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White House top economist: challenges remain for jobs market

Friday, January 06, 2012 - 04:51

Jan. 6 - Alan Krueger, Chair of President Obama's Council of Economic Advisors, says though the labor market is improving, there are still challenges and many jobs that still need to be recovered.

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The unemployment rate unexpectedly dropped it near three year low in December what the White House be able to do anything to get the -- significantly lower. In time for the election. For more we're joined by president Obama's chief economist Allen -- welcome now. Now last month president Obama's of the jobless rate could fall below 8% before the election. That -- eight point 5%. How confident are you that that'll happen. Well I'm not gonna make protection we do forecast. Twice a year on the unemployment rate is part of the budget process. Thought not in I get ahead of but usually. But I would say that today's report combined with other nations has been coming and death that the economy is moving in the right direction we being nearly two million private sector jobs added. Over the last year. -- reported about in the last month. And I think this is an indication that. The economy feeling that the port that. The president has. Been. Proposing with the economy have the working as importantly then. That support in particular the payroll tax -- -- -- -- unemployment benefits. If the -- we're moving in the right direction but we have a lot of lost jobs make up or as a result of the deep recession in 2008 it was about time. I'd lost -- make up for the Euro labor economists is this pace of job growth we've seen over the last few months. Is that sustainable or will job growth -- an early point. I think what we've seen is that the recovery -- happen resilience they've been a lot of headway in. But over the last 42 months we've been. 3.2 million jobs added in the private sector. Going forward. We -- made some headway in from Europe and which now where I think it's important that we have an insurance in case. There's a drag on growth we're also reducing from the report from the Recovery Act says that phasing out. Which is one of those reasons why I think it's important to continue to -- that. We thought the last here that that that is helpful there wrote that help consumers. When gasoline spiked up badly frightened by it. Believe. So. Threatening consumer demand I think we'll help those -- We you'd proposed the White House and both the American Jobs Act back in September what new initiatives. White House work -- great points. Well were properly looking at -- that would -- economy. American Jobs -- I think had a number of components. That would and economic growth and job growth. Have been enacted. Half of the month extension. Apparel packed up for example important that they -- -- -- the rest of the year I think other on the job that would help as well I would highlight. Investing more infrastructure providers. Here. What. With high unemployment filled with respect to workers as a result of the housing bubble. And also -- me or. Improve highways. Airport -- and so on I think we have a very good -- being -- their investment in infrastructure. Also. Local governments had been continuing lay off workers because they fit the typical fiscal situation. Those the president proposal in the job back. Help local. Areas retain teachers firefighters police and it well I think I would often -- time. And how some analysts are predicting fourth quarter growth of about 3.5 percent. That line with your forecast. Last night that you know we do forecast. Publicly -- -- the -- or the budget process. Of what we are seeing signs that the economy is healing. Jobs report today exemplary propagate to have prevent. You like playing. Over the past month December was the first month. Quite some time that we have -- all. All the week for the month with initial jobless claims below 400000. The information that's coming in on manufacturing. All is have been pointing in the right direction. All right thanks -- -- for doing it. Our thanks to Alan -- chairman of Obama's council of economic advisors aren't Fred Katayama and this is what.

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White House top economist: challenges remain for jobs market

Friday, January 06, 2012 - 04:51