Report
Patrick Artus

What consequences if a "left-wing Democrat" becomes President of the United States?

A "mix" of the economic programmes of Bernie Sanders and Elizabeth Warren shows what could be a "left-wing Democratic" economic policy in the United States: Increase in public spending on healthcare and families, education, infrastructure and social housing; Financed by increased taxes on wealth, inheritance, high incomes and corporate earnings; Significant increase in the minimum wage; Far more active competition (anti-trust) policy. At first sight, what should we expect from such an economic policy? Robust growth in domestic demand due to the increase in public spending and in wages, despite the decline in corporate investment; A decline in innovation; which in different ways can be associated with wealth accumulation; Falling share prices and real estate prices; A return of inflation and rising interest rates; Falling poverty and inequality.
Provider
Natixis
Natixis

Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.

 

Analysts
Patrick Artus

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