Wayne Winegarden Discusses Fears of US Recession in Yahoo! Finance Article
US recovery closes in on 10 year milestone as fears abound that the party is ending
By Calder McHugh
As the U.S. economy inches closer to a record-setting decade of sustained growth, experts are increasingly worried that a cliff — caused by a multi-front trade war —could be looming . . .
The Institute for Supply Management (ISM)’s manufacturing index jumped to 60.2 in June, up from 58.7 in the prior month. Although demand remains robust, the data also revealed that supply chains are struggling — and that manufacturers are “overwhelmingly” concerned about tariffs imposed on steel and aluminum.
In the immediate term, “you’re going to see rising costs first, and after the rising costs then you’re going to start to see possible layoffs,” said Wayne Winegarden, a senior fellow in Business and Economics at the Pacific Research Institute.
“In the long term, you already have baked into the cake slower growth, slower employment, slower output because of the uncertainty,” he said. Winegarden added that the supply side of the manufacturing industry is in trouble, and that more tariffs could “push us over” into a recession.