The co-founder of Home Depot shared during an interview on Tuesday that he thinks the U.S. will soon endure a recession. He also took a shot at President Joe Biden, saying he's worse than former President Jimmy Carter.
"I'm not smart enough to know exactly when," Ken Langone said. "My bet is that the brunt of the recession will hit us nine months, eight months. … 10 months from now."
Langone shared with Fox News' "Your World with Neil Cavuto" his thoughts on the current state of the U.S. economy and what could soon come.
Langone says that if the plan is to snap inflation before a recession hits, then interest rates need to be higher than the current rate of inflation.
"We've got to get rates well above the inflation rate if you want to snap inflation, just like Paul Volcker did in 1980 and '81," Langone said on Tuesday.
Langone went on to take shots at Biden, saying that his administration needs to do more to fix the current problem and spend less time deflecting who is to blame.
"Frankly, we have leadership today in America that isn't willing to admit when they're wrong," Langone said. "They made a terrible blunder here, and now the price has got to be paid. If you want to get inflation back, if you want a benchmark, you're going to probably need interest higher than 8.5%."
According to the Labor Department's March report, the consumer price index rose by 8.5% compared to March of last year, and Langone thinks that we have only "exacerbated the problem."
"For example, the energy issue in America, we didn't have to be deficient like we are," Langone said.
Langone criticized Biden for blaming oil companies saying that it's a "disgrace" for him to say they are at fault.
"The oil companies are reacting to supply and demand," Langone said. "You're going to see it in their earnings when their earnings come out. If they're making all this much money, where are they in the numbers?"
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He continued saying that "It's wrong. It's absolutely wrong."
Gas prices have been extremely volatile as of late, reaching an all-time high for the average price per gallon in the U.S.
According to the report from the Labor Department, from March to the last month, energy rose by 11%, and gas by 18.3%. Compared to a year ago, energy is up 32%, while gas is up 48%.
During a House Energy and Commerce Subcommittee on Oversight and Investigations on Wednesday, oil executives defended their companies during rigorous questioning. Lawmakers asked if they were taking advantage of the Ukrainian crisis to keep prices high and increase profits. Each answered "no."
While Langone says it isn't right for Biden to blame gas companies, a poll from last week found that Americans place most of the blame on them and Russian President Vladimir Putin.
Either way, Langone says that right now, the steps being taken to bring prices back down are not enough, and the average American and the "poor guy that's living from paycheck to paycheck" are the ones who are suffering most.
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