General Discussion

lindysalsagal

(20,692 posts) Sun Jun 23, 2019, 09:48 AM Jun 2019

WAPO OP ED: The Trump economy house of cards collapses. Dana Milbank, 6 21

https://www.washingtonpost.com/opinions/the-trump-economy-house-of-cards-collapses/2019/06/21/00412398-9429-11e9-aadb-74e6b2b46f6a_story.html?utm_term=.deaa6739ff39

The Duke University survey of chief financial officers recently found that 69 percent of U.S. CFOs expect a recession by the end of next year, brought on by weaker global economic growth and the effects of Trump-initiated protectionism. Similarly, JPMorgan Chase’s economic monitor this week put the chance of a recession within 12 months at 45 percent, up from 20 percent at the beginning of 2018.

In other traditional indicators of looming recession, 10-year Treasury yields have fallen below 2 percent (for the first time in Trump’s presidency) and the “yield curve” has inverted, meaning investors expect short-term instability. Business investment is slowing. The Morgan Stanley Business Conditions Index had its largest drop ever this month and stands at its lowest level since December 2008, right after the crash. Rail traffic has dropped considerably, as shipments contract.

His tax cuts did briefly accelerate growth and wage gains, particularly for low-paying jobs. But hucksterism has met reality. As CNBC put it this week: “The Trump economy is starting to look more and more like the Obama economy.” After the “sugar-high,” the economy has returned to relative stagnation. But it’s worse than the status quo ante. The wasteful stimulus, applied at a peak of the business cycle, added trillions to the deficit. And Trump’s badgering of the Fed has likely kept interest rates lower than they would have been, less than half of where they were before the last downturn. This means the government has fewer fiscal and monetary tools to use when the next recession comes, raising the risk of a longer and deeper one.

8 replies

= new reply since forum marked as read

Highlight:

WAPO OP ED: The Trump economy house of cards collapses. Dana Milbank, 6 21 (Original Post) lindysalsagal Jun 2019 OP

Yes but... tazkcmo Jun 2019 #1

"More and More Like the Obama Economy"? erpowers Jun 2019 #2

Also Penn Voter Jun 2019 #4

Appears this trend in now in action. Wellstone ruled Jun 2019 #8

Since it isn't happening until the end of the year,45 will say it's because there is fear of a AJT Jun 2019 #3

Yes Penn Voter Jun 2019 #5

"The Trump economy is starting to look more and more like the Obama economy." klook Jun 2019 #6

Yes, and ironically, an election year. Firestorm49 Jun 2019 #7

tazkcmo

(7,300 posts)

1. Yes but...

Reply to lindysalsagal (Original post)

Sun Jun 23, 2019, 09:57 AM

Jun 2019

...they sure owned the Libtards!

erpowers

(9,350 posts)

2. "More and More Like the Obama Economy"?

Reply to lindysalsagal (Original post)

Sun Jun 23, 2019, 10:21 AM

Jun 2019

I know the quote came from CNBC, but I think the quote is wrong. It seems like the Trump economy may be looking worse than the Obama economy. I have heard reports that the Trump numbers are worse than the Obama numbers. Also, did the Trump numbers ever surpass the Obama numbers? I know Trump and his supporters always celebrated Trump's job and economic numbers, but there were always people who pointed out that Obama's numbers were just as good and in some cases better than Trump's numbers.

Penn Voter

(247 posts)

4. Also

Reply to erpowers (Reply #2)

Sun Jun 23, 2019, 10:30 AM

Jun 2019

President Obama inherited the largest recession since the "great depression." Trump inherited a good economy. I am sure that the next Democratic president will inherit another Republican mess.

Wellstone ruled

(34,661 posts)

8. Appears this trend in now in action.

Reply to Penn Voter (Reply #4)

Sun Jun 23, 2019, 01:14 PM

Jun 2019

Used to tune in from time to time to CNBC,can't do this crap anymore. First it is the Day Trader Network with their little cues and insider tips they dump all day long,and their total push of the Supply Side Metrics is pure crap. But,when your a Millionaire on Air Talent spouting this crap,you see another Enron starring you in your face.

And the DOW Jones is a joke,and in that lies the mega crash to come. With the wealth concentrated in few hands with every passing day,no wonder these so called fake industrials are over valued. And thus a fake Dow Average.

And when Morgan Stanley becomes concerned,take it to the Bank. BTW,Morgan Stanley was at the heart of the last collapse.

AJT

(5,240 posts)

3. Since it isn't happening until the end of the year,45 will say it's because there is fear of a

Reply to lindysalsagal (Original post)

Sun Jun 23, 2019, 10:27 AM

Jun 2019

Democratic presidency.

Penn Voter

(247 posts)

5. Yes

Reply to AJT (Reply #3)

Sun Jun 23, 2019, 10:32 AM

Jun 2019

or he will blame it on Nancy Pelosi and the "democrat" congress.

klook

(12,157 posts)

6. "The Trump economy is starting to look more and more like the Obama economy."

Reply to lindysalsagal (Original post)

Sun Jun 23, 2019, 10:58 AM

Jun 2019

If only! The economy recovered from the Bush-inflicted brink of disaster during Obama’s presidency. The Republicans’ transfer of our wealth to the billionaires is about to subject us to another deep recession.

Analysis from Sept. 2018: https://www.washingtonpost.com/politics/2018/09/18/trump-economy-versus-obama-economy/

Republicans always hand us the screaming baby with the soiled diaper, walk away, and blame the smell on us when we clean up the baby.

Firestorm49

(4,035 posts)

7. Yes, and ironically, an election year.

Reply to lindysalsagal (Original post)

Sun Jun 23, 2019, 11:12 AM

Jun 2019

Reply to this discussion