Summers warns U.S. likely headed to recession, 2 million jobless

Former Treasury Secretary Lawrence Summers warned that the United States is likely to be led to the decline, and it is possible to get 2 million Americans out of work.

“It’s more likely than we are going to fall, and in the context of the fall we will see that additional 2 million people are unemployed,” sums are Bloomberg TV. Wall Street week With David Westin. “We will see household income losses” $ 5,000 per family or more.

“The President Donald Trump” on tariff plans “There will be a very important choice”, which exceeds even the cities, which “depressed depression,” said Bloomberg TV investor. It would be wise to “stand back in the declared policy,” he said.

Financial markets on the influence of “incredible clarity” tariffs, summers say.

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“We are most likely in the context of the fall so that the markets reach significantly below their current level,” said the finalists. “I will be surprised if the bottom is still connected with this stage and markets,” he said.

He noted that the US economic decline will have different negative consequences, including a wider budget deficit. “There will be a financial distress that will affect high-risk companies and high-risky countries of the world economy.”

Market “Signal”

Although it is “difficult to know” the risk of economic decline in the financial crisis, the former treasury chief emphasized the toughening of the legislation since the 2007-09 melting financial companies. Earlier Treasury Michael Folkander, Michael Folkender, said that “liquidity continues to flow,” and there were no “obstacles” despite the market instability.

“I am less concerned about the internal integrity of the markets than I am through the external message that the markets are sent. In the absence of some corporate leaders and scientific leaders, talks about their concerns about politics, markets are “such an important signal on where things go,” he said.

For the first time, the United States is facing a decline in its policy actions, he said. “There is nothing in the outside world that makes this challenge. It motivates President Trump and his administration, “he said. “I don’t know that a really historic precedent is now being done.”

“The main resumption of normalization in the” economy “will be if the government pushes itself its” policy mistakes, “he said.

“B” student

“There is nothing but that,” said Sumes. It is “introductory economics” that imposes a huge tax increase on the middle class with cloudy uncertainty, damages businesses and the economy takes effect, said summer. “B ‘B’s student will know that the answer is that it is a shock that raises prices and causes unemployment.”

It will be a “huge expensive US and global economy” if Washington’s plugs return the price at the II level II in the summer. “Damage to markets, if all this was definitely there will be many trillion dollars. And the stock exchange only leads to this kind of policies of the economy. “

This story was originally shown Fortune.com