Get the latest BPR news delivered free to your inbox daily. SIGN UP HERE.
White House trade adviser Peter Navarro dismissed panicked reports that the U.S. is facing another Great Depression due to the coronavirus pandemic.
With more than 33 million Americans filing for unemployment benefits since businesses began to close in the wake of the COVID-19 outbreak back in March, media coverage on the economic fallout has become a “pity party” according to Navarro.
(Source: Fox News)
Headlines last week focused on the catastrophic effect of the pandemic on the economy, with the Labor Department announcing that unemployment levels rose to 14.7 percent, the highest number since the decade-long Great Depression which followed the stock market crash of October 1929.
“This is not the Great Depression,” Navarro said on “Fox and Friends” Monday. “Anybody who thinks this is the Great Depression doesn’t understand either history or economics.”
“The Great Depression was a 10-year process that came out of the end of World War I and went through an inflation and then a deflation cycle. It was accompanied by catastrophic applications of currency and trade, fiscal and monetary policy and it lasted a very, very long time,” the economist explained.
He went on to note the difference in the current economic situation brought on by the global pandemic.
“President Donald J. Trump built up the strongest and most beautiful economy in three-and-a-half years and then the Chinese Communist Party dropped a virus on the world that within 60 days has temporarily shut us down,” Navarro said.
He noted that “it’s going to be a long process because of the structural adjustments that are going to take place as we adapt to the virus socially and culturally and economically.”
However, the doomsday media coverage of the situation facing the nation at this time is way off, according to Navarro.
“But this Great Depression pity party stuff I saw yesterday, this ain’t that,” he said.
Speaking with Fox News host Maria Bartiromo on Sunday, Navarro touted the benefits of having someone like Trump in the office during a crisis such as the country is now facing.
(Source: Fox News)
“I think this is going to be a multi-year period as we go through and I think that’s why it’s important to have somebody in the White House who actually understands economics and the economy,” he said on “Sunday Morning Futures.”
“This will be an ongoing struggle of complexity that we’re going to have to have somebody in the White House who focuses on the economy, Jobs jobs…” he added. “Yes we’re going to, the recovery has already begun. $10 trillion is flooding in now. We are getting back the work, but we’re also going to have to tend to these structural issues and that’s what the president is focused on.”
Trump’s top economic advisers are pressing for the reopening of the economy, warning any more prolonged shutdowns will make recovery that much more difficult.
“If we do this carefully, working with the governors, I don’t think there’s a considerable risk,” Treasury Secretary Steven Mnuchin said on “Fox News Sunday.”
“Matter of fact, I think there’s a considerable risk of not reopening. You’re talking about what would be permanent economic damage to the American public,” he added.
But Democratic governors and lawmakers have continued to hold tight to the reins, many updating stay-at-home orders in their states and extending them through the end of the month. The issue created a debate on social media where actress Patricia Heaton, among others, wondered why there couldn’t be common ground.
Is it possible to agree that one can want to protect the vulnerable and also open the economy? Why does that seem so difficult for people?
— Patricia Heaton (@PatriciaHeaton) May 9, 2020
It’s only difficult if you are a Democrat unwilling to acknowledge any nuance because #OrangeManBad
This isn’t black or white, not even close.
— Proud Texan (@xmethuselahx) May 9, 2020
Okay, I am a Democrat, get that out of the way now, and quite liberal.
That being said, I think the administration’s phased plan to reopen the economy was pretty good and made a lot of sense.
It would be nice if any of the states that are opening up followed it at all
— Matthew Wozniak (@TheWizardOfWoz1) May 10, 2020
It’s about keeping us locked down to ruin Trump and steal the election
— Patriot Fe Open Up ALL of USA🐸⭐️⭐️⭐️ (@wrigsmom) May 10, 2020
I’ve attempted to have this conversation with friends, they all say I want people to die. There is literally zero middle ground.
— Mrs. K (@mnsotawife) May 10, 2020