Are we headed towards a recession? There are many possible indicators: the skyrocketing price of gas, record-breaking inflation, Russia’s war in Ukraine and the resulting cost of living crisis in Europe, and of course the Omicron-induced lockdowns in China. But no one’s officially calling it yet, and those who can call it aren’t ready to do so.
Are these indicators not enough?
Forget what you think you know. @botticellibimbo, a New York-based stripper, has declared the recession on Twitter as of Friday:
The tweet received quite a few replies: many of them to poke fun, some to analyze, and others to agree and offer their sentiments. One casino worker shared a concerning observation: “We haven’t been this dead, not even during the height of Covid.”
A recent survey reported by CNBC showed that 81% or 4 out of 5 Americans believe that the US will experience a recession this year. Former SEC chief economist Larry Harris has said that it’s “pretty likely,” mainly because “it’s very hard to stop inflation without a recession.”
It’s not just in the US. The impact of Russia’s invasion of Ukraine and the long-term lockdowns in Shanghai is felt around the globe.
“We’re in another global recession scare now, except this time we think it’s for real,” Robin Brooks, chief economist of the Institute of International Finance, told the Financial Times.
According to the IMF and the World Bank, a recession is a year in which the average global citizen experiences a drop in real income. @boticellibimbo thus effectively illustrates the point: less real income = less money to put in strippers’ g-strings.
Information for this briefing was found via Twitter. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.