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Showing posts with label Supply Side. Show all posts
Showing posts with label Supply Side. Show all posts

Tuesday, September 29, 2020

SOME OF THE PEOPLE...


“You can fool some of the people all of the time; you can fool all of the people some of the time; but you cannot fool all of the people all of the time.”

Attributed to Abraham Lincoln

Democracy Destroys Itself

Liberal democracy is a social condition under which the rule of law prevails over the rule of men and in which mechanisms to renew and convey the consent of the governed are in place, such as an accepted electoral system and free speech. Renewal is an intrinsic trait to this condition, naturally generating questioning and creativity of ideas and methods. This trait dovetails with the economic system of capitalism, which also thrives on renewal or, as Schumpeter coined it, creative destruction.

This serendipitous match between the political condition of liberal democracy and the economic system of capitalism has generated the greatest rise in general wellbeing in the history of civilization. It has allowed the knowledge accumulated in the previous 6,000 years to generate a world in which, over the span of 300 years, famine, disease and ignorance have diminished to a fraction of their previous prevalence. Advances in science and technology, widespread access to education and health care and increased standards of living worldwide have occurred as a direct result of liberal democracy and its economic cousin, capitalism. This combination has proven to have the greatest capacity to unleash throughout society the potential of its individuals to harvest the increased opportunities offered to them.

But democracy and capitalism represent a threat to continued privilege, because they are inherently renewal mechanisms –and no one wants to get “renewed.” Privilege can come in many forms: political, economic, social and racial, or any and all combinations of these. When privilege uses power to assert itself politically, it undermines the creative dynamics of democracy. Capitalism creates economically powerful entities and individuals by its process of market renewal and innovation. These entities and individuals will likewise use their power to protect their earned privilege by undermining the very same processes and free markets that allowed them to rise, manipulating markets to their advantage. These actions are triggered by the expected self-preservation instincts.

The nature of democracy and capitalism as mechanisms for renewal and innovation is what makes them inherently weak and subject to continuous attacks by those that have used democracy and capitalism to accumulate power and privilege. Just like the combination of democracy and capitalism fosters opportunity to create innovation and shared prosperity, the combination of power and privilege actively stifles such opportunity to create innovation and prosperity.

I begin one of my books, “La Venezuela imposible,” with the assertion that, historically, democracy is not a natural condition for society. It is fiction to believe that even today, in “advanced” western societies such as the U.S. or Western Europe, democracy is favored by everyone; even less so in other societies more distant from Western tradition and history. As illiberal regimes gain strength, the threat to a condition that has fostered opportunities for growth and prosperity throughout the world becomes an ominous, growing reality.

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A Question of Goals – “Death to Intelligence!”

The United States faces a dilemma; a dilemma having to do with its goals as a society. In a recent essay by Gerald Russello, on the positions on conservative and postmodern politics, it is stated that politics is the way we speak to one another to identify and further the common good—our goals. For years, that was the case in the United States and many countries under its influence, all gazing at that “city upon a shining hill” which President Reagan spoke about, referencing Reverend Winthrop. It was a simple goal encapsulated in a universal “American Dream,” mostly understood as a proper home, education, health and security, all part of a growing middle class in which our children would lead better lives than the ones we had. That was the understood common good. Partisan discourse revolved around the ways and paths to achieve such a goal, not on the goal itself.

The condition has changed. “Grievance politics,” groups of all sorts fighting to preserve, assert or appropriate privilege have arisen to pursue disparate goals for society, rending a cleavage manifested in "political correctness," "cancel culture," or paramilitary groups and outlandish conspiracies. Those who  believe in democracy as a renewal mechanism to achieve the common good are being overtaken by those who use democracy to accumulate power and maintain their interests. In the United States this looks like the unimpeded accumulation of monopoly power by legacy corporations, “systemic racism” and misogyny in many government and private bureaucracies, and the use of electoral sleight of hand to impose minority rule. The goal does not seem anymore to create opportunities to achieve the American Dream for all; it seems to be to attain and retain power in order to defend the privilege of some by impeding the creative forces of renewal.

