The Daily Shot: The White House Defends Archaic Industries at the Expense of Value-Added Manufacturing

The decision to tax steel and aluminum imports was a political move that should, in theory, play well in races such as Pennsylvania’s district 18 special elections. The larger question, however, is whether the US wants to compete in the industrial commodities businesses that had peaked decades ago. Boosting these industries will be at the expense of value-added manufacturing, which has rebounded in recent years. Even China is now shifting out of these “old economy” sectors (#2 here). Ironically, higher import prices for industrial materials may encourage some firms to move more production outside of the US.

From the consumer’s perspective, these tariffs mean higher prices on thousands of products – from US-made cars to beer cans.

Trump Shows Us the Way

Donald Trump slipped into the Oval Office through a wormhole of confusion about the American identity.

.. We were moving from a white-majority, male-dominated country and manufacturing base to a multicultural, multilateral, globalized, P.C., new energy, new technology world, without taking account of the confusion and anger of older Americans who felt like strangers in a strange land.

.. And we certainly don’t want men like Rob Porter who have punched, kicked, choked and terrorized their wives to be in the president’s inner circle, helping decide which policies, including those that affect women, get emphasized.

.. We don’t want the White House chief of staff to be the sort of person who shields and defends abusers — and then dissembles about it — simply because the abuser is a rare competent staffer. Or a man who labels Dreamers “too lazy to get off their asses” simply because they didn’t apply for legal protections in time.

.. John Kelly served as a character witness not only for Porter, after he didn’t receive security clearance because F.B.I. agents had heard the harrowing tales from his battered ex-wives. Kelly also testified as a character witness for Gen. Robert E. Lee and a former Marine who pleaded guilty to sending inappropriate sexual messages to female subordinates; who drove drunk to an arraignment; and who got charged in Virginia with sex crimes against children.

.. As a more lucid Trump tweeted in 2012 about Rihanna getting back together with Chris Brown, “A beater is always a beater.”

.. We don’t want a president who bends over backward to give the benefit of the doubt to neo-Nazis, wife beaters, pedophiles and sexual predators — or who is a sexual predator himself.

.. We don’t want a president who flips the ordinary equation, out of some puerile sense of grievance, to honor Russia and dishonor the F.B.I.

.. We don’t want a president who is too shallow to read his daily intelligence report and too obsessed with the deep state to deal fairly with our intelligence agencies.

.. We don’t want a president who suggests that Democrats who don’t clap for him are treasonous and who seems more enthralled by authoritarian ways than democratic ones.

.. who loves generals but trashes Gold Star parents

.. who wants the sort of chesty military parade that we mock Kim Jong-un for, a phallic demonstration of overcompensation that would only put more potholes in the D.C. boulevards.

.. one who could be so easily trapped in lies that he can’t even be allowed to talk to an investigator.

.. And, finally, we surely don’t want a president who seeks advice on foreign affairs from Henry Kissinger. Ever. Again.

Planet Money: Episode 755: The Phone At The End Of The World

In the late 2000s, Argentina was facing a slew of economic problems. The president was a charismatic populist with bold plans and the will to act. One of the things then-President Cristina Kirchner wanted to tackle: unemployment. So she set out to create manufacturing jobs in Argentina.

She made a rule in 2010 that if a company wanted to sell things in Argentina, they needed to make things in Argentina.

Some companies didn’t play ball. Even though Argentina was a big and lucrative market, Apple said, ‘we’ll just sit this one out, we just won’t sell iPhones in Argentina at all.’ Other companies, though, decided to give it a try — to set up entirely new production operations within Argentina. One of them was the company that made Blackberry, the most popular phone in the country at the time. Making the high tech phones would mean good jobs for thousands of people.

President Kirchner didn’t just demand the phones were made in Argentina. She wanted the phones made in a very particular place in Argentina, all the way at the southernmost tip of the country. The government decided that is where she said the jobs should be created.

Tierra del Fuego is home to penguins, grey skies and brutal winds. It’s the last stop for ships before making the final leg to Antarctica.

Today on the show, how a town at the ends of the earth wound up making Blackberry phones, and what happened to when a charismatic president launched a big plan to create jobs and boost manufacturing.

The Coming War on Business

In a series of essays for conservative magazines like Chronicles, Francis hammered home three key insights.

The first was that globalization was screwing Middle America. The Cold War had just ended, capitalism seemed triumphant and the Clinton years seemed to be an era of broad prosperity. But Francis stressed that the service economy was ruining small farms and taking jobs from the working class.

  1. His second insight was that the Republican and conservative establishment did not understand what was happening. He railed against the pro-business “Economic Men” who thought G.D.P. growth could solve the nation’s problems, and the Washington Republicans, who he thought were infected with the values of the educated elites.
  2. Francis told Buchanan. “Go to New Hampshire and call yourself a patriot, a nationalist, an America Firster, but don’t even use the word ‘conservative.’ It doesn’t mean anything anymore.”
  3. .. His third insight was that politics was no longer about left versus right. Instead, a series of smaller conflicts — religious versus secular, nationalist versus globalist, white versus nonwhite — were all merging into a larger polarity, ruling class versus Middle America.

“Middle American groups are more and more coming to perceive their exploitation at the hands of the dominant elites. The exploitation works on several fronts —

  • economically, by hypertaxation and the design of a globalized economy dependent on exports and services in place of manufacturing;
  • culturally, by the managed destruction of Middle American norms and institutions; and
  • politically, by the regimentation of Middle Americans under the federal leviathan.”

appalled by pro-corporate Republican economic policies on the one hand and liberal cultural radicalism on the other. They swung to whichever party seemed most likely to resist the ruling class, but neither party really provided a solution.

The Buchanan campaign was the first run at what we now know as Trumpian populism.

.. “The ‘culture war’ for Buchanan is not Republican swaggering about family values and dirty movies but a battle over whether the nation itself can continue to exist under the onslaught of the militant secularism, acquisitive egoism, economic and political globalism, demographic inundation, and unchecked state centralism supported by the ruling class.”

.. Francis was a racist. His friends and allies counseled him not to express his racist views openly

.. in 1994 Francis told a conference, “The civilization that we as whites created in Europe and America could not have developed apart from the genetic endowments of the creating people, nor is there any reason to believe that the civilization can be successfully transmitted to a different people.

.. When you look at today’s world through the prism of Francis’ work, a few things seem clear: Trump is not a one-time phenomenon; the populist tide has been rising for years. His base sticks with him through scandal because it’s not just about him; it’s a movement defined against the so-called ruling class.

.. Trump may not be the culmination, but merely a way station toward an even purer populism.

.. Trump is nominally pro-business. The next populism will probably take his ethnic nationalism and add an anti-corporate, anti-tech layer. Google, Facebook, Amazon and Apple stand for everything Francis hated — economically, culturally, demographically and nationalistically.

.. As the tech behemoths intrude more deeply into daily life and our very minds, they will become a defining issue in American politics. It wouldn’t surprise me if a new demagogue emerged, one that is even more pure Francis.