Fundación Alternativas
2021 report US trends that matter for Europe

The new policy of the Biden administration and its implications for Europe

The “Fundación Alternativas” released the “2021 report US trends that matter for Europe”, analyzing the new policy of the Biden administration and its consequences for Europe, including issues such as the promotion of democracy, multilateralism, the new international taxation, climate change and other relevant social issues in which the US continues to be a global epicenter.

The main trends observed in the US with possible implications for the European agenda according to this report, would be the following:

  • A change in the strategic priorities: From "America first" to "Democracy first", placing democracy and human rights as the backbone of the domestic and international politics in response to the current political polarization.
  • A change in the political paradigm, with much more social approach and greater presence of the State. The State will make large investments in favor of the middle classes and most disadvantaged people, as seen in the plans announced: American Rescue Plan, Infrastructure Plan, American Jobs and Families Plan.
  • Tax revolution to address a more inclusive post-pandemic world: The proposed tax increases in the US could unblock similar initiatives in Europe. Examples of these proposals would be the increase in corporate tax from 21% to 28%, a new minimum tax rate of 15% for the profits of multinationals obtained abroad (which would include BigTechs), or new wealth taxes for the richest.
  • Greater female prominence in political decision-making bodies, which will facilitate global initiatives that promote gender diversity.
  • US leading role in the green transition. The Biden administration has committed to halving its emissions by 2030 and having an emissions-neutral economy by 2050.
  • Another relevant trends: strengthening investment in technology, greater concern and control of disinformation campaigns and fake news on social networks, relaxation of protectionist policies against Europe but not against China, and greater multilateralism with Europe.

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