New York Mayor Eric Adams has countered President Joe Biden’s claim that the United States was doing well said the country was in recession and “Wall Street is collapsing.”
Mayor Adams said the country’s finances are in an “unimaginable” crisis.
In his words, “we are in a financial crisis like you can never imagine, Wall Street is collapsing; we are in a recession.”
However, Mayor Adams seemed to water down his statement when he added that “the president will make a decision on the official title of where we are; that’s the president, and i’m following the president’s lead. We are going through tough economic times, but we will get through it because I trust the president.”
Is the US in a recession?
President Joe Biden doesn’t seem to agree that the United States is in a recession. In several public comments, he had insisted that the economy was working well.
However, data from the Department of Commerce showed that GDP for the second quarter turned down by 0.9%. In the first quarter, GDP had fallen by 1.6%.
Top US officials such as Treasury Secretary Yellen said she does not believe the economy was in recession. Instead, she feels that “we are in a transition period where growth is slowing down and that is necessary and appropriate.”
Vice President Kamala Harris had also said that the “inflation is too high‘ and ‘our economy is slowing down’.
The renewed focus on the US recession has led to widespread acclaim that the White House is… definition of a recession so that the country can avoid it.
According to the President’s Council of Economic Advisers, “official assessments of recessions and economists’ assessments of economic activity are based on a holistic view of the data — including the labor market, consumer and business spending, industrial production and incomes. Based on this data, It is unlikely that the decline in GDP in the first quarter of this year – even if followed by another GDP decline in the second quarter – points to a recession.”