Archive for December 21st, 2017

Trump’s Strategic Doctrine

Thursday, December 21st, 2017

Unusually for a commentator who leans Left, I find much to support in Trump’s new strategic view. I oppose his social conservatism, his vanity leading to spitefulness and I have doubts about trickle down economics. Certainly America needed to do something about business taxes, but bar charts of Federal government deficits over the last thirty years reveal they are mostly larger when Republicans are in the White House. So I am cautious here, but if he gets his infrastructure plans through Congress then things will really take off.

But it is on the strategic role of the US that I see something I can really buy into. For far too long and especially since the end of the Cold War, far too much of the world has done extravagant or stupid things in the belief that America will get it out of trouble either financially or with its military. This has been a bad period for America and the world at large and has seen a decline in the authority and effectiveness of the West.

Trump’s recognition that there are now three powers competing for influence across the world, America  Russia and China, shows a refreshing new realism. The assertion that America’s influence depends upon its strength as an economic power and its homeland prosperity rather than its military, which is there to defend not to bully, is a vast improvement. America does not seek to  impose its way of life on others, but it will set an example which others may will want to follow.

Above all Trump believes that every judgment must be made upon the foundation of America First. But he also expects both Russia and China to put their interests first. When necessary he will push back, but where common interest demands cooperation he will be a willing partner. This is a simple doctrine which makes sense, not just to strategists, but to ordinary people too. No wonder Putin and Xi Jinping get on with him. Western leaders will have to start to look after themselves. The EU, the second largest economy in the world, only just behind the US, and the largest single market, especially so.

Economy: Re-Boot Now!

Thursday, December 21st, 2017

For the first time since the 2008 crash the three great economic superpowers, America, China and Japan are all growing fast. Asian markets and the EU are picking up too. The UK is bumping along the bottom, way below the leaders and the EU. Paradoxically this is why we joined the Common market as it then was. We were called the Sick Man of Europe. Are we headed back to square one?

The answer is yes unless we do something about it. Although our growth is now faltering, manufacturing is expanding at its fastest pace in thirty years, due to the low pound. So there is a spark. We have now to stoke the fire with a massive reboot of the economic base with an infrastructure and affordable rental housing spend of at least £435 billion, plus start up investment in new technologies, R&D and home manufacturing of goods and food.

We cannot just stand by humming a merry tune while we wait to see whether we get hard, soft or no Brexit. We have to act to insulate ourselves from the negatives of all, ready to seize the opportunities of any. The only question is borrow  or print? Regular readers will know my answer. New readers may like the find out more by clicking on the attached link.

Dynamic Quantitative Easing: An Idea for Growth

Another Cabinet Scalp

Thursday, December 21st, 2017

On a human level a career wreck is never pretty, but it was obvious from the very beginning that the double accusations of inappropriate touching of a highly respected female journalist and porn on the office computer, made it inevitable that Damien Green would have to go sooner or later. He should have insisted on sooner. May begged for later and lost. Par for her course. But with much bigger stuff pulling her in every direction, Green will soon be forgotten.

Like Fallon.

Who?