Tag: trade

What I believe

I am a classical liberal fusionist. The following brief outline will hopefully explain what that means followed by a brief summary of where Trump stands relative to my beliefs of what is good for America.

I want to be free to make my own decisions about my life and for you to be similarly free as well. As we live together with 8.3 billion others, we must have understandings/rules/laws guiding our interactions if we are to live peacefully with each other. An efficient government limited to those purposes is essential. As a classical liberal I strongly support the limited, enumerated powers and structure (checks and balances) of government provided by the American constitution. Our constitution provides that our government will have limited powers sufficient to protect us from foreign and domestic threats of corruption, fraud and attack, secure our property rights, adjudicate disputes, provide public goods (e.g. roads, pollution regulations) and establish the rules (guardrails) for private enterprise. Our constitution specifically prohibits our government from infringing upon our freedom of speech, assembly, or religion.

Such limited government powers would leave use with substantial freedom to choose our own way of life. The quality of our lives will depend importantly on how wisely we use that freedom. While it would be ideal for those in need of help to receive it from family and friends and from private charities established for that purpose, I believe that the private provision of charity on any large scale has been so displaced by government welfare that I accept the government’s role in providing a social safety. But the current mix of programs restrict our freedoms and are inefficient. I propose a Universal Basic Income as the most efficient approach and the most consistent with individual freedom. https://wcoats.blog/2020/08/20/replacing-social-security-with-a-universal-basic-income/

America has flourished because the substantial freedom our government leaves us is generally used well. The vast majority of us use our freedom in ways that respect the freedoms of others. The three monotheistic religions—Christianity, Judaism and Islam (and no doubt others as well)—provide important guidance for virtuous behavior. These include honesty, charity, love, prudence, justice, fortitude, temperance, humility, forgiveness, etc. Virtue is the other leg of Fusionism, which is explored in the wonderful new book by Stephanie Slade: Fusionism: Liberty, Virtue, and the Future of the American Right.

While respecting the freedoms of others, I may choose (within my abilities) how I make my living, whom to buy from and sell to (free trade), and how to spend my free time and with whom. Much of our relationships with others will reflect the locally accepted norms of good behavior. This extends far beyond driving on the same side of the road. Some of these norms have been codified into laws, which we expect to be applied equally to all of us. Some are the norms of courteous behavior (good manners). Thus, freedom and rights have fostered the entrepreneurship that has made the U.S. the economic envy of the world.

But today, with the internet and jet planes, our world extends far beyond our own communities. Engaging with as much of the world as possible peacefully has benefits. It can enhance our safety by making agreements with other governments that reduce the occurrences of war. It can add joy to our lives by exposing us to the many wonder of other cultures and geographies. It has enormously lifted the average standard of living because of the extension of the benefits of specialization made possible by trade. Global average per capital real income has risen 13 to 15 times (1,200 to 1,400%) over the last two centuries. This after many, many centuries of virtually no change.      

But what is required to travel to or trade with other countries? How can our planes fly over and safely land in other countries? How do we prevent the signals from other countries’ satellites from interfering with the internet and other signals from our own as they fly over? Just as our Federal government can establish laws to protect our safety, liberties and property across state lines that benefit us all, they need to do so across country borders.  https://wcoats.blog/2020/12/01/the-rule-of-law-china-and-the-u-s/ Without such agreements we would not be free to trade and travel nearly as widely as now. https://wcoats.blog/2017/01/06/the-liberal-international-order/

We have failed to live up to these standards on many occasions, but they are the north star to which we strive. Or at least until now. On July 23, 2019, speaking to a Turning Point USA audience (and on other occasions as well) President Trump said: “I have an Article II, where I have the right to do whatever I want as president.” With that he threatened to throw away the limits on the power of our government and the checks and balances on its exercise. Some of his policies have been consistent with the principals I believe in, but many have not.

The Economy: The government’s limited role of protecting property rights and promoting business transparency has unleashed the entrepreneurial energies that have led to our country’s flourishing. Like President Biden before him, Trump thinks his ideas of where to put our resources are often better than the market’s—thus projecting government activities beyond its proper functions. He was right, however, to think that many government agencies and their regulations were more burdensome than helpful to the private sector. A review and streamlining of the government’s oversight of the economy would be a good idea. Unfortunately the Department of Government Efficiency (DOGE) led by Elon Musk was a crude hatchet job that did more harm than good.  https://wcoats.blog/2020/11/04/saving-the-american-dream/

Immigrants: America would not exist without immigrants. https://wcoats.blog/2026/07/06/immigrants-2/ Currently they are important to provide the younger workers needed to pay the expenses (e.g. Social Security benefits) of our growing number of longer-living retirees. Rather than allowing more legal immigrants, Trump has reduced the number and promised to deport those here illegally. https://wcoats.blog/2026/02/08/immigrants/ . While I support efforts to prevent illegal immigration, Trump’s quickly recruited and improperly trained ICE agents have murdered innocent Americans and deported American citizens, along with illegal immigrants, without due process and in violation of court orders. The rule of law be damned. https://wcoats.blog/2025/08/29/immigration/

Free Speech: Our constitution specifically protects free speech for a good reason: https://wcoats.blog/2012/09/15/further-thoughts-on-free-speech/ It helps build public consensus and support for good public policies.

