U.S. Economy Shrank In Trump's First 100 Days
HuffPost
The president blamed Joe Biden for a decline in gross domestic product partly caused by tariffs.
WASHINGTON — The U.S. economy shrank in the first three months of President Donald Trump’s second term in the White House, according to a preliminary estimate released Wednesday.
Gross domestic product, a measure of overall economic activity, shrank by 0.3% in the first quarter of 2025, the U.S. Commerce Department said in a release, after having increased 2.4% at the end of last year.
The decline in economic activity doesn’t mean the economy is in recession, but it’s a warning sign as Trump forges ahead with a regime of tariffs on imported goods that economists say could raise prices, crush growth and spike unemployment.
And the report is politically damaging to Trump, who won reelection thanks in large part to voter anger over inflation but has seen his approval ratings slide as voters lose patience with his stewardship of the economy.
The president offered a defensive reaction to the news, blaming the bad numbers on his predecessor in the White House, Joe Biden.
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