Economic Advisers Debate Jobs Numbers
New unemployment numbers out Friday indicate that the economy is still struggling to add jobs. How that might impact the presidential race was the topic of conversation between former Obama White House economic adviser, Austan Goolsbee, and Romney campaign economic adviser Glenn Hubbard.
"More than a million more people are unemployed than the day the president took office," Hubbard said, adding, "There are some structural headwinds to be sure, but largely, this is a story about growth. We have very anemic growth in the U.S. economy. We could do better with much better policy."Goolsbee argued that progress, while slow, is being made. "If you look at it over the last year, the unemployment rate is down a full percentage point and most of that is from people getting new jobs," he said.
Goolsbee agreed that the " root of the problem is modest growth in US," but he pointed out that US growth has been faster than other struggling world economies.Both presidential candidates have presented plans for re-energizing the economy, but both have their critics.
Mitt Romney's plan focuses on tax cuts for all income brackets, deep spending cuts, and tax reform.Hubbard defended the former governor's plan to cut taxes for upper income brackets: "I'm just not aware of any argument that would suggest getting back to the growth we'd just talked about in the previous question is facilitated by raising taxes, not tax reform."Goolsbee argued that going back to the rates from the ‘90s will not have any adverse impact on economy; he counters that President Obama’s plan looks to go back to the rates under President Bill Clinton.