Many of you older readers of this blog may remember Mr. Bluster. He was one of the Howdy Doody marionettes. Personally I dislike the show and considered it an insult to the intelligence of most children except perhaps the youngest.
Here is an example of the media managing the news. In an interview with the Washington Post published on Saturday, the billionaire businessman said a combination of high unemployment and an overvalued stock market had set the stage for another economic slump. He put real unemployment above 20 percent.
This prediction was ignored by both CNN and The Los Angeles Times. Not a word was written about this and little was spoken on CNN or ABC World News. The report was on a Reuters web site. Even the Washington Post, while posting their interview with Trump, seemed to downplay his comments about a possible recession.
The likely reason for limited reporting is that the new media does not want to frighten the public. However, Trump’s “tell it like it is” philosophy resulted in his prediction.
There is no indication that we are near or approaching a recession. The stock market has been flat or in decline most of this past twelve months. Perhaps Trump is a fan of Peter Schiff who has been predicting a major economic collapse in 2016. His advertisements are on many web sites. Schiff’s track record has been dismal as pointed out on CNBC. There are warnings on the internet about Schiff who predicted gold would rise to $5,000 an ounce last year.
Reports this past weekend indicated that car sales are at or near an all-time high. 215,000 new jobs were created in March. Unemployment even including those that have given up the search is about 10% according to the BLS. No one knows where Trump obtained his claim that real unemployment is above 20 percent.
Mr. Trump is known as a successful business man but he is not known as an economist.
It is gratifying to learn that everything Mr. Trump says is not repeated by the media.