Trump's Economic Strategy: A Recession to Achieve Key Goals
President Donald Trump may see a U.S. recession as a necessary tool to meet three important goals: lower interest rates, reduced inflation, and cheaper energy prices.
With $9.2 trillion in U.S. debt set to be refinanced by 2025, Trump may push for a recession to make refinancing more affordable. Historically, recessions lead to lower interest rates, easing borrowing costs for the government.
Trump has also been fighting inflation and high energy prices. A recession could lower demand for oil and other goods, helping reduce inflation faster than other measures.
However, Trump’s strategy comes with risks. A recession could bring higher unemployment and market instability, but it might help him achieve his long-term economic goals, like reducing the national debt and lowering energy costs.