Trump goes ballistic when criticized and misuses executive power to punish critics. These have included suing critics, threating the licenses of their employers, etc. https://wcoats.blog/2026/08/21/our-first-amendment-freedom-of-speech/

“ABC late-night comedian Jimmy Kimmel said an interview he conducted with Texas Democratic Senate nominee James Talarico will not air on broadcast because of what he called threats issued to his network by President Trump’s Federal Communications Commission.” The Hill 9/10/2026

Our constitution provides checks and balances on the powers of government in an effort to prevent (or minimize) the overreaching of government. Donald Trump took major actions against agency inspectors general across both of his presidential terms: Between April and May 2020, he removed or replaced five agencies’ inspectors general in a series of late-Friday decisions: just days into his second term, he dismissed seventeen independent inspectors general at once across cabinet departments—including Defense, State, Transportation, Labor, and Energy. Subsequent individual firings followed throughout early 2025 (such as the USAID IG in February 2025).

The nonpartisan inspectors general review agency programs, financial statements, and operations, recommend changes to make government operations more economical and effective, manage hotlines and intake processes for employees to report wrongdoing safely, and report their findings to the heads of the agencies they monitor and to Congress. In September 2025, a federal judge ruled that the mass January 2025 firings violated federal law because the administration failed to provide the mandatory 30-day notice and substantive rationale to Congress, though the court did not order their reinstatement.

At least 20 high-ranking generals, admirals, and civilian defense leaders have been directly fired or pushed out of their roles by Defense Secretary Pete Hegseth and President Trump. When including behind-the-scenes actions—such as blocking promotion rosters, cancelling appointments, and forcing early retirements—over 80 generals and admirals have had their careers altered, blocked, or cut short as part of a sweeping restructuring aimed at downsizing senior military leadership and reshaping the Pentagon. According to my military friends, those removed were generally the best of the lot. Not bowing to Hegseth’s silly games proved fatal. Where might this be going?

Trade: The Trump administration has stifled the free market allocation of resources to the detriment of our growth in several ways. He has complained about offshoring manufacturing resulting in our trade deficits (which by the way help finance the government’s fiscal deficits thus keeping interest rates on government bonds lower than otherwise). In fact, however, manufacturing output in the US is greater than it has ever been. Domestic employment in manufacturing, however, has fallen because of increased labor productivity.

Trump claims that high tariffs are needed to reduce our trade deficit. But he has not imposed them in ways sanctioned by the World Trade Organization, i.e., to improve competitiveness with a level playing field. His tariffs often seem weapons to get countries to agree to other totally unrelated goals. Trump’s bullying has cost the U.S. more than trade. Often his threats require that foreign companies building plants in the US give shares to the Federal government. The US government now owns shares in some 40 or so such companies (https://wcoats.blog/2026/08/10/econ-101-capitalism-and-socialism/ ). And the courts have struck down some of his tariffs. https://wcoats.blog/2024/11/26/tariffs/

Wars and foreign policy:  During his Presidential campaign, Trump promised to end our forever wars. Then, with Israel, he ordered an invasion of Iran. One reason seemed to be to stop Iran from developing atomic bombs (correcting Trump’s first term error of withdrawing from the Joint Comprehensive Plan of Action with Iran which prevented such a development). https://wcoats.blog/2026/04/02/iran-and-the-bomb/. “Trump’s threats against countries trading with Iran expose the limits of US economic power, as allies resist Washington’s demands and the global economy moves towards a less American-dominated order.” “Trump is hastening the decline of American power,” by Joseph E. Stiglitz 9/12/2026. https://johnmenadue.com/post/2026/09/trump-is-hastening-the-decline-of-american-power/

Trump’s continue support of Israel’s ethnic cleansing of Gaza and increasingly the West Bank has further isolated the US, which stands alone with Israel in the UN in defense of these humanitarian atrocities. https://wcoats.blog/2026/03/31/fixing-palestine/

I agree with Trump’s insistence that others (in particular NATO members) pay their share of the cost of the defense they get with American help. But insulting our allis, often with tariff increases or threats, is not in America’s interest, nor in compliance with WTO rules.

