“That Merkel is simply misguided on the threat China poses, as Fulda believes, is certainly possible. However, given the political climate, there is likely a graver impulse behind Merkel’s placating remarks: fear of retribution. After all, Merkel is far from the only prominent politician to skirt the issue of the CCP’s atrocious human-rights record — far from the only politician to pretend that the Chinese government is a fair party on which one can count to honor its agreements and to act with benevolence.
Last month, representatives of Spain, Portugal, Greece, Italy, Croatia, Poland, and the Czech Republic on the U.N. Human Rights Council, among others, refused to condemn China for its encroachment on Hong Kong’s autonomy — a serious blow to a unified Western countermovement against the CCP’s actions. In all, just 27 governments expressed criticism of China’s oppression law, with 53 in favor and the rest staying silent. Just as it is hard to believe that Angela Merkel is oblivious to the crimes China is committing, it is hard to believe that only 27 governments actually found fault with an effective ban on free expression and self-determination for Hong Kongers. (Granted, fewer governments around the world are democratic than one accustomed to Western laws might believe.) Rather, history has likely taught many nations that it is more expedient to keep their mouth shut than to take a firm stance on the global superpower with the world’s second-largest economy.”
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“It is difficult to summon the moral courage to openly condemn a global superpower such as China, especially when large GDP growth and stable diplomatic relations are on the line. In any case, it would appear that the United States, in enacting sanctions against Chinese officials for abusing Uighur Muslims, terminating trade benefits for now-CCP-controlled Hong Kong, closing the Chinese consulate in Houston, and imposing export controls on corporations enabling China’s activity, stands virtually alone on China.
To be sure, there is an occasional discontinuity between the Trump administration’s official policy and the president’s rhetoric. As Trump himself has admitted, he had little desire to press China on its treatment of Uighur Muslims in the middle of trade negotiations with the nation in late 2018, even though top White House officials were already viewing the situation with concern. And as late as February 29, weeks after the CIA had already warned that China had vastly underreported its coronavirus infections and that its information was unreliable, Trump stated in a COVID-19 briefing: “China seems to be making tremendous progress. Their numbers are way down. . . . I think our relationship with China is very good. We just did a big trade deal. We’re starting on another trade deal with China — a very big one. And we’ve been working very closely. They’ve been talking to our people, we’ve been talking to their people, having to do with the virus.” But despite occasional confusion, the commitment to a solidly anti-Beijing foreign policy has been perhaps clearer in the Trump administration than in the government of any other country besides India and Taiwan. This is reflected not only in the U.S.’s recent policies but in Secretary of State Mike Pompeo’s denunciation of Xi, last week, as a “true believer in a bankrupt, totalitarian ideology” and in his insistence that the United States “induce China to change” lest Communist China “surely change us.””
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“barring a massive change in European attitudes and in the fragile economic positions of nations such as Canada, Australia, and New Zealand, the United States will not have many reliable allies in the fight against China’s most egregious abuses. The courageous pro-democracy residents of Hong Kong, as well as a few nations including Taiwan, India, and Israel, are notable but rare exceptions.”
“The annual budget deficit—the gap between government spending and tax revenues—would run about $900 billion in 2019, and it would push beyond $1 trillion every year starting in 2022. Debt as a percentage of the country’s total economy would rise steadily, reaching 93 percent of GDP by 2029, the highest level since the years directly following World War II.
Automatic spending on major entitlements would keep government spending high and make reductions difficult. Interest payments on the nation’s rising debt would become one of the country’s largest spending categories. The persistently high levels of debt and deficits, meanwhile, would serve as a drag on economic growth. Overall debt levels were on track to reach the highest levels in the nation’s history.
All of this was reason to worry. “Such high and rising debt would have significant negative consequences, both for the economy and for the federal budget,” the report warned, with reduced national productivity and total wages plus an increased likelihood of a fiscal crisis. In an emergency scenario, policymakers might be more constrained from responding in the most effective way. Debt and deficits were a modest burden on the economy in good times. And the higher they ran, the more economic risk accumulated.
Again, this was the outlook in 2019, when the unemployment rate was below five percent, when the deficit was projected to run about $900 billion over a 12-month span, when daily viral death tolls and case-count heat maps weren’t posted on major news sites like especially grisly weather reports.
In June of this year, the federal deficit was $864 billion.”
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“the United States is in uncharted waters in terms of both public finances and their effect on the economy. And no one really knows where we’ll go from here.”
Donald Trump On Paying Supporter’s Legal Fees Meet The Press. 3 14 2016. NBC News. A look back at Trump comments perceived by some as inciting violence Libby Cathey and Meghan Keneally. 5 30 2020. ABC News. https://abcnews.go.com/Politics/back-trump-comments-perceived-encouraging-violence/story?id=48415766 Presidents Have Declared Dozens
“The United States is a federal republic whose people benefit from a vibrant political system, a strong rule-of-law tradition, robust freedoms of expression and religious belief, and a wide array of other civil liberties. However, in recent years its democratic institutions have suffered erosion, as reflected in partisan manipulation of the electoral process, bias and dysfunction in the criminal justice system, flawed new policies on immigration and asylum seekers, and growing disparities in wealth, economic opportunity, and political influence.”
“in so many ways, ancient Rome is profoundly different from the modern U.S. It had no written constitution; it barely had a functioning state or a unified professional military insulated from politics. Many leaders were absent from Rome for long stretches of time as they waged military campaigns abroad. There was no established international order, no advanced technology, and only the barest of welfare safety nets.
