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Drop in Unemployment Rate; Push to Repeal Health Reform Law; Lower Fluoride in Water; Coping With Face Blindness; President Obama Talks Economy
Aired January 07, 2011 - 11:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: Live from Studio 7, I'm Fredricka Whitfield.
CNN's big stories for this Friday, January 7th.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: We're free!
(END VIDEO CLIP)
WHITFIELD: They're yelling, "We're free!" In Mississippi, freed, the Scott sisters today, on the condition one donates a kidney to the other. The governor of that state says the release will save the state the cost of dialysis. The sisters were convicted of an $11 armed robbery back in 1994. A judge gave each double life sentences for that crime.
The U.S. government announced a few minutes ago that it is recommending lower fluoride levels in drinking water. Health and Human Services officials say the new levels will still prevent tooth decay and over-fluoridation. Too much fluoride can cause lacy, white spots on the enamel.
And a storm may dump four inches of new snow on the New York City area today. Snow removal was slow after a blizzard just two weeks ago. The city has put GPS trackers on some snow plows. Officials are dispatching scout teams now to get video of the cleanup back to City Hall.
Up first, the December jobs report. The unemployment rate took quite a tumble last month, landing at 9.4 percent. The U.S. Labor Department counted 103,000 new jobs for December. For 2010, the economy gained 1.1 million jobs.
CNN's Alison Kosik is in New York to help us sort through some of these numbers.
So, Alison, the drop in the unemployment rate seems usually large. What happened?
ALISON KOSIK, CNN BUSINESS CORRESPONDENT: And you're right, Fred, because the drop in the unemployment rate was unusually large, from 9.8 to 9.4 percent. And that's likely to really be the headline grabber of this jobs report. But, you know, here's a reality check for you.
This number does not include the more than 1.5 million people who weren't counted in this number. I'm talking about those discouraged workers who aren't out there actively looking for work. So that's something you have to consider.
But here's the silver lining for you. We have been adding jobs, especially if you look at 2010.
I want to show you something, a chart here. It shows that we've added jobs for the first year since the recession started. We added one million jobs. It's actually the biggest annual gain. And in 2008 and 2009, you'll remember, we lost anywhere from three to four million jobs each year.
So we are making improvements, but there are the realities behind this jobs report -- Fred.
WHITFIELD: So will the job improvement likely continue in 2011? I know that's the hope.
KOSIK: Yes, it is the hope, and analysts are expecting the jobs picture to improve. They're expecting anywhere from two million jobs to be added into next year, because the fact of the matter is, small business hiring is picking up ever so slightly.
But even Fed Chairman Ben Bernanke is staying grounded about this. He's testifying on Capitol Hill today, and he does see -- he sees improvement in consumer and business spending, and overall growth. But the fact of the matter is, we're going to continue seeing this lagging indicator of the jobs market.
Unemployment's likely to stick around eight percent for the next two years. We're not going to see normal employment for another four to five years. So that's the reality of the picture -- Fred.
WHITFIELD: So, why aren't we seeing a bigger reaction on Wall Street?
KOSIK: Because the second headline number, the fact that we only added 103,000 jobs in December, that was another disappointing factor in this report. It was expected we were supposed to add 150,000.
The Dow right now is down about 10 points, the Nasdaq off about five. Analysts say, hey, this could just be a speed bump and the markets will ultimately shake it off as we continue to get some other good economic data. But today, it looks like the markets -- honestly, you talk to some traders out here today, they're confused about this jobs report because, really, the numbers don't really jive all together -- Fred.
WHITFIELD: All right. Alison Kosik, thanks so much. Appreciate that.
All right. Meantime, we'll be talking more about jobs. President Obama, in fact, will be focusing on jobs and the economy in remarks later on this hour. He is expected to comment on the December jobs report and announce key members of his economic team.
That's scheduled for 11:35 Eastern, and you'll see it right here, live on CNN.
All right. To Capitol Hill now.
Right now the House is holding a key test vote on a bill Republicans call repealing the so-called job-killing health care law. They say they're making good on campaign promise, but the bill has little chance of actually becoming law.
Congressional Correspondent Brianna Keilar is following the developments on Capitol Hill.
So, Brianna, explain this vote, what has happened, what happens next. And if the chances are not good, then why go forward with it?
BRIANNA KEILAR, CNN CONGRESSIONAL CORRESPONDENT: Well, Fredricka, Republicans said this was a campaign promise they were going to deliver on, a vote to repeal health care reform.