In The New York Times (9/10/2026), Tom Friedman proclaimed that: “Trump is the most un-American president in my lifetime. No president has done more, and continues to do more, to unravel the post-World War II institutions and alliances that were built and sustained by his predecessors. We are talking about… our intimate relationships with Canada and Mexico and our military alliances with South Korea and Japan — to name but a few. These relationships and institutions together produced global and American prosperity and great power peace for generations….”

During his presidential terms, Donald Trump initiated U.S. withdrawals from or ceased participation in a wide range of prominent international treaties, agreements, and bodies:

  • Paris Climate Agreement: Withdrawn during his first term and formally pulled out of a second time in January 2025.
  • Iran Nuclear Deal (JCPOA): The U.S. withdrew in May 2018.
  • Trans-Pacific Partnership (TPP): Withdrawn via executive order in January 2017.
  • UN Framework Convention on Climate Change (UNFCCC): Trump ordered the U.S. withdrawal from the founding 1992 climate treaty.
  • Intermediate-Range Nuclear Forces (INF) Treaty: The U.S. exited this Cold War-era arms control treaty with Russia in August 2019.
  • Open Skies Treaty: Withdrawn in November 2020.
  • World Health Organization (WHO): Initiated withdrawal in 2020 and executed withdrawal actions again during his second term.
  • UN Human Rights Council (UNHRC) & UNESCO: Withdrawn during his first presidency.
  • Global Compact for Migration: Withdrawn in December 2017.

Standing alone we are much weaker than when standing together with friends.

Interest rates: While Trump’s threats to the Federal Reserve to lower interest rates reflects a complete misunderstanding of the forces in play and the Trump administration’s perverse impact on them, I have confidence in the integrity of Kevin Warsh and expect the Fed to raise its policy rate next week in keeping with its commitment to lower inflation to 2%. https://wcoats.blog/2026/08/29/inflation/

Corruption: Trump’s wealth increased $3 to $4 billion dollars during his second term so far. Corruption? No comment. “Trump has pledged a $5,000 dividend to every American adult if Republicans retain control of Congress in November’s midterm elections, prompting questions about how the benefit would work, whether it is legal and where the funds would come from.” Washington Post 9/10/2026. Amazingly Trump publicly proclaims this bribery.

The Washington Post reported on 9/12/2026:

“Democrats hope to retake control of the House, and to use that power to probe Trump’s business ventures, legal maneuvers and policies…. ‘There’s so much corruption and grift that it’s going to take the entire House on the Democratic side to do investigations appropriately,’ Rep. Robert Garcia (D-California), who would probably lead investigations as chair the Oversight Committee in a Democratic-held House….

“Trump family enrichment…

“Handouts to supporters…

“Construction projects…

“Immigration enforcement…

“Prosecutions of Trump’s political enemies…

“Institutional pressure campaigns.”

https://www.washingtonpost.com/politics/2026/09/12/house-democrats-plan-sweeping-trump-investigations-if-they-win-november

It goes without saying that Trump does not support many of the US Constitution based principles I support. If I am right, as I am sure I am, that adhering to the principles of our Constitution is an important part of the foundation of our flourishing, Trump’s abuses of those principles will have the opposite effect. His disregard for the rule of law, his expansion of the powers of government to coerce us, and his disregard and flaunting international agreements and relationships will turn the US into a society of uncertain rights heading in uncertain directions depending on who is leading it at the time.

To give Tom Friedman the last word from his NYT article sited above:

“A year ago, I heard one of our former presidents privately observe that we can survive Trump’s second term as long as our institutions remain intact. Well, unfortunately, they have not. Who would argue today that the Justice Department, which has been turned into a personal legal weapon of the president, is intact, that the Department of Health and Human Services is intact, that the Pentagon is intact, that the Centers for Disease Control and Prevention is intact or that the Federal Communications Commission, which is now run by a Trump-appointed hack who acts as combined government censor and minister of propaganda, is intact?”

Foreign Students

The Trump administration finalized a major rule to tighten student visas by ending the “duration of status” policy and imposing a fixed four-year maximum admission cap. https://www.dhs.gov/news/2026/07/16/trump-administration-issues-final-rule-end-foreign-student-visa-abuse   Why? Foreign students benefit the U.S. in a number of ways and we should seek to increase their number.

First: hosting foreign students is an export, it pays foreign money into the U.S. via tuition, room and board and other purchases these students make in the U.S.. The inflow of foreign exchange helps provide us with the means for paying for what we import from abroad. https://wcoats.blog/2025/11/04/trade/

Second: Foreign students gain firsthand experience of life in the U.S., often making lifelong friends. They take this knowledge home improving American relations with other countries. American student benefit from meeting and befriending the foreign students, thus broadening their knowledge of other cultures.

