Jeff Bezos Has Thoughts on the Economy, as 90% of CEOS Believe a Recession Is Coming
One of the richest men in the world has some thoughts on the current state of the economy. Amazon founder Jeff Bezos, who continually ranks in the top 10 of Forbes’ real-time billionaires list, sent a tweet on Oct. 18 expressing a grim financial outlook.
Bezos shared an article from CNBC in which Goldman Sachs CEO David Solomon warned there is a “good chance” of a recession coming. Bezos added a comment reading: “The probabilities in this economy tell you to batten down the hatches.” The Amazon founder’s thoughts echo a number of other economic experts and bank heads that fear for an even bigger market downturn in the months ahead.
On Oct. 10, CNBC reported that JPMorgan Chase CEO Jamie Dimon said the situation is “serious,” believing that a recession is imminent in six to nine months. And Fortune reported that Citadel CEO Ken Griffin has also anticipated a recession is coming, saying, “It’s just a question of when and, frankly, how hard.”
This most recent tweet is not the first time Bezos has spoken out on the economy. In May, he stirred up some controversy after criticizing President Biden regarding policies surrounding increased taxation on the country’s wealthiest corporations — among them, of course, Amazon.
“Raising corp taxes is fine to discuss. Taming inflation is critical to discuss. Mushing them together is just misdirection,” Bezos tweeted at the time, admonishing the Build Back Better bill as “[trying] hard to inject even more stimulus into an already over-heated, inflationary economy.” He added, “Inflation is a regressive tax that most hurts the least affluent. Misdirection doesn’t help the country.”
Those comments drew the ire of White House deputy press secretary Andrew Bates at the time, as noted by NDTV.
“It doesn’t require a huge leap to figure out why one of the wealthiest individuals on Earth opposes an economic agenda for the middle class,” Bates said in response to the tweet. “It’s also unsurprising that this tweet comes after the president met with labor organizers, including Amazon employees,” Bates added.
More Economic Volatility Ahead?
Bezos’ latest post seems to be in agreement with Solomon’s recent comments on the economy — comments in which Solomon warned that investors and corporate heads need to get serious about possible risks, including the Federal Reserve’s move to keep increasing interest rates as a means to abate inflation, a move that has been questioned by the World Bank.
“I think you have to expect that there’s more volatility on the horizon,” Solomon said in an Oct. 18 CNBC interview. “Now, that doesn’t mean for sure that we have a really difficult economic scenario. But on the distribution of outcomes, there’s a good chance that we have a recession in the United States.”
As Fortune noted, Bezos seems to be taking that advice seriously, with Amazon halting plans on opening up 40 more warehouses in the near future. Many other top companies have planned mass layoffs.
Fortune detailed that 90% of CEOs believe a recession is coming and Bezos’ notion of “battening down the hatches” seems to be the consensus among those who say it’s time to get serious about the state of the economy.
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