Peter Orszag on CNBC's Squawk Box

Lazard Chief Executive Officer Peter Orszag appeared on CNBC's Squawk Box on October 2, discussing the recently averted U.S. government shutdown, the debate over the U.S. federal budget and the outlook for interest rate policy by the Federal Reserve.

"[Federal Reserve Chair Powell] has said pretty clearly that he sees rates going higher for longer. I think that is a mistake myself, but he's been very clear and the markets are only now beginning to believe him that he is going to stay there," said Peter. 

"I think the bigger headwind has been the uncertainty over the rate path itself, not just the level. If rates were high but steady, that would not be as good for deal activity and other forces than if rates are low, but if they are steady that is actually [helpful]," he added. 

Host Andrew Ross Sorkin went on to ask about whether the current level of interest rates are beginning to harm the U.S. economy, particularly in regard to personal mortgages and commercial real estate. 

"What we need to worry about regarding the economy is that the consumer has held up to date, but the lagged impact of all the rate increases are still yet to hit the economy. That is what we need to be watching," Peter concluded. 

Watch the interview below.