It Should Be About the Economy – Are Voters Stupid?

Despite a comparatively strong economic outlook in 2024, American voters chose Donald Trump. Does this mean voters no longer care about the economy? This article argues that they do – but not always in the way predicted by conventional theory. By contrasting “Bidenomics” in the United States with regional policy in the European Union, the article explores potential explanations for the apparent inconsistency in voting behaviour. It concludes that to preserve incentives for welfare-enhancing policies, policymakers must engage with the electorate more actively and more emphatically.

Kiel Institute Expert