Treasury Secretary Scott Bessent stated on Sunday that there are “no guarantees” regarding whether the United States will experience a recession.
Speaking on NBC’s Meet the Press, Bessent emphasized the unpredictability of economic downturns, citing past unforeseen events such as the COVID-19 pandemic.
“I can predict that we are putting in robust policies that will be durable,” Bessent said.
He explained that the administration is working to reduce reliance on “massive government spending” to create a more sustainable economic path.
His comments align with those of other members of President Donald Trump’s administration, including the president himself, who have avoided making firm promises about the economy’s trajectory. Consumer confidence has recently declined, and a J.P. Morgan analysis estimates a 40% chance of a US recession in 2025.
President Trump has also acknowledged the possibility of economic turbulence, calling the current phase a “period of transition.” He has suggested that the administration’s policies—some of which involve cutting government spending and imposing tariffs—are aimed at long-term economic stability.
Bessent echoed this sentiment, stating that while market fluctuations and corrections are normal, the administration’s approach seeks to reset fiscal policies to prevent future crises. He pointed to past levels of government spending as unsustainable and argued that current efforts aim to place the economy on a “sustainable path.”
The stock market recently faced a volatile week, with major indices falling amid uncertainty surrounding Trump’s economic policies, including trade measures. However, Bessent downplayed concerns, calling market corrections a “healthy” part of economic cycles.
Some economists have expressed skepticism about the administration’s approach, particularly regarding tariffs. While the administration views them as a necessary measure to reduce dependence on foreign goods, critics warn that higher import costs could lead to increased consumer prices and economic strain, particularly for lower-income households.
With input from USA Today and the New York Times.
