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Economy

Small economies must brace for the Trump era

Open trading nations stand to lose most from backlash against globalization

Voltaire's Candide saw that "All is for the best in the best of all possible worlds." Financial markets appear to be doing the same with U.S. President-elect Donald Trump's economic program, assuming that he can produce a set of policies that will further strengthen the American economy.

Although there had been concern in financial markets prior to the election about the possibility of a major sell-down in the event of a Trump victory, U.S. equity markets have rallied since Nov. 8 to record highs. Markets have applauded the likelihood of expansionary fiscal policy taking over from loose monetary policy.

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