Week of May 7th, 2018

We break down what Michael Cohen's consulting for AT&T means. Plus, we talk NAFTA ahead of Paul Ryan's May 17 deadline.

Some fear noise and explosions. Others see a boost to tourism and a spot on the world map.

How are government programs such as SNAP affected by old and new ways of doing business?

Illegal betting is a $150 billion industry. Will it be taxed?

One expert says the monthlong suspension could impact an estimated $400 million worth of trade.

For every 100 books published by leading romance publishers in 2017, only 6.2 were written by people of color.

Why is it harder for the government to innovate than for the private sector? Plus, the U.S. Supreme Court is about to rule on sports betting. And those in the romance novel industry are pushing for more diverse representation in traditional publishing.

Home equity loans have become harder to obtain since the financial crisis.

During an Indiana rally on Thursday night, President Donald Trump and Vice President Mike Pence praised their administration's work, including the 2017 tax bill.

(Markets Edition) Top auto industry executives meet with President Trump at the White House today. Trump’s EPA and the Department of Transportation have drafted a proposal outlining eight different options for rolling back fuel efficiency standards in new cars.  Car buyers like fuel efficient cars, though….so automakers want to see regulations relax, but, not too much. And on the two year anniversary of the Brexit announcement, there still doesn’t seem to be a consensus building about how borders will function. Plus, we take a look at a bipartisan bill aimed at prison reform that advanced in the House this week and would require that the Federal Bureau of Prisons place some 180-thousand inmates closer to home.

(U.S. Edition) Home equity lines of credit have hit a 9-year high…but are we forgetting the risks? Plus, we run down the Presidents’ promise to lower drug companies’ prices for consumers, a currency exchange network the U.S. government believes is funneling cash to Iran’s revolutionary guard and a scam a little closer to home you may want to pay attention to: a robo-call known as neighbor-spoofing. The FCC just fined a Florida man $120 million for making nearly 100 million such calls.

The pistachio industry has zigzaged along with our diplomatic relationship with Iran.

(Global Edition) From the BBC World Service… the European Commission’s president appealed for unity in Europe at a time when a number of governments are questioning the appeal of the bloc. Then, UNICEF, the UN children’s agency, is warning that 400 thousand children in central Africa are dying of starvation. What’s contributing to the crisis and how can the agency help those in need? Afterwards, it’s 30 years since former British prime minister Margaret Thatcher laid the stone for a new financial center in London. We’ll take you there and explore how global firms are helping the area evolve. 

Cryptocurrency may have its disruptive eye cast toward venture capital. The initial coin offering is a type of crypto-crowdfunding that startups can use to raise cash quickly without kissing the Silicon Valley ring. But do ICOs really have the potential to replace venture capital for startups? Marketplace Tech host Molly Wood spoke with Yuliya Chernova, who covers venture capital for the Wall Street Journal, about the pros and cons of ICOs. 

Initial coin offerings let startups skip venture capital funding, but will they last?

The president is set to talk about his plans to lower the price of drugs on Friday.

Tokyo expected treatment equal to that of the European Union, one expert says.

What one couple found after a 100,000-mile multiyear trip crisscrossing America's small towns.

(Markets Edition) A new report from the World Bank finds that not many people are in much of the developing world, where upward mobility has stalled for the past 30 years. The U.S. isn’t doing all that well either — they fall smack in the middle of a list of 140 countries when it comes to the possibility of climbing the socioeconomic ladder. In slightly more positive economic news, low unemployment has us in a tight labor market. But it may also be some of the job searching technology that is prolonging the time it makes companies to make hires. Plus, we go to Leavenworth, Kansas, where we explore why many active duty members of the U.S. military don’t have enough food to feed their families.  

Puerto Ricans in FEMA's transitional shelter program worry about where they'll go when the program ends June 30.

(Global Edition) From the BBC World Service… It’s not often a near $5 billion fine is a good thing, but for the Royal Bank of Scotland, it marks the start of what will be the biggest privatization  in UK history. Then, a rate rise at its May meeting was almost certain for the Bank of England just a couple of weeks ago. But today, the British central bank will almost certainly keep rates on hold. We’ll tell you why. Afterwards,  Tabasco is celebrating its 150th birthday this year. The CEO of the family-run Louisiana brand shares the secret sauce to success.  

