Kevin Hassett on "Face the Nation" Sept. 7, 2025

Key Points from the Interview with Kevin Hassett

During an interview on "Face the Nation with Margaret Brennan," Kevin Hassett, the Director of the National Economic Council, provided insights into several critical economic and political issues. His responses covered topics ranging from U.S. sanctions against Russia to concerns about job data accuracy and the role of the Federal Reserve.

U.S. Response to the Attack on Ukraine

Hassett emphasized that while he is not a foreign policy advisor, his role at the National Economic Council involves ensuring that sanctions are enforced effectively. He noted that countries like India, which have been purchasing Russian oil, could face economic repercussions. The recent attack on Kyiv by Russia was described as disappointing, with expectations of increased discussions around the timing and scope of additional sanctions.

Concerns About Job Data Accuracy

The discussion turned to the U.S. labor market, where the Bureau of Labor Statistics (BLS) reported 22,000 jobs added in August, but revisions suggested lower momentum. Hassett highlighted discrepancies between two survey methods: the payroll survey, which asks employers about hiring, and the household survey, which asks individuals if they are employed. These inconsistencies raised questions about the reliability of the data, especially given the significant revisions over the past few years.

Hassett pointed out that modernizing the data collection process could improve accuracy. He referenced a company called Homebase, which provides alternative employment data, suggesting that traditional methods may not be sufficient. He also expressed concerns about the transparency of the BLS, advocating for more modernized and trustworthy data collection techniques.

Impact of Tariffs on Employment

Hassett addressed concerns about rising costs due to tariffs, particularly in sectors like manufacturing. He noted that inflation has decreased significantly since President Trump took office, and the Federal Reserve appears to be confident in its ability to manage it. However, he acknowledged that companies facing higher costs might be hesitant to hire new employees.

He also discussed the effects of immigration policies on employment, stating that most new jobs created in the U.S. have gone to native-born workers, while there has been a reduction in labor supply for non-native born workers. This trend, according to Hassett, is supported by surveys, though he admitted that trust in such data can be limited.

Federal Reserve Independence and Potential Reforms

When asked about the Federal Reserve's independence, Hassett strongly supported the idea that monetary policy should remain free from political influence. He warned that allowing leaders to control central banks often leads to inflation and economic instability. While he did not outline a specific plan for reforming the Fed, he expressed agreement with recent calls for an independent review of the institution’s role and operations.

Hassett also mentioned that he would support any vision for the Federal Reserve that aligns with the principles of independence and transparency, should he ever be considered for the chairmanship.

Legal Challenges to Tariff Policies

Finally, Hassett addressed potential legal challenges to the President's tariff policies under the International Emergency Economic Powers Act (IEPPA). He stated that while the Supreme Court ruling on such matters is unlikely, there are alternative legal mechanisms available to achieve similar outcomes. These include other sections of trade law that could be utilized if needed.

Throughout the interview, Hassett maintained a focus on the importance of accurate data, economic stability, and the need for continued reforms in both data collection and policy implementation. His comments reflected a balanced approach to addressing current economic challenges while emphasizing the importance of transparency and accountability.