Concerns Rise Over Increased Political Instability in the U.S. and Deteriorating International Economic Relations - ifo

According to a recent global survey conducted among economists, particularly participants from the United States express concerns about increasing political instability and deteriorating international economic relations. Ifo researcher Niklas Potrafke stated, "U.S. economists have been very pessimistic for a year. They are much more worried than their counterparts in other countries about the political stability of their own nation."

While participants from other regions of the world observe an improvement in political stability in their countries (+10), U.S. economists see a significant deterioration (-22). Potrafke commented, "Political uncertainties pose a risk to investments and can lead to a decline in economic growth."

Regarding the quarterly survey, Potrafke noted that evaluations of political stability in the U.S. have been consistently negative for a year, adding that "the inability of politicians to find common solutions to urgent issues could undermine the foundations of globalization."

Additionally, 48% of experts surveyed in the U.S. expect an increase in protectionism in U.S. trade policy, including restrictions on trade activities through tariffs, among other measures. Potrafke also remarked, "Countries that isolate themselves from international trade tend to grow slower compared to highly globalized nations."