While President Donald Trump has acknowledged his aggressive tariff plan may result in “little pain” in the short term, some business figures, like billionaire “Shark Tank” star Mark Cuban, see a greater risk of long-term economic harm.
In a series of Bluesky posts Saturday, Cuban expanded on his previous critiques of Trump’s trade policies. The Cost Plus Drugs cofounder suggested the extensive tariffs announced by the Trump administration on Wednesday, combined with cuts to the federal workforce spearheaded by the White House DOGE office, could result in a worse financial crisis than the Great Recession of 2008.
“If the new tariffs stay in place for multiple years, and are enforced and inflationary, and DOGE continues to cut and fire, we will be in a far worse situation than 2008,” Cuban wrote in response to another user’s question about the economic impacts of Trump’s tariff plan.
The minority owner of the Dallas Mavericks did not expand upon why he sees the sweeping cuts to the federal workforce led by the DOGE office as related to the nation’s economic health. However, the reductions have targeted the Consumer Financial Protection Bureau and the tax evasion enforcement wing of the Internal Revenue Service, among other agencies.
Cuban and representatives for the Trump administration did not immediately respond to requests for comment from Business Insider.
During the 2008 financial crisis and its immediate aftermath, the country’s GDP declined by more than 4%, the unemployment rate reached 10%, and the housing market crashed in what economists have recognized as the deepest recession since World War II.
The president, in comments to the press about his trade policy, has acknowledged, “We may have, short-term, some little pain, and people understand that,” but in a Saturday post on Truth Social said, “ONLY THE WEAK WILL FAIL!”
The economic uncertainty stemming from Trump’s tariff plan has sent the stock market spiraling downward and prompted consumers to stockpile essentials while cutting back on luxury goods. Economists and supply chain experts previously told Business Insider that increased import costs caused by the tariffs are expected to result in higher prices for everything from pantry staples like coffee and sugar to apparel and larger purchases like cars and appliances.
Cuban isn’t alone in worrying about the lasting economic impacts of the president’s policies. Many commentators in the financial field have questioned the tariffs and highlighted their potential consequences.
JPMorgan’s chief global economist, in a research note to clients published on Thursday titled “There Will Be Blood,” warned that the risk of the global economy falling into a recession increased from 40% to 60% in response to Wednesday’s tariff announcement.
Read the full article here
