CBS gave President Obama over 26 and a half minutes to answer 12
questions related to the economy during a town hall aired on Thursday's
Early Show. Obama got six uninterrupted minutes to answer one question
about Medicare during the hour-long event. Host Erica Hill wondered how
the Democrat could "
Hill led the town hall with her concerned economic "mind-set" question,
noting beforehand that "it seems that we have been hearing, whether
it's on TV, at the office, around the kitchen table, things are tough,"
but continuing that "there's positive economic data coming through. Yet,
Once the President gave his initial answer, co-host Harry Smith
followed up by pointing out how apparently, "people aren't feeling it,
though.....So, you can read in the Wall Street Journal and the stock
market has recovered really well, but at the same time, there are a lot
of people who've stopped looking for jobs. Jobs just aren't there."
Later in the hour, CBS correspondent Rebecca Jarvis relayed a viewer's
question from Internet to Mr. Obama: "So many of the good paying jobs
have been outsourced, leaving nothing but low wage jobs. How can
employers feel good enough to hire again or increase wages with so much
uncertainty about the economy?" After he answered, Jarvis then asked a
related question of her own from the left:
Smith did interject with a right-leaning point after the Democrat
answered an audience's question about her small business: "But as a
small business person,
" Earlier in the hour, Hill also pointed out the President's poor ratings on the economy according to the
: "He received his lowest rating yet on his handling of the economy: 34 percent."
The President's six-minute monologue came near the end of the town hall
after an audience member asked, "You've proposed budget changes to
Medicare. I'd like to know how they still would be able to keep the
45-year promise that's been made to the American public."
last Friday, which came just over a month after President Obama officially announced the beginning of his reelection campaign.
The transcript of the questions asked during Thursday's town hall event
on CBS during the 8 am Eastern hour of The Early Show, along with some
of President Obama's answers for context:
HILL: You know, for the past four years, Mr. President, it seems that
we have been hearing, whether it's on TV, at the office, around the
kitchen table, things are tough, and there is some improvement. There's
positive economic data coming through. Yet, sometimes it can feel like
for every two steps forward, it's one step back. There's definitely a
psychological component to this recovery. How, then, do we change the
mind-set from things are tough, to things are turning around?
SMITH: People aren't feeling it, though. That's the- just to sort of
reemphasize the question. So, you can read in the Wall Street Journal
and the stock market is- has recovered really well, but at the same
time, there is- there are a lot of people who've stopped looking for
jobs. Jobs just aren't there.
OBAMA: Well, part of what's happened is that the
recovery's uneven. So, certain sectors of the country are doing better
than others. Manufacturing is actually doing really well, in part,
because the auto industry is getting back on its feet, and that has to
do with decisions that we made early in my administration to make sure
that we still had those Big Three auto companies here in America, making
U.S. cars and innovating so that we could compete internationally. But
part of the problem is not just folks who don't have work. It's also
folks who have work seeing their incomes flat-line, and that is a
decade-long trend. That's part of the reason I ran for President was
because too many folks were losing ground. Between 2000 and 2009, during
that decade, the average income for American families actually went
down. Even though, as you said, the stock market was booming, corporate
profits were way up, CEO pay was-
SMITH: Up 27 percent in the last year.
OBAMA: That's exactly right. So part of what's happened also is some
structural changes in the economy, where it used to be that there was
broad-based shared prosperity, now if companies are doing really well,
they're not necessarily hiring back workers. They're just figuring out
how to do more with fewer workers. That may increase profits, but it
doesn't help folks who are looking for a job, and oftentimes, that
outlook puts a lot of pressure on the people who are already on the job.
So, some of the changes that are taking place in the economy are ones
that took a decade or two to get to, and it's gonna take us several
years for us to get back to where we need to be.
But the important thing, though, Harry is- and I'm sure, as we get
questions today, I want to emphasize- is we're moving in the right
direction. The fact that the economy is growing is a good thing. The
fact that companies are making a profit is a good thing. The fact that
we're becoming more competitive is a good thing. But we've gotta stay
with it, and that means improving our education system, improving our
infrastructure, making sure that we've got an energy policy that
actually makes sense so that, you know, our economy is not subject to
the whims of what happens over in the Middle East.
SMITH: And speaking of energy policy, we want to get to our first questioner. Peter Baca is here. Peter, let's- fire away.
PETER BACA, GOVERNMENT RELATIONS EMPLOYEE: Good day, Mr. President. The
American people have seen gas prices double and in some areas triple
within the last year or so. This impacts every single American today,
including the likes of retailers, grocers, and such. What changes can
the American people expect to see, and what actions, if any, are you
willing to take to relieve this growing inflation? In other words, what
measures can we anticipate?
(....)
KARIN GALLO, LAID OFF FEDERAL EMPLOYEE: Hi, Mr. President. About three
years ago, just under three years ago, I took a job with the federal
government, thinking it was a secure job. Recently, I've been told I'm
being laid off as of June 4th, and it is not an opportune time for me. I
am seven months pregnant, in a high-risk pregnancy, my first pregnancy.
