IP CEO- CNBC interview-"Without Demand, all certainty in world unimportant"

[ErikJ]

For the record; I saw this interview yesterday.

•Jon Faraci, CEO of International Paper, told CNBC -Tuesday 9/6/11

"to create jobs what we need is demand. This economy is 70 percent consumer driven, so we need consumers spending some of their discretionary income if we're going to have demand that's gong to lead to more jobs."

"If we get demand, we'll put more shifts on, our employees will be working more hours, and we'll hire more people.

Without demand we can have all the certainty in the world and all the clarity about regulation, but to me it's not so much about confidence as it is about demand," explained Faraci.

http://www.cnbc.com/id/44409176

[xchrom]

1. well, somebody gets it. nt

[indepat]

2. And without a growing middle class getting a sufficient piece of the pie, demand

will languish in perpetuity. :patriot:

[DJ13]

3. we need consumers spending some of their discretionary income

Well, thats a problem.

As corporations like International Paper continue to raise prices while the business owners (and the government) refuse to increase wages and Social Security benefits, the consumer no longer HAS much discretionary income left.

You cant squeeze anymore and expect the tapped out consumers to be able to find ways of buying the products you want to sell.

[Romulox]

4. The Chinese don't really need your paper products, Mr. Faraci. nt

[truckin]

5. Exactly. I don't understand why Democratic politicians aren't

repeating this over and over.

[Cali_Democrat]

6. That's the dirty little secret.

More tax cuts and reduced regulations are supply side solutions that will not increase demand, and thus economic growth. Corporations are sitting on loads of cash. Giving them even more cash in the form of tax cuts will do nothing.