Polling would suggest that approximately 40 to 60% (adding “right” and “left”) of Americans are comfortable undermining the mechanisms of democracy as long as their own interests and privileges are protected – or believe they will be. This is one explanation for the current wide range of support for Donald Trump (it is not only “white men without college degrees”) from a steady core of the electorate.

Privilege seeks to eliminate opportunities for potential rivals, leading to policies weakening a basic compact of liberal democracy: prosperity rises by growing a strong middle class. Limiting education and health care, for example, perpetuates cycles of poverty for the underprivileged by hampering their opportunity to compete and prosper, become part of the middle class and fulfill the “American Dream.” Limits to opportunity ensure privilege is retained.

In previous iterations of the illiberal condition, we see more open and brazen attacks on education culure and culture, as in the notorious assertion by Francoist General José Millán Astray“¡Muera la inteligencia! ¡Viva la muerte!” (“Death to intelligence! Long live death!”) during his infamous exchange with Miguel de Unamuno at Salamanca University in 1936, at the beginning of the Spanish Civil War. Or the notorious line in the play by Hanns Johst: "When I hear the word 'culture' I reach for my gun" (Schlageter, 1933). While in the swing toward a condition of liberal democracy it seems as if such positions are "left behind," the legacies of intolerance live on in any society as a seed ready to sprout anytime.

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Finding "Some of the People"

A key contribution of capitalism is the embrace of win-win propositions in transactions. Adam Smith explained that when a customer buys a loaf of bread, both the baker and the customer obtain something they want. General wellbeing (GDP) increases and commercial laws and contracts are codified from that simple idea. This was contrary to previous practice, in which strongman rule commonly prevailed, albeit somtimes also codifed but not neutrally, with justice not so blind. Win-lose propositions are the basis of mercantile societies and, by extension, communism. The wealth of a nation was measured by its accumulated treasure relative to the treasure of others, not by the number of transactions creating shared wellbeing within it. Many of the privileged subscribe to the idea that if others gain privilege, they themselves will lose it, their treasure, so they do everything in their power to prevent it from happening.

When democracy is understood as an environmental condition (as opposed to an “evolved” form of government) which allows in its better iterations rising prosperity and wellbeing – win-win propositions –the swings of nations from authoritarian rule, to democracies, to oligarchies and other governance arrangements are better understood. It is misleading to categorize “mature” or “developed” politics or governmental institutions, implying linear progressive improvement.  Forms of governance swing back and forth among various types, some more conducive to allowing the common good and some more intent on protecting privileges for the few: the insiders, the partisans, the members, the race, etc. - a populist promise even if it means totalitarian crackdowns.

So, how many of the people are “fooled all of the time” into believing that a society based on renewal and win-win propositions is a lie, contrary to their interest? That a nation works best when ruled by a permanent minority of “smart” people, in a gerrymandered (or fraudulently) vote into office in some cases, and appointed (or self-appointed), for life in others? And how many of the people are “fooled all of the time” into believing that liberal democracy is aligned with their interests, in pursuit of an abstract, imperfect and unattainable common good for all (“The American Dream”) --and that their fellow citizens believe in democracy too?

Polling would suggest that numbers probably hover around 40% for each of those groups in the United Ststes, probably similar in other countries. The remaining 20% are the ones all sides try to “fool some of the time.” But because illiberal forces are opposed to, and deft at managing to their advantage, “free and fair elections” and free speech, they have a better chance of fooling “persuadables” and keeping the apathetic on their couches (or voting meaninglessly), than those promoting liberal democracy values; or they just have a better knack for stealing elections. That is why the condition of liberal democracy is permanently fragile.

