Today’s Top Stories From the Breitbart News Desk

[Maganomics]( Today’s Top Stories From the Breitbart News Desk The International Monetary Fund slashed its projections for global economic growth today, saying that we’re in the midst of “the worst recession since the Great Depression.” The global economy is expected to contract 4.9%, down from the IMF’s earlier forecast of a 3% contraction. The IMF made that earlier prediction just two months ago. The speed and size of the downgrade is an indication of just how much worse the economic slump has been than it looked going into the shutdowns back in March. This may give pause to Republican lawmakers eager to dial down federal government support for the economy by letting things like enhanced unemployment benefits expire on schedule in July. Congress set that expiration date before we knew the extent of the economic damage, when many expected the economy would return to something close to where it had been prior to the shutdowns. What looked like a rational end date for federal assistance in March now looks arbitrary and risky. With each week bringing data showing millions of new layoffs, it seems like an odd time to worry that generous unemployment benefits may be keeping Americans from returning to work. The time to worry about whether enough Americans can return to work will not arrive until we are no longer at record levels of Americans losing their jobs. Monetary policy is also working far less effectively than we might have hoped. Jeff Cox at CNBC points out that the Fed has deployed only 6.2% of the firepower it said it could marshal to support the economy. Pulling back fiscal support while monetary policy is still lagging behind risks making the already terrible recession even worse. That sets up an interesting political dynamic that has important economic implications. Lawmakers know that a deeper economic slump will help Democrat challengers, including Joe Biden, in November. So GOP lawmakers may support additional deficit spending for economic support that they’d otherwise be tempted to oppose out of political necessity, while Democrats may vote against programs they fear could aid Trump’s reelection. Which side wins will likely have a big impact on the economy and markets. – Alex Marlow, Breitbart News Network --------------------------------------------------------------- TOP STORY [image] [IMF Predicts Worst Recession Since Great Depression]( The International Monetary Fund has sharply lowered its forecast for global growth this year because it envisions far more severe economic damage from the coronavirus than it did just two months ago. The IMF predicts that the global economy will shrink 4.9 percent this year, significantly worse than the 3 percent drop it had estimated in its previous report in April. The IMF said that the global economic damage from the recession will be worse than from any other downturn since the Great Depression of the 1930s. For the United States, it predicts that the gross domestic product – the value of all goods and services produced in the United States – will plummet 8 percent this year, even more than its April estimate of a 5.9 percent drop. That would be the worst such annual decline since the U.S. economy demobilized in the aftermath of World War II. [[Click here for more]( IN OTHER STORIES… [The Fed Said It Could Supply the Economy with $2.3 Trillion. It Hasn’t Come Close So Far]( When the coronavirus pandemic locked up capital markets and pulled the economy into recession, the Federal Reserve took aim with a $2.3 trillion bazooka to try to help. Thus far, though, the central bank has fired off surprisingly few rounds. In the three months since a slew of programs were announced, the Fed has loaned out just $143 billion, or a mere 6.2% of its total firepower. The most ambitious initiative, the Main Street Lending Program, has yet to make a loan, according to the most recent Fed balance sheet data, though officials expect that to change in a matter of days. [ [Click here for more]( [Report: DOJ, State Attorneys General to Meet Friday on Google Antitrust Investigation]( Officials from the DOJ and some state attorneys general are reportedly set to meet on Friday to discuss an antitrust probe of Google. The federal government and nearly all state attorneys general have now opened investigations into allegations that Google has broken antitrust laws. [[Click here for more]( [Virus Upends Tourism Marketing, Sparks Idea of ‘Safecations’]( The coronavirus has upended the way cities and states market themselves as summer travel destinations, and some tourism officials are just emerging from an especially awkward position: telling potential visitors to stay away. The pandemic’s effects can be seen on promotional websites that acknowledge the new risks of travel. An Illinois site encourages people to explore the state’s natural wonders from their sofas. Virginia’s main tourism site features a mountain range with the message, “We’ll be waiting for you.” [[Click here for more]( --------------------------------------------------------------- FROM THE MAGANOMICS INSTITUTE… [Why America Needs This Uncomfortable Debate About Education]( Is doing away with standardized testing a good idea? [[Click here for more]( [Who’s Right: NASDAQ vs. DJIA]( The Nasdaq-100 is making new all-time highs, while the Dow lags far behind… [[Click here for more]( [Maganomics]( Maganomics Institute 55 NE 5th Ave, Delray Beach, FL 33484 [www.maganomics.com]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. 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