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Published on Monday, May 2, 2022

Peru | The pernicious populism

Populism generates significant negative impacts on economic activity and democratic institutions. On the economic side, it leads to the adoption of lousy public policies. And on the institutional side, populism induces confrontation and instability.

Key points

  • Key points:
  • Regardless of the definition used, populism is very harmful in economic and political terms.
  • On the economic side, the Manichaeism used by populist leaders motivates a constant search for “enemies”, which can lead to the adoption of terrible public policies to satisfy populist demands.
  • On the political side, populism generates confrontation and instability and a deterioration of the institutional framework.
  • It is up to the political class to act seriously and without demagoguery so as not to further deteriorate the quality of life of citizens.

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