Check out the world's economic "hot trends" in 2024

In 2024, although growth in many countries will still slow compared to pre-2020 levels, the world economy will gradually stabilize after the Covid-19 pandemic. Below are the seven biggest events that will help shape the global economy in 2024.

(Source: The Saigon Times)

Trump signals new trade war

Over the past year, the 47th President of the United States, Donald Trump, has signaled that he will pursue the “America First” protectionism that helped him secure his second term in the White House even more aggressively.

During his election campaign, Mr. Trump pledged to impose tariffs of 60% or more on Chinese goods and a full 20% tariff on all other imports into the United States.

Mr Trump has also targeted other countries. He recently threatened to impose a 25% tariff on imports from Canada and Mexico.

Economists say the 47th President's proposed sweeping tariffs would raise the cost of everyday essentials in the world's largest economy and disrupt global supply chains.

Most recently, earlier this month, Mr. Trump threatened to impose 100% tariffs on countries in the BRICS group of leading emerging economies over the group's common currency.

Big tech giants "transform"

Governments around the world spent 2024 trying to regulate the world's major tech giants.

At the beginning of the year, the European Union (EU) Digital Markets Act (DMA) came into effect. The act sets out new rules for how social media and other online platforms operate, and gives users more control over their personal data.

In March, the European Parliament passed the groundbreaking Artificial Intelligence (AI) Act, which regulates the use of AI based on perceived risk levels.

Also last year, Brazil went head-to-head with tech mogul Elon Musk — CEO of SpaceX, Tesla, owner of X — and won, at least for now.

In August, Brazil's Supreme Court suspended X and froze bank accounts belonging to the social media platform. Billionaire Musk complied with the court's request and had to pay a $2 million fine.

In November, Australia banned children under 16 from using social media due to concerns about its negative impact on young people's mental health.

Meanwhile, platforms like TikTok, Snapchat, Facebook and Instagram also have a year to figure out how to comply with the law.

Social network "storm"

Donald Trump's victory in November's presidential election could bring good news to popular video-sharing app TikTok, which is facing a US ban.

During the campaign, the President-elect promised to “save” the app, although he did not provide details on how he would do so.

ByteDance has refused to sell the platform, instead waging a legal battle that could take years to resolve.

Meanwhile, American social media is becoming more socially and politically isolated.

Since billionaire Musk bought the platform formerly known as Twitter in 2022 and renamed it X, the social network has shifted dramatically.

According to a recent study from Australia's Queensland University of Technology, the platform's algorithm appears to boost posts from Republicans and Mr Musk himself to increase the prominence of the party's views.

In addition, Mr. Trump's Truth Social channel has also become more prominent as it has become the media channel favored by the President-elect to express his views.

Alternative platforms like Instagram’s Threads continue to grow their user base with varying degrees of success. And liberal social media users have been ditching X for Blue Sky. In the week after Trump’s election victory, Blue Sky reported adding more than 1 million users.

Billionaire Elon Musk appeared at a Donald Trump campaign rally in Butler, Pennsylvania. (Source: Reuters).

Inflation affects elections

Elections are a difficult event for incumbent leaders, in most parts of the world.

Economic issues, and especially the cost of living, are top of mind for voters in countries from North America to Europe and Africa.

In the past year, in the US, Mr. Trump's decisive victory was said to have been related to a spike in inflation.

Anti-government sentiment fueled by inflation also led to power transfers in Britain, Botswana, Portugal, Panama...

The election also shook France, Germany, Japan, India. Only one place remained unchanged: Russian President Vladimir Putin was re-elected with 88% of the vote.

The influence of tycoons is growing

Mr Trump's return to the White House will significantly increase the influence of some of America's most powerful tycoons.

Chief among them is billionaire Musk - one of Mr Trump's most ardent supporters during the election - who has been chosen to head the newly created Department of Government Efficiency alongside businessman Vivek Ramaswamy.

Other top picks for Mr Trump include billionaire hedge fund founder Scott Bessent; Howard Lutnick, CEO of financial services firm Cantor Fitzgerald; hedge fund manager Doug Burgum; and Chris Wright, CEO of an oilfield services company.

Outside the US, the influence of tycoons is also reflected in the US Justice Department's indictment of Indian billionaire Gautam Adani - founder and chairman of Adani Group - on bribery and fraud charges.

Mr Adani is widely seen as a close ally of Indian Prime Minister Narendra Modi.

Bitcoin surges

Bitcoin prices surged in the weeks following Mr Trump’s victory, soaring from around $68,000 on election day to above $100,000 in early December.

While Trump criticized Bitcoin and other cryptocurrencies during his first term in the White House, things have changed. Last year, the 47th President of the United States emerged as a strong supporter of digital currencies during his election campaign, pledging to turn the world's largest economy into the "cryptocurrency capital of the planet."

The president-elect has promised to create a strategic Bitcoin reserve and has selected several prominent cryptocurrency enthusiasts to join his incoming administration, including former PayPal CEO David Sacks and Paul Atkins as chairman of the US Securities and Exchange Commission.

Donald Trump's sudden 'U-turn' makes Bitcoin 'hot'. (Source: Cryptoslate)

China strongly stimulates the economy

China watchers have been waiting all year to see what steps Beijing will take to help revive the economy.

In 2024, Beijing announced a series of measures to boost growth, mainly on monetary policy, including cutting interest rates and reducing banks' reserve requirements, releasing 1 trillion yuan in credit.

But many economic analysts say these measures are not enough to keep the economy on track, especially if the world's second-largest economy wants to meet its growth target of around 5% by 2024.

Source: https://baoquocte.vn/diem-danh-cac-hot-trend-kinh-te-the-gioi-nam-2024-298675.html