All eyes are on the US now because, as the adage goes, when America sneezes, the world catches a cold. Eyeballing historical data suggests a correlation between the two nations’ GDP growth trajectories, especially in the 2000s.

Over the last half century or so, there has been no clear trend of the economy doing better under Republicans or Democrats. Since 1961, both parties have enjoyed a roughly equal share of power in terms of number of years.

Under Biden, the economy has weathered the aftermath of the pandemic and the Russia-Ukraine war but remained largely resilient. However, higher grocery prices have led the average consumer to believe otherwise, media reports indicate.

Despite overarching policies such as Trump’s tariffs and Biden’s pro-union stance, external factors have often significantly influenced the overall economic landscape. As such, the outcome of the US elections may not drastically alter Pakistan’s economic trajectory in the near future.

Published in Dawn, The Business and Finance Weekly, November 4th, 2024