Author Archives: John Lusk

Michael Barr Hands the Fed’s Financial Regulation Powers to Trump – The American Prospect

https://prospect.org/economy/2025-01-08-michael-barr-hands-feds-financial-regulation-powers-to-trump/

«Countries with a recent experience of dictatorship, like South Korea, tend to be a lot more sensible about what to do when a would-be dictator attempts to seize power, and as a result their institutions are a lot stronger.»

I’m not so sure this part is true.

The rest – yeah, institutionalism for its own sake is not serving us well right now.

Financial Times: Maga vs the billionaires

https://www.ft.com/content/b7694d70-2c5a-4531-b8d0-446ee12a489a

«Watch this space carefully. The fight between Republicans and Democrats for the working class is going to be the defining political battle of the next four years and beyond.

Second, while I find myself amazed to write this, Trump himself actually has a policy idea that could help bolster the number of Americans qualified for good tech jobs. He has proposed creating a free online university called the American Academy, which would offer high-level courses and accept transfer credits from other colleges and universities, helping to push back against rising tuition costs and student debt. The left-leaning Washington Monthly magazine recently praised the idea.

This sort of online education, along with programmes that graduate high-school students with a two-year college degree, is an obvious way to train up more tech workers quickly. My one caveat — please put someone other than Musk or Loomer in charge.»

Left the word “white” out of the phrase “white working class.” Unless it was simply implied, and I missed it. Trump and MAGA couldn’t care less about non-white people in this country.

But I can actually imagine something like this program taking shape and then a Democratic administration later doing what it can* to ensure (truly) equal access at some point in the future rather than dismantling it.

\* Unless there’s also a Democratic Congress. Imagine that. Then there’s no “doing what it can,” but simply acting (ensuring, in this case).

On a side note: I can never tell when an FT article is going to be paywalled. It’s a crapshoot.

How Trump “Won” – by Michael Podhorzer – Weekend Reading

A really long article that’s still worth a read:

https://www.weekendreading.net/p/how-trump-won

«This is the one-two punch that knocked out Harris’s chances this year: disaffection with Democrats, combined with incredulity at the idea that Trump might actually implement the worst parts of the MAGA agenda.»

His conclusion:

«When we use the wrong tools, we might not just fail to diagnose an illness – we might misdiagnose it, and prescribe a treatment that is actively harmful to the patient. When Flatland analysts argue that America “moved right,” the prescription tends to be that Democrats should also move right, or at least play nice with Trump to avoid alienating the Americans who supposedly granted him a decisive mandate. The same prescription will be dispensed to civil society and the media.

But that diagnosis completely misses the life-threatening illness America is really struggling with: a billionaire-captured system that doesn’t work for most people, and justifiable disaffection and anger at this system. Americans are fed up, and people are perpetually in the mood to throw the bums out, whoever the bums in charge are. But with only two parties to realistically choose from – plus a democratically illegitimate Electoral College that makes most Americans’ presidential votes all but irrelevant – all of these “change elections” add up to little more than a seesaw that most Americans don’t want to ride in the first place.

And so, nearly 250 years after putting forth the then-revolutionary aspiration for governments “deriving their just powers from the consent of the governed,” we deploy election procedures that can claim no more legitimacy than the seething resignation of the governed.»

So. I disagree with the (implied?) statement that the problem is the two-party system (there’s an earlier post about that), but I think the National Popular Vote Interstate Compact plus ranked-choice voting would go a very long way to addressing the current illness.

Plus re-apportioning the House of Representatives.

Tesla Is Cooked – The American Prospect

«Tesla’s best hope, as I see it, is to leverage Musk’s connections to Trump to extract subsidies from the government, or harm his competitors. That’s obviously where he’s starting by backing the cancellation of the EV rebate, which will put competitors with less mature supply chains in a weaker position than Tesla in the U.S. But more could be done. Maybe the post office could be forced to buy a million Cybertrucks. Maybe the carbon credit program, which has accounted for a large share of Tesla’s profits in the past, could be dialed up. Maybe the Boring Company can get a contract to dig a tunnel between the White House and Mar-a-Lago to be filled with Teslas driving 35 miles per hour.

The possibilities are endless. Then again, it may be quite hard to get any legislation through this House Republican caucus.

At any rate, Tesla’s preposterous meme stock-esque valuation may stay high for a long time. As we’ve seen with GameStop, markets can stay irrational so long as there is a supply of suckers willing to throw their money down the toilet. But in terms of business fundamentals, Tesla may have already peaked.»

https://prospect.org/infrastructure/transportation/2025-01-03-tesla-is-cooked/