
guaranteed all women equal rights.

2379
01:54:12,713 --> 01:54:15,396
And this was 1947.

2380
01:54:15,433 --> 01:54:19,426
The German constitution
said that the state has the right

2381
01:54:19,465 --> 01:54:22,760
to take over property
and the means of production

2382
01:54:22,793 --> 01:54:24,615
for the common good.

2383
01:54:24,648 --> 01:54:27,583
And here's what we wrote up
for the Japanese.

2384
01:54:27,624 --> 01:54:30,885
All workers have a right
to organize into a union.

2385
01:54:30,920 --> 01:54:34,597
And academic freedom
is guaranteed.

2386
01:54:34,631 --> 01:54:37,380
For the next 65 years

2387
01:54:37,415 --> 01:54:39,389
we would not become the country

2388
01:54:39,431 --> 01:54:41,253
that Roosevelt wanted us to be.

2389
01:54:42,375 --> 01:54:45,887
lnstead, we became this...

2390
01:54:53,158 --> 01:54:55,744
l remember thinking
during the Katrina flood,

2391
01:54:55,782 --> 01:54:57,637
''Why is it always the poor

2392
01:54:57,669 --> 01:54:59,425
who have to suffer the misery?

2393
01:54:59,462 --> 01:55:01,796
Why isn't it ever Bernie Madoff
up on the roof

2394
01:55:01,829 --> 01:55:03,455
screaming for help?

2395
01:55:03,493 --> 01:55:05,184
Or the head of Citibank

2396
01:55:05,221 --> 01:55:08,570
or the hedge fund guys
at Goldman Sachs?

2397
01:55:08,613 --> 01:55:11,580
Or the CEO at AlG?''

2398
01:55:11,620 --> 01:55:13,759
lt never is these guys, is it?

2399
01:55:13,796 --> 01:55:17,374
lt's always those who
never got a slice of the pie

2400
01:55:17,412 --> 01:55:19,616
because these men
took it all

2401
01:55:19,652 --> 01:55:21,790
and left them with nothing,

2402
01:55:21,828 --> 01:55:23,518
left them to die.

2403
01:55:25,955 --> 01:55:28,638
l refuse to live in a country like this.

2404
01:55:28,675 --> 01:55:30,683
And l'm not leaving.

2405
01:55:44,034 --> 01:55:47,230
We live in the richest
country in the world.

2406
01:55:47,266 --> 01:55:50,713
We all deserve a decent job,

2407
01:55:50,754 --> 01:55:54,365
healthcare, a good education,

2408
01:55:54,401 --> 01:55:57,499
a home to call our own.

2409
01:55:57,536 --> 01:55:59,958
We all deserve FDR's dream.

2410
01:56:01,536 --> 01:56:03,707
And it's a crime that we don't have it.

2411
01:56:04,928 --> 01:56:06,488
And we never will,

2412
01:56:06,528 --> 01:56:09,844
as long as we have a system
that enriches the few

2413
01:56:09,888 --> 01:56:12,189
at the expense of the many.

2414
01:56:13,792 --> 01:56:16,247
Capitalism is an evil.

2415
01:56:16,287 --> 01:56:18,262
And you cannot regulate evil.

2416
01:56:20,287 --> 01:56:23,931
You have to eliminate it
and replace it with something

2417
01:56:23,967 --> 01:56:26,868
that is good for all people.

2418
01:56:26,911 --> 01:56:30,707
And that something
is called democracy.

2419
01:56:43,133 --> 01:56:45,555
Crimes have been committed
in this building.

2420
01:56:45,597 --> 01:56:48,247
l am here to make a citizen's arrest.

2421
01:56:48,285 --> 01:56:51,634
Please come down
and step away from the building.

2422
01:56:51,677 --> 01:56:53,782
Do not be afraid.

2423
01:56:53,820 --> 01:56:56,635
Federal prison is a nice place.

2424
01:57:00,540 --> 01:57:03,387
You know,
l can't really do this anymore

2425
01:57:03,419 --> 01:57:06,289
unless those of you who
are watching this in the theater

2426
01:57:06,332 --> 01:57:08,306
want to join me.

2427
01:57:08,347 --> 01:57:10,289
l hope you will.

2428
01:57:10,331 --> 01:57:12,949
And please, speed it up.

