After more than two years of taking credit for President Barack Obama’s handiwork of turning around the economy, Donald Trump — and the country — might be about to face a harsh reality brought on by the president’s relentless undoing of the previous administration’s policies. While Friday’s jobs report for November may have seemed encouraging on the surface, economists said there were a handful of factors at play indicating that another financial collapse may be looming after enjoying record low unemployment in the nation.
That was in spite of overall unemployment remaining below 4 percent for five consecutive months and Black unemployment holding steady 5.9 percent, the lowest it’s been since November 2017.
“The government reported that 155,000 new jobs were created last month, below the 198,000 analysts had forecast,” USA Today reported.
But at this rate, the U.S. was staring down its next economic recession by the time Trump was expected to seek re-election in 2020. The president may actually be aware of this possibility (even if he didn’t admit it), as shown by his tweet that name-dropped his successful predecessor.
But what Trump’s tweet failed to take into consideration was the economy that Obama inherited was on the cusp of a historic collapse from which the 44th president successfully guided the country into complete recovery, and then some. Which means Trump, in turn, inherited a very healthy and robust economy that he may be on the verge of running into the ground. A series of misguided executive orders and partisan policy votes in Congress fueled by Republicans’ blind allegiance to the president were seemingly about to take their toll. That all culminated this week after Trump called himself “Tariff Man” following heavily disputed claims surrounding a trade war with China, resulting in stocks plunging a whopping 800 points.
The magic worked by Obama set up the economy to thrive long-term, but this week’s series of events may be the straw that broke the proverbial camel’s back and only help to fast-track a recession.
“Recent market volatility is one of several signs that an economic boom may be petering out,” Politico wrote Friday.
Nevermind the 15,000 General Motors workers and likely Trump voters who lost their jobs in part because of the president’s controversial tax law that promised to enhance, not hinder, employment at car manufacturing plants. Those now-former GM employees who will factor into next month’s jobs report were left to pray for work, “as they believe there will be negative economic impact if the plant closes.”
Add all of the above to the fact that the federal reserve was expected to raise the interest rate this month, and the country’s economic outlook all of sudden didn’t appear as rosy as it did just a week ago.