Elon has been tweeting again (Credits: Reuters)
Elon Musk, the world’s richest man, appears to actually be in favour of a recession and the resulting economic slump.
The 50-year-old billionaire believes the current financial squeeze will hurt ‘foolish’ business owners who deserve to go bankrupt.
And he’s evidently not a fan of the post-pandemic remote working revolution.
‘[Recession] actually a good thing,’ he tweeted last week.
‘It has been raining money on fools for too long. Some bankruptcies need to happen.
‘Also, all the Covid stay-at-home stuff has tricked people into thinking that you don’t actually need to work hard. Rude awakening inbound!’
Musk wanting an end to the money raining is interesting, given his two main companies, SpaceX and Tesla, have benefitted from handouts in recent years.
The former has been awarded billions in Nasa contracts while the latter is happy to sell off about $6 billion in government-issued carbon credits to other automakers.
Despite this Musk – who is currently worth about $218 billion – is famed for his work ethic and dislike of pandemic-induced lockdowns.
Responding to a question on Twitter, the SpaceX boss said he thought the recession would last ‘about 12 to 18 months,’ based on the history of past recessions.
And, it would lead to the death of companies that don’t offer any value.
‘Companies that are inherently negative cash flow (ie. value destroyers) need to die, so that they stop consuming resources,’ he tweeted.
Musk’s response came after asset management company BlackRock warned the IRS in America could raise interest rates to offset inflation, which in turn could lead to a recession.