Tesla and Spacex CEO Elon Musk expects a global recession to last through the spring of 2024. Musk added that his two companies are in good shape but many others are not. “Recessions have a silver lining in that companies that shouldn’t exist cease to exist,” the Tesla boss said.
Elon Musk on the global recession
Tesla CEO Elon Musk shared his thoughts on a global recession in a Twitter thread on Friday. The thread was started by Dogecoin co-creator Billy Markus, who tweeted: “The coronavirus numbers are actually quite low. Guess we just have to worry about the impending global recession and nuclear apocalypse.” Musk commented: “It would be really nice to have a year without a horrible global event.“.
Another Twitter user chimed in, asking Musk: “How long do you think the recession will last?“. The Tesla boss replied: “I’m only guessing, but probably until spring 24“.
The same Twitter user went on to ask the following question: “How much do you think it will get worse? Like a little worse or a ton worse?Musk replied:
It varies a lot. Tesla & Spacex are in a good position, but many other companies are not. Recessions have a silver lining in that businesses that shouldn’t exist cease to exist.
During Tesla’s third quarter earnings conference call on Wednesday, Musk said that “China is experiencing a kind of recession” and “Europe is experiencing a kind of energy recession“. During this time, “north america is pretty healthy even if the fed raises interest rates more than they should but i think they will eventually realize this and lower them again“, he noted.
In August, Elon Musk said inflation had peaked but we were going to have a recession for 18 months.
Many people expect the US economy to plunge into recession. A recent survey shows that 98% of business leaders are preparing for a recession in the US, while 99% are preparing for a recession in the EU.
Goldman Sachs CEO David Solomon said this week that there was a strong chance that the United States would enter a recession. JP Morgan Chase CEO Jamie Dimon recently warned that a recession could hit the US economy in six months.
Renowned investor Jim Rogers thinks the recession will be the worst in his lifetime. Gold digger and economist Peter Schiff has warned that Federal Reserve action could lead to stock market crashes, a massive financial crisis and a severe recession.