The Hidden Poison In Trump’s Economy w/ Justin Wolfers

Platypus Economics Justin Wolfers joins Molly to unpack a surprisingly strong jobs report—172,000 new jobs on top of upward revisions—arguing it’s a moment to retire “recession” talk while still acknowledging the economy’s uneven reality. They dig into why solid headline employment can coexist with a tough market for recent college graduates, using a “musical chairs” framing: low layoffs make workers feel secure, but slower hiring leaves newcomers stuck searching longer. The conversation turns to whether AI is already freezing entry-level opportunities in fields like coding and law, and to the broader risk that the current boom in AI investment—especially data centers—could backfire if the technology doesn’t deliver on its promised productivity gains, potentially wiping out wealth tied up in markets. Finally, Wolfers emphasizes the disconnect between decent job growth and painful affordability, noting high gas and food prices, rising inflation that wages aren’t matching, and widespread public skepticism about economic policy even amid some genuinely positive labor-market news.

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