Third: When foreign students decide to remain in the U.S. we benefit from their knowledge and expertise increasing American income and wealth.

According to annual economic impact data calculated by NAFSA: Association of International Educators, foreign students spent and contributed $43.8 billion and supported approximately 378,000 jobs in the U.S. in the 2023–2024 Academic Year. This fell 2% during the next year, which was the first year of the current Trump administration.

We would do much better to deport Stephen Miller.

Tariffs again

“Mr. Trump said that generic-drug manufacturers must move production to America or their products will face a 100% tariff from August 2028. A 200% levy would follow from August 2029.” 

All economists and hopefully you as well understand that your standard of living (income) is higher (much higher) because you can specialize in what you are best at and trade for the rest (exploiting “comparative advantage”). If you had to be totally self-sufficient you would be dirt poor.

Unfortunately, Stephen Miller and Donald Trump don’t understand this or is it just that Trump gets such a kick out of throwing his weight around that he doesn’t care??

Gerrymandering

The United States has flourished and grown to almost the highest GDP per capital in the world (exceeded only by tiny Luxembourg, Switzerland, Ireland, Singapore, and Iceland) because of the individual freedom of its citizens to act in their own interest and whose property and freedoms are protected by a government to which they gave limited powers. Historically individuals only had the rights and freedoms handed down to them by their Kings/rulers.

The preservation of the rule of law under our Constitution is essential for our continued flourishing. It is eroding.

The U.S. House of Representatives has 430 members of which currently 217 are Republicans and 212 are Democrats (one is independent). These numbers have changed slightly because of recent “resignations.” The number of representatives from each state depends on its population at the end of each decade’s Census. Each state is geographically divided into the number of congressional districts matching its number of representatives. While states may approach the drawing of its congressional districts in its own way, there are some criteria that must be observed.

1. Federal Mandatory Criteria

These rules apply to every state, regardless of their internal policies:

  • Equal Population: Based on the principle of “one person, one vote,” districts must be as nearly equal in population as practicable. This is rooted in the U.S. Constitution and upheld by Supreme Court cases like Wesberry v. Sanders.
  • Race and Ethnicity (The Voting Rights Act): Under Section 2 of the Voting Rights Act, districts cannot be drawn in a way that dilutes the voting power of racial or language minorities. In some cases, this requires the creation of “majority-minority” districts.

2. Traditional Districting Principles

Most states also follow “traditional” principles to keep districts logical and representative. These vary by state law:

  • Contiguity: All parts of a district must be physically connected. You shouldn’t have to leave the district to get to another part of it.
  • Compactness: Districts should be geographically “tight” rather than sprawling or having jagged, “finger-like” extensions (though this is frequently debated in court).
  • Respect for Political Subdivisions: Mapmakers often try to avoid splitting counties, cities, or towns between multiple districts.
  • Communities of Interest: This is the effort to keep groups with shared social, economic, or cultural interests together so they have a unified voice in Congress.

If district lines are drawn to concentrate likely Republican or Democrat voters into one or a few districts, their voting strength in other districts would be reduced. In this way the likely number of Republican or Democrat representatives from the state can often be increased or decreased, a practice known as gerrymandering. Such political concentration has also favored the election of candidates with more extreme views within their party hollowing out the center.

 “Ordinarily, states draw new congressional lines once every 10 years, at the start of the decade when they receive new data from the U.S. Census Bureau. Last year, Trump pressed Republican-led states to break with that tradition and gerrymander their districts to help his party maintain its narrow control of the House.

“The push resulted in better lines for the GOP in five districts in Texas, two in Ohio and one each in Missouri and North Carolina. Democrats responded by persuading voters to approve new maps that would give Democrats the edge in five seats in California and four in Virginia.”  Washington Post  Redistricting in Virginia

While I have been a free market, limited government Republican all my life until Trump’s first campaign in 2016, I was not willing to vote for him and changed my party to Libertarian. Given my disappointment with the Republican Party’s unwillingness to use its constitutional authority to vote on tariffs and war among other things, I am hopeful that the Democrats will take control of Congress in the midterm elections later this year. None the less I voted No on Virginia’s referendum on a midterm redistricting that is expected to give Democrats 4 additional seats in the House. Why? Gaining House seats by questionable (The Supreme Court may reverse all of this) mid-decade redistricting rather than by convincing voters to change their votes diminishes the rule of law I so strongly defend.

Democratic Sen. John Fetterman (Pa.) reacted with dismay Tuesday evening when informed during an appearance on NewsNation’s “Cuomo” that a Democratic redistricting initiative had passed in Virginia, declaring, “We all lose at this point.”