This was a procedural vote. It laid the groundwork for next week, when we're actually going to see debate, quite a lot of it, about eight hours, and then a vote on the health care repeal.
The breakdown was 236-181, pretty much party line, mostly Republicans voting for the rule, as we call it. But there were some Democrats, including Congressman Mike Ross from Arkansas, who I'm with now.
Sir, just explain why. I mean, obviously, most Democrats voted against this, but you voted for it. You have not supported this health care reform package.
REP. MIKE ROSS (D), ARKANSAS: Well, it shouldn't be a surprise to anyone. Every time the health care reform bill was on the floor of the House of Representatives, I voted no. And so it makes sense that I would vote to repeal it.
Look, I think we need health care reform, but we need commonsense health care reform. This bill was too big, too costly. It just wasn't right for Arkansas. So, hopefully, this will give us an opportunity to start over with some commonsense reforms that are greatly needed.
KEILAR: So you are obviously going to be voting yes on the repeal on Wednesday. I mean, is this -- there aren't that many Democrats who are in the position that you are in.
A lot of moderate Democrats like yourself lost re-election in November. So you're kind of part of a dwindling few, I guess you could say.
ROSS: Well, I'm a conservative Democrat, and I put the people of Arkansas first. And I've listened to the people of Arkansas. I never moved to Washington. I go home every weekend. I get out among the people, I listen to them. And I can tell you, the people I represent, they want us to repeal this bill and start over.
KEILAR: Let me ask you about this, because this is one of the things that we're hearing from other Democrats. They point to this latest number from the nonpartisan Congressional Budget Office that says a repeal of the health care reform overhaul will actually add $230 billion to the deficit.
You are a fiscal conservative. And you have Democrats, your fellow Democrats, who didn't vote the way you did, looking at Republicans and saying, you're doing something that is fiscally irresponsible. You obviously don't feel that way. Why?
ROSS: Well, I disagree with that. I don't know how they can -- look, if you make health care available to everyone in America, and expand health care in America, it can't save money. It's going to cost money.
The question is how it's paid for. And so I simply don't agree with the Congressional Budget Office on this. You expand the program, it's going to cost money. This repeals the expansion and gives us an opportunity to start over with something that really is paid for.
KEILAR: Congressman Mike Ross, thank you so much for talking to me live. Really appreciate it.
And Fredricka, I mean, just the bottom line when you talk about what's happening here, this is a vote, as we said, a procedural vote. A big vote on the repeal going to be next Wednesday.
Clearly, Republicans have the votes here. They're in charge of the House of Representatives, and they're getting the votes of a few Democrats like Congressman Mike Ross. But Democrats still have the majority in the Senate. President Obama still wields the veto pen.
This is really about as far as it's expected to go here in the next few days -- Fred.
WHITFIELD: All right. Brianna Keilar, thanks so much on Capitol Hill. Appreciate that.
Meantime, looking forward, a Texas boy is now a hero at his school.
(BEGIN VIDEO CLIP)
TYLER HUDSON, FOURTH GRADER: It feels like I'm the king of the world.
(END VIDEO CLIP)
WHITFIELD: Fourth grader Tyler Hudson keeping his cool in a crisis and saving a schoolmate's life.
(COMMERCIAL BREAK)
WHITFIELD: All right. Welcome back.
As we mentioned at the top of the hour, the U.S. government just announced that it is recommending lower fluoride levels in drinking water now.
And here to explain to us what this all means, CNN Medical Correspondent Elizabeth Cohen.
OK. So they put fluoride in the water to help our teeth as we go from being kids to adults. And now we're concluding that it's too much fluoride? What's the damage that's being done? What's happening?
ELIZABETH COHEN, CNN SR. MEDICAL CORRESPONDENT: All right. Here's the concern.
The concern is that too much fluoride can do two things that aren't good. One, in adults, it may cause bone fractures and also pain and tenderness in bones. So that's one set of concerns. And the other set of concerns is that it can discolor a child's teeth, kind of give little spots or little pits on the teeth.
And so you're trying to find the perfect amount, because fluoride is a good thing, right? It helps prevent cavities. I mean, everyone knows that.
So, how much is too much? How much is too little?
And so what they've done right now is they've told water systems, you can have between this and this amount, but the proposal is to tell them, you know, let's stick to that lower amount. Let's try to stick to that lower number.
WHITFIELD: So, is the issue the exposure over a long period of time to certain levels of fluoride?
COHEN: Yes.
