The US Economy, ‘Nothing Succeeds Like Success’
White House economic adviser Larry Kudlow said Wednesday that “there’s no recession in sight” for the American economy and that President Donald Trump “is on the right track” with his economic agenda.
“There’s no recession in sight,” Mr. Kudlow said.
“The American economy is in very good shape,” he said, who was blunt in that he does not sense any economic trouble on the horizon. “I do not see it.”
Mr. Kudlow also predicted robust economic growth for the near future.
“We are getting 3 and it may be 4 for a Quarter or 2, that is all for the good, literally millions more people are working.”
Economists widely expect Q-2 growth to approach 4% or higher after GDP rose 2% in Q-1, and 2.3% for all of President Trump’s 1st year in office in Y 2017.
To be sure, the US economy is growing at a 4.5% annualized rate in Q-2 following recent strong data on retail sales and industrial production, the Atlanta Fed’s GDPNow forecast model showed.
The latest estimate on gross domestic product growth was faster than the 3.9% pace estimated last week and the same as Monday, the Atlanta Fed said.
The National Economic Council Director said that President Trump’s formula of tax cuts, deregulation, and other reforms — despite Wall Street fears over inflation, tariffs and a possible global trade war will keep the nation’s economic growth strong for some time to come.
Mr. Kudlow said the current administration is trying to pull America out of the “growth recession” it has been mired in since at least the Y 2008 financial crisis.
“You’ve got kids, millennials etc. … who have never seen a full-fledged lasting prosperity.
“It’s not that they’re cynics, they’ve just never seen it. We haven’t had one in 20 years,” he said.
Asked whether the administration is considering more tax legislation following the cuts passed late last year, Mr. Kudlow said there could be a tax reform “2.0 and 3.0 and a 4.0.”
The veteran financial guru and former Ronald Reagan adviser also endorsed recent interest rate increases by the Federal Reserve under Chairman Jerome Powell.