America Decides: The Next President Faces Rough Seas Ahead
America After The Election
No matter which man leads the United States, they will face a weakened and battered global economy. The urgency was echoed by International Monetrary Fund President Christine Lagarde when she noted that no matter who “is going to be elected or re-elected tomorrow (in the United States) will be faced with that challenge, and will have to tackle that issue upfront, very shortly.”
And the immediate future for Europe is quite bleak. Markit’s Eurozone Composite PMI fell for the ninth consecutive month – down in October to 45.7 from 46.1 in September.
The picture is not much rosier in the US where the growth in the service sector slowed in October.
Does It Matter Who Wins?
Alhambra Investment Partners notes that presidents of both parties have raised taxes and presidents of both parties have lowered them – contrary to conventional wisdom that political party determines fiscal policy.
Rather, the paper notes, economic performance is “a product of good fiscal and monetary policy. We can’t get one without the other and through the years we’ve had plenty of times when we had one or the other and sometimes neither under all kinds of political regimes.”
Bloomberg News also weighs in on ways the election will and will not impact the nation’s future course.