WHITFIELD: Yes?
COHEN: Yes, because you're getting it in drinking water, and then kids brush their teeth as well. And so, of course different kids are getting different amounts. But now, basically what they're saying is, is that we think this range is safe, but let's try to keep it to the lower end of the range.
And what's interesting is when I first heard the news, I thought, oh, I bet dentists aren't happy about this. But, in fact, the American Dental Association has come out saying, we like this. Limiting the amount of fluoride, we think this is fine. We think it will still protect kids' teeth.
WHITFIELD: So, I'm also hearing that we're talking about potential damage to your bones as an adult. Your bones, a lot more dense than your organs. We're ingesting this water.
What about any potential damage to the organs? Is the FDA saying anything about that? Any health officials saying anything about that?
COHEN: You know what? The EPA and the FDA, they're not mentioning that. The government is not mentioning that.
What I saw was concern about bones, concern about tenderness, concern about fractures, concern about spots on teeth. I didn't see anything about organ damage.
WHITFIELD: Interesting.
All right. And how quickly does this go into play?
COHEN: You know, this is the government, so this is -- a committee recommends it, then it goes to this person, then it goes to Sebelius. And you know it has to through all these different stages.
I mean, I know the first thing that I thought of was, well, if the dentists like this lower level, why did you ever give a range? Like, if the lower level is fine to protect teeth, then why were they ever allowed to put more than that in? Who knows?
WHITFIELD: Oh, boy.
COHEN: I'm trying to get that answer.
WHITFIELD: OK, good. We'll look for that when you get that answer.
COHEN: OK. Thank you.
WHITFIELD: Thank you. Elizabeth Cohen, appreciate that.
COHEN: Thanks.
WHITFIELD: All right. Meantime, I'd say it's time to go "Cross Country" and check some of the stories our affiliates are covering today.
A 10-year-old in Houston, Texas, is now the big man on campus after saving a schoolmate's life. You're going to love this story.
Tyler Hudson was in the cafeteria when he noticed a girl was choking, apparently on a Cheeto. Cheeto may not like that.
Well, the little boy then rushed over, performed what he calls a hammer move on the girl, a move that he had been watching on wrestling matches on television. So, we're really talking about the Heimlich. Apparently, it worked.
(BEGIN VIDEO CLIP)
HUDSON: I put my hands around her, under her arms, and I pressed as hard as possible to make sure she was OK. It feels like I'm the king of the world.
(END VIDEO CLIP)
WHITFIELD: Well, he is indeed.
A cell phone can actually save your life as well. Just ask this Atlanta man, John Garber, who works as a valet at a lounge. Well, he was helping a customer get into his car, and then shots rang out and Garber was actually hit.
He's OK though. He's able to tell the story. Why? Because his cell phone actually got the bullet.
(BEGIN VIDEO CLIP)
JOHN GARBER, VALET: The shots occurred, and I actually had one go in through the back left side of my coat, come up through my coat, and hit my phone, which was placed on my left chest, right here.
(END VIDEO CLIP)
WHITFIELD: And then this will make you do a double-take if you're out on the highway. An elderly man in an electric wheelchair driving in the breakdown lane on I-95 in Fairfield, Connecticut. It could be rather hectic there on I-95.
Is that a legal move that he's doing right there?
Well, police did give the man a ticket, by the way. But thankfully, as we understand, he's fine. His commute was safe. And he just wanted to get from point A to point B.
A new study says forget bad perfume. The smell that really turns men off, the scent of a woman's tears. That story and the rest of what's trending online, next.
(COMMERCIAL BREAK)
WHITFIELD: Freedom finally for two sisters who have spent 16 years behind bars for a robbery that netted just $11.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: We're free!
(END VIDEO CLIP)
WHITFIELD: Jamie and Gladys, you hear them in the background saying, "We're free!"
They left a central Mississippi correction facility about two hours ago. They were serving life sentences, but Mississippi's governor suspended their punishments on the condition that one sister donate her kidney to the other.
CNN's Martin Savidge joins us now from Jackson, Mississippi, with more on this.
So, they're free. Now what?
MARTIN SAVIDGE, CNN CORRESPONDENT: Well, that's a good question, now what?
Fredricka, we've now set up inside a Masonic temple here in downtown Jackson, where there is expected to be a press conference. That will be at 2:00 local time. That would be 3:00, of course, Eastern Time. And it's anticipated that we will hear from Jamie and Gladys Scott as they talk about what it's like to be free after so many years behind bars.
