Trump’s own aides blow holes in his latest economic claim
Alternet • • business
Key Points:
- Economists, including Paul Krugman, warn that a conflict between the U.S. and Iran will drive up prices not only for gas but for a wide range of goods, potentially causing significant economic hardship if prolonged.
- President Trump predicts gas prices will "come roaring down" after the Iran conflict ends, but his own aides and economists largely disagree, expecting prices to remain high for an extended period.
- Gasoline prices have surged from an average of $2.98 to over $4 per gallon, creating political challenges for Trump and Republicans ahead of the midterm elections.
- Energy Secretary Chris Wright and Treasury Secretary Scott Bessent offer cautious forecasts, with gas prices unlikely to drop below $3 per gallon until later this year or even 2027, highlighting uncertainty in the market.
- Experts emphasize the psychological and economic impact of rising gas prices, noting their visibility and effect on consumer sentiment amid broader affordability pressures.
