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Im-Politic: Elites’ Learning Curve on Populism is Still Largely MIA

24 Saturday Nov 2018

Posted by Alan Tonelson in Im-Politic

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American Enterprise Institute, asylum seekers, Brookings Institution, chattering classes, David Brooks, establishment, Europe, Hillary Clinton, Im-Politic, Immigration, Jobs, migrants, migration, Open Borders, Populism, refugees, The Guardian, The New York Times, Trade, Trump, working class

While we’re still (I hope!) in a Thanksgiving frame of mind, let’s not forget to give thanks to America’s ever clueless bipartisan political establishment and chattering classes. As just made glaringly obvious by a Hillary Clinton interview and a New York Times pundit, these utterly intertwined – and indeed incestuous – elites not only mostly remain just as dumbfounded about the developments that have triggered the rise of populism in the Western world as they were the day after Donald Trump became president. They helpfully keep reminding us of how little they’ve learned – and therefore how completely undeserving they are of returning to power.

Clinton’s obliviousness (again) came through loud and clear in a lengthy sit-down earlier this week with the United Kingdom’s Guardian newspaper. According to the Democratic presidential nominee, whose inept campaign strategy and transparently canned messaging helped key Mr. Trump’s victory, Europe “needs to get a handle on migration.”

That contention’s hard to argue with. But Clinton’s main reason was anything but. According to the former Secretary of State, European leaders’ overly “generous and compassionate approaches” to migration “lit the flame” that have “roiled the body politic” and strengthened the positions of Trump-like populists who have used “immigrants as a political device and as a symbol of government gone wrong, of attacks on one’s heritage, one’s identity, one’s national unity….”

In other words, Clinton apparently has no concerns that a massive influx of migrants – or refugees, or so-called asylum-seekers, or even economically motivated immigrants – could drive down wages for the working class or lower income cohorts of a country’s native-born population, or wind up admitting criminals and terrorists from violence-ridden regions, or swamp a country with newcomers either ignorant or actively contemptuous of its cultural values (e.g., its treatment of women).

She’s simply advocating that establishment politicians do the proverbial – but never well defined “something” – to keep on the fringes counterparts who are mindful of the above, and completely legitimate, concerns. In fact, Clinton’s continuing contempt for such leaders, and their followings, is made clear by her contention that populist voters are defined by

“a psychological as much as political yearning to be told what to do, and where to go, and how to live and have their press basically stifled and so be given one version of reality.

“The whole American system was designed so that you would eliminate the threat from a strong, authoritarian king or other leader and maybe people are just tired of it. They don’t want that much responsibility and freedom. They want to be told what to do and where to go and how to live … and only given one version of reality.”

In other words, “deplorables,” anyone?

If anything, New York Times columnist David Brooks is even brain dead-er on the lessons of 2016. On Thanksgiving day, the paper posted a column of his contending that at least some of America’s establishment has been “chastened” by populism’s successes, and recently has been “working together across ideological lines” to “build the bipartisan governing coalitions” that “pay attention to actual Americans and actual solutions” to the problems that have so divided the nation.

One of his prime examples? A joint effort by the establishment liberal Brookings Institution and the establishment conservative American Enterprise Institute (AEI) to develop policies aimed at “Restoring Opportunity for the Working Class.”

On the one hand, it’s good to see that Brookings and AEI aren’t simply dismissing American populism’s main political base as racists and xenophobes. Even better: The report they’ve just issued recognizes job and income loss resulting from offshoring-friendly trade deals and other wrongheaded globalization-related policies as major sources of working Americans’ economic decline and political anger. And the recommendations for trade policy fixes are pretty good – even including an endorsement of unilateral U.S. tariffs in certain situations. In fact, combining these ideas with many of the more purely domestic policy proposals in the study could make a real difference.

On the other hand, the study’s authors decided to ignore the impacts of Open Borders-friendly immigration policies, because they regard “the perception that immigration is responsible for what ails the working class” as “mistaken.”

And some skepticism is warranted on the trade front as well. After all, experts from both think tanks have been among the strongest critics of Trump administration trade policies – no doubt because so many of their donors are businesses that profit from the trade status status quo, and (in Brookings’ case), many of the very foreign governments in the same category.

But what I found especially revealing was Brooks’ description of the report. It ignored the trade recommendations completely and zeroed in on the measures that, unless accompanied by trade and/or immigration policy overhauls (at least), would wind up as an approach that essentially substitutes various forms of welfare for work: “wage subsidies, improved parental leave, work requirements for some federal benefits, child care tax credits.”

And by the way, of course Brooks endorses the study’s calls for more government aid for education that reduces the current emphasis on sending all young Americans to four-year colleges and increases the emphasis on “career education and training.” That’s fine except that there’s little point to vocational type training if family wage jobs keep fleeing overseas or becoming ever lower-wage jobs because immigrants keep supercharging the labor supply.

