Donald Trump forces me to learn another obscure trade remedy (from the 1930’s). I’m pretty certain this will not achieve any economic goals, and yet sustain economic and trade policy uncertainty.
Figure 1: EPU (blue, left scale), EPU trade (green, right scale). Source: policyuncertainty.com.
Off topic but The 2026 Billionaire Tax Act is a proposed California ballot measure that would impose a one-time 5% wealth tax on California residents whose net worth is $1 billion or more. Sounds good but some lawyer on LinkedIn just told folks everyone hates the idea. He got my eye by promoting himself as some expert on intercompany financing (he’s actual an arrogant know nothing) but his client list? California billionaires. Linkedin is the new Twitter?
Oh come on Menzie – Trump is still reeling that FIFA was not happy that he tried to take over the celebration of the Spanish World Cup champions. Yes – let’s take the mess out of Spanish goods (EU – hah) and of course anything that comes from Canada. Like our wildfires never travel north.
http://www.foxnews.com/politics/trump-bet-tariffs-would-bring-back-american-factory-jobs-new-report-says-didnt-work
Fox News highlighting conservatives who have turned on Trump with respect to tariffs.
When Faux Noise gets off the bandwagon, that’s progress of a sort. Will the MAGAs notice?
Menzie writes: “I’m pretty certain this will not achieve any economic goals.”
The Trump-family economy is certain to benefit, subscribers to the new Truth Social paid service that provides early access to Trump’s posts on TS will benefit, and the friends and family of White House insiders will continue to benefit from early awareness of when/if tariff threats are just posing, will become real, or will suddenly be altered /reversed.
And there are the non-economic benefits to Trump, who really needs his tariff binky as Iran continues to not be Venezuela and the World Cup failed to result in his coronation as King of the World
Ian Bremmer says that the felon-in-chief is likely to turn his attention more fully toward enriching himself after the mid-term elections. (Is that possible?) This is partly an outgrowth of Bremmer’s view that the felon doesn’t have the tools to overturn election results, so won’t go crazy doing that, so will be oit of power in two years; make hay while the sun shines.
How would that be different from the first two years he was in office? He’s likely to be facing a hostile Congress and will have far less ability to hide his malfeasance. We are living in interesting times.