Finance Professor Walter Schubert Weighs In On The Current Financial Climate On The Chris Stigall Show
Finance professor Walter Schubert was interviewed on WPHT's The Chris Stigall Show on Oct. 3, 2014 about various financial issues.
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Stigall started out the show with a story of formal Federal Reserve chairman Ben Bernanke being denied a loan to refinance his home, saying he makes $50,000 per speech, why can't he secure a loan.
Schubert was asked about mortgages and job numbers in today's economy. He said the market is looking for positive numbers, but you can never be quite sure with interest rates going up. "Interest rates get pushed up because people are asking for money," Schubert said. "More people are asking for money because they want to expand their business, and that's a good thing."
Stigall played a clip of President Obama stating, "Yes, progress has been hard, but it has been steady and it has been real. As the direct result of the American people's drive and their determination and their resilience, but it is also a result of sound decisions made by my Administration. So it is indisputable that our economy is stronger today than when I took office."
Stigall asked Schubert whether what Obama said is consistent with what he is finding. Schubert said, "Yes, the basic statics such as with unemployment, the size of the economy is bigger but it is not bigger than we would like it to be, or how it would traditionally grow."
Stigall pointed out that part-time employment adds to job inflation. Schubert says the topic of "who's going to be hired for the upcoming Christmas season" is now hot.
Stigall referenced recent survey findings that state 56 percent of Americans disagree with Obama's statement "we are better off now." "I think the people's expectations haven't been met, and that's really what we live on, what we're going to do in the future, what it's going to be like when we retire, what it's going to be like when we're 40, or what it's going to be like when we're 50—and so those expectations have not been met, and the people are unhappy about it. Of course they may think things aren't as good for reasons other than finance, but from a financial perspective, I think it's just disappointment," Schubert said.