2429
01:57:14,682 --> 01:57:18,457
Arise ye workers
from your slumber

2430
01:57:18,490 --> 01:57:21,752
Arise ye prisoners of want,
that's right

2431
01:57:21,786 --> 01:57:25,747
For reason in revolt
now thunders

2432
01:57:25,786 --> 01:57:28,568
Chains of hatred, greed
and fear

2433
01:57:28,602 --> 01:57:32,879
Away with all
your superstitions

2434
01:57:32,921 --> 01:57:36,750
Servile masses arise, arise

2435
01:57:36,793 --> 01:57:40,405
We'll change henceforth
the old tradition

2436
01:57:40,441 --> 01:57:43,790
And spurn the dust
to win the prize

2437
01:57:43,832 --> 01:57:47,509
So comrades, come on and rally

2438
01:57:47,544 --> 01:57:51,188
And the last fight let us face

2439
01:57:51,224 --> 01:57:54,540
The lnternationale

2440
01:57:54,584 --> 01:57:58,544
Unites the whole darn
human race

2441
01:57:58,583 --> 01:58:00,721
So comrades, come on

2442
01:58:00,759 --> 01:58:02,417
Let's go rally

2443
01:58:02,455 --> 01:58:06,033
And the last fight let us face

2444
01:58:06,070 --> 01:58:09,332
The lnternationale

2445
01:58:09,366 --> 01:58:13,457
Unites the whole darn human race

2446
01:58:13,494 --> 01:58:17,290
No more deluded by reaction

2447
01:58:17,333 --> 01:58:20,595
On tyrants only we'll make war

2448
01:58:20,629 --> 01:58:24,688
The soldiers too will take strike action

2449
01:58:24,725 --> 01:58:27,627
They'll break ranks and fight no more

2450
01:58:27,669 --> 01:58:31,662
And if those cannibals keep trying

2451
01:58:31,701 --> 01:58:35,148
To sacrifice us to their pride

2452
01:58:35,188 --> 01:58:39,116
Each at the forge must do their duty

2453
01:58:39,156 --> 01:58:42,570
And we'll strike while the iron is hot

2454
01:58:42,612 --> 01:58:46,473
So comrades, come on, let's go rally

2455
01:58:46,516 --> 01:58:50,160
And the last fight let us face

2456
01:58:50,195 --> 01:58:53,228
The lnternationale

2457
01:58:53,267 --> 01:58:57,423
Unites the whole beautiful
human race

2458
01:58:57,458 --> 01:59:01,102
So comrades, come on, let's go rally

2459
01:59:01,138 --> 01:59:05,000
And the last fight let us face

2460
01:59:05,042 --> 01:59:08,042
The lnternationale

2461
01:59:08,082 --> 01:59:13,646
Unites the whole darn
human race.

2462
01:59:28,752 --> 01:59:31,599
Jesus Christ was a man

2463
01:59:31,632 --> 01:59:34,087
That traveled through the land

2464
01:59:34,127 --> 01:59:39,113
A carpenter true and brave

2465
01:59:39,151 --> 01:59:41,671
And he said to the rich

2466
01:59:41,711 --> 01:59:44,132
Give your goods to the poor

2467
01:59:44,174 --> 01:59:49,062
And they laid Jesus Christ
in the grave

2468
01:59:49,102 --> 01:59:51,753
He went to the sick

2469
01:59:51,790 --> 01:59:54,474
And he went to the poor

2470
01:59:54,510 --> 01:59:56,998
And he went to the hungry

2471
01:59:57,038 --> 01:59:59,493
And the lame

2472
01:59:59,533 --> 02:00:01,835
And he said that the meek

2473
02:00:01,869 --> 02:00:04,619
Would inherit the whole world

2474
02:00:04,653 --> 02:00:09,475
And they laid Jesus Christ in the grave

2475
02:00:10,604 --> 02:00:12,360
One day Jesus stopped

2476
02:00:12,397 --> 02:00:15,080
At a rich man's door

2477
02:00:15,116 --> 02:00:19,873
What must l do to be saved?

2478
02:00:20,844 --> 02:00:22,917
Take all you own

2479
02:00:22,956 --> 02:00:25,290
And give it to the poor

2480
02:00:25,324 --> 02:00:30,277
And they laid Jesus Christ in the grave

2481
02:00:30,315 --> 02:00:32,704
When the love of the poor

2482
02:00:32,747 --> 02:00:35,332
Shall one day turn to hate

2483
02:00:35,371 --> 02:00:37,891
When the patience of the workers

2484
02:00:37,930 --> 02:00:40,297
Gives away

2485
02:00:40,330 --> 02:00:43,232
lt would better for the rich

2486
02:00:43,274 --> 02:00:45,696
lf they'd never been born

2487
02:00:45,738 --> 02:00:50,375
So they laid Jesus Christ in the grave

2488
02:00:56,041 --> 02:00:58,561
When Jesus came to town

2489
02:00:58,601 --> 02:01:01,056
All the working folks around

2490
02:01:01,097 --> 02:01:06,115
Believed what he did say

2491
02:01:06,152 --> 02:01:09,054
But bankers and preachers

2492
02:01:09,096 --> 02:01:11,235
Nailed him to the cross

2493
02:01:11,272 --> 02:01:16,061
And they laid Jesus Christ in the grave

2494
02:01:16,104 --> 02:01:18,754
Well, the people held their breath

2495
02:01:18,792 --> 02:01:21,541
When they heard about his death

2496
02:01:21,575 --> 02:01:26,594
And everybody wondered why

2497
02:01:26,631 --> 02:01:29,664
lt was the landlord and soldiers

2498
02:01:29,703 --> 02:01:31,742
Lawmen they had hired

2499
02:01:31,783 --> 02:01:36,834
That nailed Jesus Christ in the sky

2500
02:01:36,870 --> 02:01:39,587
We would lay Jesus Christ

2501
02:01:39,621 --> 02:01:42,141
ln the grave, Lord, Lord

2502
02:01:42,182 --> 02:01:46,110
We would lay Jesus Christ
in the grave

2503
02:01:47,077 --> 02:01:49,565
lf Jesus preached today

2504
02:01:49,605 --> 02:01:52,256
Like he preached in Galilee

2505
02:01:52,293 --> 02:01:56,930
They would lay Jesus Christ
in his grave.