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Former Gov. John Engler, (R-Mich.), on the lack of confidence in the economy and its impact on corporate hiring.
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Over releasing their quarterly CEO economic outlook survey showing that CEO confidence has.
Decreased -- dropped to its lowest point since 2009.
Joining us now to discuss the results of the survey is former governor John Engler president of the business.
Roundtable governor good to see -- thanks for coming in appreciate it.
Let's talk jobs first I think that's the most disturbing trend that I saw in the CO report your poll.
Said that 71%.
Of those executives polled said employment will be the same or -- work.
In the third quarter of this year only 29%.
Said that they will hire more employees.
That's very disturbing concerted good considering our jobs figures.
It is very disappointing and the roundtable a member companies are pretty.
Represent a -- economic sectors so.
That -- would include those who have seasonal hiring needs that are unavoidable so it's not a good is not a good number.
The overall index dropped the third largest drop in at ten year history of the survey.
And it just reflects what you've been reporting on the slowing down in China the chaos in Europe and the fiscal mess and home.
Fiscal mess at home all of those things look terrible but the stock market and the stocks of a lot of the companies of these.
Members of the business roundtable -- actually done very well that why the disconnect and -- how do we get businesses to start spending again.
Well I think part of it is his confidence I think the balance sheets are in great shape I think cash on hand looks terrific.
But there's a lot of uncertainty one of tax rates going to be what's the regulatory policy going to be got big implementation.
Dodd-Frank is.
Largely undecided yet.
The Affordable Care Act lot of -- no one's there.
And then regulatory.
Decision after decision not made.
Wondering can we get approvals -- -- the attitudes of the agency's going to be.
And I think.
It's interesting to me because so much of what could really make the United States -- move up and move out sharply.
He's in our own hands we control our own density.
We just gotta start making decisions and you'd hope right after the election.
People come back in both parties and say look enough is enough we've got to do some things for the country.
By the way governor Ben Bernanke was set talking about yesterday recession whether one -- one -- of course said no.
Other people economist David mall past and some others that we may actually be in a recession right now did you ask that of your executives -- do you have a consensus of of whether they think that we are either in one -- going towards one.
We didn't ask it that way we ask every quarter what they they GDP is going to be and so this is the last time.
That will ask for 2012.
They dropped that from two point one to one point nine growth that you saw that official revision the last quarter all the way down to one point three.
I'll -- what's bothering families in this country -- media didn't comes family comes dropped four consecutive years 8%.
Over the last four years so.
Home values still -- the suffering and so many areas around the country.
So I think for families they know somebody the family the extended family's been laid off for unemployed looking for work.
They don't feel so good about their own circumstances -- so their confidence is shaken but more importantly.
The company that might hire I was wondering what are the rules can -- water higher -- -- invest them.
We've got a lot of work to do and you know we'd like to increase our exports but.
Guys that have flexibility there right now what's going on around the world so the US a look in the mirror and say what can we do to maximize our opportunities here at home that Melissa -- -- Well you know part of the problem governor is that there -- so much.
-- and wrong in Europe and now there's -- big question about China.
You've actually disagreed with governor Romney on his statement that China would be labelled a currency manipulator right away if you were -- president.
You know to -- follow through with that but is that is that detrimental.
To our trade relations with China -- they do consume some of our goods and some of the goods of some of the members of the roundtable.
Well there -- number of issues with China currency one of them for sure I think for a long time there's been the the belief that China -- -- depreciate more.
My observation what's that there's a process asked to be files like I don't actually think it's possible to do it on day one but governor Romney's made it -- -- that it could put the pressure -- I'd I'd like to see pressure put on respect for intellectual property.
Some of the non tariff trade barriers there there and China but there and other countries as well.
At the same time congress should've acted on.
The Russian permanent normal trade relations here they are now in the WTO we've got a chance -- US companies like Caterpillar competing -- up.
In Russia.
That's what this congress do we'll get to it after the election and the president really didn't get involved in that issue the way at least some in congress hoped he would so.
-- plenty of blame to go around.
We just need to stop looking young -- not charge our tax policy China's not charge of our regulatory policy and so.
And it campaigns always easy look somewhere else but I think we ought to look at home.
We we just put up -- wouldn't put it back up the manufacturing numbers we had a pretty good number actually yesterday.
That came out compared to what it had been but it is still manufacturing has taken it on the chin.
In this recession unlike any in my lifetime you used to work for manufacturing organization what's the number one problem.
For manufacturers today.
I think the number one problem is is in this country.
The lack of a strategy hadn't.
And and that encompasses more than just a guy who's got the plant to make the widget.
But what are we doing on our infrastructure were lagging behind -- there's so much opportunity somewhat potential.
You're seeing -- state level governor is working across party lines to get things done they sure are that same effort in Washington.
The Keystone Pipeline should have been approved.
We've got 35 billion dollars for the chemical plants that.
Maybe can be built because of -- supplies of natural gas let's speed up the permitting process let's try to help people who want to make investments make them.
Governor former governor John angler it's great to see you thank you for leading the round table very much -- -- -- talking about these questions.
