New jobless claims drop to 639,000

[0:21]" Yeah actually protects down from the previous week so. Calling -- good news bit distressed but not quite as bad as could have been more importantly had to drop in the number of people receiving benefits to be some people are actually finding jobs."

[0:49]" I don't think that's much news at this point especially after the current members came out earlier this week. We merely -- nine point one cars across the country. In nine point one million cars and enough to keep Altria the manufactures plus all the foreigners and doesn't."

[1:04]" But that's sort of candor. And in an official document like that does that really raise any -- browsers -- just. A lobbying effort by GM to try to get more than bailout money."

[1:13]" You know well I think it's mostly lobbying effort they're trying to be honest here -- so and the blunt fact is they're not going to survive the district."

[1:20]" David let's look at that retail sales not a big ticket items like cars and trucks and we see that they yesterday BJ's reported. At their profit was up although a Costco was out of bed and Wal-Mart and came up this morning -- better than. Expected performance."

[1:35]" It's actually the retail numbers are coming in a little better than we thought we -- in the personal income numbers earlier this week and in the January retail sales. People out doing their job to consumers and quite as dead as we thought it was."

[1:49]" Up productivity the amount of output that your boss is out of view and the government says the recession caused productivity to slide. By -- expected amount in the fourth quarter."

[2:00]" It was weighed down from the preliminary number a lot of that however this is the annual benchmark revision which changes a lot of the seasonal factors in this. So some of this is just the result of that it's still up two point 2% from a year ago which is pretty darn good number."

[2:15]" Speak -- David -- the chief economist of innocent -- the White House and it seems like a ridiculous with another. Planned to try to stimulate the economy to get the government to spend its money our money really tax money to get things rolling again. And then now this latest plan by the administration to try to keep people in their houses the housing problem housing bubble. Is looked at as the cause of how we get into this mess in the first place and let people see their house values -- find themselves so called underwater what exactly does that mean."

[2:45]" But basically means the mortgages were more than. And what prompted when that happens to give people incentive to just walk away from the mortgage and the -- and mail the -- into the bank."

[2:56]" Now this new plan that is being forwarded it is estimated to be able to help the potentially more than a 100000. Mortgage jurors here in. Massachusetts people about more than 5% underwater and people who have been they'd be you have to be continued major payments. And you have to be someone who got into trouble. Just because serum house price fell out because you irresponsibly -- four."

[3:58]" Tell what are we going to clear out some reduce excess inventory that we have anybody's tried to sell a house knows it can be difficult. With -- mortgage rates. Adam growth -- visited the relatively low rate right now and with prices dropping why -- more houses sold in."

[4:13]" I think they're starting to regret giving it to a little bit a -- some -- the areas -- prices gone down the most but it depends a -- on the house. How could shape it's in all those kinds of factors. Mean frankly I was -- my mother in law's. House up in Massachusetts and eleven days."

[4:48]" Yeah I mean I think prices are going to be pretty darn low. Unfortunately the probably going to go lower before they go up but I think we're getting. Near the point when it's time to start buying. -- gets cash stored up to you can do it that's one of the problems."

[5:32]" That's hard to say but I think so far it. The streets not as happy with in this -- they would be."

[5:38]" I mean let's let's be candid here there have been some people are saying. And maybe he's in over his head."

[5:44]" Well I think part of the problem is. The administration promised to the ground running. And it didn't. Partially because problems with confirmation hearings. We don't have the second tier people there -- buried in group of people trying to run this now."

[6:01]" What's your opinion of of the Tim Geithner the new treasury --"

[6:11]" Writing in the times yesterday Tom Friedman. Who was never one to withhold his opinion says this is sort of like the line from the movie jaws where the the fisherman going on after. The shock says we're going to need a bigger boat the administration's trade and to say at this point we're going to need a bigger package to say this economy."

[6:32]" Yeah that they're talking about it the fact is people are getting scared that this could turn into the 1930s. I don't think you will but I can pretty much guaranteed to defeat followed Herbert hooters or Rush Limbaugh's economic policies that will."

[6:45]" David -- the chief economist of standard and -- is always thank you David."