The analyst estimates that even Europe cannot escape the tariffs that will burden economic growth during Donald Trump’s possible second presidential term. With the support of America’s money-rich individuals, Trump’s presidency is increasingly likely for a second term. His economic policy in the second term is expected to follow a similar path as the first, with tax cuts, customs duties, and a strict immigration policy on the horizon.
Trump’s economic policy in his first term focused on tax cuts, protectionism, and aggressive trade policies to promote employment, raise wages, and accelerate economic growth. If re-elected, it is expected that Trump will continue this policy path, with a moderate liberal stance and a focus on tax cuts. Trump’s signature economic policy project in his first term was the 2017 tax reform, which aimed to reduce corporate taxes and personal income tax rates.
In the event of another Trump presidency, it is predicted that there will be an increase in tariffs against China and potentially even Europe. Trump’s focus on tightening trade policies against China would likely continue in a second term. While Trump’s economic policies may stimulate short-term economic growth in the United States, they could have long-term negative effects on both the domestic and global economies.
Tariffs can slow down economic growth and burden world trade, while a restrictive immigration policy may limit labor supply and accelerate inflation in the United States, subsequently affecting interest rates. Despite the uncertainty surrounding a possible Trump second term, one thing is clear: his economic policies will have significant implications for both the US and global economies.