President Donald Trump on Monday bragged about a new deal among OPEC nations to slash production of oil, which would have the effect of raising gas prices in the midst of a severe economic recession.
"Having been involved in the negotiations, to put it mildly, the number that OPEC+ is looking to cut is 20 Million Barrels a day, not the 10 Million that is generally being reported," the president wrote on Twitter. "If anything near this happens, and the World gets back to business from the Covid 19 disaster, the Energy Industry will be strong again, far faster than currently anticipated. Thank you to all of those who worked with me on getting this very big business back on track, in particular Russia and Saudi Arabia."
Nobel Prize-winning economist Paul Krugman found it strange that Trump would be enthusiastic about raising fuel costs for Americans during a time when tens of millions have suddenly lost their jobs amid the pandemic shutdown.
In sum, Krugman argued on Twitter that Trump is thinking only about the short-term implications of pleasing the oil and gas executives who are major donors to the GOP, and not about the long-term implications for the economy.
Krugman also noted the stark lack of urgency shown by the president in rescuing the United States Postal Service, which is warning that it will go bust if Congress does not give it additional funding in the coming weeks.
"I do wonder, however, if he's thought this through politically," Krugman wrote. "The post office is overwhelmingly popular; if it collapses on his watch, it would hurt him."
