WELCOME BACK TO "THE LATE SHOW."
FOLKS, MY NEXT GUESTS ARE
RENOWNED PHILANTHROPISTS WHO
LEAD THE BILL AND MELINDA GATES
FOUNDATION.
PLEASE WELCOME BILL AND MELINDA
GATES!
♪ ♪ ♪
 ( APPLAUSE )
♪ ♪ ♪
 ( APPLAUSE )
 ( APPLAUSE )
>> Stephen: PLEASE.
GOOD TO SEE YOU AGAIN.
>> GREAT TO SEE YOU.
>> Stephen: I HAVE INTERVIEWED
YOU BOTH.
I DON'T THINK I HAVE EVER
INTERVIEWED YOU BOTH TOGETHER.
>> WE'LL SEE HOW IT GOES.
>> Stephen: WE WILL SEE WHO IS
THE WORD HOG BETWEEN THE TWO OF
YOU.
ALL THESE QUESTIONS WILL BE JUMP
BALLS HERE.
YOU ARE HERE TO TALK ABOUT YOUR
2009 ANNUAL LETTER.
YOU GUYS PUT OUT A LETTER EVERY
YEAR FOR THE BILL AND MELINDA
GATES FOUNDATION.
WHAT IS THE PURPOSE OF A LETTER?
WHY A LETTER?
THEY HAVE COMPUTERS NOW, BILL.
WHAT IS THE PURPOSE OF THIS?
>> WELL, EVERY YEAR WE GET TO
SEE A LOT OF THINGS.
WE TRAVEL TO AFRICA, WE MEET
WITH SCIENTISTS.
WE SEE A LOT OF THINGS THAT ARE
GOING VERY WELL, THINGS LIKE
REDUCING CHILDHOOD DEATH,
IMPROVING NUTRITION.
IT'S A CHANCE FOR US TO SHARE
WHY WE'RE EXCITED ABOUT THE WORK
AND WHERE THINGS ARE GOING.
>> Stephen: AND THIS-- THE
THEME THIS YEAR IS?
>> SURPRISES.
THINGS THAT HAVE SURPRISED US
THE LAST 20 YEARS, OR EVEN IN
THIS LAST YEAR IN PARTICULAR.
>> Stephen: OKAY, TELL ME IF
I'M WRONG.
PEOPLE HAVE KNOWN YOU FOR YEARS
AS THE RICHEST MAN IN THE WORLD.
YOU'RE THE SECOND RICHEST MAN IN
THE WORLD, RIGHT?
>> WE'RE TRYING TO GIVER IT AWAY
FASTER.
>> Stephen: WILL BEZOS EVEN
TAKE YOUR CALLS AT THIS POINT?
 ( CHEERS AND APPLAUSE )
YOU'RE TRYING TO GIVE IT AWAY
FASTER.
SEE THAT'S THE SORT OF BEHAVIOR
PEOPLE WANT FROM BILLIONAIRES.
THERE'S A LOT OF TALK RIGHT NOW
THAT MAYBE BILLIONAIRES
SHOULDN'T EXIST.
YOU HAVE HEARD SOME OF THIS
TALK?
>> WE HAVE.
>> Stephen: THAT MAYBE THE
EXISTENCE OF BILLIONAIRES IS A
FAILURE OF CAPITALISM, BECAUSE
NOT ENOUGH OF THE-- THE CAPITAL
GETS CONCENTRATED WITH TOO FEW
PEOPLE.
WHAT WOULD YOU SAY TO THOSE
PEOPLE WHO SAY BILLIONAIRES
SHOULDN'T EXIST?
>> WE MIGHT BE BIAS GLD IT'S
POSSIBLE, IT'S POSSIBLE.
>> I THINK YOU CAN MAKE THE TAX
SYSTEM TAKE A MUCH HIGHER
PORTION FROM PEOPLE WITH GREAT
WEALTH.
>> Stephen: 70%?
70%.
 ( APPLAUSE )
>> WELL, THAT'S THE-- THAT'S THE
ORDINARY INCOME.
THESE GREAT FORTUNES WERE NOT
MADE THROUGH ORDINARY INCOMES.
SO YOU PROBABLY HAVE TO LOOK TO
THE CAPITAL GAINS RATE AND THE
ESTATE TAX IF YOU WANT TO, YOU
KNOW, CREATE MORE EQUITY THERE.
SO I THINK THAT'S A GREAT
DEBATE.
I THINK IF YOU GO SO FAR AS TO
SAY THAT THERE'S A TOTAL UPPER
LIMIT THAT, THAT MIGHT HAVE MORE
NEGATIVES THAN POSITIVES.
BUT, YOU KNOW, I MAY HAVE A
DISTORTED VIEW OF THIS.
>> Stephen: YOU BOTH GO ALL
AROUND THE WORLD.
THERE ARE A LOT OF PLACES IN THE
WORLD WHERE THERE ARE MUCH
HIGHER TAX RATES, ESPECIALLY FOR
THE MOST WEALTHY.
HOW DOES IT WORK OUT IN THOSE
COUNTRIES?
>> NOT NECESSARILY THAT WELL.
IN FACT THERE, HAVE BEEN MANY
TIMES WHEN YOU'RE IN FRANCE AND
THEY'LL SAY, "GOSH, WE WISH WE
COULD HAVE A BILL GATES.
WE WISH WE COULD HAVE SUCH A
VIBE RABBIT TECH SECTOR.
BUT THE TAXES HAVE BEEN DONE
THERE IN SUCH A WAY THAT IT
DISTRIBUTE ACTUALLY STIMULATE
GOOD GROWTH.
