On January 3rd, Stephen Moore posted an article at Hot Air about the predictions by the so-called economic gurus about the economy in 2025.
The article reports:
Well, Donald Trump has done it again!
He stumped the chumps. The “chumps” in this case were the “blue-chip” academic and financial economists whose consensus forecast this time last year was of high inflation and low economic growth. Wrong on both counts.
As you’ve probably heard, the GDP growth for Q3 came in at a red-hot 4.3%, following 3.5% for the second quarter. Some 90% of professional economists got it wrong — all underestimating the strength of the Trump economy. QED: These weren’t random errors. These were “hate Trump” errors.
They also predicted inflation of above 3% for 2025. It’s going to come in at closer to 2.7%, with the last two months trending down to the Fed inflation target of 2%.
Starting in the second quarter, GDP has been nearly twice as high as predicted.
To quote the inimitable special agent Maxwell Smart, “Missed it by that much.”
This isn’t the first time the whiz kids whiffed on the Trump economy. These are the same Keynesian economists who warned at the start of Trump’s first term that we would see a stock market crash. The stock market is today at record highs on all three indices. Paul Krugman, who won a Nobel Prize in economics and wrote regularly for The New York Times for years, famously feared a second Great Depression if Trump policies took hold.
The danger in putting a businessman in the White House was that if he succeeded, he would make all of the politicians look useless. How long have Americans put up with wasteful spending and fraud from a government that was constantly demanding more of the taxpayers’ money? On a side note, who wrote the grants for the daycare centers in Minnesota, who approved them, and who signed the checks? Would that fraud have been discovered and dealt with under another administration?
The article concludes:
If these blue-chippers had any integrity, they’d admit that they don’t know what they are talking about and send back their Ivy League PhDs.
Fat chance that will ever happen. Instead these prophets of doom will continue to give the entire economics profession a black eye. No wonder it is known as “the dismal science.”