Confused By The U.S. Economy? You're Not Alone

In this episode of Fresh Air, Terry Gross interviews Zanny Minton Beddoes, Editor-in-Chief of The Economist, about the economic impact of President Trump's policies, including tariffs and immigration restrictions. Beddoes explains how the stock market's boom is largely driven by enthusiasm for AI, while the real economy faces challenges from tariffs and a slowing labor market. They discuss the complexities and potential consequences of Trump's trade war with China, his approach to global drug pricing, and the administrative nightmare created by the ever-changing tariff system. Beddoes also highlights the significant economic impact of reduced immigration, particularly on agriculture, construction, and high-skilled sectors like AI and healthcare. The conversation concludes with a discussion of the potential for AI to disrupt the job market, the risks of a stock market bubble, and the contrasting best and worst-case scenarios for the U.S. economy under the current administration.