Mark Cuban Says a 'Red Rural Recession' Is Coming Soon. Cuts, Firings, and Grant Cancellations Are Set to Wreck Small Town Economies. Photo by Gage Skidmore
Mark Cuban Says a 'Red Rural Recession' Is Coming Soon. Cuts, Firings, and Grant Cancellations Are Set to Wreck Small Town Economies. Photo by Gage Skidmore

Mark Cuban Says a ‘Red Rural Recession’ Is Coming Soon. Cuts, Firings, and Grant Cancellations Are Set to Wreck Small Town Economies

Please share:
RSS1k
Follow by Email499
Facebook0
X (Twitter)199
LinkedIn388
Share
3471

Billionaire entrepreneur Mark Cuban sparked a firestorm online this week after warning that a wave of federal cuts under President Donald Trump could soon crush small towns and rural areas across the country.

“I think there is going to be a Red Rural Recession and soon if all the cuts continue as is,” Cuban wrote in a post on Bluesky. “All the firings, cancelling of grants and contracts with companies, the closing of offices, disproportionately impact small towns, cities and states. Their finances will be turned upside.”

I think there is going to be a Red Rural Recession and soon if all the cuts continue as is All the firings, cancelling of grants and contracts with companies , the closing of offices, disproportionately impact small towns, cities and states. Their finances will be turned upside

Mark Cuban (@mcuban.bsky.social) 2025-03-28T03:14:02.462Z

Red States, Big Risk

While many rural and red states helped reelect Trump, they are now among the most exposed to his administration’s budget cuts and proposed tariffs.

According to USAFacts data, states like Kentucky, Indiana, and Ohio rely heavily on federal funding. Kentucky receives over 30% of its state budget from Washington. Indiana gets 25.7% and Ohio 21%. By comparison, California only receives about 14.5%.

Most of that funding goes to programs like Medicaid, the Children’s Health Insurance Program (CHIP), public education, infrastructure, and local services.

If those funds dry up, everyday services in small towns could collapse.

“There’s a real question over whether voters know what the impact of all this could be on their lives,” said Anne Whitesell, a political science professor at Miami University. “When they see it, though, many of those who voted for Trump are not going to like what they see.”

GOP Lawmakers Push Back

Republican lawmakers who once cheered on Trump and Elon Musk’s new Department of Government Efficiency (DOGE) are now trying to stop the damage.

Sen. Shelley Moore Capito (R-W.Va.), who chairs a key appropriations subcommittee, said she has heard from institutions in her state that are “concerned” about the massive NIH grant cuts.

“It’s pretty drastic,” Capito told to Politico.

Sen. Jerry Moran (R-Kan.) warned that dismantling USAID could hurt Kansas farmers who sell crops through federal food aid programs. Sen. Susan Collins (R-Maine) called NIH cuts “devastating” for her state’s universities and labs.

Even Rep. Mike Simpson (R-Idaho), a longtime supporter of national parks, said a hiring freeze is creating staffing shortages at parks in his state.

Online Reactions: Anger, Blame, and Shrugging Off Consequences

Thousands responded to Cuban’s post, with some expressing concern and others saying rural communities are now facing the results of their voting decisions.

“You get the government you vote for,” one user commented.

Another added: “They voted for this to happen to them. They didn’t realize it would.”

Others highlighted the possibility of corporate land grabs, pointing to companies tied to GOP figures like JD Vance buying up farmland as locals struggle.

Farmers Brace for Tariffs

The Trump administration is also proposing a 25% tariff on potash imports from Canada—a critical fertilizer for American farmers. Canada provides about 85% of the potash used in the U.S.

Farmers in Ohio, Indiana, and Kentucky say that kind of price spike could be devastating.

Will Red Voters Change Course?

Whether the growing economic fallout changes political minds remains to be seen. Many observers warn that misinformation and partisan loyalty may continue to shield Trump from blame.

“They will cheer for the naked emperor as they suffer,” one commenter wrote on Bluesky. “Because they will be told that the cities are hellscapes with out-of-control migrant crime.”

Mark Cuban’s post didn’t just go viral—it tapped into a growing anxiety over whether rural America is about to get left behind. And this time, many say, it may be by their own team.

Please share:
RSS1k
Follow by Email499
Facebook0
X (Twitter)199
LinkedIn388
Share
3471