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"Venceréis, pero no convenceréis"

The 2020 election in the United States is significant as a shining, prime exemplar of these issues. This election is unusual because it brings forth a broad coalition of forces that believe in liberal democracy and supports the alternative to a president who has repeatedly demonstrated does not. The usual figures on the left that would be expected to oppose a Republican president, no matter who, do not make this coalition noteworthy. Some of these even have suspect liberal democracy credentials themselves and do not risk much by their opposition to the current president. 

What is unusual is the large number of long time Republicans and conservative leaders and figures that recognize the threat that the incumbent and those supporting him represent to norms, institutions and even laws supporting the condition of democracy in the United States; what is unusual is that former members of all administrations, even of this one, have voiced their concern about the distortion of institutions that protect government and the people, such as law enforcement, intelligence and security, justice and others; what is unusual is that pundits in administration friendly media such as FOX or the Washington Times -some with power and some since sidelined- or traditionally conservative writers in the Washington Post, Wall Street Journal or The New York Times, question the democratic integrity of the president; and what is unusual is that former members of the inner circle, of the administration at large and of the Republican party as a whole are willing to risk excoriation, careers and livelihood to raise the alarms in this matter.

The illiberal coalition in power knows it is in the minority and behaves accordingly. It rushes legislation and appointments that strengthen their long term privilege and slows down those which do not. The coalition in power is doing whatever it can to interfere with free and fair elections. The coalition in power behaves as if it knows it is in the losing side of an election, which polls and demographics strongly suggest. In my book, Campaign Journal 2008, I point out that a successful professional politician is one capable of building broad coalitions towards a goal which he or she strongly believes in and can "sell" to others, maximizing results. The illiberal coalition in power seems uninterested in the idea of goals or broad coalitions, or "selling" ideas to earn votes and supporters, only in the idea of protecting privilege.

I return to the exchange between General Millán and Unamuno in the University of Salamanca in search for clarity on the dangers faced by the United State in the democracy crucible in which this condition is always forged anew. I return to those words from a scholar that universally ring true as a warning against interest above nation, and were a warning about the horrors of the Spanish Civil War about to be unleashed upon that country:

"You will win, because you have enough brute force. But you will not convince. In order to convince it is necessary to persuade, and to persuade you will need something that you lack: reason and right in the struggle. I see it is useless to ask you to think of Spain. I have spoken."

Perhaps, then, democracy shall not perish from this earth after all.

Sunday, October 9, 2016

Frankenstein's Monster Redux - Wrecking Havoc from Day One.

Nearly eight years ago, on the evening of Inauguration Day 2009, a group of leading Republicans gathered for dinner and vowed to make the president inaugurated that same day a one term president. President Obama had nominated to the Cabinet two Republicans (including the Secretary of Defense) and reached across the aisle in his Inauguration Speech to champion a government for all Americans. But his presidency was to be undermined from day one by the dogged pursuit of the political goal of restoring a Republican to the White House above all. This in spite of the U.S. being involved in two ground wars and in the depth of an economic recession the likes of which had not been seen since the Great Depression. A situation that would seem to clamor for bipartisanship.

The conspiracy begat that evening eventually led to, among other things, the scuttling of the budget deal and the demonization of immigration reform, as well as to a few government shutdowns. The Republican opposition to President Obama relished, encouraged, grew and supported factions and groups that distorted his origins, mocked his race in the most disturbing ways and generally were visceral and toxic to government institutions in general and the president in particular.

The environment emanating from such confrontational partisanship is at the root of destructive interactions between and within our political parties. It is an environment that, fueled by the contrived hyperbole of fringe media (radio and on-line), desensitizes a basic sense of civility that allows social co-existence. Incendiary talk radio and web sites that are just a notch below in their rhetoric of the ones used by Hutus in Rwanda or Serbs in Bosnia to inspire genocidal rampages have become increasingly pervasive in the partisan dialogue and in social media. And with no doubt within this environment we can find the origin of that political Frankenstein monster: Mr. Donald Trump. A creature nurtured by an unfettered sense of entitlement, a sublimated inferiority complex and a craving for attention at any price. A creature pieced together and supported by a coalition of people exactly like him showcasing in social media and any other vehicle they may find their blinder constrained narcissism. These are not Bush or Romney Republicans, not Reagan or Clinton Democrats, confrontational and antagonistic, but they are politically alienated, for lack of a better word, anarchists.  Après nous, le déluge!

