Tesla and Spacex CEO Elon Musk said he had a “super bad feeling” about the U.S. economy. President Joe Biden responded with a list of major investments by big business and wished Musk good luck on his trip to the moon.
Elon Musk’s Bad Prediction About the U.S. Economy
Tesla CEO Elon Musk said he has “super bad feelings” about the U.S. economy in an email to executives seen by Reuters.
The email, titled “Suspend all hiring worldwide,” was sent two days after Musk told his staff to return to work or resign. He also said he would have to cut about 10 percent of his staff at his electric car company.
Mr. Musk has recently warned that the U.S. economy is already in or headed for a recession. However, the billionaire CEO of Tesla and SpaceX believes that a recession is a “good thing,” saying:” For too long we have been raining money down on fools. Some bankruptcies need to happen.” He also estimates that the recession will last 12 to 18 months.
Morgan Stanley analyst Adam Jonas thought Musk’s concerns should be heeded, elaborating.
Elon Musk has unique and informed insight into the global economy. We believe that messages from him are highly credible.
On Friday, President Joe Biden responded to Musk’s “super bad sentiment” comments about the U.S. economy.
“Well, let me tell you, while Elon Musk is talking about that, Ford is overwhelmingly increasing its investments,” Biden said, pulling a notepad from his jacket pocket.
{Ford is increasing investment, building new electric cars, and placing 6,000 new employees – union members, I might add – in the Midwest. The former Chrysler Corp. and Sterantis are making similar investments in electric vehicles. Intel is adding 20,000 jobs in the manufacture of computer chips,” the President continued.
Biden concluded, tucking the notepaper back into his jacket pocket.
So, you know, good luck on his trip to the moon.
In response to Biden’s reply, Mask tweeted, “Thank you, Mr. President!” He tweeted. His tweet included a link to an announcement that NASA had chosen Spacex to land the next American on the moon.
Musk is not alone in predicting that the U.S. economy is headed for a recession. Big Short investor Michael Barry recently warned of a looming consumer recession. Goldman Sachs’ Lloyd Blankfein advised businesses and consumers everywhere to prepare for a recession. Dawn Fitzpatrick, CEO of Soros Fund Management, said a recession is inevitable; Jamie Dimon, CEO of JP Morgan, predicted an economic hurricane and told investors to brace themselves. One of the most dire predictions was made by Robert Kiyosaki, author of Rich Dad, Poor Dad, who said markets will crash and depression and civil unrest will come.
Image credit: Shutterstock, Pixabay, Wiki Commons