Growing Fears U.S. Headed Towards Recession, Lawmakers React
WASHINGTON, D.C. - Costs for groceries, gas and other everyday items are at some records high and now some are warning that the U.S. could be headed for a recession.
The Republicans are pointing the finger at the Democrats but the Democrats said they’re doing all they can to lower prices.
According to Forbes, a recession is a significant decline in economic activity that lasts for months, even years. Experts declare a recession when a nation’s economy experiences negative gross domestic product, increasing levels of unemployment, a downgrade of retail sales, just an overall hit to our economy. Some economists believe that the we could be heading for a recession. While Republicans agree with that, Democrats argue they’re trying to curb costs.
“The federal reserve might have to raise interest rates once again and there’s the discussion is are we in a recession,” said Sen. John Barrasso (R- WY). “Well I heard all the happy talk and the denials by the administration over the weekend, bottom line is, two-thirds of Americans believe we’re in a recession right now.”
“There are a lot of good things in this economy,” said Sen. Chuck Schumer (D- NY). “Record job creation, more money in people's pockets than they’ve had before and something that we’ve decried in this country for many years. Low wage growth is now increasing rapidly, that’s some of the good things that make people’s lives a lot better.”
The Biden administration is getting criticism for saying he doesn’t think we’re going to see a recession. New numbers for GDP are expected to be released in two days. Many said it could be one of two situations: the first, showing the U.S. economy grew a little. The second: it shrank again in the second quarter.