President Joe Biden insisted Thursday that the United States “is not in a recession” following a Gross Domestic Product report that revealed a shrinking economy during the last two quarters.
The Commerce Department added that American consumers and businesses pulled back on spending amid soaring inflation and interest rates this spring. Goods and services production also plummeted by 0.9 percent from April through June.
“Coming off of last year’s historic economic growth, and regaining all the private sector jobs lost during the pandemic crisis, it’s no surprise that the economy is slowing down as the Federal Reserve acts to bring down inflation,” Biden said Thursday.
“But even as we face historic global challenges, we are on the right path and we will come through this transition stronger and more secure.”
Biden highlighted the fact that unemployment rates were at 3.6 thanks to the creation of over one million job opportunities in the second quarter. He also touted the growing recovery of American manufacturing and consumer spending.
“My economic plan is focused on bringing inflation down, without giving up all the economic gains we have made,” the President said.
“Congress has a historic chance to do that by passing the CHIPS and Science Act and Inflation Reduction Act without delay.”
