Archive · 2 Jun 2025

Krugman Warns of Stagflation and Economic Damage Under Trump

Krugman Warns of Stagflation and Economic Damage Under Trump

Economist Paul Krugman warns that Donald Trump's trade policies could hurt the U.S. economy.

He believes tariffs and uncertain policies are causing companies to pause investments, which may slow down growth and increase unemployment.

Krugman thinks the U.S. might face 'stagflation,' where prices rise while the economy slows.

He also worries that the U.S. is losing its reputation as a safe place for investments, and the dollar's value could fall.

Krugman says that these policies are undermining the country's financial credibility.

Sources