My husband and I are in the middle of building a house. We're not sure
if we're going to be completely approved. I'm not exactly in a position
to waltz right in and do great on interviews, based on my timing with
the birth. And so, I'm stressed. I'm worried. I'm scared about what my
future holds. I definitely need a job, and I just wonder, what would you
do, if you were me? (audience laughs)
OBAMA: Well, Karin, first of all, I think you'll do great on
interviews, just based on the way you asked the question. And
congratulations....on the new one coming....Where were you working?
GALLO: The National Zoo, and I would be non-essential employee number seven. (audience laughs)
OBAMA: Well, look, I- let me just first of all say that workers like
you for the federal, state, and local governments are so important for
our vital services, and in- and it frustrates me sometimes when people
talk about government jobs as if, somehow, those are worth less than
private sector jobs. I think there's nothing more important than working
on behalf of the American people and-
GALLO: Well, I thought that I'd be more important and secure.
OBAMA: I agree with you.
(....)
SMITH: But in 20 seconds, assuming the economy improved dramatically, say in the next year or two-
OBAMA: Right.
SMITH: Would Karin get her job back?
OBAMA: Well, I would hope so. I mean-
SMITH: But in reality?
OBAMA: Because part of my argument is that we're having to make some
decisions about cuts to federal programs now, but also states and local
governments are making these decisions, on programs that often times are
doing a lot of good. I mean, these are good things. You know? So,
everybody has a tendency to think that somehow government is all waste,
and if we just sort of got rid of all the waste, well, that somehow we
would solve our debt and our deficit.
In fact, most of the government services that people get are ones they
really like: Social Security, veterans affairs, our military, our- the
help we give in terms of law enforcement, preventing terrorist attacks,
making sure our food is safe, making sure that our national parks are
functioning. I mean, those are all things that all of us appreciate and
care about. Well, that's what our government does. And so, these are not
abstract questions, and I think Karin makes it really clear that there
are real consequences when we make these decisions.
(....)
REBECCA JARVIS: And not surprisingly, a number of the questions in this
room today have focused on jobs. The same is true of the online
community. Let me read you one from a viewer who comes from an e-mail.
Her name is Tina Peak. She's in Charlotte, North Carolina, and she asks,
'So many of the good paying jobs have been outsourced, leaving nothing
but low wage jobs. How can employers feel good enough to hire again or
increase wages with so much uncertainty about the economy?'
(....)
JARVIS: At the same time, though, that we've seen some job growth,
there are still 13.7 million people in this country unemployed. Wages
have stagnated for the last decade, and you mentioned stocks are up ten
percent away from their all time highs. Companies are making record
profits. They have $2 trillion of cash to spend. If this isn't the right
circumstance for raising wages and really going out and employing new
people, what will be?
(....)
HILL: We want- we do want to switch gears a little bit here now. When
we talk about the economy, so much is focused on the housing market,
which, in many ways, started this road that we're on. I know Nancy is
joining us here in the audience. She has a housing-specific question for
us this morning.
NANCY LOGAN, EXECUTIVE ASSISTANT: Hi Mister President. I'm a
college-educated single working mom in Fairfax County with an
11-year-old daughter. I've been divorced for four years and receive
little to no child support. After my divorce, I worked with my mortgage
company and was given a loan modification, so I could afford to pay my
mortgage on one income. My loan modification ends in January 2012, and
although my credit is good, I can't refinance the house because I owe
more than it's worth. My new mortgage payment may increase up to $1,000
more a month. And my question to you, Mr. President, is do you have any
plans to help improve the housing market so hardworking Americans like
myself don't lose their homes?
SMITH: One in four mortgages in the United States underwater right now.
(....)
SMITH: But a lot of what you first introduced hadn't worked- hasn't worked very well.
(....)
SMITH: Let's get another question right here. Anna Urman. Anna, where are you? There you go.
ANNA URMAN, SMALL BUSINESS OWNER: Hi, Mr. President. As you are well
aware, small businesses make up about 40 percent of the GDP, and as a
sector employee- the majority of public sector- private sector
employees- what can your administration do to ensure that any new laws
and regulations not only not hurt small businesses, but, in fact, help
them grow and thrive?
(....)
SMITH: But as a small business person, do you feel over-regulated,
because that's the other theme that we've heard over the last two years?
URMAN: Yeah, part of that is that. I'm taxed- because, as a small
business owner, my business's income is my income. So I feel like I'm
being taxed higher than somebody, you know, who earns a regular job with
the same amount of income-
OBAMA: What kind of business do you have?
URMAN: I'm a researcher. I help companies figure out how to work with federal government.
(....)
JARVIS: Our next question is maybe somebody who can help you with that. He's a self-employed accountant.
OBAMA: Well there you go.
JARVIS: So if you need a little help. Bernard Miller has a question now for us.
BERNARD MILLER, ACCOUNTANT: How you doing, Mister President?
OBAMA: I'm good.
MILLER: First, I'd like to thank you for the great job you did last
weekend keeping America safe. (audience applauds) And my question to you
is, you've proposed budget changes to Medicare. I'd like to know how
they still would be able to keep the 45-year promise that's been made to
the American public?