Finding a job has become harder for many Americans, and some economists believe tariffs are making things worse. Rising prices, slower hiring, and growing uncertainty are also increasing concerns about the direction of the US economy.
According to Mark Zandi, economic conditions have worsened since President Donald Trump introduced tariffs during “Liberation Day” on April 2, 2025. Zandi recently shared charts on X showing that job growth has slowed since the tariffs began, while inflation has continued rising.
Rising costs meet weaker hiring
Hiring has slowed across much of the economy, with healthcare remaining one of the few sectors still adding jobs steadily. Job seekers are already feeling the impact through fewer openings, longer waits, and tougher competition.
Inflation is creating another layer of pressure. Both the Personal Consumption Expenditures inflation measure and the Consumer Price Index remain above the Federal Reserve’s 2% target. As of April 2026, CPI inflation stood at 3.8%, while unemployment remained relatively low at 4.3%.
On paper, that unemployment number may not look alarming. But what happens when hiring slows while everyday costs keep climbing? Families still need to pay for groceries, gas, rent, and utilities, even if wages are not rising fast enough to keep up.
Recession fears drive safer investments
Concerns have also grown because of the Iran war and the possibility of additional tariffs ahead. Higher oil and commodity prices are fueling fears that inflation could stay elevated longer than expected. Zandi warned that if spending weakens further and layoffs begin increasing, the economy could eventually slip into recession.
Because of the uncertainty, many investors are moving beyond traditional stocks and bonds. Gold remains popular as an inflation hedge, while platforms like Arrived, Lightstone DIRECT, and Masterworks are attracting people looking to diversify during a shaky economy.
