It’s shaping up to be a doozy of a Tuesday morning. At 10 a.m. on March 3, the U.S. Federal Reserve announces its first emergency rate cut since the global financial crisis. Soon after, in a hastily called press conference, Fed Chair Jerome Powell will tell reporters—and investors watching from afar who seem to be quickly losing faith in the healing powers of monetary policy—that responding to what’s now a quasi- global coronavirus outbreak and its economic fallout will require a “multifaceted” response from health and fiscal authorities.
A few hours later, the 10-year Treasury will set off alarms as its yield slips below 1% for the first time, and President Trump’s preferred gauge of his performance, the Dow Jones Industrial Average, will extend its most miserable streak since 2008.
As it all unfolds, Larry Kudlow is installed at the dining room table that serves as a desk in his second- floor West Wing office. He remains defiantly optimistic— and resistant to the idea that the unfolding health crisis demands a greater economic response from an administration for which he’s become the camera- ready, genial face.
“We’re not there yet. First of all, the economy is in good shape,” says Kudlow, who heads the president’s National Economic Council, before rattling offa flurry of recent positive statistics. “I am aware that there are going to be some speed bumps coming. But in talking to the president about this, a) We’re not going to panic over this at all, because the economy is sound, and we will get through this, and then the virus will end. Secondly, frankly, short-term fixes never work. You know, these temporary tax cuts or rebates and things of that sort. You look at the history—I mean I’ve lived with this for decades—they just never work.”
Bu hikaye Bloomberg Businessweek dergisinin March 09, 2020 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Giriş Yap
Bu hikaye Bloomberg Businessweek dergisinin March 09, 2020 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Giriş Yap
Instagram's Founders Say It's Time for a New Social App
The rise of AI and the fall of Twitter could create opportunities for upstarts
Running in Circles
A subscription running shoe program aims to fight footwear waste
What I Learned Working at a Hawaiien Mega-Resort
Nine wild secrets from the staff at Turtle Bay, who have to manage everyone from haughty honeymooners to go-go-dancing golfers.
How Noma Will Blossom In Kyoto
The best restaurant in the world just began its second pop-up in Japan. Here's what's cooking
The Last-Mover Problem
A startup called Sennder is trying to bring an extremely tech-resistant industry into the age of apps
Tick Tock, TikTok
The US thinks the Chinese-owned social media app is a major national security risk. TikTok is running out of ways to avoid a ban
Cleaner Clothing Dye, Made From Bacteria
A UK company produces colors with less water than conventional methods and no toxic chemicals
Pumping Heat in Hamburg
The German port city plans to store hot water underground and bring it up to heat homes in the winter
Sustainability: Calamari's Climate Edge
Squid's ability to flourish in warmer waters makes it fitting for a diet for the changing environment
New Money, New Problems
In Naples, an influx of wealthy is displacing out-of-towners lower-income workers