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Laffer Associates Chairman Art Laffer on the key factors impacting the presidential election.
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And joining us now to -- -- analyse what is going on with us economy these markets.
Arthur Laffer former member president Reagan's economic policy -- board chairman of Laffer associates.
Arthur -- it is great to have you with us.
Places very much Lou it's great to be with you let let's start with the impact of this hurricane and is yours -- to -- much is being -- perhaps too much is being made.
Of its impact on GDP growth.
On the on the -- economy for the next several months.
It's just temporary hit that I would expect from this storm I don't think it's going to be long lasting and I don't think it's going to affect GDP growth very much at all.
And it surely is not -- affect the real economy over any long run that that's for sure looked and.
-- our hearts -- -- -- all of suffered through so much damage and devastation and losses.
And and to those families who've lost loved ones.
If this is this is.
Very tough time and it's almost impossible to judge what the impact will be side cheaply on the nation and certainly in terms of very politics.
Give us your best assessment there.
Well I don't think it's gonna have much of an effect on politics either I mean I think both candidates handled themselves very well during this I mean.
President Obama was very presidential and it is duties quite correctly and I don't think Mitt Romney did anything wrong up.
He was very respectful of the storm and very respectful of people in the I think they both have themselves as wells they could it was up.
-- both both.
The did a very fine job and personal the latest fox poll we have these candidates tied up.
-- we're now amazing I mean approaching five days from election.
This is going to this is going to turn.
Is it on Ben -- or is it going to turn on jobs in the economy are some Madd mixture thereof.
Well I hope it's jobs and the economy because frankly I'm terrified -- about what's gonna happen on January 1.
2013.
With tax -- getting all the huge tax rate increases they're gonna really crippled the long run growth rate of this economy.
And people shifted -- come out of 2013.
Into 2012 so.
As bad as 2012 looks Lou it's much worse than it looks because people made it look a lot better by moving in come out 2003.
What thirteen in the twelve.
And when we finally hit 2013.
It's like going off a cliff I'm very concerned about that and I hope that's what really change that because the two candidates differ dramatically.
On their economic policies and obviously I think Romney's far far better than I think got Obama as I I think Obama's -- a huge mistake over the last.
Three years.
I and this as we approach Friday -- barrel last reading on unemployment prosper and he quite sure well our I don't know where there are there anyone even pays attention to these numbers there's some credibility guy finally -- -- -- the public.
And those areas are -- -- labor right now on these numbers but give us your beer your thoughts.
You know the numbers have been horrible for the last 36 months amid there's been no real recovery in the US we've we've barely kept up with population growth.
And if that participation rate hadn't fallen sharply as -- had -- -- play room still being 1112%.
Range.
And a lot of people who -- out there who are working.
Are working part time instead of full time like that like to be so this is a catastrophe of the labor market -- it can't continue this way very long it's.
It's just as it's a tragic circumstance and it if you worry about people in the storm and which I do and I really feel very sorry for them.
You really have to worry for all the people who have not been able to have jobs for the last four -- five years especially the poor the minorities the disenfranchised.
Who have lost the ability I think in many cases to ever get back in the labor force it's a tragic loss of a precious natural.
Resource and I'm I'm just.
At Bob -- odds -- what you can do what nobody should be -- all considering don't have that.
And and and isn't very few people talk about this you're virtually -- going to -- of -- from attention turning of a moment.
And that is why should stayed about the same in terms of unemployment through this -- -- percent.
We have seen however.
Blacks and Hispanics their their actually.
Their ratios of unemployment have risen over over the course of this pass the so called recovery.
What are we gonna do here this is a president -- what -- been focused one would think I think your I can be forgiven that that view.
You would have thought he would have focused on.
Black unemployment what -- And so -- it what it.
You know let -- yet and Jack Kemp and Ronald Reagan I I did some work kind of was enterprise zones.
-- this unnatural for putting enterprise zones in the inner cities where where that where the devastation not economic devastation the worst.
But Obama has done is that there you know it's it's up very straightforward policy that I got Reagan and and -- and they all were on board and now we find it.
That it's not happen when the need is so great -- And we put yourself in a poor person's shoes today it's devastation in all the poor person gets its handouts he -- you can't become prosperous on handouts no.
It just doesn't make any sense it's it's immoral it's immoral in the fundamental sense of the word what what's going on today.
Partners always -- enjoyed talking with you we appreciate your being here -- work or that unemployment numbers are gonna be -- -- war Friday.
I would expect the employment number won't change much change much at all we're gonna more I don't -- -- -- -- Thank you.
By the way I save some money today -- Excellent I don't have to buy -- mask given how ugly I am on Halloween I don't need to -- and -- -- -- little money you -- equally block spectrum and thanks for bringing about a -- -- survivor from your mouth to God's -- but.
I thought I'd never raise our voice above a whisper.