How freely they will speak, well, that remains to be seen, because you have to understand that this is a conditional release on the part that was granted by the governor of Mississippi. And so in keeping with that, they realize, of course, that they don't want to be too jubilant and to celebratory, I guess, is the way of putting it. They want to make sure that it's low key, and they want to make sure that nothing jeopardizes their freedom, as, of course, they transition into civilian life.
But, still, nonetheless, you saw the emotions, or you heard it in their voices, as they did come out of that correctional facility this morning. That was about 8:00 local time.
Now they've gone to get some food. They're also resting. They're wearing civilian clothes for the first time, at least in 16 years.
So it's a huge moment of transition, but then there are medical needs. And, in fact, I talked to their attorney a short while ago about how the medical needs are the very most pressing thing they want to take care of, especially for Jamie. Here's what he said.
(BEGIN VIDEO CLIP)
CHOKWE LUMUMBA, ATTORNEY FOR GLADYS AND JAMIE SCOTT: We're going to get them to medical facilities where treatment for Jamie's going to take place immediately. Then the doctors are going to have to tell us how long it takes to test. We're not absolutely sure, but we don't expect it to take a long time.
(END VIDEO CLIP)
SAVIDGE: In fact, Jamie has a dialysis appointment in Florida tomorrow morning, so that is where they will be headed after they finish the news conference today. They'll head to family and friends in Pensacola -- Fredricka.
WHITFIELD: So, Martin, even when they get to Florida, they still don't know about the real chances of this donation actually taking place, right, in terms of whether they can be a match, whether this can be a healthy, safe medical transaction in which to take place?
SAVIDGE: Right. I mean, I think with the conditions that initially were reported, that the governor was saying, well, you only get out if this kidney donation goes forward, there were a lot of things that were sort of overlooked in that process.
Number one, we don't know if Gladys and Jamie would be a match for one another when it came to the donation of a kidney. That needs to be sorted out medically.
Who's going to pay for it? Where does the money come from? When does it take place? On and on and on.
And you can see there are a lot of questions that have to be answered and a lot of steps that have to be followed. That's why step one of freedom is only the beginning.
WHITFIELD: All right. Martin Savidge, thanks so much, joining us from Pearl, Mississippi.
So, the NAACP apparently played a very major, significant role in securing the release of the Scott sisters.
Derrick Johnson is president of the Mississippi NAACP, and he, too, is in Pearl, Mississippi, joining us now.
So, Mr. Johnson, how are the ladies doing? And what's your understanding about the real motivation behind this? Is this because of the medical need, or is there another reason that the governor made this kind of condition available, the release upon this condition?
DERRICK JOHNSON, MISSISSIPPI STATE NAACP PRESIDENT: Well, thank you for having me on this show.
Whatever the reason the governor released these sisters, we celebrate. We are happy that they are finally free after 16 years being incarcerated.
The NAACP, our position now is to help them transition to ensure they get the necessary medical attention that they deserve and that they need. As everyone knows, Jamie is critically ill in terms of kidney failure.
When she was first incarcerated, she had no problems with her kidney. It was a result of the poor medical conditions and the conditions at the prison that resulted in her coming out of prison in this situation.
We celebrate with their family, with their children, with their mother, that, finally, they're going to be released after 16 years.
WHITFIELD: OK. So, now, this release though, it is upon this condition. So what's your understanding as to if there is no match between these sisters, what could potentially happen? Is the governor giving you any kind of assurance, or the family any kind of assurance, that there is a full pardon that will take place? Or is all of this still up in the air?
JOHNSON: Well, we were never consulted, nor did we agree to any conditions upon their release. We do not condone the condition of the gifting of body parts to prisoners. I think that sets a bad precedence. It is actually immoral.
It is our understanding that there will be no action if, in fact, Gladys is not a match. But we're going to be watching this situation closely as we help them transition.
If, in fact, the condition that is met (ph), that she's not a match, she's sent back to prison, that's going to raise all types of questions about the constitutionality of the release in the first place. I don't think the state of Mississippi or this governor would like to put this state through that type of scrutiny for a condition that should not have been in place in the first place.
WHITFIELD: Well, it seems like a very difficult situation in which to be in, because while you're saying you and the organization don't condone this kind of condition set forth, and that you believe it's immoral, is it not very difficult to be excited or celebrate their release, as the Scott sisters are, and their opportunity to help one another medically, but at the same time, this does, in effect, does it not, set some precedence?
