Nobel Prize-winning economist Paul Krugman.
Franck Robichon/Reuters
Nobel laureate Paul Krugman once again cheered on the US economy Thursday.
US inflation has cooled to 4% in recent months, while the job market has remained resilient.
That makes it harder to criticize Joe Biden’s economic policies, Krugman said.
Economist Paul Krugman has once again touted cooling inflation and a resilient labor market as signs of the US’s robust economic health.
“Media coverage of upbeat claims about Bidenomics feels a bit snarky,” the Nobel Prize-winning economist wrote on Twitter Thursday, referring to US President Joe Biden’s economic policies.
“But it’s getting hard to argue against the proposition that inflationary pressures are fading and the job recovery has been spectacular,” he added.
Inflation in America has started to cool in recent months, rapidly descending from its mid-2022 highs of above 9% to just 4% in May.
Meanwhile, the labor market has remained resilient despite the Federal Reserve’s aggressive tightening campaign, with the US economy adding 339,000 jobs in May and unemployment hovering at just 3.7%.
It’s difficult to spin that upbeat data as anything other than good news, according to Krugman.
The Nobel laureate has shared a cheery outlook for the US economy recently, saying that he doesn’t see any signs of a recession – even though US GDP growth slowed to just 1.1% last quarter.
Krugman has also repeatedly defended Biden’s economic track record, noting that inflation has fallen much faster in the US than in other western countries.