Double-Digit Unemployment

" Jobless rate now hitting ten point 2% that is more than double. In less than two years and rising one point 3% in just the last six months those numbers. Are bad enough folks but they don't take into account the under employed those are the people who are only working part time because they just simply. Couldn't find full time work -- those who want -- jobs because will be became too discouraged to look. And when you add all of that together you get seventeen and a half percent roughly 16 of all Americans in need of work. Could it get worse joining us now Patricia Powell founder and CEO -- financial group. But here's a thank you so much for talking to us. Wow you -- is the unemployment rate going to go even higher we were fearing -- 10% mark. But for some in some states specifically goes that suffered the worst from the housing bubble like California -- Arizona. They could potentially be -- like a 20%."

" These numbers are absolutely -- Julie. You talking about 26 million individuals in those numbers. And that doesn't even count how many families were talking about so you're absolutely right that. Almost all economists. Thought that these numbers could go over 10% right and we're here. The last time we -- over 10% was back in the early 80s8283. And once we got there we -- there for ten months. I and that and that's the entire post World War II period we never had another 10% -- so. This is very serious this is a jobless recovery -- is worried that this is going to continue and well into next year. Except of course -- some political people."

" All right yeah. You know won't name any names -- here what -- these numbers mean for possibly trying to get our economy back on track."

" It's really tough. A jobless recovery. It makes it makes it extremely difficult. And we've done everything wrong that you could possibly think up. By extending unemployment benefits you think -- helping people. But what -- actually doing in many cases you taking. People are unemployed and making them unemployable low as they get further and further away from their skills and their training and their out of work so much so much longer. -- make -- they say an anti business climate going on in Washington. Everyone knows that business is business leaders know that they're gonna end up paying a lot of these bills they're -- really reluctant to expand their their employment. And on top of -- one good number that came out was that labor productivity went up nine point 5% in the third quarter. Those people who have jobs you know there wasn't pretty darn hard to keep them. And that's what's been helping move the economy forward but there's no I don't see anything on the horizon it's going to help move the move the employment numbers in the right direction."

" Right so -- I mean let's look at the slave labor productivity is up and people working harder without being mean that that businesses will do better and therefore they will make more money and therefore they can hire more people and then the unemployment rate goes down does that mean little launching --"

" That could happen okay. The other thing that could happen is businesses could say you know what we got rid of so many people are productivity went up with got the job done with 10000 -- employees. Great we're gonna keep -- this way. So -- and particularly when you have all of these proposals that keep putting things on the backs of business this this week you had congress talking about mandating. Paid sick leave. If you have the possibility of an 8% business tax to pay for this for this health care of it there bill so how does the business move forward this uncertainty is killing jobs. So -- right now is anything more important to the economy than getting people back to work. I don't think so now I I think anything that they could do an end the -- that they're not on the right track. I mean if if you're looking for things that that congress could do what do you think they can do is give a two year moratorium on payroll taxes. If you hire a new worker we're gonna give -- two year moratorium. That would give you two years to make that -- productive have to train them get them in line and -- to -- on the economy should be fine. But right now they're going in the exact opposite direction and looking at putting more more onerous taxes. On people add on businesses and in particular we're talking."

" Payroll taxes. All right Patricia Powell thank you very very much for talk -- economy. Yes normally is we'll get through it now we'll get through it I think -- we -- from Patricia thank you rent so for."