A technocracy can build high speed rail in a decade but it can also institute multi decade one child policy, multi year zero-covid, barricade people into their own homes and ban entire industries at the whim of a single leader. There is less course correction.
I guess I kinda walked right into handing technocrats power, but I really just want the government to understand the tech they regulate. We'd rather have populist zingers on TV though.
Trade policy should be as holistic as possible (tariffs, taxes, subsidies, etc), with the goal of aiding a robust domestic economy.
The 70's neoliberalism took Smith's comparative advantage argument and stripped it of context — optimizing for quarterly returns and capital mobility while ignoring the industrial ecosystem those returns depend on. You can't offshore your entire manufacturing base and expect to retain the innovation, workforce capacity, and supply chain resilience that made those profits possible in the first place.
Contrast this with "For years I thought what was good for our country was good for General Motors and vice versa. The difference did not exist. Our company is too big. It goes with the welfare of the country."
That era was not without its issues as well, but there was a sense that "we're all in it together" vs the "greed is good" crowd.
I draft and write some code for construction companies and personally saw layoffs and not taking work due to increased material costs. The structural companies we worked with similarly did a few layoffs. The average pay of these jobs was 60k+.
Manufacturing of steel is very competitive and I haven't seen the American steel drop in price. I can't personally imagine it adding more than a few thousand jobs since it's so competitive (thin margins) and you would have to add a ton of production to add one job.
Meanwhile, the profitability of building a building is a direct feed into whether buildings get built. A building not being built directly led to laying off about 100 field guys for us.
You just make less of them. Some buildings are discretionary, like your big apartment buildings you probably want (these were the two that got cancelled).
Person funding can make x profit over building per year. Person loaning loans x for y sum. Building costing more than interest amortized profit means it doesn't get built.
And I just had a doctor's office fitout cancelled mid project (drafted it personally :) ). so apparently those are, too.
Public projects like schools rarely get cancelled. Factories I personally don't draft so I really can't tell you.
Healthcare absolutely has a ton of discretion for their buildouts.
What's the alternative to steel? You just make less if it's not profitable to make.
If the stated goal is jobs, the tariffs aren't doing it from what I can tell.
It seems to be hands have been put on the scales, and to call cancelling the building that would have otherwise been built due to market forces good needs some testing. If it were doctors offices in already served areas, sure, but these were not subsidized but lower end apartment buildings in NYC. I'm hoping the guys who were laid off moved to some other company rather than exiting the trade.
And we are very competitive in machines, already set up to win.
It’s also fantasy that even 4 years of tariffs will convince anyone to build brand-new smelting operations, as they’re very large, capital intensive, take a while to build. And again, mostly worse jobs.
They knew that was the case. They don't care. The maga crowd isn't acting in good faith. Nobody other than the cult members and people who aren't paying attention thought that would actually bring manufacturing back to the US. The point of the tariffs is to devalue USD (something Trump wants to do since circa the 80s) and to strengthen Trump power/influence. He wants everybody in the world to be forced to come and negotiate directly with him so he can see them bend their knees. The whole thing is a power play
By increasing tariffs they will have to pay their proper obeisance for their inferiority, and be inspired to actually work hard like us Americans.