JOHNSON: Well, if you would have seen the jubilance on the face of both Jamie and Gladys after their release, you would be here celebrating with us as well. Can you imagine individuals who have been incarcerated for 16 years finally being free? Now, with that said --
(CROSSTALK)
WHITFIELD: But on the condition that an organ be donated.
JOHNSON: Well, on the condition -- we do not condone that. We will fight any attempt to return Gladys to prison if, in fact, she is not a match, and as a result of that, the governor says she does not meet the condition of release.
We do not expect any condition of such nature to be carried out by the state of Mississippi, because if that has happened, that would set a very dangerous precedence for this country. And it is our position that it is unconstitutional to begin with.
WHITFIELD: Derrick Johnson, president of the Mississippi NAACP.
Thanks so much for your time. I appreciate it.
JOHNSON: Thank you for having us.
WHITFIELD: All right. We're going to talk some nasty weather expected up north. New York, once again bracing for more snow two weeks after that huge blizzard that nearly paralyzed the city. City leaders caught a lot of flak that last time around. We'll find out what they're saying and how they're planning for this next storm.
(COMMERCIAL BREAK)
WHITFIELD:
WHITFIELD: You're online, and so are we. Sandra Endo is in Washington tracking the stories that are trending on the Web.
So, Sandra, what do you have for us?
SANDRA ENDO, CNN CORRESPONDENT: Hey there, Fred.
Well, trending today, ladies, listen up. Stop your crying and put those tissues away. Remember this famous clip from the movie "A League of Their Own"?
(BEGIN VIDEO CLIP, "A LEAGUE OF THEIR OWN")
TOM HANKS, ACTOR: Are you crying?
UNIDENTIFIED FEMALE: No.
HANKS: Are you crying? Are you crying? There's no crying! There's no crying in baseball!
ROSIE O'DONNELL, ACTRESS: Why don't you leave her alone, Jimmy?
HANKS: Oh, you zip it, Doris!
(END VIDEO CLIP, "A LEAGUE OF THEIR OWN")
ENDO: So that's -- yes, the famous scene from "A League of Their Own." And it turns out Tom Hanks isn't the only guy that doesn't like to see a lady cry.
In fact, a study in the journal "Science" out says that the scent of a woman's emotional tears is a major turnoff. Get this -- the testosterone levels in men drop 13 percent when they smell a female's tears.
Now, crying doesn't trigger feelings of empathy or sadness in a guy. Instead, according to the study, it kills a man's libido.
But Fred, the most important thing, right, is never to have a reason to cry.
WHITFIELD: Well, exactly. But, you know, I never noticed there was a fragrance with those tears.
ENDO: Yes, it was really interesting to --
WHITFIELD: That says something else about men's olfactory --
ENDO: Right.
WHITFIELD: -- that they were able to smell the tears.
ENDO: It was funny. Reading this study, they collected women's tears in a little test tube as they were watching really sad movies, so pretty interesting there. WHITFIELD: OK. All right. I will withhold comment any further than that. I'm not going to cry over it either.
ENDO: Yes, exactly. There you go.
WHITFIELD: All right. The next real big -- it's huge on Facebook, apparently. People think they could make a lot of money on this particular stuff, too. Like what?
ENDO: Yes, they may be able to. Facebook will likely be going public next year. And that's according to a report in "The Wall Street Journal" out today.
The social networking site sent a memo to investors saying it's planning on staging an initial public offering or disclosing financial information by April, next year, after planning to exceed the 500 investor mark. And that benchmark would force Facebook to report to the Securities and Exchange Commission, so clearly a big step for Facebook if that happens.
WHITFIELD: All right. And the next trend involves a very big celebrity, somebody that everyone seems to know these days, Lady Gaga. What's going on with her?
ENDO: Lady Gaga is at it again. Her fashion style is trending today.
WHITFIELD: Her prosciutto outfit?
ENDO: Well, no, this is a fact accessory. She partnered with Polaroid to create sunglasses, but there's a little screen in the sunglasses, it's a little over an inch and it shows videos or pictures you could even take with a built-in camera in the glasses. You can take a look here.
WHITFIELD: Oh, gosh. So you're going to be like crashing into things as you're watching a video.
ENDO: Exactly. Or people are watching your sunglasses, watching a movie. Hopefully not a sad one and they're not crying.
WHITFIELD: That's right. No crying, nothing like that. Sandra Endo, thanks so much. Lots of fun there. Appreciate it.