Nor have any of the education boosters ever responded to two related points I made in my globalization book, The Race to the Bottom: First, people all over the world as just as capable of being retrained and reeducated as Americans; and second, governments all around the world know this, especially in countries with such immense labor surpluses that they’ll long be able to under-sell American workers.

Brooks closes his article by wondering whether the United States contains “enough chastened members of establishments, who have governing experience, who acknowledge past mistakes, who take the time to reconnect with the country and apply their expertise in new ways” to lead the nation successfully. The Brookings-AEI report provides some grounds for optimism. Unlike Hillary Clinton and Brooks himself.

Our So-Called Foreign Policy: More Globalist Fantasies from The Times’ Friedman

08 Wednesday Aug 2018

Posted by Alan Tonelson in Our So-Called Foreign Policy

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Africa, China, climate change, Cold War, democracy, Europe, global norms, global order, global warming, globalism, human rights, international institutions, Italy, migrants, migration, Our So-Called Foreign Policy, The National Interest, The New York Times, Thomas Friedman, World War II

Thomas Friedman’s New York Times column today shows that the uber-pundit continues to perform a crucial dual public service. He both articulates as clearly as possible the usually unspoken assumptions underlying the globalist foreign policy approach pursued by the establishments of the two major American political parties for decades, and (unwittingly, to be sure) he reveals how childish they are. 

In his discussion of the African migrants crisis faced by Italy and other countries of southern Europe, Friedman once again credits “global cooperation and rule-making” with making “America, Europe and the world as a whole steadily freer, more stable and more prosperous since World War II.”

As I’ve pointed out, these successes owed not to any institutions-based “liberal global order” but to the American power and wealth that underwrote the defense of Western Europe, Japan, and South Korea and the recreation of a functioning international economy (until the Cold War ended, of course, one confined to the bounds of the non-communist world).

But what distinguishes today’s article – and pushes it into the realm of fantasy – is the author’s claim that this order and its institutions and procedures have “managed the key global issues after W.W. II — like trade, migration, environment and human rights….”

How do we know this is fantasy? Because Friedman himself emphasizes here that the migrants crisis remains out of control. Moreover, the world trade system is proving woefully unable to handle the challenge of China’s predatory government-private sector hybrid economy. The management claim, meanwhile, is sure hard to square with Friedman’s own nearly innumerable warnings that climate change is about to destroy the planet unless dramatic steps are taken immediately.

And although the world is unmistakably freer than before World War II, again it’s been American power – not any set of worldwide institutions and rules – that’s been primarily responsible. Further, a major elite commentator meme nowadays of course is that freedom has taken some important hits lately – e.g., because of the rise of allegedly authoritarian populists on both sides of the Atlantic, because Russia’s post-Cold War experiment with genuine democracy proved so short-lived, and because China’s widely anticipated evolution toward greater political (and economic) openness never even got started.

I’m also grateful to Friedman for creating another opportunity for me to explain why dismissing the importance of international institutions and rules does not amount to dismissing the importance of international cooperation in addressing the varied and important worldwide problems that transcend borders.

As I’ve most recently written in my June National Interest article on the superiority of a genuine America First foreign policy, there’s no reasonable question that in order to deal with pollution and disease and climate shifts (whether man-made or not, they can create terrible common problems) countries will need to meet and figure out how to respond jointly.

But since the agreed-on solutions will not affect every country equally, or benefit every country equally, it will be vital for the United States to push for the measures that most effectively promote and preserve its own interests. Further, since Washington will not be able to count on persuasion solely or even largely to accomplish this goal, it will need to make sure that it possesses the only other advantages capable of shaping the outcomes favorably – power and wealth. Accept no substitutes.

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Current Thoughts on Trade

Terence P. Stewart

Protecting U.S. Workers

Marc to Market

So Much Nonsense Out There, So Little Time....

Alastair Winter

Chief Economist at Daniel Stewart & Co - Trying to make sense of Global Markets, Macroeconomics & Politics

Smaulgld

Real Estate + Economics + Gold + Silver

Reclaim the American Dream

So Much Nonsense Out There, So Little Time....

Mickey Kaus

Kausfiles

David Stockman's Contra Corner

Washington Decoded

So Much Nonsense Out There, So Little Time....

Upon Closer inspection

Keep America At Work

Sober Look

So Much Nonsense Out There, So Little Time....

Credit Writedowns

Finance, Economics and Markets

GubbmintCheese

So Much Nonsense Out There, So Little Time....

VoxEU.org: Recent Articles

So Much Nonsense Out There, So Little Time....

Michael Pettis' CHINA FINANCIAL MARKETS

New Economic Populist

So Much Nonsense Out There, So Little Time....

George Magnus

So Much Nonsense Out There, So Little Time....

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