Thursday, March 12 2009

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Thursday, March 12, 2009

Coming off the Dow? A rumored fate for Citigroup and GM

Rumor has it that Citigroup and GM may soon be removed from the Dow Jones Industrial Average. If this happens, who would take their place? John Prestbo, Editor and Executive Director of the Dow Jones Indexes and Chairman of the Dow Jones Index Oversight Committee joins The Takeaway with a look at who makes it on the Dow and why.

"We're running an index, not a portfolio. So it's not like we're making investment decisions, we're making representation decisions."
— John Prestbo, chariman of the Dow Jones Index Oversight Committee, on the Dow as an economic indicator

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The voice of debt collection, literally

In every economic downturn there are industries that prove to be recession proof. And aside from business models that avoid losses in profits, are the ones that do better in tough economic times. Take debt collection work and the actual people who do voice over work for debt collection companies; an occupation that is growing.

Joining The Takeaway are two debt collection voice over artists who use their pipes to get debtors to fork over their money. Donna Mack is a freelance voice over artist and Gerry Burke works for CSG systems.

"I can only get so mean, though, because like I said, they hire me to be the compassionate, businesslike voice."
— Voice-over artist Donna Mac, on being the voice of debt collection agencies

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Pakistani lawyers take to the streets in protest

In Pakistan, lawyers and opposition activists launched a cross country protest to confront the civilian government which has banned rallies and detained hundreds of activists. The long march was called for by former prime minister Nawaz Sharif to press for an independent judiciary, and to restore the Supreme Court chief justice. This would destabilize the year-old government of President Asif Ali Zardari. Joining the Takeaway is Aamir Gauhri, a Pakistani analyst, formerly with the BBC who is currently writing a book on civil and military relations in Pakistan.

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Which states are more likely to forego landlines for cell phones?

Utah and Oklahoma have the highest rate of households that replaced landlines for cell phones; at least 26 percent as opposed to 20 percent in nine other states. Ivan Zatkovich, a consultant for various telecommunication companies, including Verizon and Deutsch Telecom, explains why these two states boast the highest cellphone-only usage while New York, for instance, is at a low 11 percent.

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Reimbursing Madoff's victims: How funds might be distributed

Legendary trader, Bernie Madoff is expected to plead guilty to 11 felony charges for allegedly pulling off what could be the largest Ponzi scheme in history. The billions of dollars that he supposedly swindled is estimated to be within $50 to $65 billion. Whether or not his victims will ever see that money remains unknown. But supposing that they would be compensated, how would that money be distributed?

Joining The Takeaway to explain what it would take to financially compensate those caught up in Madoff’s investment web is Ken Feinberg, a Washington attorney who served as special master of the September 11 Victim Compensation Fund, which awarded over $7 billion to some 5,300 victims and their families.

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States that face growing number of unemployment rates

A growing number of states are suffering double-digit unemployment rates, fueling fears that the national jobless rate could hit 10 percent by the end of the year. In January, jobless rates rose in almost every state and the District of Columbia. Two of the states that received the highest rates of unemployment were Oregon and South Carolina.

Joining The Takeaway to discuss their concerns are Ethan Lindsey, reporter for Oregon Public Broadcasting, and Noelle Phillips, an economics and business reporter for The State newspaper in Columbia, South Carolina.

"A lot of industries were hanging on to see if things were going to turn around, and when it didn't look like that was going to happen, the axe fell."
— Oregon Public Broadcasting reporter Ethan Lindsey on the drastic rise in unemployment in Oregon

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Preventing another Madoff scheme

In light of the anticipated guilty plea from Bernard L. Madoff, Federal Reserve Chairman Ben Bernanke gave a public speech this week about his take on how to prevent another Madoff scheme. On The Takeaway, Oliver Ellsworth, a law professor at the University of Connecticut and a white collar criminal specialist, provides a legal perspective on Bernanke's speech.

Watch part of Ben Bernanke's speech to the Council of Foreign Relations below.

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America's #1 Prescription: PLAY!

Ants do it. (says E.O. Wilson)
Octopuses do it.
Humans...mmmm, not so much.

There's talk going around about the science of P-L-A-Y, and specifically, about what play means, how it lights up our brains, and why we feel like automatrons when we don't play. Today's prescription is written by Dr Stuart Brown, co-author of the new book, "Play," and founder of the National Institute for Play. He joins The Takeaway for a break from the real world.

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Ask a Mexican: Gustavo Arellano on the American dream

How has the notion of the American dream changed for the new generation of Mexicans in the United States? The Takeaway talks to Gustavo Arellano, who writes the syndicated "Ask A Mexican" column, and is a contributing editor for the Los Angeles Times opinion page.

What is your American dream? Join the discussion on The Takeaway's New American Dream section.

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