The public criticism of Goldman Sachs’ research on tariffs by President Donald Trump has led analysts to worry about possible changes in their views to protect themselves from political repercussions.
The bank and its CEO David Solomon received criticism from Trump who stated their prediction was incorrect and dismissed their findings about tariff costs. The attacks from Trump have raised concerns among investors and academics because they may compromise the independence of economic research especially for smaller investors who cannot conduct their own analysis.
Several strategists have admitted to practicing self-censorship when discussing sensitive matters. Goldman Sachs U.S. chief economist David Mericle maintained that the bank will continue to produce informative research despite the criticism. Other major banks have declined comment.
The comments from Trump represent a larger trend of direct government interference in corporate operations including both tariff policies and business investment choices. The practice of direct government intervention in private industry operations violates established boundaries between public and private sectors.
