Unemployment could reach 30% in the U.S., says St. Louis Fed’s Bullard (GDP could fall by 50%)

MarketWatch ^ | 3/22/20 | Shawn Langlois

[david1292]

That’s Federal Reserve Bank of St. Louis President James Bullard explaining to Bloomberg News why he sees the U.S. unemployment rate hitting 30% in the coming months as the world continues to grapple with the coronavirus pandemic.

If his gloomy jobs projection proves to be true, unemployment would be worse than it was during the Great Depression and three times worse than the 2007-’09 recession, according to Reuters.

Bullard also said he expects an unprecedented 50% plunge in gross domestic product.

“Everything is on the table,” he said, referring to additional lending programs from the Federal Reserve. “There is more that we can do if necessary... There is probably much more in the months ahead depending on where Congress wants to go.”

With the appropriate measures, Bullard said he’s looking for activity to rebound quickly.

“I would see the third quarter as a transitional quarter,” with the following six months “quite robust” as Americans ramp up consumerism. “Those quarters might be boom quarters,” he said.

[david1292]

But if these shutdowns push into the summer and fall...or we have to wait for a vaccine sometime late next year, it's going to get REALLY, REALLY ugly. We cannot keep the economy shutdown that long.

Market futures are plummeting again, by the way. Right now, the Dow Futures is down almost 1,000 points.

[ScottinVA]

Good God, our economy is f***ed.

[CatOwner]

This is about the worst possible outcome for so few relative deaths in the world. Near complete collapse of the economic system in the country, with an overrun of health services once more tests are available/taken.

[dfwgator]

I wish we could just cryrogenically freeze the economy, and thaw it out once this is over, and everything goes right back to normal.

[CodeToad]

This is the story of the little boy who rang a bell in the city center. When asked why, he said to keep away the elephants. When told there are no elephants, he said, "See? It works!" This is the communist using this “crisis” to implement communism, to keep the elephant virus away by ringing the communist bell of handing everything over to the government. Phase 1 was gaslighting the sheeple into thinking they will die without government intervention. Phase 2 is control the people and shutdown of their businesses. Phase 3 is government providing payment for business rents and payroll. Phase 4 is the government simply stating that since the government already pays for everything that the government now owns the businesses. Communism complete: Total control of the sheeple and a complete takeover of commerce. The liberal States of Washington, Pennsylvania, California, Colorado, and New Jersey have implemented martial law, selecting which businesses must close and that the people must stay indoors. This isn’t a quarantine; this is martial law. Just because the communists are using the virus as an excuse doesn’t mean it is not martial law. When the government can tell you to stay home, implement curfews, and shut down businesses, it is martial law. Trump is in on this communist takeover. He is encouraging States to go into martial law and shut down businesses and lock everyone into their homes. To get the people’s cooperation, the government is buying their cooperation. Each adult gets $1,000; $2,000 per couple but only if they make under $150k. Great, huh? Get taxed to give other people free money. Colorado is giving people a pass on parking tickets as though people can no longer seem to properly park. Just as we were moving manufacturing back to America, the communists are closing those businesses making us rely on foreign imports again. Since Trump has surrounded himself with the communist healthcare workers, he is pushing the narrative and supporting "free" money which means both conservatives and liberals, alike, support him and this effort to take over the country by the communists. We are past the tipping point. Americans are fully endorsing any and all measures. They actually want more closures. The drama queens are begging to have all their liberties taken away in the name of safety. They are begging for their businesses to close, thinking somehow Uncle Sugar will hand them money to live on instead of having to work. For those of us not so stupid as to fall for this communism propaganda, we have the right to take on jobs and visit businesses of our own free will. This is the liberals taking away our right to choose. The WHO estimates between 250,000 and 500,000 die worldwide from the flu. China had 81,000 infected of a population of 1.4 billion and have now lifted their quarantines and claim to have no new cases. South Korea with 8,600 cases likewise has seen a tremendous drop in new cases. This virus so far is the typical flu level symptoms and treatment. Nothing to be taken lightly, but nothing to go and shut down the country for either. Hillary only needs to wait until the July democrap convention to show up and say, “See? I told you Trump would screw things up! I’m here to save you from that idiot!” She has been preparing to enter the race (notice new face lift, makeup, hair, clothing), and she can win when 30+% of the country is unemployed, a million small businesses have been closed by government dictators, the people are living under martial law and cannot travel, and basic necessities are no longer found and people are wiping their butts with anything they can find. Anyone feel stupid yet?

[neverevergiveup]

There should be a ton of job opening up when we bring back everything from China, and send all China H1Bs back home. China will have to be slapped down, hard.

[CatOwner]

China will have to be slapped down, hard.

Should. Won't.

[A_Former_Democrat]

Why on earth are these people opening their mouth? All they are doing a spooking the markets and the people

They need to shut up

[DownInFlames]

I believe we hare headed to SHTF moment. It will be a matter of time when both Trump and Pence will be either infected or quarantined. If Pelosi tries the 25th amendment to claim she is president, we will have total social meltdown and revolution.

[Dave Wright]

Totally preventable except for the Democrat party.

[dynachrome]

It would read better if you used paragraphs.

[DAC21]

Wow! impressive prediction which anyone with a three digit IQ could have came up with. Where can I sign up for this high six figure income?

[norcal joe]

Yes, this was already posted earlier today! What is the point of posting it even the first time? We all know how bad things are, and may get. What good does it do to post it?

[rlmorel]

This seems like the right thread for my tagline.

[huckfillary]

Then reopen the effing businesses and let the chips fall where they may. This country was founded and built on risk not fear.

[EvilCapitalist]

If Pelosi tries to claim she is President we will have Civil War II.

[dynachrome]

A little allegory about trapping feral hogs. Works for humans, too.

http://www.freerepublic.com/focus/bloggers/2949909/posts?page=35

(He is also on FR as travismcgee. His novels and essays are required reading)

[central_va]

Could....

[gibsonguy]

You answered your own question

[Truth29]

"I believe we hare headed to SHTF moment. It will be a matter of time when both Trump and Pence will be either infected or quarantined. If Pelosi tries the 25th amendment to claim she is president, we will have total social meltdown and revolution."

Numbers like Bullard is discussing will collapse the country. Thirty percent unemployment and a fifty percent reduction in the GDP will lead to states and locales breaking off to defend themselves, the collapse of the logistics supply chains that we so need even now. It would be better to reopen everything and treat the sick or the country as patient will die.