U.S. to enter recession in two years, say a third of business economists

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U.S. to enter recession in two years, say a third of business economists
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A third of business economists now expect a recession in the U.S. in the next two years

WASHINGTON — A number of U.S. business economists appear sufficiently concerned about the risks of some of President Donald Trump’s economic policies that they expect a recession in the U.S. by the end of 2021.

The economists have previously expressed concern that Trump’s tariffs and higher budget deficits could eventually dampen the economy.The Trump administration has imposed tariffs on goods from many key U.S. trading partners — from China and Europe to Mexico and Canada. Officials maintain that the tariffs, which are taxes on imports, will help the administration gain more favorable terms of trade. But U.S. trading partners have simply retaliated with tariffs of their own.

The financial markets signaled the possibility of a U.S. recession last week, adding to concerns over the ongoing trade tensions and word from Britain and Germany that their economies are shrinking.The economists surveyed by the NABE were skeptical about prospects for success of the latest round of U.S.-China trade negotiations.

As a whole, the business economists’ recent responses have represented a rebuke of the Trump administration’s overall approach to the economy.

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