Market Reactions and Political Shifts: An Unexpected Analysis

A blustery Donald Trump statement threatening large tariffs on Canadian and Mexican imports (plus increased tariffs on Chinese goods) raises the question of why the outgoing Biden administration, the lame-duck Congress, and the broader civil society have taken few proactive steps to create obstacles to coming Trump abuses.

Matt and Brian discuss:

* Is the opposition simply exhausted?

* Do Democrats and Trump-wary Republicans in Congress simply think he’s full of shit?

* Is it wiser to take a wait-and-see approach (will Pete Hegseth actually be confirmed? does Trump really intend to impose these tariffs?) than to push back before the damage is done?

Then, behind the paywall, a more detailed discussion of how the administration is battening down the hatches ahead of Trump’s presidency, and what more should be done. Is it better to frustrate Trump’s ambitions than to let him sweep in and do toxic, politically damaging stuff? Can institutional memory be preserved, outside the administration if necessary, so Trump can’t do irrevocable damage to stuff the government does well? And what’s a better, holistically: honey or maple syrup? Opium or cocaine?

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Further reading:

* Matt on why Trump’s stunt-based form of “leadership” might not work out under current economic conditions.

* Brian on why Democrats should start thinking now about how they’ll go about rebuilding, if and when they ever retake government.

* Flashback to 2000, when the George W. Bush campaign discussed its plans to reject the election results if won the popular vote but lost the lost the Electoral College.