Recession coming to the US?
steemhunt·@hunter5·
0.000 HBDRecession coming to the US?
 The #February #2019 jobs 🕵🏼♂️ report stated that the #US added just 20,000 jobs, well short of the 180,000 estimate ⤵️. ⠀⠀⠀⠀⠀⠀⠀⠀⠀ Is this number just a blip 🔊 on the radar or could it be signaling that a recession is looming 🌂? ⠀⠀⠀⠀⠀⠀⠀⠀⠀ If the #economy does slip into recession, it appears likely that the Federal Reserve will slash rates back to zero and launch another round of Quantitative Easing (money printing) 🖨 as it has already paused rate hikes while the economy is still “booming.” ⠀⠀⠀⠀⠀⠀⠀⠀⠀ With $1T 💸 yearly deficits currently, it’s painful 🏥 to think about how large they may get under a recession, probably over $2T/ year. ⠀⠀⠀⠀⠀⠀⠀⠀⠀ What types of ramifications could that have for US dollars 💸 and bonds? ⠀⠀⠀⠀⠀⠀⠀⠀⠀ Our guess would be a significant devaluation ⤵️ of the USD, making our imports more expensive (and A LOT of the stuff we buy is imported) as well has higher interest rates📊because if inflation is high, nobody is going to lend money below the rate of #inflation ... ⠀⠀⠀⠀⠀⠀⠀⠀⠀ So why would a decision like this be made 💭? ⠀⠀⠀⠀⠀⠀⠀⠀⠀ Because it makes politicians 👨🏻💼 in office look a lot better if they can quickly pull the economy out of recession in the short run by infusing unprecedented amounts of cash 💰 into it rather than letting the recession run its natural course and allowing the economy to healthily 🥬 rebuild itself. ⠀⠀⠀⠀⠀⠀⠀⠀⠀ A good analogy is an alcoholic 🍺that needs more and more #alcohol and refuses to ever sober up 🍕even though that’s the only thing that can save them in the long run. ⠀⠀⠀⠀⠀⠀⠀⠀⠀ Politicians will always promise “free” stuff because they are trying to get elected 📤, and it’s sad 😔 that so many people actually believe it is free. ⠀⠀⠀⠀⠀⠀⠀⠀⠀ #learn #business #motivation #education #finance #smart #weekend #cryptocurrency #motivate #wealth #entrepreneur #educate #blockchain #invest #crypto #bitcoin #money #future #technology