CNN reported Monday that 72% of economists believe the U.S. is already in a recession or will soon will enter one. This news, which marks a contrast from the network's attempts to present the economy as being strong, was delivered by reporter Matt Egan during "CNN Newsroom With Ana Cabrera."
Egan cited a survey that was conducted by the National Association of Business Economics. "There is a lot of pessimism in this survey," he said.
"[C]heck this out, 19% say the U.S. economy is already in a recession. That is the staggering figure. Also, a whole bunch more think in the next few quarters, you add this up, that's 53%," he continued.
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Egan noted, "Together, 72% say the U.S. economy is either in a recession or headed there very soon."
He alerted viewers that it is "not just economists worried [but] investors, too."
The CNN reporter also pointed to "paychecks shrinking" as a result of inflation - people can buy less with their same salary.
J.P. Morgan strategists predict the Federal Reserve will raise interest rates by another 0.75 percent in September, a move intended to bring down inflation to two percent, the inflation target set out for the Fed by Congress. In July, prices rose 8.5 percent compared to the previous year.
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While higher interest rates are intended to reduce inflation, they do so by reducing spending and making borrowing more expansive. Hence, as the interest rates on mortgages have gone up, the prices of homes have gone down. This is because it is more difficult for consumers to borrow mortgages, driving down demand and prices.
Many also blame American and European leaders' long term climate agenda - which limited the domestic production of oil - for elevated gas and electricity bills.
It was announced in July that the United States experienced two back to back quarters of negative GDP growth, the definition of a recession.
