A leading economist warned that the United States is nearing a recession, citing tariffs and immigration restrictions under President Donald Trump, Mediaite reported.

Mark Zandi, chief economist at Moody’s Analytics, said recent data signals a weakening economy, with consumer spending stagnant, construction and manufacturing contracting, and job losses looming.

“The economy is on the precipice of recession,” Zandi posted on X. “Inflation is rising, and the Fed has limited room to respond.”

Days earlier, the Trump administration slashed June’s job gains from nearly 150,000 to just 14,000 — a revision that prompted Trump to fire Bureau of Labor Statistics Commissioner Erika McEntarfer.

Zandi said restrictive immigration policies are shrinking the foreign-born workforce and reducing labor force participation. He also blamed rising tariffs for eroding corporate profits and household spending power.

“Fewer immigrant workers means a smaller economy,” he said.

Read more at Mediaite.

The economy is on the precipice of recession. That’s the clear takeaway from last week’s economic data dump. Consumer spending has flatlined, construction and manufacturing are contracting, and employment is set to fall. And with inflation on the rise, it is tough for the Fed to…

— Mark Zandi (@Markzandi) August 3, 2025