middle-east

Fixing Upheavals

Dave Davis Commentary, Policy, Uncategorized , , , ,

Funny how things sometimes unfold in line with your thoughts. In my post two weeks ago, I pointed out that Trump’s reimposition of broad tariffs, taking effect, isn’t a sure thing. The administration promised speedy interest-bearing refunds to obtain a stay of the Court of International Trade’s (CIT) decision declaring the bulk of the president’s tariffs unconstitutional if the Government lost its appeals. Having lost in the Supreme Court, the administration now finds itself in an impossible situation.

You can bomb the hell out of the country, but you need forces on the ground to effect regime change. Nazi Germany was militarily superior to the British in WWII, but an all-out air campaign never broke them, without troops on the ground.

Last week, I wrote that the best bet to foster an armed Iranian uprising lay with the support of the Kurds on both sides of the Iran-Iraq border. However, our spotty treatment of this put-upon group might make them reluctant to bail us out:

In both cases, the administration appears not to have thought things through. Trying to slow down or block the refunds amounts to admitting it misled the courts. Now the refund case is back in the CIT, and Judge Richard Eaton has ordered the refunds. As the sole judge in charge of the refund cases, he has issued a straightforward ruling, leaving the Government no alternative but to do what it promised the courts.

Judge Eaton refused to issue a stay of his order pending the Government’s appeal. The Appeals Court has already delegated the CIT to handle the refunds, so it is unlikely to intervene. On Friday, the judge granted the Government more time after it admitted it had misled the courts and could not process the refunds immediately.

Given the Government’s history of promising speedy refunds if it loses, and then claiming it’s too difficult to issue quickly when the Supreme Court ruled against it, staying an adverse ruling in the CIT on the new 122 tariffs is anything but certain. Two dozen states are already filing suit against the new tariffs, and businesses are likely to be joined by those still suffering from the previous illegal tariffs. An injunction against their implementation is only just while awaiting a final decision.

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In Need Of A Friend

Dave Davis Commentary, Policy, Uncategorized , , , ,

While the media concentrates on the mystery of a celebrity’s mother’s disappearance, some important things are going on with little recognition. I have long advocated for U.S. support of the Kurds, one of the world’s largest ethnic groups without a nation, because of their strategic location:

Long friendly with America, the Kurds were the key to the destruction of ISIS’s Caliphate. They supplied the forces on the ground at great cost, which led to victory. However, our treatment of these friends since then hasn’t been very ally-like. Since the victory, the U.S. has allowed its overlords in Turkey, Iraq, and Syria to inflict damage on it. Recently, the Turkish-backedSyrian Revolutionary government has crushed the Kurds in that country while the U.S. stood by.

Why is this important right now? When protests broke out over Iran’s plummeting currency, our President urged them on, telling them “he had their back,” only to have the protesters mowed down by the thousands. Trump drew his red line, telling Iran’s leader not to crush his own people. The Mulahs ignored him. Now, Trump’s credibility is on the line. To keep his word, regime change seems the only solution.

While we and maybe with the Israelis can pound the Mullah’s forces from the air, Trump knows that committing large American ground forces is a non-starter, repeating the nation-building that Trump lambasted George W. Bush over.

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Trump vs. Trump?

Dave Davis Commentary, Policy, The Middle East, Uncategorized , , , ,

Recent events have added credibility to some of my posts. Not long ago, I cautioned that the Federal Reserve’s (Fed) series of interest rate cuts might be at odds with the actual inflation outlook. The Biden spending spree adds to our high national debt, while the Social Security (S.S.) Trust Fund runs dry at best in ten years, with both parties adding to the program woes. Medicare may be in even worse shape.

Biden’s proposals will increase S.S. payouts to government retirees, and with Trump’s plan not to tax any S.S. income, retiree checks could face cuts even sooner. Maintaining the current level of payments will mean even more government borrowing. Already expected to lend trillions more, bond buyers must absorb more extensive offerings in the future. In the face of increasing interest rate risk, they’ll want more upfront.

The first chart is the inflation rate, showing it is still above the 2 % target:

This chart shows the Fed’s interest rate cuts:

While the U.S. 10yr Bond interest rate returned to near its highs:

Mortgage rates stay high:

This week, the Fed cut short-term rates another quarter point but said it would probably cut two times next year instead of the signaled four. The Dow dropped over 1,100 points. Confusion is the only explanation.

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Time Waits For No One

Dave Davis Commentary, Policy, Uncategorized , , , , , ,

While we await the election, the world moves forward. Wars keep spreading. The administration continues its mission to prevent this, but we have the opposite. Ukraine seized Russian territory. In the Middle East, Lebanon is aflame, and Iran is taking blows.. Now, North Koreans have entered Russia, apparently to bolster the Ukrainian front. The conflict containment policy has failed.

Kamala Harris says she wouldn’t change anything. Are we looking at the same wars? While we wait for direction from whomever wins the Presidency, our friends have suffered. At every step of the way, the U.S. put obstacles in the way of the Ukraine, and Israel to deal their foes attitude changing blows. Aggression is best met by a solid and painful response. If it isn’t, the attacker has no reason to desist. When we forget this simple fact, we promote more bad behavior. Lawbreakers paying little price or no price leads to more crime.

Now we have Turkey bombing the Kurds. Remember them? They are the ones who filled the combat role in our victory over Issis. A terrorist attack on military base caused the Turkish action, even though there is no proof it was the Kurds.

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The Debate Isn’t About Problem Solving

Dave Davis Commentary, COVID-19, Policy, Uncategorized , , , ,

As we realize the catastrophic impact of our response to the COVID-19 epidemic, it’s crucial to acknowledge the profound, long-lasting effects on our children’s education. Many will struggle to make up for the learning loss from unnecessarily closed schools. The staggering borrowing to offset income losses from a shutdown economy will burden us for years.

Those in charge, like Anthony Fauci, owe the nation an apology on many levels, from scientifically unsupported policies to the apparent coverup of the pandemic’s laboratory origins. Instead, the good doctor gets a friendly reception on his book tour. My series on COVID left no doubt about my feelings about our actions from March ’20 on. Out front of every lousy decision was Dr. Fauci. Yet, welcoming Dr. Fauci as some hero in progressive stops nationwide is commonplace.

It’s as if everything we learned about the pandemic and our awful response missed a large part of the electorate. We see similar blindness among many when it comes to the Gaza War. Brutely attacked, Israel counter-attacked against the Hamas perpetrators. In contravention of the accepted rules of war, Hamas has located its military in heavily populated areas, hospitals, schools, and Mosques. Breaking the prohibition of using civilians, especially women and children, as human shields have resulted in preventable civilian casualties; the leader of Hamas tells the world how little they value Palestinian lives by saying they’re winning world opinion with the increasing civilian deaths. Yet, the progressive left blames Israel.

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