Ex-Labor Secretary Robert Reich Says This 1 Obsession ‘Will Be Trump’s Downfall’

Former Labor Secretary Robert Reich has raised concerns about President Donald Trump’s increasing control over the U.S. economy in a recent essay published on Substack. Reich, who served under President Bill Clinton, highlighted Trump’s attempts to influence the Federal Reserve, gain stakes in key industries, and reward loyal businesses as troubling signs of authoritarian control.

According to Reich, Trump’s actions are shifting the dynamics of the economy away from traditional supply and demand forces towards deals orchestrated by the president himself. This shift, Reich argues, could have severe consequences for the economy, including increased inflation, recession, and a phenomenon known as ‘stagflation.’

Reich questions whether this new form of economic governance could be classified as state capitalism or even fascist capitalism. Regardless of the label, he predicts that Trump’s authoritarian control over the economy will ultimately be his downfall. The uncertainty and unpredictability of Trump’s decisions, Reich argues, are making private sector investors nervous and causing global lenders to demand higher risk premiums.

In conclusion, Reich warns that if nothing else brings him down, Trump’s tight grip on the economy could be his undoing. As the economy becomes increasingly dependent on Trump’s whims, the risks of economic instability and downturns grow.

The original article also includes a call to action to support media organizations like JS, emphasizing the importance of independent journalism in holding those in power accountable. This message underscores the vital role that a free press plays in a democratic society, especially in challenging times.