Economy cards shaky

The U.S. economy is metaphorically resting upon two cards that could cause the economic house of cards to collapse. One card is consumer confidence. The other is the price of Saudi oil. Obviously, consumers need money to buy the items listed in the United States Consumer Price Index—that is, our traditional market basket—in order to keep businesses profitable enough to stay in business. Unfortunately, prices for homes and autos have already increased, and consumers may not be buying as many basket items while their money is tied up in home and car loans. Also, investors are getting low-interest returns, and cannot buy items with their interest income.

Another negative force would be the huge federal deficit incurred by the U.S. Congress. Republicans are trying to diminish and eliminate government agencies because Congress simply does not have the money to pay so many employees. This will take money out of local economies.

The Saudi oil card reveals that the Saudis are converting some of their stock from private to public. This will probably cause fuel prices in the U.S. to soar much like prices soared during the last Republican presidential administration. The initial public offering to buy stock will be next year.

Perhaps the biggest threat is President Trump’s nasty reputation. World leaders are becoming more wary of Trump’s scandals. If Trump is bankerin-chief, where is the trust?

GENE MASON

Jacksonville