What influence do populists have on the economy?

Article by Simon Landt

In recent years, the political tone has sharpened and populist governments have become increasingly socially acceptable: Recep Tayyip Erdogan in Turkey, Nicolás Maduro in Venezuela and Viktor Orbán in Hungary are just a few examples of populist government leaders. Furthermore, with a view to the possible re-election of Donald Trump this year, a populist government leader could once again head the world's largest economy. 

Regardless of whether populists belong to the left or the right, they are very often similar in their appearance and promises. Typically, they see themselves as anti-establishment politicians, representing the "common people" and promising to improve their economic situation. In this issue of "Economic Situation and Strategy", we clarify the extent to which populist government leaders actually keep their promises and improve the economic situation of their supporters.