Since the power of autocrats and dictators is based on anxiety, they can never fully develop the potential of the people in such a state.
They constantly need symbolic or sometimes concrete acts of power, such as arrests, torture, inhumane trials and sentences, shootings and murders, and violence as material for this constant fire that must not go out and keeps the rulers who stoke it warm, so to speak.
Someone who, like Trump, serves anxiety in the same way has already failed economically from the basic approach, because people can only develop their economic potential in freedom.
China had long enjoyed great economic freedom, in which restrictions on political freedom were accepted to some extent. Now this economic freedom is being increasingly restricted under Xi. It is also no longer allowed to report freely on economic contexts, as happened a few days ago to an economist who simply disappeared after a deviating unfavorable economic assessment.
If Trump is already threatening retaliation against his political competitors, then this does not bode well for economic development.
On the stock exchanges, there is the VIX, which is called the volatility index. It is intended to reflect expectations regarding volatility and thus give expression and measure to quantify a characteristic, namely the anxiety of negative developments.
It is an indicator because it measures the prices of options. Options are financial instruments that give you the right to sell a certain good in the future, e.g. a pork belly or a share, at a price that has already been determined today.
If there is a phase with little anxiety, prices will rise as prices are expected to rise in the future. If there is a lot of anxiety, the prices of the options fall because you don’t expect good prices in the future.
With anxiety comes a loss of confidence in the future. An investor will not make an investment or hire employees without confidence in the future.
Anxiety catastrophically endanger the future opportunities and thus the prosperity of entire states.
Therefore, Russia has fallen far behind its potential in its development and is not one of the richest states in the world.
Therefore, today’s president is pure poison for China’s economy. He will not be able to achieve anything positive internally or externally with his aggressive strategy. But the critics are already eliminated in the communist party.
Well-functioning democracies are proof that they can support people in their opportunities and freedom and thus often exploit the overall economic potential to the highest degree.
And that’s why Trump is pure poison for America’s economic development!
And that’s why Kamala Harris’ laughter, mocked by Trump in a disgusting and disparaging way, is almost an economic stimulus program in itself!America has a choice!
