Trumponomics would not be as bad as most expect
Opposition would come from all angles
In markets it is known as the “Trump trade”, a bet that Donald Trump’s return to the White House would herald more inflation and higher interest rates. Many of Mr Trump’s core policies push in this direction: tariffs would add to import costs, deportations of immigrants could push up wages and deficit-financed tax cuts would juice the economy. Amid mounting inflation, the Federal Reserve would have little choice but to opt for higher rates.
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This article appeared in the Finance & economics section of the print edition under the headline “Halting his charge”
Finance & economics July 13th 2024
From the July 13th 2024 edition
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