Paul Krugman asks Trump Slump Coming?
For several economic reasons he says “In short, don’t expect an immediate Trump slump.” However …
Now, in the longer run Trumpism will be a very bad thing for the economy, in a couple of ways. For one thing, even if we don’t face a recession right now, stuff happens, and a lot depends on the effectiveness of the policy response. Yet we’re about to see a major degradation in both the quality and the independence of public servants. If we face a new economic crisis — perhaps as a result of the dismantling of financial reform — it’s hard to think of people less prepared to deal with it.
And Trumpist policies will, in particular, hurt, not help, the American working class; eventually, promises to bring back the good old days — yes, to make America great again — will be revealed as the cruel joke they are. More on that in future columns.
But all of this will probably take time; the consequences of the new regime’s awfulness won’t be apparent right away. Opponents of that regime need to be prepared for the real possibility that good things will happen to bad people, at least for a while.