President-elect Donald Trump’s economic policy platform has garnered significant attention, but critics argue that its long-term implications could be disastrous for the US economy. Trump’s plans to slash taxes and impose tariffs on trading partners, deregulate industries, and reform the federal bureaucracy are expected to have far-reaching consequences.
While Trump’s nominees for key economic posts appear to share his views, it remains unclear how he will execute these policies. The impact of his proposed trade policies will depend on international responses, while domestic spending cuts face significant challenges due to mandatory programs taking up most of federal expenditure.
The administration’s focus on deregulation and reducing financial regulations could benefit Republicans but might not be enough to address concerns about inflationary pressures and slowing economic growth. Moreover, Trump’s stance on climate change and big tech could have unintended consequences for the US technology sector.
Domestically, Trump’s plans to undermine the Justice Department’s independent prosecutorial role could erode business standards and create a culture of crony capitalism. The politicization of government institutions could lead to a decline in the quality and effectiveness of the civil service.
As the US economy faces uncertainty, experts warn that Trump’s governance agenda could have serious long-term implications for growth, inflation, and international relations.
Source: https://www.chathamhouse.org/2025/01/biggest-economic-risk-donald-trumps-presidency-loss-confidence-us-governance