Steve Moore and Art Laffer Criticize BLS Job Numbers and Discuss Federal Reserve Appointments

Concerns Over Bureau of Labor Statistics Data

• 📉 Steve Moore and Art Laffer express significant doubts about the accuracy of recent Bureau of Labor Statistics (BLS) job numbers, calling them "overstated" and "faulty."
• ⚠️ Revisions to previously reported job numbers have been substantial, with downward adjustments of about a million jobs under the Biden administration.
• 📊 The panelists highlight a collapse in survey response rates, dropping from 60% to less than 45%, which they believe compromises the data's reliability.
• 🛠️ They suggest a need for a new BLS commissioner to conduct an audit, shake up staff, and implement new methodologies.
• 🧩 The "birth and death" model, used to account for new and closed businesses, is specifically criticized as a flawed econometric model that should be discarded.

Federal Reserve Independence and Appointments

• 🏦 The discussion shifts to the Federal Reserve, with President Trump's potential appointments to fill an open seat and potentially replace the current chair.
• 🗣️ Art Laffer argues that the Federal Reserve should not be independent, stating it is part of the administration and should be controlled by the president to align authority with responsibility.
• 📈 Laffer believes an independent Fed causes problems, and the president should have levers of control over economic factors.
• 🤝 Steve Moore suggests that either Laffer or Moore himself would be excellent Fed chair candidates, also mentioning Kevin Hassett and Kevin Warsh as strong possibilities.
• 🎯 Moore agrees that presidents have incentives to appoint sound money individuals to the Fed, as economic outcomes directly impact their political success.