Peter Navarro, a senior trade adviser to President Trump, said Wednesday that the U.S. is “in a difficult transition from Bidenomics to Trumpnomics.”
“Help us understand, what is the bigger picture for the economy from the administration?” host Will Cain asked on his Fox News show.
In his response, Navarro said, “let’s start looking through one end of the telescope, through today’s data, as you correctly observe, the core rate of inflation has fallen [to its] lowest level in almost four years.”
“That’s huge,” Navarro continued. “Gasoline prices down, we’ve had mortgage rates down, we’ve had grocery prices flat. Here’s the thing, we’re in this — this difficult transition from Bidenomics to Trumpnomics.”
“What is that, OK? Bidenomics was a combination of very overaggressive Keynesian stimulus spending to goose the economy that created large amounts of debt, which is unsustainable. So, [at] the same time that it gave us what we call demand-pull inflation, too much money chasing too few goods, it built in a recession, possibly some time down the road, if that spending weren’t controlled,” he added.
In an interview that aired Tuesday, Commerce Secretary Howard Lutnick said Trump’s tariff policies will be worth it, even in the case that the economy experiences a recession.
“The only reason there could possibly be a recession is because of the Biden nonsense that we had to live with,” Luntick also said during the interview.
The stock market on Monday started the week with dramatic losses, with the Dow Jones Industrial Average closing with a loss of 890 points, dipping 2.1 percent.
In an editorial published Monday, The Wall Street Journal predicted that a fully fledged economic recession might come following the day’s stock market trouble.
“Stock prices have been richly valued for some time, and this may be merely a market correction. But there are also signs of a slowing economy that should have the Trump Administration on alert,” the Journal’s editorial board wrote.
