‘Very Slight Recession’? Out-of-Touch Biden Ignores Reality
The Joe Biden recession is already here.
October 12, 2022On Tuesday, Joe Biden downplayed risks of a recession, despite warnings from experts including the IMF and JP Morgan Chase & Co. CEO Jamie Dimon. Biden said he did not believe there would be a recession, and if there was, it would be “very slight.”
Wall Street Journal: President Biden played down the likelihood of a recession during a television interview Tuesday, and said if there is one it would be “very slight.”
“I don’t think there will be a recession. If it is, it will be a very slight recession. That is, we’ll move down slightly,” Mr. Biden said during a CNN interview. He later said: “Look, it’s possible. I don’t anticipate it.”
However, the U.S. is already in a recession. In July, the Department of Commerce reported a second consecutive quarter of negative GDP growth, “which has long been the indicator of a recession.” Several surveys have found that strong majorities agree the U.S. is already in a recession as inflation outpaces wage gains and the housing market “enters a slump”.
New York Post: Americans battered by soaring inflation since President Biden took office have effectively suffered the steepest pay cut in a quarter-century, according to data released by the Federal Reserve. . .
“We find that a majority of employed workers’ real (inflation-adjusted) wages have failed to keep up with inflation in the past year,” the researchers said. “For these workers, the median decline in real wages is a little more than 8.5%.”
“Taken together, these outcomes appear to be the most severe faced by employed workers over the past 25 years,” the researchers added.
Higher inflation can quickly erode the purchasing power of Americans if wage growth doesn’t match the increases. That means households face a difficult financial crunch when attempting to pay for daily necessities such as food, rent and gas.
Bottom Line: The Joe Biden recession is already here.
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