Taking an example of Brexit, there has been a multiplication of such act in France, Poland, Romania, and other nations. The euphoric victory of Trump in the US came under the promise of protecting America and focussing back on its internal problems rather than meddling with other nations. Such events have a deep impact on the future of global economy, because conservatism and protectionism is meant to protect nations from being sold to others, rendering domestic self-sustainability as the prime objective. Such measures avoid global free movement of capital and labour, and also dislike excessive foreign investments (O’Rourke and Taylor, 2006). Risks are avoided to a major extent by limiting foreign investments, encouraging domestic investments and sustenance measures, in short a market which is at the most least risky to invest in and more predictable in nature (Von Mises and Greaves, 2011). Protectionism hurts global investors and businesses, as their growth plans are hit by restriction to market entries and limitations of expansion and continuous investments. Protectionism hates conspicuous consumption which global businesses are so good at promoting, despite warnings of waning natural resources and rising waste problem across the world. Global economy could become snail-paced if protectionism prevails.
Britain leaving the EU and Trump’s winning the election marks the beginning of protectionist measures and policy popularity. Populism wins in such cases and policies though by economic leaders are significantly deviated. The US itself is high on income inequality, for protectionism is adopted (Resnikoff, 2015). The US and UK’s political environment has much to influence the global economy, as it is impacting all connected nations. The US’s stance on curbing the misuse of visas and reducing the number of foreign nationals entering the US has a major impact on the global economy. Many presupposed plans of manpower movement stops and so does the outlook for the country and its future. The thousands who abruptly realise the rejection received in the US could be in jeopardy and lead to confused and uncertain future. This also damages the economy to an extent.