Tag Archives: US Economy

Trump Economics, Friedman Economics: the Oligarchy, the Swamp, and the Cesspool…….

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And the beat goes on……
This time I’ll keep my feet on solid ground
Now I understand myself when I’m down
Like the sweet sound of hip music
There’ll always be something new
To keep the tables turning
Hey, this super song
There’ll never be an ending…
And the beat goes on……”    
The Whispers

Betting Against Trump Was a Market-Beater. The companies the president disparaged have done much better than those he favored. Remember when President Donald Trump would call out a company by name, causing its stock price to gyrate madly, whacking a few billions off its market value with just one offhanded tweet? ……. Looking back on this one year later is revealing. From the November 2016 election until when we looked at it January 2017, the Oligarch Index was thoroughly trouncing the Drain the Swamp Index, 15.8 percent to 3.5 percent. Trump hadn’t even been sworn in, yet he was already making his heft felt in the marketplace. Things change…….”

So the famous bi-partisan, lobbyist-driven, Washington Swamp beat the Trump-favored Oligarchy in terms of market performance, at least for the first year. During the past year, the Oligarchy started quickly to morph into what it has always had the potential to be: a Cesspool……….

But still the Oligarchy is not done: it has at least three more years, potentially seven more years. The Swamp will expand and get more odorous for now, become more of a new oligarchy Cesspool. Until the next bubble created by deregulation and natural greed and hubris bursts. Then look out for all the flying “stuff“. Then the new need for “government” help and “regulation”. Back to 2008 and 2009, and……
Perhaps hopefully a more-lasting New Deal (after all, Milton Friedman is dead, along with his brilliant but misguided mind and his Nobel)……….

And the Beat Goes On…..

Cheers
M Haider Ghuloum

Donald Trump’s Brief Airborne Syrian Fling: My Fatwa for Next Year………

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President Trump has managed to gather some sort of consensus, at least within the media and among politicians, around his brief air-war fling with Syria. As usual in the initial phase of a military action, both parties and the media have managed to praise his action, in some cases for fear of looking unpatriotic or “too outlier” (fear of bullying is not confined to school children).

Soon they will be asking: what next? What? No more? Especially cable media will go through severe withdrawal symptoms, being used to some thirty years of covering (ad nauseam) non-stop foreign wars. Some are already beginning to ask the question. Then the absolute rulers of the allied Muslim countries will push him to support a “democratic” Syria (where power can be shared between the Wahhabi Salafists attached to Saudi Arabia and the Muslim Brotherhood attached to Turkey’s strongman Erdogan). A claustrophobic democratic experience they would never allow their own peoples to enjoy. Apparently Trump has been listening to the potentates lately, and he seems to be impressed.

My guess? My Fatwa: sometime well before the summer of 2018, Democrats will look back and say that Trump did his Syrian fling in order to divert attention from “other” more pressing “America First” issues he could not handle. The quick disenchantment happened with LBJ, Bush (pere et fils), and perhaps others.

A one-week apparent success (meaning no American casualties) while his foes’ knives are being temporarily hidden. Foreign action trumps domestic failure, but only for a while (just ask George H W Bush who presided over the end of the Soviet Union and a swift American victory in the Persian Gulf War).
The infrastructure will still need to be dealt with, and Trump may soon have some Obama-style stonewalling by the Republican Congress on the required spending. Then there is Healthcare, then a mechanism to keep and create jobs inside the USA, then a mechanism to encourage young people to enroll in STEM education (preferably within the excellent traditional mode of a broad American undergraduate college education that we all enjoyed).

The risk is that America First may become America Later. Looks like George Dubya Bush was right: being US president is a hard job……

Cheers
Mohammed Haider Ghuloum