Yes, it depends on how long it lasts. In the US, recessions tend to have political repercussions, so exaggerated or not there is an impact. Personally I thought we had a brief recession in 2022, but the (unpopular) administration seemed to white-washed it. The difference this time is we may see increased inflation as a result of the tariffs; the last time we had a lengthy recession with increased inflation (stagflation) was under J. Carter, which led to the election of R. Reagan. With the current administration's handling of government data, we may not even know for certain what's happening. But that results in business uncertainty, causing more conservative behavior and less growth. Worse case, the economy tanks, the AI bubble bursts, and we have long, deep recession.