According to FT Surveys, Donald Trump's 'Maganomics' Will Harm Growth

According to a survey conducted by Financial Times economists, Donald Trump's vision of reshaping the world's largest economy with protectionist policies that prioritize America will harm growth, contradicting investor optimism regarding the elected president's plans. Most of the over 220 economists surveyed in the U.S., the U.K., and the Eurozone believe that Trump's protectionist policies will overshadow the benefits of other elements he refers to as "Maganomics." Many economists in the U.S. participating in the joint survey conducted by FT and the Booth School of Business at the University of Chicago also think that the Trump era will lead to increased inflation and cause the Federal Reserve to act more cautiously regarding interest rates. Şebnem Kalemli-Özcan, a professor at Brown University who is also on the New York Fed's economic advisory panel, stated, "Trump's policies may bring some growth in the short term, but this will come at the cost of a global slowdown and will later come back to harm the U.S. His policies will lead us to an inflationary world, both in the U.S. and the rest of the world, and thus we will enter a stagflationary environment."