How Political Instability Affects the Economy
This is THE INDICATOR FROM PLANET MONEY. I'm Stacey Vanek Smith. Like most people yesterday, I watched the events unfolding in Washington, D.C., in shock. Watching an angry mob of President Trump's supporters storm the Capitol building was not something I ever expected to see. And frankly, it was a really scary moment. Things felt really unstable, really fragile. And our country just felt very vulnerable and unstable at that moment.
And also, I was confused because the stock market went up. And I know that the stock market isn't the economy. I know. I hear that all the time. And it's true. Still, the stock market is an economic signal. And I wanted to understand I guess more generally, what is the relationship between economic growth and political instability?
So I called up Dan Drezner. He's a professor of international politics at the Fletcher School of Law and Diplomacy at Tufts University. He also writes for The Washington Post. After the break, a conversation with Dan Drezner about economic growth, political instability and the economic indicators that he is watching.