“Even The Washington Post has said the ‘yes’ campaign is, in their words, brazenly dishonest.”  David Weigel, Semafor

Trump’s Record so far

So far Trump II has made or is making a number of changes that have benefited our economy.  However, his delivery on his key campaign promises is mixed.

Trump promised to “stop the migrant invasion,” and to carry out “the largest deportation operation in American history.” He delivered. Southern border attempted entries that were blocked in 2023 and 2024 of 2,475,670 and 2,135,000, dropped to 237,538 in 2025 and authorized new arrivals dropped from 2.9 to 2.8 million in 2023 and 2024 to less the 2,000 in 2025. Deportations and voluntary exit jumped from over 460,000 and 700,000 in 2023 and 2024 to over 2,500,000 in 2025 of which and estimated 1.9 million were self exits.

However, the behavior of masked ICE agents, including the deaths of over 30 people in ICE custody in 2025 have created a public outcry.  In 2024 and earlier, the majority of ICE arrests focused on those with criminal records. In 2025, the government stated that 70% of ICE arrests involved individuals with criminal charges or convictions. However, independent analyses of 2025 data suggested that only 23% of those targeted in broader sweeps actually had prior criminal convictions, with many of those being for minor traffic or immigration offenses.

Trump also promised to “End inflation and make America affordable again,” and to “Stop outsourcing” and turn the U.S. into a “manufacturing superpower” by bringing factories back to the United States by tightening trade policy. The high CPI inflation rate of 4.1% in 2023 has fallen to 2.9% in 2024 and 2.7% in 2025. Manufacturing value added to US total output was $2.91 trillion in 2024 rising to $2.95 in 2025 all in 2017 dollars.

The US imports more than it exports. The US trade deficit in 2024 of $903.5 billion changed little at $901.5 billion in 2025, but the highly criticized and erratic US tariffs on imports (both threatened and actually imposed) where eventually struct down as illegal by the Supreme Court. They were not approved by Congress and where not justified to correct unfair trade practice by China, the EU and others. Rather they were threatened punishments if the target country did not give in to some other Trump demand. Here is an example of such an attempted abuse of tariffs. https://x.com/spectatorindex/status/2041842665172693207

Trump was right to promise to reduce costly and unproductive regulations and bureaucrat bloat. But his approach with the help of Elon Musk and the DOGE swat teams was misdirected and destructive. https://wcoats.blog/2025/04/27/trumps-chainsaw/

https://wcoats.blog/2025/07/01/econ-101-government-budgets/  Just how bad the Musk DOGE chainsaw was can been seen in the following deposition of one of the totally unqualified kids swinging the chainsaw. He is being questioned by a lawyer for an agency suing DOGE https://www.youtube.com/watch?v=NXXvgZzK0Cc

And then there is the rest. Unlike previous US Presidents, Trump’s style of governing was that of a bully making threats. The result has not been good.

Trump the Egomaniac:  Putting his name on the Kennedy Center was sort of harmless (but distasteful) but then shutting it down all together is much less so and, and as is so often the case with Trump, hard to understand. The United States Institute of Peace is now the Donald J Trump Institute of Peace. Then there are programs he has created in his name: Trump accounts, Trump Gold Card, TrumpRx, Trump National Parks pass, etc. But he hasn’t stopped there, creating the “Trump-class” battleship. Though it violates the tradition of the U.S. Treasurer, currently Brandon Beach, signing our currency notes, Trump will do so in the future. While most of these displays of Trump’s name might be taken as the actions of an immature child, his proposal to issue special one dollar coins with his likeness seems to violate more than just good taste.

Trump the Authoritarian (postliberal)–domestic:  We have gotten used to Trump using his Truth Social or X/twitter accounts to damn and/or label as stupid or evil those who have criticized him, but he has used the power of his office to much more seriously attack his enemies or to force compliance with his policy views.

For example, after firing FBI director James Comey, who oversaw the probe of ties between Russia and Trump’s 2016 Presidential campaign, Trump repeatedly called for investigations of Comey over alleged leaks and handling of memos, and his current Justice Department has pursued renewed inquiries premised on those same grievances. Similarly motivated DOJ indictments or investigations have been made against Trump appointed officials John Bolton, Letitia James, Robert Mueller, Andrew McCabe, John Brennan, and others who played leading roles in Russia‑related or Ukraine‑related investigations.

