Graphics reveals deep divisions in consumer confidence

Bloomberg has a great graphic that shows the divisions in consumer confidence between rich and poor. What does this mean? A strong economy is when the middle and working class feel like it is safe to spend. They do not. Rising interest rates check the speculation of the rich. The Trump economy will devastate us. The signs are there.

Still more budget information.....

Several links here: Brookings has two articles, one that looks at the negative effects of Trump's budget and the other on the damage to the Rust Belt area. And WaPo reports that his budget will do NOTHING for the deficit.  This budget is bad news. I know that the House will work on it as well but this is a terrible place to start. Let me channel Chicken Little: the sky is falling.

Pending Trade War??

WaPo reports that the G20 summit resulted in Mnuchin rejecting the statement and endorsing Trump's protectionist agenda . So what I wonder is how long until trade wars start? Don't we remember the impact of isolation and protection in the 1920s? Or tariffs in the 19th century? Sigh.

Budget Implications - Again

I know - I have already posted about the budget but this is a big deal to me because it represents an America I don't recognize. All of these articles come from WaPo. First the White House endorses removing 30,000 FAA workers . Yes, 30k. How is that for increasing unemployment. Not to mention flying safety. I guess we can privatize and make air safety a for profit thing. Next is a real analysis of the Meals on Wheels program that makes the Mulvaney comments ludicrous. And lastely is a great satirical piece by Alexandra Petri on how Trump's Budget Makes Perfect Sense . I know that budgets are always about negotiating and much of this is typical Republican cut the spending but haven't we already been here? The Gilded Age and the 1920s (both of which seem to be periods Trump wants to emulate) were rejected by Americans because as a nation we valued people. I am not saying Social Security and the Great Society Programs don't have unintended consequences that need to be addressed, just that throwing out the baby with the bathwater is not a good idea.

Congress Balks at Trump Budget and What is next for the Budget

Brookings nicely outlined Four Key Points regarding Trump's budget and the struggle is explained in WaPo Explaining how Republicans and Congress are not on board . And in case you forgot who is really hurt by the Trump Budget, read WaPo's analysis on the impact for the poor . I also saw on Twitter where the White House budget guy Mulvaney explained that Meals on Wheels and after school programs are not producing results and should be cut. It is sickening in my opinion. Immoral.

More on the Trump Budget Implications

There are several relevant stories here.  If you are short on time go straight to the graphic. The first several come from WaPo: The Trump Budget will cut the arts, science, and assistance to the poor , and the Graphic Illustrates the Budget  . Basically the money will go to the military and homeland security (and part of that is the wall that Mexico is supposed to pay for) with some increases for Veterans Affairs (the only part of this I like), while pretty much every other department is cut. WaPo compares this Trump "Blueprint" to Reagan's re-organization and has two stories the analyze the impact to the arts and the impact to science and research. DMN addresses the Wall Price Tag in the Budget and the NYT echoes the concerns of WaPo on Trump Budget that will hurt his supporters (although there is more marginally more money to treat opiod addiction) and Elminating the National Endowment for the Humanities and Growing the Pentagon at the expense of the EPA .

I don't know about you, but this turns the country back 100 years in my opinion. He is creating a budget for himself and what he and his rich friends want. Gone will be national parks, historical sites, art programs, money for education. It is blowing up government as we know it.

The Fed Raises Rates - Yellen Marches to her own beat

WaPo reveals that the Fed will be raising interest rates and that is bound to make the Trump Administration unhappy. The economy needs a stable hand even if Trump wants to spur growth to Gilded Age levels. Of course, he and his banker friends have the resources to withstand a major depression. I wonder what the tweet storm will look like. Here is a link to the NYT story on the higher interest rates.