The day after the American election the skies around our place were overcast but all indications were that the sun rose and set as normal. The question now is what sort of economic policies Donald Trump will implement. Expect to see more resource exploitation, legislation and policies to restrict competition and more subsidies to business. His economic policies will probably differ from Hillary’s mostly by degree. Some people and the environment will probably suffer.
The most important thing to keep in mind is that he is unlikely to be able to do all the things he wants. About half of Americans did not want him to be president and most of these will be against at least some of his policies. Many of those who voted for him will have conflicting vested interests and he will have to make some tough decisions.
Being president of the United States requires two skill sets – campaigning and governing. Trump has proven himself a master of the first set and now has to prove himself as a governor. A lot of his campaign was based on emotions and he demonstrated an excellent understanding of people and their emotions. His win must have been a blow for people who are politically correct. One of the buttons he pushed was sexuality. He demonstrated that at least half of those who voted have not been suckered by the sophistry of feminism. I wonder how many women had fantasies in which they were the object of his attentions and how many went on to vote for him.
His emotional campaign could become a big problem for him as many people will feel disappointed if he can not or will not keep promises.
As this is written Trump’s economic policies are mostly unstated but he prides himself on being a businessman so we can expect America to be open for business and we can expect policies which will allow a few people to make lots of money by exploiting other people and resources. But then this is the history of North America and most of the world.
This writer believes our current economic problems are with the available energy and mineral resources. Yes, there are lots of these still in the crust of the earth. But we have “cherry picked” the most accessible and those that are left require so much energy their value is limited. As not many people believe this, or care, we can expect the new president to encourage the exploitation of what is left, even those that are in parks or other reserves. The consequences of this policy will be to bring forward the timing of a major economic collapse.
We boast we live in a market economy based on competition but a lot of economic legislation restricts competition so business people can make profits. If we had perfect competition there would be no profits. There may be little room for more legislation to restrict competition but if business people can think up some we can expect President Trump to be sympathetic. He has already indicated he will restrict trade.
Us Canadians sometimes talk about corporate welfare bums who thrive on government subsidies. Americans are probably already familiar with the concept and the new government will probably continue and increase the trend No doubt some business people will be claiming a need for subsidies to extract the more difficult energy and mineral deposits.
I was disappointed rather than surprised with the election results because I fear a major economic collapse. Also I suspect Mrs. Clinton would have followed similar economic policies even if not as blatantly. We are in the same ship with the same storms and neither is likely to even try to get into a different sea.
Filed under: Economics | Tagged: broken promises, campaign skills, Competition, corporate welfare bums, economic policies, Economics, emotions, fantasies, governing skills, resource explotation, sexuality, subsidies, tough decisions, Trump | Leave a comment »