Gross Domestic Product

Fear of a Trump-triggered recession gives way to hope for short-term economic boost

Fear of a Trump-triggered recession gives way to hope for short-term economic boost

The populist promises that catapulted Donald Trump into the White House also stoked fears that his policy proposals could severely damage the economy.

Most mainstream economists saw his repeated threats to seal borders and slap massive tariffs on Mexican and Chinese goods as sure-fire prescriptions for trade wars and recession.

Despite such pessimistic pre-election assessments, the early post-election sentiment among businesses and investors appears to be more of hope than fear.

Business leaders are betting that Congress and political realities will temper Trump’s more extreme ideas, and the policies that survive may actually give needed fuel to...

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