All right, let's talk weather and what is apparently imminent for New York City. In fact, you see the flurries already. It's already starting to snow. Look at that live cam shot right there.
You remember what it was like over Christmas holiday in New York. It was gridlock. It was nasty. People were upset. They couldn't get from point A to B. Now, Rob Marciano says, New York City, brace one more time. Maybe this time, things will go along a little more swimmingly, because here's the warning. Rob here with a lot of snow.
(WEATHER REPORT)
WHITFIELD: Thanks so much, Rob. Appreciate that.
President Obama getting down to business, the business of the economy, jobs, you name it. Right now, you're seeing live pictures. This is going to be a manufacturing plant where the president will be visiting there in Landover, Maryland. It's a family-owned business. They actually make energy efficient doors, windows and siding and gutters. The president has a lot of announcements to make from that location, including a little bit more about his staffing changes.
All that straight ahead right after this.
(COMMERCIAL BREAK)
WHITFIELD: All right, we're going to take you in a moment to Landover, Maryland, just outside Washington, D.C. where President Obama will be making an appearance there. He's going to make some announcements -- that's the location right there -- about the White House staff. He's also going to talk about the day's job numbers.
And he's at this particular location because this is a family- owned manufacturing plant where they make energy efficient items for the home. It's called the Thompson Creek manufacturing plant there in Landover, Maryland, just outside of Washington D.C.
When the president emerges, we'll take him live and talk a little more on the backside about his staff changes and his overall look at the jobs scenario for this country.
Meantime, if you think you have trouble remembering people, imagine not being able to recognize faces at all. There is such a disorder. In today's "Human Factor," chief medical correspondent Dr. Sanjay Gupta introduces us to a brilliant mind that cannot perform that seemingly simple function.
(BEGIN VIDEOTAPE)
DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT (voice-over): Oliver Sacks may be a world famous neurologist, but there's one simple thing, something important, something most of us take for granted that he can barely do at all. That's to recognize a face, even a famous one.
(on camera): How about this one?
DR. OLIVER SACKS, NEUROLOGIST: Soft focus. The owner of this face is looking tough. But I don't know who it is. Sometimes I fail to recognize myself.
GUPTA: Even yourself?
SACKS: Yes, I've occasionally started apologizing to a clumsy, bearded man only to realize that this is a mirror.
GUPTA (voice-over): He's face blind. It's a rare and incurable condition he's had since birth. Sacks suspects its genetic since his brother suffers from the same condition. He can see each facial feature fine, but putting it all together, that's the problem.
(on camera): How about this picture?
SACKS: Well, that is very beautiful. A model or an actress. Well, I suppose one thinks of Marilyn Monroe.
GUPTA: I'm curious. You're looking at me right now, can you describe what you're seeing?
SACKS: You have very beautiful white teeth. So I would recognize you, especially by your teeth.
GUPTA (voice-over): You see, he finds a way, a way to adapt.
SACKS: You see, now I've outed myself about face blindness. It makes it easier.
GUPTA (on camera): Would you -- would you want to be cured of this, if you could?
SACKS: I think so. I think if I was suddenly presented with thousands of familiar -- potentially familiar faces, I think this might overwhelm me.
GUPTA (voice-over): A doctor of the mind, also looking to see the world with fresh eyes. He's still writing, he's still practicing as a physician, he even makes house calls.
SACKS: I want to get the whole picture. Not only get a diagnosis of the matter, but how the condition is affecting the person, how they're reacting to it, what I can do. But the whole person is very important for me.
GUPTA: Dr. Sanjay Gupta, CNN, New York.
(END VIDEOTAPE)
WHITFIELD: An actress from New York is accused of kidnapping a baby and police say she actually went to great lengths to make sure a baby was available for abduction.
(COMMERCIAL BREAK)
WHITFIELD: President Barack Obama now in Landover, Maryland just outside Washington D.C. He's at a family-owned business there called the Thompson Creek manufacturing plant and he's talking about the economy, he's talking about staff changes. Let's listen in.
(JOINED IN PROGRESS)
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: -- and technologies that have not only made us the world's largest economy, but also the most innovative economy in the world.
Making it possible for businesses to succeed is how we ensure that our economy succeeds, and all our people succeed. It's how we create jobs.
And that's what has guided my administration for the past two years. Government can't guarantee Thompson Creek or any business will be successful. But government can knock down barriers: like a lack of affordable credit or high costs for investment or high cost for hiring. We can do something about that. Government can remove obstacles in your path.