Trump’s claim to fame and biggest selling point is that he is a successful businessman, that he knows how to run a business, knows about money and that it is time someone with his credentials ran the country.  Setting aside the fact that he has not demonstrated that he has had the acumen to use his inherited fortune to grow it over market returns (without bilking thousands of customers, contractors and even state and federal government), the notion that a nation can be run like a business is spurious. The last time that was attempted here was by Calvin Coolidge and it led to the Great Depression.

A successful business is a closed system with a clear goal: survive market competition and the innovation forces of creative destruction to maximize the profits to its limited number of shareholders.  A successful nation is an open system that by regulating market failures, externalities and common goods seeks to maximize the well-being of all its citizens. The set of skills and knowledge that lead to success in one endeavor are not the same for the other.


If it were granted that Trump has been a successful CEO, to transfer his skill set to running the government could lead to the worst cases of influence peddling and conflicts of interest since Spiro Agnew (when America was great?). In a perfectly logical pursuit of benefitting his present and future investments, decisions impacting markets and regulations would be taken in “best for the business” mode, disregarding the overarching economic and political reasons for national government.

Of course, that is what some in the Republican leadership are counting on. Not that Trump will use the government to benefit himself personally (like any businessman would naturally tend to do), but that his lack of skills for governing will force Trump to call on them for assistance in running the country--at which point they will just tell him what to do. This party leadership tries to convince itself and a diminishing group of their followers that Trump is “politically manageable.” However that, a risky proposition at best, does not account for the obvious personality traits embodied in Trump.

Because power limits through checks and balances do exist, a temperament recognizing such limits and acquiescing to this most basic tenet of our government is one of the fundamental reasons to choose a candidate over another. Trump has made clear he does not believe in limits to his use and manipulation of power. The latest evidence of his sense of entitled power and his willingness to abuse it is the “Access Hollywood” video where he says: “And when you’re a star they let you do it. You can do anything.” 

President Trump as a risky proposition does not even begin to describe the possible scenarios of uncontrolled abuse of power that could occur with a White House occupied by an unapologetic reckless bully. A bully directly descended and nurtured by the blind partisan interest wrought upon the nation that cold January evening in 2009. This is a risk that America should not allow itself to take. It has a lot to lose.


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Wednesday, August 10, 2016

The Great American Con

It must be conceded that some Trump supporters are not only sincerely convinced Trump's beliefs and positions are based on true American values but believe these positions, if enacted, will improve their lot and their countrymen’s to “Make America Great Again.” Otherwise a Trump supporter is either a self-serving cynic or a willfully ill-informed disaffected protestatarian with anarchic tendencies. While these two latter characterizations do indeed define important groups of Trump supporters, these segments cannot to be reasoned with; and all of the three major groups, the American value based, the self-serving cynics and the anarchists, attract their share of morally reprehensible racists, xenophobes and nativists which are also beyond reasoning with.

Yet, it is within the first group, the one embracing their interpretation of American values, that we must seek to understand the appeal of the economic case Trump claims to have. This is a group of Americans that should be listened to, understood, and be afforded empathy, to start a conversation of reason. Not to do so is not only politically unwise, it seeds the possibility of a “better Trump” in the future: someone with the same divisive discourse but better disguised and better scripted. So, how does Trump then embody the emotional needs of these followers?

American Values

American values are set forth in several origin documents of the nation. The Declaration of Independence, establishing the right to representation and the foundation of inalienable rights; the Constitution establishing the separate powers of government, a united federation in pursuit of a common goal and the Bill of Rights; and the Gettysburg Address establishing American democracy as an experiment in progress. The Federalist Papers could be added, as they illuminate the thoughts and interpretation of our founding fathers on the first two documents and the role and promise of the union.

