this post was submitted on 07 May 2025
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Economics

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Fed Chair Jerome Powell has delivered an alarming warning about Trump’s tariffs causing stagflation.

Jerome Powell has once again said what everyone except Trump seems to already know: Lowering inflation while enacting staggering tariffs is virtually impossible.

“If the large increases in tariffs that have been announced are sustained, they’re likely to generate a rise in inflation, a slowdown in economic growth, and an increase in unemployment,” the Federal Reserve chair said on Wednesday. “The effects on inflation could be short-lived, reflecting a one-time shift in the price level. It is also possible that the inflationary effects could instead be more persistent. Avoiding that outcome will depend on the size of the tariff effects, on how long it takes for them to pass through fully into prices, and ultimately on keeping longer-term inflation expectations well-anchored.”

This is exactly what Trump doesn’t want the American public to hear.

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[–] toy_boat_toy_boat@lemmy.world 30 points 1 month ago

this guy is earnestly doing his real, true best to tank an otherwise invincible nation. seriously, you'd have to try harder if you were actually doing it on purpose. this is market manipulation on a historic level. clock is ticking, america. every fucking second is a year it'll take to get us ALL back from this. you should be lynching trumpers in the streets by now, but i don't have any expectations any more.