I was planning a post, looking at the Brexit negotiations in terms of game theory (more precisely, bargaining theory), but Frances Coppola has saved me the trouble. One reason for my hesitation was concerns similar to those expressed by Ariel Rubinstein, in a 2013 piece that seems to be having a bit of a revival lately. Still, whether or not game theory helps, I think Coppola has it about right.
One of the striking features of Donald Trump’s election victory was the overwhelming support he received from white Christians, rising to near-unanimity among white evangelicals, where Trump outpolled all previous Republican candidates. In thinking about the global rise of Trumpism, I’ve been under the impression that the US is a special case, and that the rise of Trumpism in a largely post-religious Europe suggests that the link between Christianism and Trumpism is a spurious correlation.
But, on reading a bit about the Dutch election, I found the suggestion that there is a long tradition of confessional politics in the Netherlands (maybe Ingrid could explain more about this) and that support for the racist PVV is centred on Limburg, and inherited from the formerly dominant Catholic party there. And, re-examining my previous position, it’s obvious that being “largely post-Christian” does not preclude the existence of a large bloc of Christian, and therefore potentially Christianist voters.
So, I’m now thinking that Trumpism can be seen, in large measure, as a reaction by white Christians against the loss of their assumed position as the social norm, against which assertions of rights for anyone else can be seen as identity politics, political correctness and so on. As is usual, as soon as I formed this idea, I found evidence for it everywhere. Obvious cases are Putin and Russian Orthodoxy, the Law and Justice Party in Poland, and Fillon in France. Looking a bit harder, I found that British Christians voted strongly for Brexit. And, in my own backyard, all the Trumpist parties I described in this post (except, I think, Palmer’s) are strongly Christianist.
Of course, there’s nothing distinctively Christian in the actual politics of Trumpism, so the analysis applies equally well to Islamists like Erdogan (and al-Baghdadi for that matter) and Hindu nationalists like Modi. In fact, looking over the recent upsurge of Trumpists, the only counterexample I can find to the analysis is Duterte in the Phillipines, who has been denounced by the Catholic Church and has returned the compliment in spades.
What does this mean for the future of Trumpism?
In the era Trump, it’s hard to avoid thinking about alternate histories. Most of my attempts focus on the Great War, and I’ve just had one published in the New York Times, leading off a series they plan on the centenary of the Russian Revolution(s). My question: What if Kerensky had responded positively to the resolution of the German Reichstag, calling for peace without annexations or indemnities?
Since Trump’s election victory, there’s been a lot of concern trolling (and maybe some genuine concern) that resistance to Trump will alienate decent conservatives who held their noses while voting for Trump, but might be attracted away from him by a suitably respectful presentation of a centre-right Democratic agenda. A notable recent entry is a piece in the New York Times by Sabrina Tavernise, which profiles three such voters, only one of whom has any criticism to make of Trump. The others complain that liberals have been mean to them, but make it pretty clear they would vote for Trump regardless. As is inevitable in such a piece, Jonathan Haidt gets a run – he’s the only expert quoted by name.
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A colleague recently sent me a paper on the economics of open borders, by John Kennan, which I hadn’t known of before, though it came out in 2013.
Kennan’s conclusion is striking
Liberal immigration policies are politically unpopular. To a large extent, this is because the beneficiaries of these policies are not allowed to vote. It is also true, however, that the enormous benefits associated with open borders have not received much attention in the economics literature.20 Economists are generally enthusiastic about free trade. But if free movement of goods is important, then surely free movement of people is even more important.
One conclusion of this paper is that open borders could yield huge welfare gains: more than $10,000 a year for a randomly selected worker from a less-developed country (including non-migrants). Another is that these gains are associated with a relatively small reduction in the real wage in developed countries, and even this effect disappears as the capital–labor ratio adjusts over time; indeed if immigration restrictions are relaxed gradually, allowing time for investment in physical capital to keep pace, there is no implied reduction in real wages.
So, is Kennan right about the benefits of open borders? And if so, is there a way of transferring some of those benefits to already-resident wage earners who would otherwise lose, or at least not gain, from expanded migration?
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The one policy issue that was an unambiguous loser for Clinton was trade[^1]. Her grudging move to oppose the Trans-Pacific Partnership, choice of Tim Kaine as running mate and some unhelpful remarks from Bill Clinton meant that Trump had all the running. How should we think about trade policy after Trump? My starting point will be the assumption that, in a world where Trump can be President of the US, there’s no point in being overly constrained by calculations of political realism.
A few points and some suggestions
* So-called “trade” deals like the TPP were actually devices to enhance corporate power (and, in the case of the TPP, to isolate China), and deserved to be defeated regardless of views on trade
* No matter what policy is adopted, manufacturing jobs aren’t coming back, any more than farm policy can restore an agrarian society. The manufacturing share of total employment has peaked nearly everywhere in the world, notably including Mexico. As is often the case, Chinese data is too opaque to get a clear picture, but there’s plenty of evidence of contraction about
* The idea of manufacturing jobs as “good” jobs is historically specific particularly to the US, and reflects the fact that the dominance of manufacturing coincided with the New Deal and the unionisation of the labour force. It’s unions, not manufacturing that we need to bring back.
* The big problem facing workers, in the US and elsewhere, isn’t competition from immigrants, or from imported goods. It’s the fact that capital is freely mobile and unfettered by any social obligation. So, a profitable plant can be closed down if its owners get a better off elsewhere. Alternatively, the threat of a move can be used to bargain down wages.
So, instead of thinking about tariffs and trade agreements, the big question is: what can be done to change trade and capital flows in ways that yield more good jobs?
Some suggestions over the page
My election commentary in Inside Story is about
The dog that didn’t bark … the (assumed) majority of “decent Republicans” to whom Clinton sought to appeal. Although most observers (including me) assumed that many of them would turn against Trump, hardly any did so