Gideon talks to Brian Deese, former head of the National Economic Council in the Biden White House, about Bidenomics, including investing in forgotten places, bringing back jobs, and prioritizing the dignity of work. They discuss the continuity and differences in economic policies between the Biden and Trump administrations. They also explore global reactions to subsidies for electric vehicles, China's unique growth approach, and the implications of Europe adopting Bidenomics. The podcast concludes with hints at future episodes and sponsor advertisements.
Bidenomics focuses on long-term public investment and increasing productive capacity to address economic disparities and stimulate economic growth.
Bidenomics acknowledges China's economic strategy and emphasizes the urgency of addressing the climate crisis through reducing clean energy technology costs and collaborating with multilateral institutions.
Deep dives
Bidenomics: Prioritizing Economic Growth and Infrastructure
Bidenomics aims to address economic disparities by focusing on long-term public investment and increasing productive capacity. The strategy acknowledges the limitations of trickle-down economics and emphasizes the need for substantial investment in neglected areas of the country, such as infrastructure and digital technology. The Biden administration's approach marks a departure from the previous administration's policies, particularly in terms of tax cuts and deregulation. The primary goal is to stimulate economic growth, create good jobs, and restore dignity to work. While the strategy aims to win back Trump voters by prioritizing re-industrialization, it also demonstrates significant differences from the previous administration's approach.
Key Components and Objectives of Bidenomics
Bidenomics centers on three core economic policy priorities. First, it aims to strengthen the labor market and promote a robust economic recovery. Second, it focuses on implementing a long-term public investment campaign, aiming to enhance various sectors of the economy through strategies akin to an industrial strategy. Lastly, Bidenomics seeks to revitalize competition policy, enforcing antitrust laws more vigorously. Overall, the strategy aims to foster market stability and increase productivity growth, ultimately fostering equitable economic growth.
Global Implications and Climate Focus of Bidenomics
Bidenomics acknowledges the influence of China's economic strategy and the changing dynamics of the global economy. The approach recognizes the need for the United States to adopt a comprehensive economic growth strategy that accounts for China's role. While there are concerns about the potential negative effects on global trading systems due to American subsidies, the inflation reduction act is primarily driven by the urgency of addressing the climate crisis. By reducing the cost of deploying clean energy technologies, the act aims to transition to zero-carbon energy more effectively and equitably, benefiting emerging market economies. Collaboration and reforms in multilateral institutions, such as the World Bank, are seen as crucial in ensuring the global success of this strategy.
In the first of a three-part series on Bidenomics, Gideon talks to Brian Deese, former head of the National Economic Council in the Biden White House. They discuss how big a change of direction this was for the US, what motivated the policy and whether it is working well enough to convince American voters to re-elect Joe Biden next year. Clip: Biden-Harris 24