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Jobs added last month and the unemployment rate falling to seven point 7%.
Here's why 300000 people were no longer unemployed last month -- 130000.
Of them left the workforce.
Folks that did find jobs with more reaction and Paul Conway the former chief of staff as the US Labor Department.
Good to see you -- first -- Asian.
Can this continue this kind of job growth and this kind of drop in unemployment rate.
-- we hope so the bottom line is it needs to needs to keep growing 250000 jobs per month in order to push us closer down to six point 5%.
Unemployment per month now here's the real question what is the drag on the economy going to be with taxes and most importantly of kingfisher healthcare that's the real question.
But in a positive environment we have positive trends in the S&P now for the third month is responding to.
A positive trend and unemployment reduction.
Hopefully that will go in the right direction but I think really where it's gonna come to is what is the confidence level of employers especially small businesses as we start to implement things like Health Care Reform -- -- -- -- that front page of the Wall Street Journal need to -- story about companies sending a record amount of cash to investors.
So that is a large part of where corporations are spending that extra money that they half.
What well I think ultimately it is in demand that will lead them to hire more people but with all of the health care taxes and all the other headwinds.
Wonder why are we to believe that we will see additional job creation even an acceleration.
Of that in the months -- -- Hopefully the cut back on government spending will also have an effect.
Although I mean really when you take a look at sequester the years that dynamic -- potentially.
Austan Goolsbee was on earlier today as you know trying to make.
That connection -- although I don't think it was intentional but we appreciate it.
But really if government spending can.
The Fed in Kansas City and also in Richmond.
-- saying that the number one thing among employers of fifty or more is concerns about health care in the health care cost and what that means.
And the reason why they're holding back on job creation.
Of the twelve million people who are out of work right now how many Paul do you think.
Won't never work again will retire.
Or will give up permanently.
It's a great question I think.
I think the real challenges for older workers whether or not they seeing a potential for opportunities re employ their skills.
And the other underlying challenge it's a long term challenge for the America -- economies us.
For younger Americans the unemployment rate today is twelve point 5%.
Is even higher if you factor in those who were.
Dropped out of the workforce so I think the challenge here for the economy is one to try to -- the jobs in -- to make certain that you.
Young Americans are given an opportunity for those people who can give -- to -- All really quickly you -- chief of staff at the Department of Labor did you like working for the government was it is easy.
As some people might make out.
I think it's kind of a mixed bag I've had the opportunity to serve under four presidents and three governors.
And I can tell you this it is not difficult if you're discipline and work for principal people to cut government and to cut spending.
-- had the good fortune to have done that.
But it is a difficult line of work if you're in things like homeland security and they're trying to defend different institutions.
But by a large federal employees and state employees they wanna do good job the failures in leadership and if you don't have a president -- committed to actually.
Respecting the taxpayers' money cutting government -- you have to resort to things like the sequester to make certain you put a brake on the engine.
Better answer than I expected actually Paul thank you.
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