Paul Krugman sees financial things getting really ugly

Alternet -   Following the Friday news that consumer sentiment has dropped to its all-time low amid an economy roiled by the consequences of President Donald Trump’s tariff program and war on Iran, Nobel Prize-winning economist Paul Krugman warns that things are about to get “really, really ugly.”

“The numbers are terrible, people,” he said. “We’re hitting a record low on consumer sentiment, which fits in with the general picture. We know that people are very upset about prices. They’re very upset about economic management. They just don’t feel that there’s anyone making any sense who’s in charge of things. Which is all true.”

And according to Krugman, while people are rightly worried about this news, “that is actually not the big issue. The really big issue is inflation expectations.”