Beyond criminal investigations, Trump has repeatedly used or threatened non‑criminal tools of the presidency—regulation, funding decisions, security clearances, and administrative enforcement—to punish domestic opponents. He has used threats to cut off federal funds to Democratic‑led “sanctuary cities” or jurisdictions whose leaders criticize him, framing them as “anarchist” or lawless and directing DOJ and other agencies to look for legal hooks to withhold grants.  Reuters and civil‑society trackers describe cases where universities, law firms, and other entities changed diversity or governance policies after threats of lost contracts, funding, or investigations from the administration. https://protectdemocracy.org/work/retaliatory-action-tracker/

If you have wondered, as I have, why the Republicans in Congress have not exercised their constitutional rights to block Trump’s abuses of power, often in direct contradiction of Republican party principles, I assume that it is their fear of his vindictive attacks on anyone who criticizes him.

Trump has both threatened and actually moved to cut federal funds to a small but high‑profile group of universities, mainly to force changes on campus protests, DEI, admissions, and governance policies. At Harvard University billions in federal research grants and contracts were frozen or terminated starting in spring 2025. The reasons given by the Trump administration were the alleged failure to protect Jewish students and to tolerate antisemitism linked to pro‑Palestinian activism and criticism of “woke” policies, DEI programs. The Trump administration demanded leadership and governance changes, review of academic departments for perceived ideological “bias,” and changes to admissions policies. Harvard has filed legal challenges and publicly refused to accept some of the administration’s conditions, while still facing a major funding freeze.

Similar reasons were given for stopping and/or threatening to stop funding of contracts and projects at Columbia, Cornell, Northwestern, and Princeton, University of Pennsylvania and UCLA.  These are the tip of an ugly iceberg that are very inappropriate in our liberal, limited government, freedom loving country.

But not all demands were objectionable.In October 2025, the White House offered a formal “compact” tying preferential access to federal funding to a raft of ideological and policy conditions that were agreed to by nine universities.Vanderbilt University.Dartmouth College.University of Pennsylvania.University of Southern California.Massachusetts Institute of Technology (MIT).University of Texas at Austin.University of Arizona.Brown University and University of Virginia.

Key policy demands in the compact included:

  • Ban consideration of race or sex in admissions and hiring.
  • Cap international undergraduate enrollment at around 15% and subject foreign students to additional vetting.
  • Freeze tuition for several years.
  • Eliminate or sharply curtail DEI offices and programs.
  • Guarantee “ideological balance” or a “vibrant marketplace of ideas” without a dominant ideology

Trump the untrustworthy Bully –International: Trump pledged to serve American interests first, promising to end America’s forever wars and claimed to deserve the Nobel Peace Prize. Virtually every aspect of his foreign policy has been a failure, weakening our standing abroad and our national security.

The second Trump administration has ended no wars, conducted military strikes in at least seven countries, and with Israel started a new war in Iran. It has been complicit with Israel in the ethnic cleaning of Gaza and increasingly the West Bank, and by financial and armament support of Israel. Trump has weakened or lost the support of traditional allies with his threats to annex Canada and Greenland and his insults of European and other countries for not supporting his illegal war in Iran and more generally.

Bully Trump’s approach is illustrated by his spat with Pope Leo XIV. On Truth Social Trump proclaimed:

“Donald J. Trump

@realDonaldTrump

A whole civilization will die tonight, never to be brought back again. I don’t want that to happen, but it probably will. However, now that we have Complete and Total Regime Change, where different, smarter, and less radicalized minds prevail, maybe something revolutionarily wonderful can happen, WHO KNOWS?”

On April 19, 2026, Trump warned that the U.S. would “knock out every single Power Plant, and every single Bridge” in the country if they did not accept a new “DEAL,” Not that Trump cares but many of his threats, specifically those targeting civilian infrastructure like water and power plants, have been flagged by international human rights groups as potential violations of international humanitarian law.

Pope Leo XIV declared President Donald Trump’s threat to destroy “a whole civilization” unacceptable and suggesting Americans should contact their representatives in Congress to stop the conflict.

“Today, as we all know, there has also been this threat against the entire people of Iran.  And this is truly unacceptable. There are certainly issues of international law here, but even more, it is a moral question concerning the good of the people as a whole, in its entirety.

“I would like to invite everyone to think in their hearts of so many innocent children, so many totally innocent elderly people who would also be victims of this escalation. I would like to invite everyone to pray, but also to seek ways to communicate. Perhaps with congressmen, with authorities, saying that we don’t want war, we want peace.”

Trump responded by calling the Pope “Weak on crime” and “Weak on Nuclear Weapons” and falsely claiming the Pontiff agreed that Iran should have nuclear capabilities. In his Easter Sunday message the Pope said: “Let those who have the power to unleash wars choose peace.”

