Obama: Economy probably won't produce enough jobs until 2010

From CNN | 9/20/09

WASHINGTON (CNN) -- President Obama says that despite signs
of economic recovery, the country will not see large-scale job growth
until next year.

President Obama discusses the economy and other topics with CNN's John King.

In a wide-ranging interview broadcast Sunday on CNN's "State of the
Union," Obama said reversing job losses from the recession will come at
the end of the recovery period, not the start.

"I want to be
clear, that probably the jobs picture is not going to improve
considerably -- and it could even get a little bit worse -- over the
next couple of months," Obama told CNN chief national correspondent
John King in the interview, conducted Friday.

It was one of five
interviews Obama conducted for broadcast over the weekend as part of
his stepped-up campaign to push his priority issues, especially
promoting comprehensive health care legislation. In addition to CNN,
Obama spoke to CBS, NBC, ABC and Univision

Obama told CNN he
believes the economy will be creating jobs through the end of 2009 --
but not enough to keep pace with population growth nor to make up for
steep losses in employment that occurred earlier this year. Watch Obama discuss prospects for job growth »

"I think we'll be adding jobs, but you need 150,000 additional jobs
each month just to keep pace with a growing population," the president
said. "So if we're only adding 50,000 jobs, that's a great reversal
from losing 700,000 jobs [a month] early this year -- but, you know, it
means that we've still got a ways to go."

He called the issue "something that I ask every single one of my
economic advisers every single day, because I know that ultimately the
measure of an economy is, is it producing jobs that help people support
families, send their kids to college?"

"That's the single most important thing we can do," Obama said.

On health care
reform, another of his top domestic agenda items, the president
rejected a recent comment by Senate Minority Leader Mitch McConnell,
R-Kentucky, that conservative opponents were "winning the health care
debate."

McConnell was referring to heated town hall meetings
around the country and a recent march on Washington organized by
conservatives opposed to Obama's policies, which he said were forcing
the president and Democrats to soften some positions.

Asked
about McConnell's comment, Obama responded "Well, you know ... they
were saying they were winning during the election, too." Watch Obama talk about health care debate »

McConnell appeared later on the program and was asked what defines winning the health care debate.

"Winning is stopping and starting over and getting it right," McConnell
said. "I don't know anybody in my Republican conference in the Senate
who's in favor of doing nothing on health care. We obviously have a
cost problem and we have an access problem."

He called for a
less comprehensive approach that focused on specific issues such as
limiting medical malpractice lawsuits, rather than the overhaul sought
by Obama and Democrats.

"There's a very big difference about
whether or not it's appropriate to have a major rewrite of about
one-sixth of our economy in the process," McConnell said. "My members
just don't think that's the right way to go." Watch McConnell weigh in on health care reform »

Addressing one of the most controversial issues in the health care
debate, Obama repeated his opposition to providing health insurance or
government subsidies for coverage to illegal immigrants. Republicans
have said that Democratic proposals in Congress have loopholes that
would allow illegal immigrants to get free coverage or funding, a
charge that Obama and Democrats initially denied as misinformation.

The issue gained prominence after Rep. Joe Wilson, R-South Carolina,
shouted "You lie!" at Obama during the president's September 9 address
on health care to a joint session of Congress. Wilson, who was
criticized by Democrats and Republicans and immediately apologized, was
formally rebuked by the House of Representatives, but insists his
action -- while inappropriate -- prompted Democrats to promise stronger
enforcement sought by Republicans.

In the interview, Obama
called for a "verification mechanism" similar to procedures for other
social programs, calling it "a pretty straightforward principle that
will be met." Watch wide-ranging interview with Obama »

He also said a compromise health care proposal coming before the Senate
Finance Committee this week contains many of the provisions he is
seeking in a final bill.

The measure, engineered by Finance
Committee chairman Sen. Max Baucus, D-Montana, emerged from months of
negotiations involving six committee members -- three Democrats and
three Republicans.

While the talks were intended to generate
bipartisan support for a proposal, the three Republican negotiators
have yet to support the plan unveiled by Baucus last week. Republicans
say the proposal is too ambitious and expensive, even though it drops a
government-run public health insurance option that they unanimously
oppose.

The lack of a public option concerns liberal Democrats,
who say the Baucus proposal will make required health insurance
coverage too expensive for some of the low- and middle-income families
it is intended to help.

Obama
said in the interview that he also is concerned about ensuring that
millions of Americans currently without coverage can afford a plan if
required by law to get one.

