The former president of the United States, Donald Trump, has once more attacked this Friday once morest the Administration of the current president Joe Biden for his policy that, in his opinion, has led to the current energy crisis in the North American country.
In parallel, he alluded to the economic statistics that predict a crisis in the country. “We are a nation in decline. We are a nation that is failing,” Trump said, mentioning that today the country has the highest rate of inflation in regarding 40 years, while the stock market “just finished the worst half of the year since 1870”.
Energy and economic situation in the US
In March, the US introduced the embargo on Russian oil due to the military operation in Ukraine. Then, the country has faced the rise in gasoline prices that on June 14 marked its historical record following reaching an average of 5,016 dollars per gallon, according to data from the American Automobile Association (AAA). Currently, the rate nationwide is $4,084 per unit.
To alleviate the crisis, Washington undertook a series of measures. In particular, in May it authorized US and European oil companies to “negotiate and restart operations” with Venezuela following years of sanctions once morest the South American country. On the other hand, during Biden’s visit to Saudi Arabia last July, from Riyadh they announced that they will increase the daily production capacity of crude oil to 13 million barrels, but only for 2027, following which there will be no such possibility.
As for the economic state, top US officials, including the current president, have stated on several occasions that the country is not in a recession. However, on July 28, the Office of Economic Analysis of the Department of Commerce reported that the country’s gross domestic product (GDP) contracted 0.2% in the second quarter of 2022 compared to the previous three months, which technically it constitutes an informal indicator of economic recession.