Finance, Economy, and the Moment We’re In – A Conversation with Dr. Jalal Jalal

FintechWomen’s new series, PlainTalk, launched on May 7th with an engaging and thoughtful conversation with Dr. Jalal Jalal, Chair of the Finance Department at Suffolk University. Created as an accessible and meaningful exploration of today’s economic landscape, this virtual series combines expert insights, audience curiosity, and a spirit of learning and connection. 

Key Economic Trends
Dr. Jalal outlined five major trends shaping the current economic environment:

1. Tariffs and Trade Policy: U.S. tariffs, especially on China, mark a shift away from free-market policies. While aimed at protecting domestic industries, these tariffs often lead to higher prices for consumers and increased costs for businesses. “Tariffs are actually paid by the customers,” Dr. Jalal explained, pointing out how the effects spread through supply chains. 
2. Inflation: Inflation continues to affect daily life, with the prices of essentials like food and housing remaining high. Even if inflation rates ease, overall prices stay elevated. “Even though we say inflation is coming down, it doesn’t mean your products are getting cheaper,” Dr. Jalal clarified. 
3. Global Conflicts: Wars and geopolitical tensions, such as those in Ukraine, the Middle East, and Asia, disrupt trade routes and drive up shipping costs. Dr. Jalal noted, “A lot of the ships go through the Suez Canal, but right now they cannot, so they have to go all the way around, and it’s actually increasing the cost of shipping.” 
4. U.S. Deficit and Debt: The U.S. national debt has surpassed $36 trillion, with much of it held by foreign investors. Servicing this debt takes up an increasing share of federal resources. “There are obvious solutions, but no one wants to be the person to advocate for them,” Dr. Jalal said, recognizing the political challenges. 
5. Political Climate: Public sentiment and deep partisan divides shape how people view the economy and influence policy decisions. “The economy cannot change in one day, but perceptions often shift overnight based on political outcomes,” Dr. Jalal observed. 

Audience Interaction and Reflections
Audience questions brought added depth to the discussion. One participant asked when it might feel comfortable to check retirement accounts again, and Dr. Jalal noted that while markets have ups and downs, long-term trends have historically been positive. Another question on the deficit led to a conversation about balancing spending and revenues, with Dr. Jalal highlighting the potential of innovation-driven growth. “In my opinion, let the innovative minds take over,” he said, underscoring the importance of private sector solutions.

Looking Ahead
Dr. Jalal pointed to Boston’s ecosystem of startups, technologists, and investors as an example of how collaboration and innovation can create new opportunities. He encouraged participants to stay informed, voice their views, and engage with the trends shaping the future.

Conclusion
Dr. Jalal’s discussion provided clear insights into how interconnected issues like tariffs, inflation, debt, and innovation are shaping today’s economy. His balanced perspective offered both challenges and opportunities, leaving the audience with a better understanding of the forces at play and the importance of staying informed and adaptable in a changing landscape.