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Joining us now -- -- my favorite people.
The chief economic advisor to President Reagan one of the country's most distinguished.
Economists urban university professor of economics Martin Feldstein good to -- -- nice to be back -- The Fed is is is uncle -- helping or hurting us.
I don't think he's helping much I think he did a lot of good in 2008 that was a long time ago.
But for the last few years or we've been doing news.
Building -- Reserves of the commercial banks.
Not really doing much to help an economy which has been growing.
And less than 2% last year down from where was the years before that.
What we're gonna get a little indication of what's going on.
Tomorrow on GDP.
It's going to be very misleading -- we're gonna get a number that looks like -- Could be three point 13 point two half of that -- of the inventory accumulation.
So it's just.
Final sale reversing the effect of the fourth quarter so it's not anything to really get excited about I think when you combine that with the estimates for the second quarter were again looking at.
Less than 2% growth.
So what do you make.
Their shares are rising and that's the market overall is always strong I mean we've seen pretty significant appreciation.
What what's happening here well people are looking at what they can get on bonds and they're saying well maybe I should don't buy stock.
And take the chances.
The overnight market will keep going the -- -- message that is being received.
-- of the message was it's a little strange the message was I'm going to keep buying bonds the Federal Reserve and -- buying bonds.
So that you the investors lol.
Can't be able to buy goes on can do something else you buy -- stock.
Winners in the amongst the -- -- for the -- I mean we have -- -- Washington.
It's not talking about -- it's not talking sensibly about positive strong leadership.
And by eating some sort of energy from our corporate leaders -- leadership.
To move money into the marketplace -- and -- look at business investment -- mean it's paltry.
The most recent estimate we had about business investment durable goods.
-- investment and on military investment in capital goods fell 10%.
In the last month.
So very weak very weak and of course households are very weak no increases in -- so and investor.
For those of us are concerned about the future of the country do what.
What do you see you -- looking forward what does this year shape our past and what should we expect I think the year shapes up like last year it's.
We're lucky if we get to 2% real growth.
I wouldn't be totally surprised if we were much closer to 1% real growth this year.
That means on a per capita basis real incomes falling so not Google and at some point.
These incredibly low long term interest rates are going -- rise and people are gonna lose money in fixed income and in other kinds in this.
Under that scenario no hiding place -- Hiding place in short term investment.
Mean you don't get any yield which you weighed the risks.
Big loss in the value view bonds -- your -- -- diminishing risk as -- happy thing but terrorists.
The appearance fear in the market.
-- it's always great to see you professor mark Feldstein we thank you for being -- But to be when you and I hope you're wrong so I -- I'm afraid I'm not going to be.
Join -- -- your -- Thanks -- much -- it was -- to report up next --
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