“The greatest threat facing the world is political polarization in the US. The US is the most powerful, politically divided and economically unequal of the world’s industrial democracies.” Ian Bremmer, Eurasia Group
The results of the US election were quite different from expectations. Not only did former President Trump win, but there was a Red Sweep, with Republicans controlling both the Senate (as expected) and the House. Trump spoke especially to average and below-average income people. The Red Sweep means that President-elect Trump will more easily get much of his agenda passed (at least as regards taxes) and be able to dismantle a lot of the ‘accomplishments’ of President Biden. The forthcoming, much anticipated battle between fiscal and monetary policy has already begun, at least verbally. The battle between greater-than-expected government deficits and the long-term bond market looms.
