Critics of President Donald Trump say his conflict with China’s trade practices, over that nation’s long history of taking advantage of America financially, his tariffs and his view of the world economy all are combining to pose a threat to the U.S. economy.
This is despite stunningly low unemployment and high wage reports.
The market itself has been anything but stable in recent weeks, with declines of 600 or more points in a day being followed by advances of 600 points or more in a day.
Now a CNBC report is quoting one expert, Steve Okun, of the McLarty Associates consulting firm, with his comments that a major threat to the economy is Democrats’ plans for impeachment of the president.
“Democrats will do something on impeachment next year,” he told CNBC, because of comments from Jerry Nadler, a Democrat who is expected to head the House Judiciary Committee, that the president committed “impeachable” offenses.
“Whether the Democrats will impeach Trump, he didn’t say, but he said he committed impeachable offenses and that came with the hush money to cover up and certainly can come with the obstruction of justice [when] the Mueller report comes out,” Okun told the agency.
Businesses are at risk because if Washington turns into gridlock over impeachment, nothing else will get done, he said.
Robert Mueller is running a $25 million special counsel investigation in the Department of Justice over Democrats’ claims that the 2016 Trump campaign colluded with Russia over the election.
Some of the evidence came from a Hillary Clinton-sponsored opposition research document that even the president’s detractors admitted was “salacious” and “unverified.”
Nevertheless, the Obama DOJ took those stories to a secret Washington court and claimed it was evidence that would support their demand that the federal government spy on Trump’s campaign.
Okun warned of the danger that the situation presents.
“Washington is going to shut down, literally … because the president is not going to be able to focus on anything but that. I think that is a huge risk going into 2019,” he said.
Other factors that could cause turmoil in the market include interest rate hikes from the Federal Research, trade tensions with foreign business interests, Trump’s actions to better America’s positions in international trade deals, the president’s focus on stopping illegal immigration, and more.
“I think 2019 is going to make 2018 look tame in comparison … I’ve never seen such nervousness in the U.S. business community as I’ve seen now,” Okun warned.
The warning isn’t exactly new.
Months ago, USA Today reported that Trump himself said there would be economic turmoil from an impeachment.
“I tell you what, if I ever got impeached, I think the market would crash, I think everybody would be very poor,” he said at the time.
There are individual members of Congress who have speculated about impeaching Trump.