“the mess is real, and it’s because habitual deficit financing—the very disease fiscally-minded Founding Father Alexander Hamilton warned against—has become business as usual.
The reckoning comes as House Republicans push to extend the 2017 Trump tax cuts with a “big, beautiful bill.” If handled correctly, it’s a good idea. But while the legislation aims to avoid tax hikes, it pairs modestly pro-growth provisions with a smorgasbord of costly special interest giveaways. Worse, it assumes we can afford yet another $3 trillion to $5 trillion in debt without serious consequences. That’s the kind of magical thinking that spurred the credit downgrade.”
“Congress established the FTC in 1914 to prevent unfair competition and deceptive business practices. This has primarily meant “protecting Americans in their role as consumers,” according to Ferguson. The FTC enforces the Clayton Antitrust Act, which outlawed price discrimination between customers, exclusive dealing, interlocking directorates, and mergers or acquisitions that “substantially reduce competition.”
But Khan was more interested in Americans’ role as producers than consumers. In 2022 she signed a memorandum of understanding (MOU) with the National Labor Relations Board to “protect workers against unfair methods of competition, unfair or deceptive acts or practices, and unfair labor practices,” such as restrictive contract provisions. In August 2023, Khan signed a similar MOU with the Department of Labor recognizing both agencies’ shared commitment to protecting workers from deceptive earnings claims, restrictive noncompete and nondisclosure contracts, and the “impact of labor market concentration.”
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Ferguson’s endorsement of the 2023 joint merger guidelines, along with his hostility to the tech industry and support for enforcing the anti–price discrimination Robinson-Patman Act, all suggest a continuation of Khan’s activist antitrust ideology. The Joint Labor Task Force is yet more evidence.”
“Last night, outside an event at the Capital Jewish Museum in Washington, D.C., two Israeli embassy staffers were shot and killed by a gunman who yelled “Free, free Palestine” after being taken into custody. The deceased—Yaron Lischinsky, 30, and Sarah Lynn Milgrim, 26—were set to get engaged to one another; Lischinsky was planning to propose next week in Jerusalem.”
“Trump’s “big, beautiful bill” passes the House…It passed narrowly, 215–214, with one voting present, and now faces the Senate.”
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“This bill will extend the 2017 tax cuts that were passed during the first Trump administration.”
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“The old $30,000 cap on state and local tax (SALT) deductions will be raised to $40,000 (a bit of a concession to Republican representatives and constituents from New York and New Jersey). Border states will get big chunks of change to offset extra immigration enforcement costs under the Biden administration (or so the framing goes). There’s some reduced Medicaid and food stamp spending, cutting federal funding for the Supplemental Nutrition Assistance Program (SNAP) by $267 billion over the next decade. The child tax credit will be expanded.”
Many people living in the early days of an authoritarian government didn’t realize they were in an authoritarian country. Democracy often slips away over time, rather than ending in one dramatic coup.
“La Porte, Indiana, is a small city between South Bend, Indiana, and Chicago, Illinois. The recent announcement that Microsoft is investing over a billion dollars into a vast new data center campus in La Porte is expected to be transformational for the town of 22,000 people.
Microsoft was given a 40-year tax abatement on equipment, a renewable state sales tax exemption through 2068, and just $2.5 million of payments in lieu of taxes (PILOT) over four years—roughly 30 percent of what it would normally owe. After that? Nothing. Local utilities would cover the infrastructure.”
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“there’s infrastructure. Data centers demand massive utility upgrades: power lines, substations, water lines, fiber, and roads. These are usually paid for by local utilities, state infrastructure grants, or ratepayers. In Kansas City, Evergy announced it would build two new power plants largely to meet data center demand—costs to be passed on to customers. In Northern Virginia, Dominion Energy’s data center grid upgrades are now a line item in statewide electric rate hikes.”
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“these deals are struck behind closed doors, insulated from scrutiny, and built on the assumption that any growth is good—even if it’s paid for by reaching into your neighbor’s wallet.”
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“Analysts project that data center capacity will more than triple by 2030 and estimate the U.S. will need to reach 35 gigawatts of capacity by then—double today’s total. The surge is largely driven by artificial intelligence (AI), which alone could account for 70 percent of all data center demand by 2030. These facilities already draw more electricity than some nations, and Goldman Sachs projects they’ll consume up to 9 percent of U.S. power by decade’s end. New builds are booming—yet much of that construction is being underwritten, piece by piece, by state and local governments chasing the illusion of growth.
Data centers are not a menace. Left to the market, they’re a genuine asset—critical infrastructure in a country trying to stay competitive in the age of AI. We don’t need to bribe the richest companies on earth to build them.”
“Under Trump, who promised to implement a policy “where no windmills are being built,” the federal government has bolstered fossil fuel projects and deterred renewable energy development. The Bureau of Ocean Energy Management recently halted the construction of an offshore wind project that would power 500,000 homes, whose federal lease was approved in 2017 under the first Trump administration. The Environmental Protection Agency has also rescinded Clean Air Act permits for a New Jersey offshore wind project, which had “devoted extensive time and resources to follow a complex, multi-year permitting process, resulting in final project approvals that conform with the law,” according to the project’s developer.”
“E.V. batteries carry a much heavier burden than their traditional counterparts, powering not just the car’s electronics but also the motor. Slate plans to build its truck with batteries made from nickel, manganese, and cobalt (NMC). NMC batteries were common for many years, but automakers are starting to switch to lithium iron phosphate (LFP) batteries. Each has benefits, but overall, LFP batteries are cheaper, they charge faster and last longer, and their components are more easily sourced.
Still, Slate plans to use more expensive and less efficient NMC batteries because it’s the only way to qualify for the federal rebate.”
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“The Inflation Reduction Act established very particular sourcing requirements for the E.V. tax credits: By the end of the decade, a vehicle can only qualify for the credit if 100 percent of its battery’s components are “manufactured or assembled in North America” and 80 percent of the battery’s critical minerals are “extracted or processed in the United States or a U.S. free-trade agreement partner or recycled in North America.””
“Skype’s consumer service was shut down by its parent company Microsoft…Though President Donald Trump’s overzealous antitrust enforcers think popular platforms with large user bases imbue firms with incontestable market power, the rise and fall of Skype contradicts this theory. Federal trustbusters should keep this case in mind before deeming Big Tech companies monopolies, breaking them up, and decreasing American innovation, growth, and dynamism.
Skype launched in 2003 and had 150 million monthly users by the time of its acquisition in 2011. Microsoft bought the internet calling service for $12 billion in inflation-adjusted dollars in May 2011, which the Federal Trade Commission (FTC) approved in June of that year. Salvatore Cantale, a professor of finance at INSEAD, a global business school, explained in 2013 that Microsoft paid “roughly ten times Skype’s revenues in 2010 [and] around twice its recent valuation.””
“Considering the network effects—which Reason’s Elizabeth Nolan Brown explains as the advantages that accrue to tech platforms that already have a strong user base—experienced by telecommunications services, many would predict that this dramatic increase in demand would increase Skype’s market share as new users flocked to the most-used videoconferencing platform. But the opposite happened: In 2021, Skype’s market share fell to a measly 6 percent while Zoom’s skyrocketed to nearly 50 percent. Skype’s market share recovered only seven percentage points by 2024 and was discontinued by Microsoft, which transitioned accounts to Microsoft Teams, an application that facilitates workplace communication and collaboration.”