cutbacks, fiscal contraction, that s not the stuff that you see big booms and recoveries come out of. and so, i think we re going to see a lot of what we have seen you know, in 2011. we re going to see weak growth and not going to see much improvement on the employment side and the job side and still see sort of a chop why i side ways market through 2012. so, it s going to be frustrating for a lot of people and clearly going to be questioning for people who are looking for jobs because there s not going to be a big job boom and it s going to be frustrating for investors, but that s probably the best we could hope for. okay, toby, i know you re going to be popping some bubbly, do you see some reason to pop some bubbly because of our economy, because of the market next year? well, let s look at our economy because it s not the monolithic thing. there are a variety of pieces of the economy that are doing fabulous and obviously, the shale oil gas revolution, at about 150,000 jobs net-n
governments want to have. on the employment side, i worry about the rapid federal cutbacks that are ongoing. it s estimated between the first of this year and december 31st, federal, state and local governments will dismiss 750,000 employees. that s one-half of our gross domestic product. it s really not a good statistic. it s going to be hurtful and play out over the next year. so, what i m trying to do is avoid laying people off. we entered into agreements passed by 57% of labor in the state. we have to figure out how to get it implemented. dr. jeffrey sachs. i hope you get there. it impresses me. the business-like, serious attitude you are taking and you have to take. you can t print money, you can t borrow from china, you have to get the job done.
a billion dollars of consumer spending away from all other areas except energy prices. and in some places you look at gas prices go up 3, 4 cents a day and, that is a metric that every, single voter, every american feels, every day when they go to the gas pumps and the metrics we are seeing on the employment side, that is probably not going to be as much of a consolation for those people that are out of work and those ones that are going to work and have to pay 3 cents a gallon, just to fill up their tanks and so i think it will could very well tamp down any economic recovery that we see. and that is going to be something the white house is very worried about over the next few months. chris: juan, when gas prices spiked the last time the republicans hammered democrats on it and the idea the energy policy and their refusal to do a lot of domestic oil production, was part of the problem. when you have a weak recovery, and you have rising gas prices, that is a bad combination. i
cutting spending, though they have agreed to some tax increases, you said this whole policy because it is taking money out of the economy, the government would spend less, is is dangerous because it might tip the economy and britain back into recession. that s correct. do you think there s a similar danger here if the republican party pushes the spending cuts the economy is still fragile on the employment side. yes. doing this at a time when private demand is not strong enough, when investment by businesses is not strong enough to take up the slack, it creates a slack. so unemployment instead of coming down is likely to remain pretty high. and to have these resources permanently unemployed is
have agreed to some tax increases, you said this whole policy because it is taking money out of the economy, the government would spend less, is is dangerous because it might tip the economy and britain back into recession. that s correct. do you think there s a similar danger here if the republican party pushes the spending cuts the economy is still fragile on the employment side. yes. doing this at a time when private demand is not strong enough, when investment by businesses is not strong enough to take up the slack, it creates a slack. so unemployment instead of coming down is likely to remain pretty high. and to have these resources permanently unemployed is basically very harmful to the economy. you know what the republicans