Kevin Hassett Defends Economy Amid Rising Unemployment

National Economic Council Director Kevin Hassett defended the U.S. economy after a jobs report revealed an increase in the unemployment rate and weak average hourly earnings. Hassett described the report as expected, explaining that private sector growth is currently offset by the reduction of more than 300,000 federal government workers.

To signal supply-side growth, Hassett pointed to a rise of 112,000 factory construction workers since Donald Trump took office. He acknowledged that interest payments on the national debt have reached an unacceptably high share of government spending but maintained that the administration is pursuing deficit reduction through spending cuts and increased revenue via Laffer curve effects.

Hassett also targeted Federal Reserve Chairman Jerome Powell, criticizing his refusal to resign as a highly partisan act. He claimed the Federal Reserve board is dominated by Democratic appointees who operate in a partisan pattern.