Has the global economy become so fragile that it reacts to every decision?
Nowadays, we see Trump making economic declarations day and night as many of which, in reality, are neither implemented nor pose any real threat. And yet, we see these same statements causing major political tensions and sharp declines in stock markets and even the cryptocurrency market.
I would describe the global economy today as fragile, for several reasons. One of them is the economic stagnation that has affected many countries. Another is the dominance of futures contracts, which have made us look at the economy more through the lens of the future rather than the present. Add to that the increasing intertwining of politics and economics, which has become very apparent in recent years.
In this era of globalization and the tight connection between economics and politics, such phenomena might seem normal. But for me, that should apply only to decisions that are actually implemented not just social media statements made on platforms like X that end up crashing stocks and causing people to lose millions of dollars.
I didn’t really want to say this, but I’ve come to consider many of these statements more as manipulation than actual political or administrative decisions in many countries. I even read somewhere that some wars are fought for economic reasons—like promoting weapons sales, benefiting arms manufacturing companies, or even just dragging down certain stock prices and getting rid of shares in the market.
So I think we have to consider these decision as a factor in our economic decisions and to see how it could affect out economy and before buying a stock or before investing in a crypto, you have to look at the political atmosphere and have to look at global also as any political or even some wars or conflicts between counties could make everything down like what happened in the last weeks.
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