"I'd like to make sure that we've
got that affordability really buttoned down, because I think that's one
of the most important things," Obama said. "... If we're offering
people health insurance and we're saying that people have to get health
insurance ... we've got to make sure it's affordable."

Asked
if he would sign the Baucus proposal as is, Obama refused to answer
what he called a hypothetical question. He noted that the plan meets
the broad goals he has set, such as prohibiting the denial of health
coverage due to pre-existing conditions. The proposal also would not
add to the federal deficit in the next 10 years while holding down the
rise in health care costs, Obama said.

"[T]here are a whole
bunch of details that still have to get worked out," Obama said. "But
what I'll say is, is that right now I'm pleased that, basically, we've
got 80 percent agreement, we've got to really work on that next 20
percent over the last few weeks."

In the health care debate,
heated rhetoric has been flung in the president's direction. Obama
rejected suggestions by some -- including former President Jimmy Carter
-- that much of it is fueled by racism.

In the interview with
CNN, Obama acknowledged that racism plays a role in some of the
criticism against him but added that race is "not the overriding issue."

"I think there are people who are anti-government," the president said.
"I think there's been a long-standing debate in this country that is
usually that much more fierce during times of transition, or when
presidents are trying to bring about big changes.

"I mean,
things that were said about FDR [Franklin Delano Roosevelt] were pretty
similar to things that were said about me. 'He's a communist, he's a
socialist.' Things that were said about Ronald Reagan when he was
trying to reverse some of the New Deal programs, you know, were pretty
vicious as well."

On foreign policy, Obama said it was too soon to decide whether more U.S. forces are needed in Afghanistan.
"I don't want to put the resource question before the strategy
question," Obama told King. "Because there is a natural inclination to
say, if I get more, then I can do more. But right now, the question is,
the first question is, are we doing the right thing? Are we pursuing
the right strategy?"

The president said the answer to that
important strategic question will come from his secretary of defense,
his national security adviser, and commanders on the ground in
Afghanistan, including Gen. Stanley McChrystal, the top U.S. commander
in Afghanistan.

Obama is currently considering an assessment of
troop levels done by McChrystal. The report is believed by some members
of Congress to recommend additional troops be placed in the country.
However, some influential Democrats on Capitol Hill have expressed
reluctance to send more troops to Afghanistan. Watch Obama discuss strategy for Afghanistan »

"What I will say to the American public is, it's not going to be driven
by the politics of the moment," Obama said. A proper strategy will
provide "clear benchmarks" to set a "matrix of progress," the president
said, noting that the original goal for Afghanistan was to "get al
Qaeda, the people who killed 3,000 Americans," referring to the
September 11, 2001, terrorist attacks.

"To the extent that our
strategy in Afghanistan is serving that goal, then we're on the right
track," Obama said. "If it starts drifting away from that goal, then we
may have a problem."

Asked about North Korea, Obama said his
administration has been successful so far in ratcheting up
international diplomatic pressure.

"We have been able to hold
together a coalition that includes the Chinese and the Russians to
really apply some of the toughest sanctions we've seen, and it's having
an impact," the president said.

In addition, former President Bill Clinton brought back valuable information about North Korean leader Kim Jong Il from his mission to help two imprisoned American journalists return home, Obama told King.

"I think President Clinton's assessment was that [Kim is] pretty
healthy and in control," the president said, "And that's important to
know, because we don't have a lot of interaction with the North
Koreans. And, you know, President Clinton had a chance to see him close
up and have conversations with him.

"I won't go into any more
details than that. But there's no doubt that this is somebody who, you
know, I think for a while people thought was slipping away. He's
reasserted himself. It does appear that he's concerned about -- he was
more concerned about succession when he was -- succession when he was
sick, maybe less so now that he's well." Watch Obama on Kim Jong Il's health »

With the U.S. government expected to begin a large-scale vaccination effort next month against the H1N1 flu virus, Obama said the first family will not get any special consideration compared to other Americans.

"Here's what I guarantee you," the president said. "We want to get
vaccinated. We think it's the right thing to do. We will stand in line
like everybody else. And when folks say it's our turn, that's when
we'll get it."

The president said high-risk populations
for the H1N1 virus -- like health care workers, pregnant women, and
children -- will be first in line for vaccinations against the disease.
So he speculated that his two daughters, who are both under the age of
12, would likely get vaccinated before him.

"I suspect that I may come fairly far down the line," Obama said.