The administration is exploring sector-specific tariffs on imports deemed critical to national security, aiming to bolster domestic industries like military supplies, medical equipment, and energy production. This approach, unlike a previously proposed blanket tariff on imports from Canada, Mexico, and China, is considered potentially more palatable. Targeted tariffs are intended to incentivize domestic production and strengthen key sectors. While details on specific targeted imports remain unclear, this strategy represents a shift from the broader tariff proposals previously discussed.
Read More
Biden’s recent decision to block the sale of U.S. Steel to a Japanese buyer has sparked a flurry of reactions, ranging from outrage to cautious approval. The immediate question many are asking is why the administration intervened, especially considering U.S. Steel’s seemingly strong financial position and the potential benefits of the deal.
The argument that U.S. Steel’s balance sheet is robust, with significant ore rights, is often raised. However, some counter that the balance sheet might underrepresent the true value of the company’s assets due to historical costing, potentially obscuring a more accurate picture of its worth. This leads to a broader discussion about the strategic importance of maintaining control of key national assets, particularly amidst escalating global tensions and the potential for conflict.… Continue reading
Consumers are finally grappling with the potential for significantly worsened inflation under a Trump administration. The realization is dawning that his economic policies, far from alleviating rising prices, could exacerbate the problem, leading many to preemptively stockpile goods in anticipation of a financially challenging period.
This isn’t a sudden epiphany for everyone, of course. Some segments of the population, perhaps those who consistently voted for Trump, might remain unconvinced. However, a growing awareness is spreading, fueled by news reports and analyses highlighting the potential negative impacts of Trump’s proposed policies.
The concern isn’t unfounded. Trump’s past pronouncements and proposed policies, such as tariffs, threaten to increase the cost of everyday goods, affecting everything from food and clothing to automobiles and appliances.… Continue reading
Despite a strong post-pandemic economy exceeding pre-Covid levels, the Biden administration faced electoral setbacks. This economic success, attributed to “Bidenomics,” involved novel policies resulting in positive economic indicators across the board. Central to Bidenomics was the principle of fair economic distribution, ensuring those contributing to the economy receive a proportional share. The administration’s economic approach, originating from a 2009 conversation between Jared Bernstein and then-Vice President Biden, yielded significant positive results worthy of future study and consideration.
Read More
CEOs are desperately trying to convince Trump to reconsider his aggressive tariff policies, but their pleas are falling on deaf ears. He remains steadfast in his approach, leaving businesses scrambling to navigate the potential economic fallout. This unwavering stance is perplexing many, especially those who had hoped to influence his decisions through lobbying efforts.
The frustration is palpable as executives find their attempts to secure exemptions from these substantial tariffs repeatedly thwarted. They’re discovering that traditional lobbying tactics are proving ineffective because Trump operates largely independently, often making significant pronouncements, like those concerning tariffs, with little prior consultation, even with his closest advisors.… Continue reading
Bringing down grocery prices, a key promise made during his campaign, is now acknowledged by Trump as a significantly challenging undertaking. He’s shifted from confident assertions of easily achievable price reductions to admitting the task will be “very hard.” This stark reversal highlights the complexities of economic policy and raises questions about the feasibility of his past pronouncements.
The difficulty, as he now explains, stems from the fact that prices have already risen, making any downward adjustment a much steeper climb than initially portrayed. It’s not simply a matter of flipping a switch; the economic forces at play are significantly more intricate.… Continue reading
Despite previous claims of lowering grocery prices, Trump acknowledges the difficulty in reversing price increases. He cites improved energy supply and supply chain fixes as potential solutions, pointing to congested ports as evidence of ongoing supply chain issues. However, his proposed 25% tariffs on Canadian and Mexican goods, major sources of US fruits and vegetables, directly contradict this goal and will likely raise consumer prices. This suggests a disconnect between Trump’s stated objectives and the likely consequences of his economic proposals.
Read More
Reducing food prices, a key campaign promise, is proving to be far more challenging than initially anticipated. The initial optimism surrounding the ease of lowering grocery costs now seems misplaced, replaced with a more realistic assessment of the difficulty involved.
This shift in tone is significant, especially considering the strong emphasis placed on affordable food during the campaign. The stark contrast between the earlier promises and the current acknowledgment of the inherent difficulty highlights a disconnect between campaign rhetoric and the realities of governing.
The reasons behind this difficulty are multifaceted and complex, going beyond simple pronouncements of ease or hardship.… Continue reading
In a recent interview, President-elect Trump acknowledged the difficulty of broadly reducing consumer prices, a claim contradicting his campaign promises of rapid price decreases. He previously pledged to slash prices on various goods and services, including gas and groceries, and to “end inflation.” These promises, however, lacked specific policy details, and economists have warned that some of his proposed measures, like tariffs, could actually increase prices. The significant inflation of 2022, largely driven by supply chain issues and strong consumer demand, further complicates efforts to rapidly lower prices.
Read More
President Biden touted the current robust U.S. economy, highlighting job growth, infrastructure projects, and reduced inflation as key achievements of his administration. He warned against President-elect Trump’s proposed widespread tariffs, arguing they would harm American consumers and trigger inflation. Biden’s assessment contrasts with Trump’s past claims of economic success and his current plans for even broader tariffs than those imposed during his first term. Economic advisors predict that such tariffs would rapidly reverse positive economic trends.
Read More
John Q. Hosedrinker 
Matt Underwood