pagination – custom query – not displaying

thanks michael. sorry i was expecting that i would receive an email if someone replied. here is the full template

<?php
/*
Template Name: News
*/

get_header();?>

<section id="content-wide">
    <section id="content-container" class="container_12">
        <article id="content" class="grid_9 alpha news-list">
            <?php if ( have_posts() ) : while ( have_posts() ) : the_post(); ?>
            <?php echo the_content() ?>
	        <?php endwhile; else: ?>
		        <p><?php _e('Sorry, no posts matched your criteria.'); ?></p>
			<?php endif; ?>
                            <?php
				$paged = (get_query_var('paged')) ? get_query_var('paged') : 1;
				$args = array(
				'post_type' => 'post',
				'posts_per_page'=>'8',
                                'paged' => '$paged',
				'order' => 'DESC'
			);
			$query = new WP_Query( $args );
			query_posts($args);
			$count = 1;?>

            <?php if ($query->have_posts() ) : while ( $query->have_posts() ) : $query->the_post();
			?>
<article class="news-post">
<p class="date"><?php echo get_the_date();?></p>
		<h2><?php the_title();?></h2>
		<?php if(get_field('article_source')){?>
		<p><a href="<?php the_field('article_source_url');?>"><?php the_field('article_source');?></a></p>
		<?php } ?>
            <?php the_excerpt() ?>
<?php if(get_field('video_embed')){?>
<div class="video">
<?php the_field('video_embed');?>
</div>
<?php } elseif ( has_post_thumbnail() ) {
  the_post_thumbnail('largethumb');
}
?>
<div class="meta">
<p><?php echo get_the_term_list( $post->ID, 'category', 'Category: ', ', ', '' ); ?></p>

	<div class="social-shares">
	<div class="fb-like" data-href="<?php the_permalink();?>" data-layout="button" data-action="like" data-show-faces="false" data-share="true"></div>
	<a href="https://twitter.com/share" class="twitter-share-button" data-lang="en" data-url="<?php the_permalink();?>" data-text="<?php the_title();?>" data-count="none">Tweet</a>
	</div>

<a class="read-more" href="<?php the_permalink();?>">More</a>

</div>

</article>
	        <?php
			endwhile; else: ?>
		        <p><?php _e('Sorry, no posts matched your criteria.'); ?></p>
			<?php endif; ?>
<div class="navigation">

<div class="alignright nav-previous"><?php next_posts_link('Previous Entries &raquo;') ?></div>
<div class="alignleft nav-next"><?php previous_posts_link(' &laquo; Next Entries','') ?></div></div>
		</article>

<aside class="grid_3 omega">

<div class="category-list">
    <h3>Categories</h3>
<?php $args = array(
	'orderby'            => 'name',
	'order'              => 'ASC',
	'style'              => 'none',
	'title_li'           => ''
); ?>
 <?php wp_list_categories($args); ?>
</div>

</aside>
	</section>
</section>

<div class="clear"></div>
</section>
</section>

<?php get_footer() ?>