Elon Musk, the CEO of Tesla, feels the United States is on the verge of a recession, but he explains why this is “really a wonderful thing.” According to Musk, the next recession will span 12 to 18 months.
Elon Musk Talks About The US Recession
Elon Musk, the CEO of Tesla and SpaceX, expressed his views on the US economy and the impending recession in a series of tweets on Thursday.
“Yes,” he said in response to a query about whether “we’re nearing a recession.” “This is actually a positive thing,” Musk pointed out.
“It has been pouring money on fools for far too long,” Tesla CEO Elon Musk said, adding that “some bankruptcies are required.” “All the Covid stay-at-home crap has duped people into thinking that you don’t need to work hard,” he explained. “A rude awakening is on the way!”
His recession tweet came after a comment he made last week in which he stated that the US economy is “probably” in a downturn. He predicted that things would “grow worse” and that the downturn would endure 12 to 18 months.
“The true cause of inflation is that the government printed a billion more dollars than it had,” Musk added.
An increasing number of investment institutions have issued recession warnings. Lloyd Blankfein, the former CEO of Goldman Sachs, has stated that we are approaching a recession and advised businesses and consumers to prepare.
In addition, in a research report released this week, Blackrock, the world’s largest asset management, warned that the Federal Reserve’s efforts to raise interest rates to counteract record inflation risk triggering a recession. “They risk causing a recession if they raise interest rates too much.” If they do not tighten sufficiently, the risk of runaway inflation arises. “It’s difficult to envision a flawless conclusion,” Blackrock said.