Top Economists Warn Of Recession

Trump’s continued failure to address the coronavirus crisis has only created more uncertainty in financial markets, and he remains entirely uninvolved in negotiations with Democrats on critical economic relief. Now, prominent economists and forecasters say that we could already be in a recession.

Yesterday, four top economists, including Trump’s former economic adviser, warned the economy could be in a recession.

Trump’s former economic advisor Gary Cohn: “We are in a recession right now.”

Former Federal Reserve vice chairman Alan Blinder: “I wouldn’t be one bit surprised if when we look back at the data, it is decided … that the recession started in March.”

Moody’s economist Mark Zandi: “The economy will contract very sharply in March.”

Former Chair of the Council of Economic Advisors Austan Goolsbee: “Steep drop, deeper than normal recession. How long-lasting less clear. With slowing infection/viable treatments could be substantial summer rebound. If we let many people spiral into bankruptcy, tsunami could morph into something more permanent.”

Trump’s primetime address sent already-volatile financial markets plunging.

Washington Post: “The latest plunge began Wednesday night, as Trump started outlining his policy response to the epidemic in a widely criticized Oval Office speech, and accelerated once trading opened Thursday.”

Financial Times: “Markets responded violently on Thursday to Donald Trump’s ban on Europeans travelling to the US, announced the previous night in a White House address intended to calm anxiety over the pandemic.”

Democrats are racing to pass emergency measures to help stabilize the economy and protect working people from further economic fallout.

WSJ: ”One way that House Democrats had negotiated with the administration was to add tax credits for small and medium-size businesses to help them pay for sick leave. Mrs. Pelosi said the bill would provide both 14 days of paid sick leave and up to three months of paid family and medical leave, as well as unemployment insurance for furloughed workers. The legislation would pause work requirements for government food assistance and increase federal funds for Medicaid.”

Trump is completely uninvolved in negotiations on these critical measures to revive our economy, and hasn’t even indicated he will support them.

Politico’s Jake Sherman: “day of the vote. Two sides were exchanging papers. Mnuchin in drivers seat for admin, pelosi for congress. Trump a passenger.”