And that's why we cut taxes for small businesses over the last two years. For example, with a tax break for hiring unemployed workers, Thompson Creek was able to grow its workforce from 200 employees to nearly 300 employees in just one year. And it took advantage of the tax credits that we put into place.
We also passed a tax credit for products like energy-saving windows. And that led to a 55 percent boost in the sales at this firm.
You know, Rick was telling me that when that tax credit got into place, the marketing arm at Thompson Creek got busy, and that's the right -- that's exactly what we intended. That's exactly what we wanted to see is -- is explaining to the American people you can save money on your energy bill. This is a smart thing to do. Take advantage of it.
So incentives like these are helping companies across America, and the jobs numbers released this morning reflect that growth. The economy added more than 100,000 jobs last month and the unemployment rate fell sharply. Now, we know these numbers can bounce around from month to month, but the trend is clear. We saw 12 straight months of private sector job growth. That's the first time that's been true since 2006. The economy added 1.3 million jobs last year, and each quarter was stronger than the previous quarter, which means that the pace of hiring is beginning to pick up.
We're also seeing more optimistic economic forecasts for the year ahead, in part due to the package of tax cuts I signed last month, including a payroll tax cuts for workers and a series of tax cuts to encourage investment and innovation and hiring. And I fought for that package because even though our economy is recovering, we've still got a lot to do. This was a brutal recession that we went through -- the worst in our lifetimes. It left a lot of destruction in its wake, more than 8 million jobs were lost.
So even though we've created 1.3 million jobs, we saved a whole lot of jobs, you've still got a whole bunch of folks who are out there looking, still struggling. We've got a big hole that we're digging ourselves out of. And so our mission has to be to accelerate hiring and to accelerate growth. And that depends on making our economy more competitive so that we're fostering new jobs in new industries and training workers to fill them.
It depends on keeping up the fight for every job and every business and every opportunity to spur growth.
And so standing with me here today are men and women who will help America fulfill this mission. Let me just introduce each of them.
We're joined, first of all, by Gene Sperling, who I've appointed director of the National Economic Council.
Give Gene a big round of applause.
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Now, Gene has been an extraordinary asset to me and this administration over the past two years. He's been working with me. He led our efforts to pass the small-business jobs bill to help companies all across America. He also helped negotiate the tax compromise that we passed at the end of this year.
He's a public servant who has devoted his life to making this economy work and making it work specifically for middle-class families.
Now, one of the reasons I've selected Gene is he's done this before. This is his second tour of duty heading up the NEC, and in his tenure in the Clinton administration during the late '90s, he helped formulate the policies that contributed to turning deficits to surpluses and a time of prosperity and progress for American families in a sustained way.
Few people bring the level of intelligence and sheer work ethic that Gene brings to every assignment he's ever taken, and few do so with such decency and integrity.
So, Gene, we are lucky to have you back at the NEC. And I know you're going to do a terrific job.
Part of the reason I know that Gene will do a terrific job is because he's going to have Jason Furman working with him. I am pleased to elevate Jason Furman to be principal deputy at the National Economic Council.
Give Jason a big round of applause.
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Over the past two years, I've relied on Jason's advice and expertise on a range of economic issues, from helping design the emergency steps we took to prevent our economy from sinking into a second Depression to, most recently, working with Gene and the economic team to pass the tax cut compromise. And I'm confident that he will continue to do terrific work in this greater capacity.
We're also joined by somebody I've come to rely on as an adviser and a friend since my first days as a presidential candidate. Heather Higgenbottom is currently the deputy director of the Domestic Policy Council, where she's been the point person on education, as we've pursued some of the most innovative and important reforms in decades.
I am proud to nominate Heather to now serve as deputy director of the Office of Management and budget. And she understands the relationship between numbers on a ledger and the lives of real people. As we make cuts that are necessary to rein in the deficit, I want to make sure I've got Heather there so that we're meeting our fundamental obligations to our people and to our economy as well.
So give Heather a big round of applause. Thank you.
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And finally, I'm nominating Katharine Abraham to the Council of Economic Advisers.
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Katharine brings a wealth of experience as a an economist, as a commissioner of the Bureau of Labor Statistics during the Clinton administration. I'm confident that she's going to provide the kind of unbiased, unvarnished advice that will help us craft the best policies to strengthen this economy in the years to come.
Now, part of our mission, part of this team's mission in the months ahead will be to maximize the steps we've taken to spur the economy. And one of the most important is allowing businesses to immediately deduct the entire cost of certain investments like the new equipment that I was taking a look at. This is a policy I fought for over the past two years. We were able to pass it finally as part of the tax cut compromise. It is going to make a real difference for our economy.