SO WE BELIEVE IN A GOOD TAX
SYSTEM THAT SHOULD TAX THE
WEALTHY MORE THAN LOW-INCOME
PEOPLE FOR SURE.
>> Stephen: MORE THAN
PRESENTLY IS BEING TAXED?
>> YES.
>> THAT WOULD BE OUR VIEW.
WE HAVE BEEN THE BIGGEST
LOBBYISTS--
 ( APPLAUSE )
WE'VE BEEN LOBBYING IN FAVOR OF
INCREASING THE ESTATE TAX.
THERE WAS ACTUALLY ONE YEAR THAT
WAS GOOD TO DIE IN BECAUSE THERE
WAS NO ESTATE TAX.
>> Stephen: OH, DAMN IT!
I MISSED IT!
>> YEAH, YOU DID.
 ( LAUGHTER )
BUT THAT COULD BE INCREASED
QUITE A BIT.
IT'S LOWER THAN IT USE-- IT USED
TO BE 55%.
>> WE DO BELIEVE THAT TO WHOM
MUCH IS GIVEN MUCH IS EXPECTED.
AND THAT MEANS YOU NEED HAVE--
 ( APPLAUSE )
YOU NEED TO HAVE A FAIR TAX
SYSTEM THAT TAXES THE WEALTHY
MORE THAN LOWER-/MIDDLE INCOME,
AND YOU NEED HAVE A VIBRANT PL
PHILANTHROPY SECTOR.
WE CAN TRY THINGS.
WE CAN DO INNOVATIONS THAT YOU
WOULDN'T WANT YOUR GOVERNMENT TO
DO WITH DOLLARS BUT IT HAS TO BE
GOVERNMENT THAT SCALES THINGS UP
LIKE HEALTH AND EDUCATION.
>> Stephen: YOU SAILED THE
THEME IS SURPRISE.
WHAT ARE THE BIGGEST SURPRISE OR
MAYBE THE HOPE OF SURPRISES WE
WILL SEE IN THE NEWSLETTER THIS
YEAR?
>> WHAT WE SPEAK ABOUT AROUND
THE WORLD IS A CELL PHONE HAS SO
MUCH POWER IN THE HANDS OF A
POOR WOMAN.
WHAT I MEAN BY THAT, WOMEN IN
POOR COUNTRIES WILL TELL YOU
THEY'RE NOT WELCOMED AT THE
BANK.
THEY DON'T HAVE THE MONEY TO GET
ON THE BUS TO GO THERE.
IF THEY DO, THEY MIGHT GET
ROBBED.
BUT WHEN SHE CAN SAVE $1 A DAY,
$2 A DAY ON HER CELL PHONE, SHE
SPENDS IT ON BEHALF OF HER
FAMILY, ON THEIR HEALTH AND THE
EDUCATION OF HER KIDS.
AND SHE ALSO SEES HERSELF
DIFFERENTLY.
SHE STARTS TO SEE HERSELF AS A
WORKING WOMAN.
AND SHE'LL TELL YOU, HER HUSBAND
SEES HER DIFFERENTLY WHEN SHE
HAS SAVE THES.
SHE'S IN INDIA, HER MOTHER SEES
HER DIFFERENTLY.
IT'S NOT THE ONLY TOOL BUT ONE
OF THE TOOLS THAT WILL HELP
EMPOWER WOMEN.
 ( APPLAUSE ).
>> Stephen: THE TWO OF YOU
SEEM TO PUT SO MUCH--
 ( APPLAUSE )
THE TWO OF YOU SEEM TO PUT SO
MUCH THOUGHT INTO THE GENERAL
WELFARE, AND WHILE, AGAIN,
YOU'RE FABULOUSLY WEALTHY, YOU
SEEM TO TRY TO WORK
ALTRUISTICALLY FOR OTHER PEOPLE.
HOWARD SCHULTZ IS A BILLIONAIRE.
HE'S RUNNING FOR PRESIDENT.
MAYOR BLOOMBERG IS A
BILLIONAIRE.
HE'S THINKING ABOUT RUNNING FOR
PRESIDENT.
DONALD TRUMP PRETENDS TO BE A
BILLIONAIRE.
HE IS PRESIDENT.
HAVE THE TWO OF YOU THOUGHT
ABOUT RUNNING FOR PUBLIC OFFICE?
 ( APPLAUSE )
>> WELL, WE WORK WITH
POLITICIANS.
BUT NEITHER OF US WILL CHOOSE TO
RUN FOR OFFICE.
YOU KNOW, WE ARE SPECIALIZED IN
WHAT WE DIG INTO AND WHAT WE
KNOW.
AND, YOU KNOW, WE HOPE WE GET
GOOD POLITICIANS.
BUT WE'RE NOT GOING TO RUN.
>> Stephen: WELL, IN THAT
CASE-- I THOUGHT THAT WAS THE
CASE-- SO WE HAD THESE MADE FOR
YOU.
THEY'RE ONLY TWO CAMPAIGN SHIRTS
AVAILABLE.
"GATES 2020, IT'S NOT AN
OPTION."
>> PERFECT!
>> Stephen: THERE YOU ARE.
THERE YOU ARE, YOUNG LADY.
>> ALL RIGHT, DEFINITELY NOT
RUNNING.
>> Stephen: THE GATES FOUNDATION
ANNUAL LETTER IS OUT TODAY.
YOU CAN ALSO GET IT ONLINE.
BILL AND MELINDA GATES,
EVERYBODY!
WE'LL BE RIGHT BACK WITH JENNA
FRIEDMAN.
