President Biden has told Americans that the country is ‘not in a recession’
President Joe Biden speaks about the COVID-19 relief package in the State Dining Room of the White House, Monday, March 15, 2021, in Washington. (AP Photo/Patrick Semansky / AP Images)
OceanFirst Financial president and CEO Christopher Maher analyzes if the economy is truly in a recession on ‘The Claman Countdown.’
Conservative groups are slamming President Biden and his administration for attempting to “gaslight” Americans into believing that the country isn’t in a recession.
The country entered a technical recession as the U.S. economy shrank by 0.9%, meaning that the country has seen a negative gross domestic product figure for a second straight quarter.
Prior to the advance estimate of the country’s GDP on July 28, the White House Council of Economic Advisors said that even if the figure is negative, it’s still “unlikely” to be an indicator that the country is in a recession.
“Based on these data, it is unlikely that the decline in GDP in the first quarter of this year — even if followed by another GDP decline in the second quarter — indicates a recession,” a post on the White House website states.
After the GDP figure was released, Biden was quick to say that the United States “is not in a recession,” adding that it is “no uprise that the economy is slowing down.”
Will Hild, executive director of Consumers’ Research told Fox News Digital that the country is in the middle of a recession despite what Biden and his administration suggest.
“The GDP numbers don’t lie— under the Biden Administration, we are building back broker,” Hild said. “Regardless of how the White House tries to spin it, the Biden recession is here to stay as everyday Americans are facing higher prices from the grocery store to the gas pump.”
He said in an interview that the White House’s current calculation on whether the country is in a recession is relying on the fact that there isn’t high unemployment yet.
“My understanding is the [White House] is leaning heavily on the fact that we haven’t seen huge numbers of unemployment yet, but layoffs are picking up, and it may just be a delayed indicator,” Hild said.
“What we will likely see over the next three months is that unemployment will pick up, I think we’re already seeing increases there,” Hild added.
Other members of the Biden administration also said that the country isn’t in a recession.
Treasury Secretary Janet Yellen said in a press conference on July 28 that most economists define a true recession as a “broad-based weakening of the economy” which also involve a high number of job losses and business closures, among others.
“That is not what we’re seeing right now,” Yellen said.
Executive Director of Heritage Action for America Jessica Anderson said that the Biden administration is trying to redefine what the term “recession” is.
“No matter how the Biden administration attempts to gaslight the American people or redefine the term ‘recession,’ we all feel the inflationary effects of his economic policies in our wallets,” Anderson said. As our economy’s growth slows, inflation soars, and interest rates hike, the American people are pleading with the Biden administration and Democrats in Congress to stop their reckless spending and get our fiscal house in order.”
FOX Business’ Megan Henney and Brooke Singman contributed to this report.