The online-video pioneer is shifting its focus to creators amid competition from YouTube and Netflix.

The online video company Vimeo is switching gears, moving from being a place to watch videos … to being a place that helps people create videos. The company’s new CEO, Anjali Sud, was the person behind the pivot. She speaks with Marketplace Tech host Molly Wood about Vimeo’s change in focus.

AI can generate trillions for companies, according to a new report from the McKinsey Global Institute.

(U.S. Edition) On the occasion of a White House summit for companies on how they can best utilize artificial intelligence, we talk about how regulations lag behind AI, which has broken out of the realm of science fiction and is being used in smartphones, self driving cars and drones. We also talk to the director of the McKinsey Global Institute, which released a new report on the real and practical uses of AI for businesses trying to understand information and supply chains. Plus, China’s fourth-largest cell phone brand has halted most of their operations less than a month after the U.S. Commerce Department banned American companies from supplying them parts like microchips, which they rely on. Is it an indicator of a new cold war between the U.S. and China?

Bob Iger was less than two years into his role as CEO of Disney when he talked to host Kai Ryssdal back in 2007. For the first time, hear their extended conversation on everything from buying Pixar, experimenting with streaming, and why Iger really wanted to work with George Lucas.

What do BMW, Cadillac, Ford, Lincoln, Mercedes, Porsche and Volvo have in common? They're all offering car subscriptions that let drivers rent vehicles by the month for a flat fee that includes maintenance and insurance.

(Markets Edition) Now that the U.S. is out, it’s up to other global forces to make the nuclear agreement survive. We discuss that possibility, and also take a look at the impact the sanctions could have on the markets. Plus, the California Energy Commission is set to vote on a proposal to require solar panels on new single family homes. The construction costs are steep, but could be outweighed by the amount the solar panels could save in utilities costs.

(U.S. Edition) European countries including Russia say they’re still in the nuclear agreement, and the U.S. Treasury has given companies 90 or 180 days to wind down business with Iran. This affects banking, finance, commodities, shipping, insurance and, of course, oil exports. But the markets are doing okay so far, meaning maybe everyone’s getting used to President Trump’s fractious moves being smoothed over later by more reasonable decisions. And in other news, we bring you the findings of a venture capitalist who visited schools in all 50 states and has a lot to say about standardized testing and the way we treat teachers. 

Ted Dintersmith argues that these tests are more about rote memorization.

In Germany, officials are confident that the European leaders will broker a deal that avoids U.S. punishment.

(Global Edition) From the BBC World Service… As the US exits the Iran nuclear deal, European nations hope to stick with it. But what’s the feeling from business leaders on this side of the world, and how are they weighing the risks of potentially losing access to the world’s biggest economy? Then, Argentina is looking for a deal with the International Monetary Fund to help stabilize a plunge in its currency and high inflation. But how will the IMF respond after a meeting with the country today? Afterwards, we explore the root of the problem forcing Madagascar vanilla prices higher. 

Mignon Clyburn says she can be a more effective consumer advocate outside of the agency.

A retiring FCC commissioner on how politics and technology have both gotten a little out of hand.

Mignon Clyburn has been a commissioner on the Federal Communications Commission for nine years — which is forever if you think of how technology has changed in that period.  During her tenure, she’s been a staunch advocate for consumers, backing net neutrality rules and an expansion of the Lifeline Program. But some of the policies she backed have since been reversed. Commissioner Clyburn spoke with Marketplace Tech host Molly Wood about her tenure at the FCC — and the partisan nature of the agency. 

One former journalist left the newsroom for the family business. The reason? A lower cost of living.

Trump’s decision means Iran’s government must now decide whether to follow the U.S. and withdraw or try to salvage what’s left of the deal.

Maybe the problem is that our “free” markets are *not free enough.*

(Markets Edition) With a decision on the way from Washington about the Iran deal, we look at what’s next depending on if President Trump makes a hard or soft exit. If he decides to punish everyone who does business with Iran, it could be a very tricky situation for U.S. allies to negotiate. Plus, there’s a liquidity problem in real financial markets, including some bonds. We talk with a chief economist at investment adviser Payden & Rygel about why this is occurring.

As schools look for safety solutions, the security industry grows.

Is there a liquidity problem in some real financial markets?

Low-wage workers have jobs, but many still live in poverty. So thousands of them, along with clergy and activists, are working to try and change that.

