TODAY

TODAY   |  January 01, 2014

Jim Cramer: Economy poised for recovery in 2014

The host of CNBC’s Mad Money tells Matt Lauer that instead of letting employees go, companies are seeking to hire more workers in the coming year.

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This content comes from Closed Captioning that was broadcast along with this program.

>> all right, peter, thank you very much. now a look at what you can expect in 2014 . we're going to cover politics and the olympics in sochi in a moment but why don't we start with the economy and your bottom line. jim cramer is the host of cnbc's mad money . good morning, happy new year.

>> same.

>> can we just look at the stock markets back in 2013 . the dow, the s&p, nasdaq, all up more than 20%. were you surprised by that?

>> wasn't supposed to happen. there was not great job growth . we had lots of worries in washington. around the world it was tepid but our companies made a fortune.

>> does that set us up well for the markets and optimism in 2014 ?

>> yes. it's going to be an even better year. i'll tell you why. last year was all about firing people to make a lot of money for the companies. now it's about hiring to grow the revenues.

>> so is this now, are you comfortable looking at me and saying we're in the midst of a real recovery. we talked a lot since the melt down of 2008 . we had fits and starts. we move ahead. we backtrack. is this the real deal for people on main street and not just people on wall street .

>> that's the difference. i think all the money has been made by the paper pushers. now it's going to be made by the companies that make things and that's who hires.

>> let's take a look at another thing that happened in 2013 and take a look at how it will effect us in 2014 . 2.5 million jobs were created in this country. the unemployment rate went from 8% to 7% which is good news. what's your employment prediction for 2014 .

>> we're going to go to 6.

>> we're going to drop another percent.

>> this is a good economy now. the jobs being created are regional, southeast because of oil and gas . any state that has oil and gas is doing well. aerospace has been very, very good. retail skomiis coming back. there will be jobs created that are descent wage jobs.

>> we read headlines that the united states entered a nuclear deal with iran. without getting into the specifics of the deal, if it creates stability in the oil markets, what will the impact be on the economy?

>> the one thing that's the wildcard that's always threatened this economy is sky high oil prices because gasoline goes to $4. if we can keep gasoline at the national price that will be good for jobs and consumer spending . we are a spending nation.

>> so you're bullish on 2014 .

>> bingo.

>> one word says it all. happy new year, jim. good