Harvard economist warns US headed for 'significant' recession

The 'chances' of a recession are 'really pretty high' in 2023, according to Ken Rogoff

Kristen Altus / FOXBusiness

Harvard economist Kenneth Rogoff issued a dire warning about the U.S. economy one day after Federal Reserve Chairman Jerome Powell maintained a hawkish stance. 

"You really have to look at the world, which is in bad shape," the economics professor told "Mornings with Maria" on Thursday. "So it's very hard for the United States to resist that. I worry that not only we're going to get a mild recession, I think the chances that we've got a significant recession are really pretty high."

The Federal Reserve on Wednesday raised its benchmark interest rate by 75 basis points for the fourth straight month as it struggles to bring runaway inflation under control, a move that threatens to further slow U.S. economic growth and exacerbate financial pain for millions of households and businesses.

In his speech, Powell indicated it’s too soon for the Fed to pause or pivot its stance on rate hikes. Read more and see videos here.