(Global Edition) From the BBC World Service… President Trump today will decide the future of America’s participation in the Iran nuclear deal. Ahead of any announcement, Iran’s president has this morning vowed to continue the country’s domestic development in the face of any possible new sanctions from the US. So if the US exits the pact, how will Iran respond? Then, exporting charcoal from Somalia has been banned since 2012, but the illegal trade and use of the product has led to ongoing environmental destruction in the region and exacerbated a humanitarian crisis. We’ll talk to a UN representative taking part in meetings this week in  Mogadishu to try and stop the illegal practice and money flowing through militant groups. Afterwards, a new study says global tourism accounts for 8% of carbon emissions – three times higher than previous estimates. So, how can you be a more economically-sensitive traveller?

The data we generate daily could be seen as labor. "I do think people are starting to wake up to this," one researcher says.

(U.S. Edition) We’ve got some big decisions coming out of the White House today: President Trump will announce whether he’s pulling out of the Iran nuclear deal and he’ll be sending up a “rescission” package asking Congress to claw back their spending. We discuss what programs this money will come from. Plus, executives from five prescription drug wholesalers will testify in front of the House Energy and Commerce Committee today regarding pill dumping, or how 30 million doses of opioids ended up in a rural Kentucky county with 27,000 inhabitants over 6 years. And we go to Memphis, where a revival of Dr. Martin Luther King, Jr.’s Poor People’s Campaign is kicking off to bring attention to low-wage workers under the poverty line.

Facebook may be considering an ad-free subscription model that would let you pay to opt out of sharing your habits and personal information. But that raises the question: Why should we pay Facebook not to take our information instead of the other way around? A new book, called “Radical Markets: Uprooting Capitalism and Democracy for a Just Society,” suggests that all of us are working as unpaid data laborers. Glen Weyl, one of the authors and a principal researcher at Microsoft, spoke about the topic with Marketplace’s Molly Wood.  

Someone had to pay for American colonies. Enter the British merchants adventurers.

Many candidates fear the Trump administration is actively stifling science.

Restaurants and other food outlets with more than 20 locations have to publicly display calorie counts. Test your calorie count prediction talents with our quiz.

(Markets Edition) Starting today, restaurants with more than 20 locations must post calorie counts, meaning we could see companies change up recipes and portion sizes to shave down those numbers. That’s what happened when New York started requiring them a decade ago. Plus, what the rising price of oil has to do with sanctions on Iran, industrial material costs and wage stagnation. And later today, we’ll hear the Federal Reserve’s tally of total consumer debt, which has us wondering… who cares?

An official recommendation was made to not put retirement plans at risk by investing in stocks that focus on environmental social governance, or ESG.

(U.S. Edition) That’s what the Labor Department is suggesting with a new announcement that socially responsible investments could be a violation of a company’s fiduciary responsibility. In other words, considering values other than traditional measures like profits and losses when running a retirement plan is frowned-upon, though not outlawed. What does this mean for the future of “ethical” investing? We talk to Senior Economics contributor Chris Farrell to find out. Plus, the price of crude oil crossed above $70 per barrel today, the highest it’s been since 2014.

How do we teach autonomous vehicles to navigate rural roads, where every bump hasn't been mapped?

Lots of companies are working on self-driving car technology, and whoever gets there first will be positioned to make billions. But as the recent fatal accident in Arizona involving an Uber autonomous vehicle made clear, the technology is still faulty. One of the things that needs to get a lot better is how cars take in and respond to the world around them. Part of that is learning how to navigate back roads, where every bump and pothole hasn’t been intricately mapped. MIT’s Daniela Rus has research out today to help solve the problem — she talks about it with Marketplace’s Amy Scott. 

(Global Edition) From the BBC World Service…Russian President Vladimir Putin, who’s been in power for 18 years, has been sworn in for another term. But it’s fuelling criticism he’s more like a czar than an elected leader. Then, as you brew your morning cup of Joe, sip on this: Starbucks and Nestle have agreed to a new $7 billion deal. We’ll tell you what it means for your daily coffee ritual. Afterwards, saffron has long been the world’s most expensive spice. But did you know Madagascar vanilla is now second on that list? We’ll explain what’s boosting the price, and how it’s likely to impact dessert lovers all over the world.