Part 9/12:
The Economic Outlook: Looming Recession and Fiscal Instability
Adding to Biden’s woes is the imminent threat of an economic recession. Recent economic indicators paint a bleak picture: GDP growth slowed from 3.4% in the fourth quarter of 2023 to just 1.6% in the first quarter of this year. Economists warn that if growth continues to decline, the U.S. could tip into negative territory.
Compounding this concern are record-high government debt, soaring credit card balances, and skyrocketing housing costs—up 37% since early 2020. Inflation remains stubbornly high, reaching levels not seen in decades. All these factors have contributed to a decline in Americans' confidence, with most perceiving the economy as failing.