As the coronavirus send the United States and the entire global economy hurtling toward recession, President Donald Trump and his defenders have claimed the administration’s policies have left the United States better prepared for the downturn. But in reality, the president’s effects on the course of the economy thus far have been greatly exaggerated, and many of his policies have actually put Americans at greater risk in the event of financial catastrophe.
To understand why Trump’s policies have put us at risk, you have to appreciate the best possible policy response to a recession: automatic stabilizers.
Many automatic stabilizers are actually very familiar to most people. The category includes, for example, SNAP (commonly called food stamps) and unemployment insurance. Continue reading.