Yesterday, Ron Paul said that he had a major announcement to make later that night. And indeed it was a major one, as he announced that he was ending his presidential campaign last night. Just today however, Ron Paul posted a thank you to all his supporters on his website. And this thank you makes it seem like we haven’t seen the last of our good friend, Ron Paul.

If you didn’t go read the whole thank you, the part that we’re thinking of is:

It is time now to take the energy this campaign has awakened and channel it into long-term efforts to take back our country. We have some exciting plans and projects to move the revolution forward that will come together in the next several months. Watch for them.

What these new projects are is open to speculation, but in an interview with the Associated Press, he mentions working to elect libertarian-leaning Republicans into office. As always, we here at ElectionStocks tried to find some economic impact of this. And we did, but first some justification.

While it seems like Ron Paul really made little difference in the presidential race and is likely to make little difference anywhere else, we would have to disagree. Paul had arguably the strongest grassroots support of any candidate (remember when he raised $6 million in one day?) and his supporters are likely to stay with him even now that he has dropped out. Even though Paul didn’t really come close to winning the election, he has paved the way for someone like him to win in the future. Also, he has enough support now that when he backs people for other offices, those he backs will be at a significant advantage.

So Paul has some influence in politics now, how does that bode for your investments? The answer is, not very well at all. First off, as we have said many times before, Paul seems to be overly confident, almost arrogant, in his grasp of economics. But many of his ideas suggest otherwise, his belief in hard-money and his avid disapproval of the Fed for example. We, along with most prominent economists, believe that the Fed is beneficial and hard-money is simply a ridiculous policy to even attempt.

In addition to this, Ron Paul has an irrational fear of globalism, and due to this, opposes not only all Free Trade Agreements (FTA), but even the UN. In our modern economy, trade is absolutely essential, but without FTAs tariffs would drive not only the U.S. but the entire world’s economy into the ground. Also by not encouraging renewable energy development, Ron Paul would hurt alternative energy companies.

It’s not all bad though, Ron Paul has always been for cutting taxes (like all good libertarians) and he opposes government control of healthcare, which is beneficial to healthcare companies.

When everything’s said and done, our economy really isn’t doing too well under the current administration, but Ron Paul is not a viable solution.

~Invest this!