A common thread in these documents is faith and optimism in the future and role this grand experiment will have in the world. This has become a core value of America: a belief that the best is yet to come, that this is the land of opportunity, that there exists an inalienable right to the pursuit of happiness. This is at the root of what is commonly called American Exceptionalism. Trump makes a primal call to that core belief. He vociferously denounces America as a land that has lost its way and promises to rectify and restore that faith in America and its people. 

But Trump distorts the essence of American Exceptionalism and has deceived a large portion of the values group. He has done so by making up some facts unabashedly and distorting others, starting by his vague claim but catchy slogan “Make America Great Again.” By the numbers, this claim is spurious. Just a few gross indicators tells us that:
  • From 1947 to 2016 GDP per Capita (constant) steadily climbed from $13,407.01 to $51,276.06.
  • Infant mortality rates for full term births decreased from 15.2 per 1000 in 1960 to 2.6 in 2006.
  • High school graduation rates increased from 74% in 1990 to 82% in 2013.
  • The economy is currently in its longest streak of monthly job creation on record.
Civil rights have unquestionably expanded over the last 100 years and such expansion has accelerated at an increasing pace in the last 50. More Americans than ever can fully participate in the civil, social, political and economic life of their own country. Social nets have spread, nearly eliminating destitute elderly, protecting children and assisting low or no income Americans in their plight.

Those Jobs are Not Coming Back

Emotionally, however, the case to “Make America Great Again” rings true.  The flip side to the listed achievements attained is a sense of unfairness and abandonment from the technological and social displacement such progress has wrought. That is the raw nerve that Trump touches. Trump argues that American workers have lost their jobs to overseas cheaters, stoking xenophobia and false expectations simultaneously, promising (as do some Democratic politicians) to bring back “good manufacturing jobs” to America, typically meaning by that heavy industry and manufacturing jobs.

The reality is quite different, as technology is more to blame for such job losses. Silicon Valley technology thinkers are so aware of this issue that talk of “Universal Basic Income” is commonplace (along with speculation on the Singularity) among them. The UBI would be a way to ensure the welfare of everyone when all jobs are lost to automation and robots. But that is a whole other discussion and argument.

What is beyond argument is that technology disrupts the labor force, and that there is no turning back to a glorious past of a different (and “greater”) labor market structure. Productivity and output increases have been taking place in America and affecting the labor market structure. Suffice these examples:
Agro Industry:
  • From 1900 to 2000 farm employment fell from 41% to 1.9% of the total workforce
  • From 1948 to 1996 agricultural productivity increased 250%
  • From 1955 to 2000 agricultural and farm exports increased approximately 800%
Automobile industry:
  • 1980: 8,011,000 vehicles manufactured in the US by 725,000 workers – 11 veh/worker
  • 2014: 11,661,000 vehicles manufactured in the US by 714,000 workers – 16.4 veh/worker
  • The US accumulated Auto worker productivity increase from 1950 to 2013: 243%
  • Estimated growth 2014-2018 - Employment: 2.1% / Productivity: 2.4%
Steel Industry:
  • 1980: 101,455,000 Metric Tons shipped – employment: 398,829 – 254.38 MT per employee
  • 2014: 95,400,000 Metric Tons shipped – employment: 149,800 – 636.85 MT per employee
  • Overcapacity of the industry is estimated around 25 to 30% while steel imports estimated at 20 to 30% of the US market.

Electricity Generation:
  • 2006 Generation: 4,060 TWh / By coal: 2,000 TWh (49.26%) / coal used: 1,030,556 K Tons
  • 2014 Generation: 4,255 TWh / By coal: 1,600 TWh (37.60%) / coal used: 853,634 K Tons
Each of these industries has its own set of issues and problems, some of their own making, some related to unfair trade practices and some structural, but all indicate a substantial increase in output while reducing total employment or shifting resources. In fact, manufacturing jobs as a percentage of the total labor force has decreased from above 30% in 1960 to less than 8% in 2014 while manufacturing as a % of GDP has remained constant. No investor, businessman, entrepreneur or factory will give back the productivity gains attained to “Make America Great Again.”