Trump’s failure to understand market trades and deals as win-win has fed his zero sum bully approach. America has been seriously damaged as a result.  Trump has either ignored or withdrawn from the international agreements or organizations such as the WTO, and WHO that have provided the basis of global cooperation and flurishing since WWII. And we have suffered as a result. https://wcoats.blog/2026/03/21/america-alone/  

Trump’s disregard for law has also been an element of his financial corruption, the details of which will hopefully be properly investigated.  Since returning to the White House for his second term, Trump’s net worth has grown by approximately $2.5 billion to $3 billion according to most financial trackers. Trump’s Presidency has been very bad for America.

Not only Tariffs

Tariffs can serve the beneficial function of leveling the trading playing field when exports from, say China, have benefited from government subsidies. The world’s output and thus wealth is maximized when competitive trade (domestic and/or international) uses its labor and capital most efficiently. The rules of the World Trade Organization permit tariffs of this sort.

President Trump has taken a very different approach, which yesterday’s Supreme Court ruling against most of his tariffs has slowed. Trump, typical of his general bully approach to relationships, threatens or enacts tariffs totally unrelated to their proper purpose to make trade fairer. He uses them to gain concessions from other countries totally unrelated to economic efficiency. These, like his bullying more generally, are very damaging to American interests and well-being. As a private business man, his bullying approach resulted in six bankruptcies.

Rather the repeat the arguments I posted earlier I will direct you to some of my earlier comments and a few from others:

Tariffs
https://open.substack.com/pub/damonlinker/p/seven-observations-about-the-supreme?utm_campaign=post-expanded-share&utm_medium=web

Trump’s disregard of the law in the area of tariffs is not all we should be concerned with and push back against. In addition to his nasty treatment of our “Allias,” his corruption is shockingly extensive and very open as is his disregard for the law. Congress needs to wake up and do its job:

https://www.thefp.com/p/the-economy-can-survive-tariffs-not

https://open.substack.com/pub/persuasion1/p/a-blow-to-trumps-favorite-political?utm_campaign=post-expanded-share&utm_medium=web

P.S. I have not mentioned his childish ego expressed by adding his name and face all over the place. It is merely embarrassing, which we can survive.

P.S.S I have also not mentioned Trump’s serious damage to our national security from his war and threatened wars not authorized by congress as required by the constitution (in search for the Nobel Peace Prize??!!)

Immigrants

I think that all illegal immigrants convicted of crimes in the US  should be deported. Those here illegally, often for decades, who have not been convicted of a crime should be given a path to citizenship as provided in the draft act that passed the US Senate in 2013 but died in the House. “Illegal aliens”.

With the horrible attack on American norms and laws perpetrated by ICE  “ICE and immigrants”, President Trump (the most corrupt, dishonest, law breaking, abuse of government powers to attack his “enemies,” President America has ever suffered) apparently has different ideas. Trump’s bullying and winner take all style has resulted in a 6% decline in tourism (one of our previously successful exports) in 2025 relative to 2024. This increased our trade deficit. Net immigration in 2025 fell dramatically to half the level of 2024, which hurting our economy.

The disgusting racism of his “policy” is best exposed by the statements of his evil Secretary of Homeland Security, who: “On Dec. 1, Noem shared on X this thought: “I am recommending a full travel ban on every damn country that’s been flooding our nation with killers, leeches, and entitlement junkies” who “slaughter our heroes, suck dry our hard-earned tax dollars, or snatch the benefits owed to AMERICANS. WE DON’T WANT THEM. NOT ONE.” “George Will on Kristin Noem”  

President Trump’s childish ego and bullying is inflicting great damage on my country. Hopefully the SCOTUS will declare his tariffs illegal SOON.  ICE must be made to abide by the law. Illegal immigrants convicted of crimes (other than their residence status) should be turned over to ICE when they are released from jail and ICE “officials” should get off the streets. But for God’s sake fire Noem immediately.

Trade

Without trade each household/family would have to be self-sufficient, i.e., would only have to consume what they themselves could make, grow or do. No one would doubt the dire poverty the world would endure. Even trade limited to your neighborhood, with each household specializing in a few things to trade with other families specializing in other needs or wants would significantly increase everyone’s income. The wider the range of trade the greater the degree of specialization and increased income possible.

Expanding the potential for trade requires the ability to transport goods and serves over longer distances. The benefits of such connectedness extend well beyond higher incomes. Quoting from George Will’s wonderful book The Conservative Sensibility: Referring to the:

“Erie Canal. [Dewitt] Clinton [the sixth governor of New York] saw this project as a means of preventing states in the West from detaching themselves from the Union. The canal would “bind the union together by indissoluble ties” because the people would be “habituated to frequent intercourse and beneficial inter-communication,” and all Americans would be “bound together by the golden ties of commerce and the adamantine chains of interest.” The canal also, and inadvertently, helped to bring down the old order in Europe. By bringing cheap wheat from America’s Great Plains, the canal struck at the roots of Europe’s landed aristocracy.”

