Trump’s Behavior Is Causing ‘Uncertainty’, Could Harm The Economy
President Donald Trump’s erratic behavior is creating an atmosphere of uncertainty, according to a new report from Politico. The President’s habit of tweeting, his unpredictable statements and public behavior may be contributing to a declining economy.
Politico’s Ben White blames a historic ‘surge in economic uncertainty’ on ‘President Donald Trump’s itchy Twitter finger and head-spinning approach to trade and fiscal policy.’ He argues that Trump has created a new era of uncertainty in the economy.
“Trump-related uncertainty dominates talk among corporate executives on earnings calls and during discussions at the U.S. Federal Reserve,” the report goes on. “Companies are reining in capital spending and slowing their hiring plans, unsure what the unpredictable president might do next and whether it will help tip the U.S. from slowing growth into recession.”
Warnings of recession have been coming over the past few weeks. The US yield curve on bonds is now inverted, while recent jobs numbers showed a slow down in hiring. All of this has economic experts and investors worried about the trend.
The President has pursued a trade war with China, including introducing new tariffs just this month. The effect on consumer spending is expected to be significant, while Trump’s often bizarre behavior may spook the markets. Trump continues to insist that the economy is great and has blasted the media for suggesting there might be a recession.