Collins J. Okoth
Peter Schiff stated the Trump-inspired economic boom was slowly picking up. The economist added that consumer optimism would not last long as the current economic concerns are set to worsen.
Peter Schiff, an economist, expressed his concerns about the current Trump-inspired economic boom. The ecomonist’s sentiments sparked conversations on X as more people expressed their opinions on the boom’s potential implications.
Peter Schiff suggests Trump-inspired economic boom won’t last long
Peter Schiff noted that consumer optimism in the economy following Trump’s win was slowly picking up. He added that the boom would likely continue for a while; however, it would not solve the problems that the electorate hoped Trump would resolve.
Consumer optimism is picking up and will likely continue to rise for a while longer, as misplaced confidence in a Trump-inspired economic boom continues to spread. But the good feelings won't last long, as all the economic problems that people hoped #Trump would solve get worse.
— Peter Schiff (@PeterSchiff) November 8, 2024
US shares recorded highs while the dollar posted gains against other international currencies after Trump got re-elected as the U.S. president.
According to CoinMarketCap, Bitcoin also recorded its all-time high days after the president-elect’s win. Trump expressed his intention to prioritize digital assets in his campaign trails, fueling current consumer optimism.
During his campaign trails, Trump had also pledged to make the US “the Bitcoin superpower of the world.” Some of his promises included firing Gary Gensler, the U.S. Security and Exchange chair who led various crackdowns against digital asset companies under Biden’s administration.
Trump also alluded to placing Elon Musk in charge of an audit to curb government spending after he was re-elected. The president-elect also promised tax cuts, further influencing investors’ interest in dollars as they expect better returns on their savings.
Many analysts think these promises have renewed investors’ interest as they anticipate a stronger US economy during Trump’s administration.
Schiff suggests Trump’s intended policies unlikely to resolve U.S economic concerns
After his comment on X, Peter Schiff received mixed reactions about his opinions on the economy’s potential recovery. Some agreed that the economy was still on the decline and that it could get worse before it was resolved.
They also added that the current economic state was the main impetus behind Trump’s win and was unlikely to improve. Others bashed the economist’s views and suggested that digital assets could potentially improve the economy under Trump’s administration.
Peter Schiff also commented on his podcast that the tax cuts, as promised by Trump, were unlikely to resolve the economic issues faced during Biden’s administration. He also highlighted that the tax cuts were unlikely to settle the debt deficits in the U.S. government and could further plunge the state into more debt.
The economist emphasized that cutting taxes was easy; however, reducing substantive spending was impossible. The economist suggested that gold was immune to inflation and would likely give investors more returns. Therefore, he encouraged his listeners to invest more in gold to cushion themselves against the looming inflation.
Other economists, such as Chancellor Rachel Reeves, expressed their concerns over the president-elect’s intended policies. They warned that his proposals on trade tariffs could negatively affect countries around the globe.
Reeves noted the United Kingdom intended to make strong representations to Donald Trump, emphasizing the need for open global trade. She insisted that the US also benefits from free and open trade, just like the United Kingdom.
The concern follows Donald Trump’s promise to increase trade tariffs on states such as China if he becomes president during his campaigns.
