Also in this playlist...
This transcript is automatically generated
Southern European country of more difficulties we'll have a more dynamic economy.
To be more receptive -- you know.
They don't the differently they are more than I meet did their economies.
That was the set -- that whose side is economics professor and -- talking about the difference between the southern European labor market and the northern European labor market and this is power play.
Where are labor market is -- but we are enthusiastic.
And with us still are definitely now blue team Brad -- red team thank you gentlemen for staying here and I promise we will have cappuccino and CX competitor -- little lemon -- on the top it's gonna be delicious but let's go to Greg Burke.
Who is in Rome today examining the question.
American style unemployment European style unemployment what's going on with the job markets and how what we can take away from all this.
Greg how we doing today.
Chris really interest thing as a professor -- put it you know -- different league in the north definitely is much of Europe is it about right where the US is right now somewhere between eight and 10% in some countries have learned to live with that sort of chronically.
Then you have club med.
You know right now Spain over 22%.
Portugal Greece up there around 18% and then -- really good performers I think the lesson is be small and think big of course you can't be small Germany's -- like six point 5% but it worked very hard but those who are small the Netherlands.
The hard working Dutch and also Austria are both around 5% they've been countries that have been able to innovate.
They've been able to change really dynamic and of course.
Certainly for the Netherlands a much more flexible labor market then you have a -- in a place here like Italy Chris.
Now one of the problems of course is that.
In these countries when you have long term unemployment and large unemployment as you do -- club -- as you describe it.
Is that it's hard to get folks back to work it becomes.
Self fulfilling cycle that the long term unemployed are heartened to turn into re employed people.
Is there is there a warning sign there for us.
Well I I think the warnings and is don't let it last too long you know we were speak and -- number of people yesterday when a guy said to me you know he said.
There's some numbers that make things look better here in Europe and that's like the the underground economy in the big black marketing -- and and -- anti what they call the black market it's it's it's an underground economy that people are really on the books.
But then there are some numbers and don't come up in the figures it may get worse and those are.
Millions of people I think it's two million here in Italy who -- basically given up on I'm looking for jobs I think.
As you say that it is a vicious cycle you know if if if if it gets too high for too long you're really in trouble the situation also here.
I think we see -- a lot in Italy but it's true for a lot of European countries it's sort of like a closed game for those people who were in it.
People have good jobs.
-- great benefits it's been great you know it's been a really good deal.
What they call a job for life here in Italy but if you're not in that job market it means there's no flexibility and breaking in is really really tough.
Well Greg we know that it's is yours yes it is just wrapped -- you're getting ready for a long Italian dinner so I -- -- actually.
And yet it's almost time for Greg thanks let's -- exactly have a good bar soda on us okay thanks a lot Greg.
Now gentlemen here's the question I -- share with you there was a Wall Street Journal story today that absolutely blew my my and this is on the context it was hit eight point the unemployment rate drops eight point 6% per day well.
Not necessarily her ray because wow 120000.
People found work.
This in the month of November.
The number dropped so dramatically in large part because a lot of people gave up looking.
And that the desperation the long term desperation that is that is hitting the -- wanna share this number that I found absolutely fascinating.
So in 2000 and this is this is the number that really matters in many ways in 2067%.
Of American adults work.
That's a high number that's a German style high productivity.
High labor saturation the kind of numbers that we can saw continue to grow once.
Women entered the labor force Hamas in the seventies when -- got too high numbers of female participation.
-- in the decade this lost this sort of lost decade that we've experienced that numbers now down to 64 point 2% and drop it.
And the numbers going down and we have a shrinking labor force and that is really bad news.
So I want to get from both -- you.
From the blue team in the red team what's the policy prescription what do you do that stops this slide into club med.
-- you have such a large number of sort of terminally unemployed why.
I would just say -- couple different things -- so I think you do have to deal with corporate taxes I think that you know.
It's hard for America to compete against European countries -- income countries when we've got a 35%.
Corporate tax rate right they've got in many cases and teens I think we need to prepare our.
You know our kids and our kids and key and in college grad graduates for this new economy which is much more globalized.
And so you know.
We need to make sure that they had the skills they need to get these jobs.
I think that there you know the trade bills that the president sign it incredibly helpful and it's what I also think we just need to also have a cushion in a safety net for some folks who are out of work right now no.
Through -- -- center on corporate tax simplification more spending on occasion and job training.
And what's the third one I would just say that they did it did trade deals with -- -- Potentially help we've become a a country of momentary -- -- for the cut for the moment great societies provides for the moment plan for the future we've got to get of the moment.
And we've got to create opportunity and the only create opportunity is you reduce your spending.
And unleash the creativity and ingenuity of the American people to reduction in taxes and spending control you'll see this economy take.
Red Blake pinching on behalf of the hands he medically.
There you go and I want to share of course.
Your idea is back with you Internet because -- so Smart.
We have -- list says repeal those business regulations including legislation such as obamacare.
Repeal obamacare remove uncertainty about company health care costs thus reduce government spending and taxes from Stephen.
65 and that is Jorge Betancourt.
Says I would repeal all of Obama's work then give one million dollar each.
To each -- 65 or older have -- by one -- one -- problem fixed Jorge Betancourt I bet you're over 65 -- were gentlemen thank you so much for being with this ahead.
Hey enjoy your golden years mr.
Betancourt and now we want to leave you as we like to do every day with the word from our friend Charles.
And second the most important issue for Israel for its security.
Is Iran and is the President -- at a time the maximum weakness of the mowers in 2009.
Did not lift a finger.
To help the revolution.
Because he had another delusion that if he engaged -- negotiated with the molester he could sweet talk Iran out of its weapons.
-- policies a failure he knows it and here we are on the threshold of Iran becoming a nuclear power.
Filter by section