But there is a reason the Founding Fathers thought it was worth deep study. They saw the destabilizing consequences of a slaveholding republic expanding its territory and becoming a vast, regional hegemon. And they were acutely aware of how, in its final century and a half, an astonishing republican success story unraveled into a profoundly polarized polity, increasingly beset by violence, shedding one established republican norm after another, its elites fighting among themselves in a zero-sum struggle for power. And they saw how the weakening of those norms and the inability to compromise and mounting inequalities slowly corroded republican institutions. And saw, too, with the benefit of hindsight, where that ultimately led: to strongman rule, a dictatorship.”
“The easiest way to win a trade war? Don’t be one of the countries involved.
When the United States slapped tariffs on steel, aluminum, and billions of dollars of Chinese imports in the summer of 2018, China and other U.S. trading partners retaliated by targeting American agricultural exports. By the time a series of tit for tat increases in tariffs by the U.S. and China came to a halt with a December 2019 partial trade agreement—one that left most of the higher tariffs in place on both sides—the average foreign tariff for American farm goods had jumped from 8.3 to 26.8 percent
As a result, U.S. farm exports suffered. Carter and Steinbach calculate that U.S. farmers lost more than $15.6 billion in trade with countries that hiked tariffs in response to the Trump administration’s trade war. Soybeans, pork products, and grains were the products most affected.
Some of those losses were offset by trade with other nations—for example, when China stopped purchasing U.S.-grown soybeans, growers had to find other buyers for their products. That was the goal of a July 2018 deal struck by President Donald Trump and European Commission President Jean-Claude Juncker that the White House touted as a vehicle for sending more American soybeans to Europe.
As Reason noted at the time, Europe’s annual consumption of soybeans was less than 25 percent of China’s (and it already had access to tariff-free imports of U.S. soybeans), so “unless Juncker and Trump plan to start jamming soybeans down European throats, foie gras-style, there’s simply no way that Europe can consume enough soybeans to make up for the loss of China as an American export market.”
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“Nearly two years later, Carter and Steinbach calculate that so-called “deflected trade” in agricultural goods boosted U.S. exports by about $1.2 billion during the trade war—leaving American farms only $14 billion in the red.”
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“countries that the two researchers identify as “non-retaliatory countries”—that is, places that did not hike tariffs in response to U.S. tariffs on steel, aluminum, and other goods—gained more than $13.5 billion by increasing trade to places, like China, that took steps to reduce imports of U.S. farm goods.”
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“soybean farmers are worried about how the trade war might permanently reshape the global soybean trade, to the detriment of American growers.”
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“In March 2018, after Trump announced his intention to hike tariffs on steel and aluminum, Peter Navarro, the director of the White House’s National Trade Council, was asked about the potential consequences of retaliation aimed at American farm exports.
“I don’t believe any country in the world is going to retaliate,” he said. “They know they’re cheating us, and we’re just trying to stand up for ourselves.”
Navarro and Trump were wrong. American farmers have lost $14 billion because of their mistake.”
“America’s system of checks and balances requires unusual and even extraordinary levels of consensus to pass legislation. First, you need the agreement of the House, the Senate, the White House, and, increasingly, the Supreme Court.
More granularly, congressional power is diffused across committees. The Senate has built in a supermajority requirement, known as the filibuster, which effectively raises the threshold for passage from 51 votes to 60 votes.
This raises the question: If the problem is embedded in the structure of the US government, how did the US ever do anything big? The short answer is that for most of our political history, two unusual conditions held. First, the parties were ideologically mixed, which made compromise easier. Second, one party was usually electorally dominant, which gave the party in the minority a reason to compromise: If you can’t win, you may as well deal.
Both those conditions have dissolved. America’s political parties are more ideologically — and demographically — polarized than ever before. We’re also in the most competitive period American politics has ever seen. In a system like that, both sides utilize the system’s bias toward inaction to foil their opponents. You can see this in the rise of the filibuster over time. The rule has been around almost as long as America, but it’s only been deployed as an omnipresent veto in recent decades”
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“The result is a system biased toward inaction.”
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” This is representative democracy at its worst: A democracy that only represents those who know to show up at meetings most people never hear about, and so ends up handing power to special interests and aggrieved NIMBYs.”
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“some of Andreessen’s examples really can’t be blamed on the government, at least not in a traditional sense.
America doesn’t have more ICU beds because hospitals have budgets to balance. You can’t both run a profitable hospital and maintain enough spare capacity for a once-in-a-century pandemic.
Similarly, the companies that make ventilators are private companies. They didn’t make more ventilators because there wasn’t demand for more ventilators. Same goes for surgical masks, eye shields, hospital gowns. Now, you can argue the government should’ve been stockpiling more of this stuff all along — and definitely should have been ramping up production in January and February — but a capitalist logic of efficiency prevails both inside and outside the market.
Take, for instance, the wildly successful Obama administration program to loan money to renewable energy companies that became infamous because one of those companies, Solyndra, was a bust. That program led to a slew of successes (including Tesla) and turned a profit to taxpayers. As Michael Lewis argues at length in his book The Fifth Risk, the problem, if anything, was that it was too cautious — so afraid of a Solyndra-like story that it wasn’t funding sufficiently risky investments. But they proved right to be afraid.
If even the government is forced to turn a constant profit on its programs and to avoid anything that might look like a boondoggle, you can imagine the pressure actual private companies are under.”