10/20/2024–|Last updated: 10/20/202410:39 PM (Mecca time)
An analysis conducted by the European Economic Research Center in Mannheim, Germany, revealed that the victory of the Democratic candidate for the US presidential elections, Kamala Harris, may be better for the German economy compared to the victory of former President and Republican candidate Donald Trump.
The analysis included the opinions of 189 financial market experts, with 45% of them expecting stronger growth in the German GDP if Harris (60 years old) wins, compared to only 7% who saw that Trump’s (78 years old) presidency would be better, and the rest did not expect any difference.
Experts attribute their preference for Harris’ victory to several factors, most notably the expectation of greater stability in prices and international financial markets, and the presence of a less protectionist approach compared to Trump’s expected trade policies, in addition to the potential positive impact on trade relations between Germany and the United States.
On the other hand, experts from the “Ifo” and “Econpol Europe” institutes warned of the possible repercussions of Trump’s victory on German industry, including the possibility of a decrease in German exports to the United States by approximately 15%, in addition to the automobile and pharmaceutical industries being particularly affected, and the increased cost of products. German in the American market as a result of possible tariffs.
Experts suggest several measures to protect the German economy from the possible negative repercussions of the election results, the most important of which is strengthening trade relations with other countries and taking measures to stimulate domestic investment.
As the presidential election approaches next November, economic experts warn that the former president’s policies may lead to higher prices for consumers and reflect negatively on international trade without the United States reaping definite benefits from them.
The declared goal of Trump’s policies is to rely on tariffs to increase state revenues, and to use this as a card to pressure countries such as China, while encouraging companies to return their production centers to the United States.
“Other countries, after 75 years, will finally have to pay us back for everything we’ve done for the world,” Trump said during his television debate with his Democratic rival Harris last September.