Job Creation Blues

It is the reality and nature of a developing and growing economy that there will be labor force displacement, but no one expects or wants to return the economy to a country where 41% of the labor force worked in farms. The political promise of returning to an imagined better past is a pipe dream; in fact it is the original Marxist dream of Social Utopia. It also has striking visual imagery. The closed factories of old technologies create urban wastelands. Populists stand in a blighted area and decry such closings, making for a great image. It is not as striking to stand month after month in front of a hospital, a technology information park, or a construction site and say that in the last month more jobs were created than all existing jobs in the steel industry. If it bleeds it leads and that is red bleeding meat eaten up by voters of all persuasions.

According to labor economists it takes a little less than 150,000 jobs created monthly to keep the unemployment rate steady. Since 2010 this number has been exceeded repeatedly, decreasing unemployment from its peak of 10% in October 2009 to 4.9 % in August 2016. To compare, the highest unemployment rate since 1948 was 10.8% in Nov. 1982, and its lowest 2.5% in June 1953. Still, why does a steady stream of jobs created at a greater rate needed than by natural growth does not to quell the malaise that is touched upon by the slogan “Make America great Again”? When did this malaise begin?

Recessions strike employment as a lagging indicator, meaning unemployment peaks at the end of the recession once GDP starts growing again and impacts the labor market. The graph from the Federal Reserve clearly illustrates it well (shaded areas are recession periods). But this graph can also help us understand somewhat the underlying malaise tapped by Trump’s economic speech. The labor participation rate, i.e. the amount of people working and wanting to work, increased steadily at a rapid rate from around 1962, at 58% of the population, to 1990 at 67%. The participation growth curve slope starts to taper off in 1990 and peaks at 67.3 % in April 2000, climbing steadily down ever since to its July 2016 level of 62.8%.



Social changes have an impact, of course. The incorporation of women to the labor force likely explains part of the steep climb in labor participation rates between 1960 and 1990, while the growing peaks of recession-end unemployment rates in that period correlates to the desire of people to work during those years.  That growing participation curve can be interpreted as an optimistic outlook by the labor market. People expected the labor market to grow and have a good paying job waiting for them. Even in recessions, America was The Land of Opportunity. This may be, perhaps, the period to which Trump beckons when he says “Make America Great Again.”

The late 80’s and early 90’s changed the game. The biggest hoax perpetrated on the American people is the hoax of Supply Side economics. Begun with Reagan and synthesized in the phrases “trickle-down economics” and “a rising sea lifts all boats” but better described by Reagan’s own primary rival George H. Bush as "voodoo economics,” Supply Side economics transformed the economic landscape of the American worker.

The American labor market was under strain already. Technological disruptions (as described above) were driving down the manufacturing sector’s labor participation, and light industry, such as clothing and small goods, were feeling the beginning of globalization’s impact.  Starting in the mid 70’s the disconnect between productivity growth and wage growth became the norm. While many explanations for this disconnect have been put forward (including methodology problems measuring factors in the transit from a manufacturing to a service economy) undoubtedly the gap exists, resulting in owners of capital accumulating a greater share of the productivity gains than owners of labor.

The graph illustrating the disconnect between productivity and compensation (Lawrence Mishel, 2012) also indicates a sharp uptick in the slope of productivity gains in the advent of voodoo economics, while not as much in the hourly compensation curve, albeit it stopped declining.

In addition to these structural shift trends, income inequality has steadily increased in the US since 1969. Mercantilist policies, pushed by political “protectors” of business, created subsidies, tax loopholes and protective regulations resulting in increasingly non-competitive markets for goods and services benefitting the owners of capital. The GINI coefficient (indicator for income inequality) tells us that between 1969 and 2009 such inequality has increased an astounding 122%. This means that the increase in GDP per capita noted before has been distributed disproportionally at an increasing rate.

