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Economists Warn of Potential Recession Stemming from Trade Conflicts

Economists Warn of Potential Recession Stemming from Trade Conflicts

by | Apr 5, 2025 | Business & Economy | 0 comments

Leading financial institutions and economists are raising alarms about the potential for an economic downturn resulting from the escalating trade disputes. JPMorgan Chase has downgraded its GDP forecast, now predicting a U.S. recession by the end of 2025 if the current tariff policies remain in place. The firm cites increased costs for businesses and consumers, disrupted supply chains, and reduced international trade as key factors contributing to the bleak outlook. Similarly, other analysts warn that prolonged trade conflicts could lead to stagflation—a combination of stagnant economic growth and rising inflation—posing significant challenges for policymakers.

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