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Former Labor Secretary Elaine Chao and Moody's Capital chief economist John Lonski discuss the state of the economy.
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Well it is the new -- that Mitt Romney's campaign are you better off now than you -- four years ago.
President Clinton speaking -- on the Democratic National Convention gave his response.
-- Barack Obama took office.
The economy was in free fall it'd just rock nine -- percent of GDP.
We were losing 750000.
Jobs pay movement are we doing about it that today.
That's yeah.
And a slew of positive jobs data out this morning -- just support mr.
Clinton's claim but will be a rude awakening for the dance tomorrow -- -- get the August jobs report.
Joining me now with their take former labor.
Secretary Fox News contributor Elaine -- And John Lonsky chief economist.
At Moody's I don't go to you first on this one obviously this is going to be a big night tonight we care from President Obama at the same time tomorrow.
Do you think there's a possibility.
That the wet blanket is gotta be the August payrolls.
Report.
-- -- estimates for job growth is.
Better as you mentioned you know ADP numbers are better than expected.
On the other hand we need about 250000.
Net new jobs to be created every month just to keep even with population growth.
So I think this is a very difficult time for the Democrats because they would've come from their convention they wanna get really revved up and they -- -- get everybody excited.
And then tomorrow's numbers can be very sobering the -- Numbers actually are quite sobering.
The fact that we have gone you know the fact that -- below fifty.
And that -- been so weak for so long indicates that -- recovery is not here and in fact we are in.
We are in danger at risk -- falling back into worst economic ties.
Think model aimed at the same time -- very close to get to fifty under -- is contraction about fifty is got John would take an -- things that she Buffett duplex.
Let me pick up what things are done that she pointed out a particular -- she mentioned ADP we got that report this morning eighty.
I call the head shake up mean sometimes is -- on what the government numbers other times it looks like they're on two different planet.
No it -- the last two months have been two different stories here with ADP vs the government data what do you think.
Well we -- every member -- that you know ADP is compiled.
From actual payroll reports is extracted from that.
And -- if it does have some validity as providing us with an indication.
Of hiring activity of the US economy.
These two measures tend to move together over time and so if we -- weaker than expected reading.
On August payrolls.
-- the market might look at the ADP report it might look.
At the job surveys conducted by the highest that may conclude that perhaps the labor market isn't as weak.
As the US government report suggests.
You know that being said the reality is as -- lane stated earlier.
This remains a sub par recovery.
Both for the overall economy and the labor market were still down.
Nearly five million jobs from where we work at the start of 2008.
-- Elaine I can hear the president already tonight talking about the breakdown of jobs that were added in August you know it's come -- somehow he likes -- let private sector jobs for August.
A big bulk of that was small and medium size businesses I can hear mr.
Obama now saying we are building those small business jobs small businesses are coming back.
How the Republicans gonna get a repeat that.
It's not enough as I mentioned you know we all want these numbers to improve.
Well what we are seeing is that the government's policies.
Are having a dampening effect on job creation because mr.
Clinton is right.
The economy was bad in 2008.
It was bad in 2009.
But that's severe -- recession to have occurred there should be a very sharp.
Bounced back and a very sharp and quick recovery.
At the deeper the recession and quicker the -- -- and that is not happening.
And it's not happening precisely because of the anti employer anti business policies.
Inactive bite this.
The senate and also the the administration that avalanche of regulations that's coming out as having a very clear a severe dampening effect on job -- John ten seconds I -- estimates for a little off -- Well I think we're gonna go ahead didn't see a 150000.
New jobs are created overall -- 160000.
In the private sector the unemployment rate stays at eight point 3% and that's simply to.
Hi all right Johnny got an unsafe -- yellow light -- -- -- -- scale Elaine -- great to have you about thank you very much.