Increased income inequality has been directly correlated with increased divorce rates, increased personal bankruptcies and increased commute times, all associated with a lower quality of life. The increased income inequality pattern in America is a fundamental cause of the anger of the electorate with the political establishment as it fails to deliver the promised opportunity for a better life.

Hope and Greatness: Is There an Economic Case for Trump?

Reexamining the Unemployment/Participation chart from the Federal Reserve, 1990 onwards can now be understood as a period in which factors affecting the labor market structure and the remuneration of labor have come to a head. It is from that time that a trend of disillusionment begins for the American worker: a feeling that the American Dream is out of reach. It is no wonder that by 2008 the message of “Hope” resonated in the electorate enough to choose as president its purveyor, Barack Obama.  

Because the built-in structures (tax code) driving income inequality remain mostly unchanged, the faithful of voodoo economics hang on to the levers of economic policy and discourse, and the labor market structure is still buffeted by globalization and technology with no clear answer, it is no wonder that Hope gave way to Revolution in the 2016 election cycle. The “Rage Against the Machine” is understandable. And Trump preaches rage.

Yet, the answers Trump offers to quench this anti-establishment mood created by the disenfranchisement from the American Dream do not address the nature, origins or bases of this condition. His “recipe” includes more of the supply side economics that have been demonstrated time and time again to stifle growth and drive up inequality (supply-side faithful devotees are as blind to the failures of their economic ideology from the right as Marxist socialists are to theirs from the left). He promotes trade barriers potentially increasing by thousands of dollars per household prices for consumer goods from cars to TVs to toasters. Other agenda points in his recently announced master plan: weaken the social net and generally make the tax code more regressive for individuals and more generous for corporations, accelerating income inequality.
Trump’s answers are not the ones that will solve America’s woes. His answers do not even address the problems he highlights in his economic speech: job creation, fair trade and America’s “greatness.” It may be probable that by the way he posits the problems—with his knack for finding the raw nerve—and the way he parrots solutions from his supply side economic advisors, it may be just probable that he truly does not know how to link problems with solutions; and it is possible that at least some of those supporters that believed Trump could embody their aspiration of restoring America as the Great Land of Opportunity will soon see in Trump what Michael Bloomberg saw in him: A loud mouthed New York City conman.

Trump’s answers are not new, they have been tested before. Supply side economics has been tried throughout the world and failed—and brought us the Great Recession. His stance on trade has been tried before—and brought us the deepening of the Great Depression. And, beyond economics, his tribal stance of Country First has been done before—and brought us at its best ethnic cleansing and at its worst World War II. Trump is not the answer to America or is what America stands for. The grand experiment must go on, but different results should not be expected from trying the same solutions over and over again, no matter how loudly those solutions are pitched. His sales pitch is the Great American Con.

Decline and Resurgence of the US Auto Industry (EPI) (Accessed 8/7/2016)

The US Steel Industry, Where we Have Been, Where we are Going, Keith Buse Feb 2005, Citing statistics from the American Institute of Iron and Steel (accessed 8/7/2016)

Coal Usage for Electricity Generation (Accessed 8/7/2016)

Manufacturing and the GDP (Accessed 8/7/2016)

Total Electricity Generation (Accessed 8/7/2016)
Manufacturing Labor Participation Federal Reserve Blog (Accessed 8/7/2016)
Labor participation rate/employment Federal Reserve Blog (Accessed 8/7/2016)
US GDP per Capita (Accessed 8/7/2016)
Infant mortality (Accessed 8/7/2016)
GINI in the US: Income Inequality and its Costs (Accessed 8/7/2016)
The wedges between productivity and median compensation growth, Lawrence Mishel,  April 26, 2012, EPI Issue Brief #330 (Accessed 8/7/2016)

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