‘Trump Taxes’ would be paid by American consumers on Mexican goods

Anti-tax crusader Grover Norquist, the founder and president of Americans for Tax Reform, said on Friday that “tariffs are taxes” … “They’re taxes on American consumers and producers who use imported products. We need to get those tariffs down as quickly as we can.” Grover Norquist urges Trump to get rid of trade tariffs, calling them taxes on … Read more

Republican economic policies cause their constituents to fall farther behind the rest of the country economically

John Harwood at CNBC has an important report on a new Brookings Institution study documenting that “economic divergence is as central to 21st century polarization as race, gender and religion.” These charts show how Democrats represent the growing modern economy – and how Republicans are left behind:

[T]his year’s midterm elections affirmed this much: in Washington, the two parties now speak for dramatically different segments of the American economy.

Republicans represent the smaller, fading segment, with less-educated, more-homogenous work forces reliant on traditional manufacturing, agriculture and resource extraction. Democrats represent the larger, growing one, fueled by finance, professional services and digital innovation in diverse urban areas.

Screen Shot 2018-11-20 at 5.48.21 AMh/t 270towin.com – 2018 House Election Interactive Map. Note: A geographic map is deceptive, because there is a lot of “big empty” space in the middle of the country and in the west. A cartogram map weighted for population is more accurate, but one is not yet available for the 2018 congressional election.

Donald Trump carried 2,584 counties across the country, but calculations by scholars at the Brookings Institution showed that the 472 counties Hillary Clinton carried accounted for nearly two-thirds of U.S. economic output.

Now, new Brookings calculations show the same from 2018 House elections. With a few races still undecided, districts won by Democrats account for 61 percent of America’s gross domestic product, districts won by Republicans 38 percent.

BROOKINGS_DIST_BARS_0

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June jobs report and the Trump vs. The World Trade War

The June jobs report released today may be the apex of job growth after 93 consecutive months of job creation — the longest streak on record — because today marks the official start of the Trump vs. The World Trade War. As Trump’s trade war starts, China vows retaliation:

The United States imposed the first duties on $34 billion in Chinese goods early Friday, officially launching a trade war between the world’s two largest economies. Moments later, the Chinese side fired back, accusing the United States of violating WTO rules setting off “the largest trade war in economic history to date.”

Cadet bone spurs says Trade Wars Are ‘Good, and Easy to Win’, but history says otherwise. “Trade wars are never won. Trade wars are lost by both sides,” Sen. Ben Sasse of Nebraska has warned. “[I]t will kill American jobs — that’s what every trade war ultimately does. So much losing.” More about this later in the post.

Steve Benen has the June jobs report. Job growth remains steady, but jobless rate ticks higher:

Ahead of this morning’s new jobs report, most projections pointed to totals of roughly 200,000 new jobs last month. Those projections turned out to be correct.

The Bureau of Labor Statistics reported this morning that the economy added 213,000 jobs in June, while the unemployment rate inched a little higher, climbing from 3.8% to 4%.

JuneJobs

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