So talking to Rick, I know Thompson Creek is planning to take full advantage of this tax break, and that's going to help Thompson Creek renovate, expand and add another hundred new employees right here.
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That's worth applauding.
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That's good.
So you have companies like this all over the country, and the Treasury Department estimates that overall this will accelerate $150 billion in tax cuts for 2 million businesses over the next two years.
So I want to urge all businesses with capital needs to take advantage of this temporary expensing provision, because we expect it to lower the average cost of investment by more than 75 percent for companies like Thompson Creek.
It is a powerful new incentive for businesses. It is a great opportunity for companies to grow and add jobs. Now is the time to act.
Companies who are listening out there, if you are planning or thinking about making investments sometime in the future, make those investments now and you're going to save money. And that will help us grow the economy. It will help you grow your business.
Overall, the decline in the unemployment rate is positive news, but it only underscores the importance of us not letting up on our efforts. So I'm looking forward to working with Heather and Gene and Katharine and Jason and everybody at the White House. We have one focus, and that is making sure that we are duplicating the success of places like Thompson Creek all across the country. We want businesses to grow, we want this economy to grow, and we want to put people back to work.
And I want to promise everybody at Thompson Creek and across the country, we will not rest until we have fully recovered from this recession and we have reached that brighter day.
Thank you very much, everybody.
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WHITFIELD: President Barack Obama there in Landover, Maryland just outside of Washington, D.C. making a few announcements on some White House staff changes as pertain to his economic team, and also expressing his optimism about the employment prospects, saying that he is hoping that he'll see a duplication of the success in the jobs prospect and for small businesses similar to that of the Thompson Creek manufacturing plant where he just held this press conference there and announcement. He says he wants bases to grow, just like Thompson Creek.
All right, our White House correspondent, Dan Lothian, has the inside scoop on the president's remarks and his optimism for this economy for this country. Let's go to Dan Lothian with more on why the president thought it was so important to make these announcements at that small business right outside of Washington -- Dan.
DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: Well, first of all, why at that business, because this is a private, family-owned company that is a -- he pointed out they make windows, also doors and siding. And this is a company that the administration says has benefits from government tax incentives to not only make additional investments, but also to hire new employees, and that's something they expect to do in the coming year as well.
So the president wants to highlight that company and say, listen, there are other companies out there that -- the same size, doing the same kind of thing who can start making those investments because of what this administration has done.
Secondly, the president obviously wanted to taut the unemployment numbers, a drop of -- a drop to 9.4 percent. Still high, but certainly what the president has been pointing out is that the trend lines are showing that the economic picture is improving.
And then, thirdly, the president laying out what this administration has been calling a major retooling, announcing these new members of this administration. In particular, Gene Sperling, who is taking over a job vacated by Larry Summers, someone who will play a key role in this administration looking forward in trying to build the economy.
But what's interesting from not only the Sperling appointment but also William Daley yesterday and others, is that the president has been reaching back to the Clinton administration to sort of put together the pieces of the team going forward. Some critics have said, listen, why is the president not taking advantage of this opportunity to perhaps bring in some new faces, some new voices.
But these, nonetheless, these high-profile appointments, the president reaching back to the Clinton administration, which went through similar circumstance, losing both the House and Senate at that time, able to have compromise as on a number of different issues, some of them economic and turn things around, have some success, and the president hoping for that as well.
WHITFIELD: And the president also underscoring that while the government wants to help create jobs, he say, a main priority is going to be to try to knock down barriers, something that he touts his administration has actually done in the last two year, and that means giving tax breaks to small businesses.
LOTHIAN: That's right. And small businesses, going back, you know, to the beginning of this administration, the president has always talked about if you give small businesses the tools that they need, the tax incentives, if you can help them thrive, then that is a major key to turning this economy around because they are the ones who are going to create a large number of jobs.
And so, that's why you've seen the president travel across the country, visit small businesses all around the country, including the one today, because he can tout some of the things that his administration has been doing he says has led to those investments and also the hiring of new employees. And he says, if more companies can do the same thing that those unemployment numbers will continue to drop.
WHITFIELD: All right. Dan Lothian at the White House there, thanks so much, as the president there gets a lot of handshaking in there Landover, Maryland just about 25, 30 minutes from where Dan is there at the White House.
We'll have much more in the NEWSROOM after this.
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