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Transcript

00:00:01
>> The world's central banks have a populist problems. I'm Reuter's fed correspondent Jonathan Spicer. I'll be covering the Jackson Hole annual conference where the world's central banks will be discussing free trade and robust immigration policies. But the theme this year is fostering a dynamic global economy. Which is an implicit acknowledgement that these leaders need to understand what is driving voters to back leaders espousing economic nationalist policies.
00:00:26
Like Donald Trump or those who backed the Brexit Campaign in the UK. Not long ago I visited two counties in Upstate New York. One, Clinton County, which is just a few miles from Montreal. It's enjoying investment from Canadian corporations like Bombardier. And it has $1.5 billion annually crossing the border in investment.
00:00:50
Now just 35 miles to the west is St Lawrence County, which is very similar to Clinton County, but it's just outside of Montreal's orbit, and that of places like Albany, and Ottawa. It has higher unemployment rate, a little bit slower job growth, and you really feel it when you speak with people like Grace Page, who is a grandmother I met.
00:01:12
She's a reliable Democratic voter but last year she sat out the election, telling me that she wants to give Trump a chance to tilt the un-level playing field. Now Reuters analyzed county level data on the labor market, on voting patterns, and on population density and found something quite interesting.
00:01:30
It turns out that the middle density counties, those that are not obviously urban or suburban and those not obviously rural. These hundreds of counties in essence had an outsize role in handing the White House to Trump. Now people like Janet Yellen of the Federal Reserve and Mario Draghi of the ECB will be delivering big speeches that will move markets at Jackson Hole.
00:01:52
But they will also be addressing these concerns of populist movements. We've seen Fed officials go out into these areas and suggest things like job training. They also stress that these locales should lean on their geographically specific industries like education, wind farming, tourism. But it's clear that there's not going to be any easy solutions for this friction that they have identified.