Implicit in the above is private ownership of one’s production. People work hard for their own benefit but to benefit from trade they must take account of the needs and wants of others. Trade must be win-win or it will not take place. I benefit from selling my production and you benefit from buying it. Communism—communal production—lacks the personal (selfish) incentive to work hard and has broadly failed as a system. Also from George Will: “In China, once collective farms were disbanded in 1978 under the leadership of the reformer Deng Xiaoping, agriculture output doubled in the space of just four years.”

The topic of trade keeps returning and I have written about it often. Rather than repeat myself, yet again, I will share some of those earlier blogs:

Econ 101—Trade in very simple terms
The politics of Trade
Econ 101: Tony Judt on Trade

Immigration

what is the problem and what should be done?

The United State—a nation of immigrants—is the most prosperous nation in the world because of the freedom of its residents to innovate, work hard, and seek out what the public wants to buy (i.e. to profit). Many of the founders of our most successful companies (e.g., Google, Tesla, Panda Express, Uber, WhatsApp, eBay, Stripe, PayPal) are first generation immigrants. Immigrants are drawn to America because it offers such opportunities, thus we tend to attract the best and brightest. “Immigrants from hell”

Along with the clear benefits of immigration, it poses challenges and some costs as well. The internal migration of people within a country as new jobs or tastes result in people moving into new homes and neighborhoods produces most all the same issues as immigration of foreigners from abroad. We live in communities and have rules (even laws) for our rights and those of our neighbors. What we do effects then and vice versa.

Before moving back to Crystal/Pentagon City in Arlington Virginia, we lived in a 64 home (two acres each) community in Bethesda Maryland with a convenient reflecting very ridged rules for what we could and could not do on our property in order to preserve its natural wooded environment. This is what we were buying. But over some decades more and more families with children moved in with different tastes and desires (e.g., basketball hoops visible from the road). Many community discussions were held, and some rules were adjusted but it required a lot of community discussion.

Our immigration laws are inadequate. We need more immigrant workers and entrepreneurs and better border control, i.e., we need more legal immigration and better control of the illegal sort.  Laws to give immigrants legal status are inadequate and not consistently enforced. “illegal aliens” In 2013 a bipartisan bill to address these problems (The Border Security, Economic Opportunity, and Immigration Modernization Act of 2013) passed the Senate by 68-32 in favor but sadly failed to pass the House. Quoting from Wikipedia:

“If enacted, the bill would have made it possible for many undocumented immigrants to gain legal status and eventually citizenship. It would have increased border security by adding up to 40,000 border patrol agents. It also would have advanced talent-based immigration through a points-based immigration system. New visas were proposed in this legislation, including a visa for entrepreneurs and a W visa for lower skilled workers.[6] It also proposed new restrictions on H1B visa program to prevent its abuse and additional visas/green-cards for students with science, technology, engineering, and mathematics (STEM) degrees from U.S. institutions. The bill also included a $1.5 billion youth jobs program and repealed the Diversity Visa Lottery in favor of prospective legal immigrants who are already in the United States.”

Refugees pose a special challenge (e.g. Afghans who worked for the US or international bodies and are thus suspect to the new Taliban government) as do the “guest” seasonal workers in California’s farmland. If Congress is up for serious work they should get to it.

Econ 101: Trade deficits

A trade deficit is the difference between what we buy from the rest of the world and what it buys from us. To that extent rather than buying our goods and services, the rest of the world holds our dollars. These dollars are most often held in the form of US securities (Treasury bonds, etc.). Though trade deficits help finance Uncle Sam’s spending that is not financed with tax revenue, and thus reduce the crowding out of domestic investment by government deficit spending, President Trump doesn’t like them. Our trade deficit in 2024 was $918 billion.

Trade deficits can be reduced by reducing our imports (this is what tariffs tend to do) and/or by increasing our exports. We export many things including food and oil. Tourism and foreign students studying in the US generate about 9% of our export revenue. This has dropped sharply this year as the Trump administration has blocked or discouraged foreign students and badly treated other visitors, denying entry to some. It has suspended entry of new foreign students to Harvard and is threatening to revoke existing student visas at Harvard.

Trump has not only reached into the affairs of Harvard (and those of many other “enemies”), he is also demanding that the US dollar surpluses held by our trading partners be invested as dictated by the Trump administration. This was stated explicitly by US Treasury Secretary Bessent in an interview by Larry Kudlow on Fox Business. https://www.youtube.com/watch?v=IgcmRJpE1pc  

It is hard to see much free market here. Gregg Ip nails it in his recent WSJ article “The U.S. Marches Toward State Capitalism With American Characteristics”  https://x.com/greg_ip?lang=en