Billionaire entrepreneur Elon Musk believes the U.S. is already in a recession, and when asked how long he believes it will last, Musk said, "Just guessing, but probably until spring of '24."
Musk made the comments on Twitter, a social platform he's poised to buy after a brief but heated legal battle.
As Fortune reported, Musk believes that while recessions are painful, they serve the purpose of rooting out bad business ideas and cleansing markets of bad investments.
Experts believe that after the Federal Reserve offered up a lot of cheap money during the pandemic, the Fed is now having to perform an abrupt reversal of its actions to cool off the economy by hiking interest rates.
Musk expressed an aversion to the actions of the U.S. central bank and said he agrees with Wharton finance professor Jeremy Siegel.
Siegel has strongly criticized the U.S. Federal Reserve and said that it made its largest mistake in its 110-year history by creating the situation the U.S. economy is in now.
Musk said, “Siegel is obviously correct.”