The Economist Intelligence Unit, a British research organisation, found that electing Donald Trump as the US president could result in a threat to the global economy. This could also increase the possibility of Islamic terror attacks and trigger a trade war with China and Mexico.
In its updated list of terror assessment, the organization has ranked Trump at the 12th position on a scale of 1 to 25. Trump’s ranking tallies with that assigned to the possibility of a destabilization of the global economy due to Islamic extremism.
“In the event of a Trump victory, his hostile attitude to free trade, and alienation of Mexico and China, in particular, could escalate rapidly into a trade war,” according to the report. “His militaristic tendencies towards the Middle East (and a ban on all Muslim travel to the US) would be a potent recruitment tool for jihadi groups, increasing their threat both within the region and beyond.”
According to the organization the possibility of Trump winning the elections is moderate, however, it has deduced that if in case he does, the risks are quite high. In fact, it has placed Trump’s presidency at the same level with the threat from terrorism, both of which can hamper the global economic growth by 1.5 percent.
Robert Powel, a researcher with the unit, said that he cannot recall another US presidential candidate who made it to its list of top global risks like Trump. He added that his unpredictability would make create a great level of uncertainty and the polarizing nature would trap the government into more gridlocks.
“The impact on the world would be bad,” the New York Times quoted Powell as saying. “The impact for the U.S. would be even worse.”
The organization also said that there is a strong likelihood of Trump facing stiff opposition in Congress on both Republican and Democrat sides, the NBC News reported.
The other global threats in the list included a sharp economic slowdown in China, a deadlock in investments in the oil sector and the break of the European Union among the others.