Cheeto Jesus

DONALD WHO?:

Europeans Are Angry at Trump, but Often Forgiving of Americans: A generation ago, foreign fury over the Iraq invasion often blurred into anti-Americanism. Now, some Europeans seem ready to distinguish between the president and the American people. (Jason Horowitz, March 27, 2026, NY Times)

“Trump is beyond the pale,” said Jesús Tello, 75, a conservative voter who diagnosed the U.S. president as a “pathological narcissist” who did not care about the consequences of his actions and only saw enemies. But his dim view of the American president did not, Mr. Tello said, extend to all the Americans who had the “bad luck” of living with Mr. Trump.

“Americans are always welcome,” he said.

This too shall pass.

ALWAYS BET ON THE DEEP STATE:

Another Big Loss for the Little Bully (Joyce Vance, Mar 02, 2026, Civil Discourse)

This morning, the Erin Mulvaney and C. Ryan Barber at the Wall Street Journal reported that the Justice Department plans to “abandon its defense of the president’s executive orders sanctioning several law firms.” Until now, the administration had been pursuing the cases it suffered early losses in.

Perhaps someone in the Solicitor General’s office pointed out that the cases were inevitably doomed to failure and suggested dropping them while the news cycle is focused on Iran. After the administration’s loss in the tariffs case, the president may have a newfound concern over the sting of losses like this. So far, four different federal judges have held the orders are unconstitutional. While one of those judges was appointed by Barack Obama and another by Joe Biden, two of them were appointed by George W. Bush— bad math for the administration.

THE rIGHT IS THE lEFT:

Trump’s Challenge to Free Market Capitalism: Stakes in private companies. Handshake deals with chief executives. The president’s economic policy has drifted far from principles that long defined the Republican Party. Is it capitalism at all? (Ben Casselman, Feb. 22, 2026, NY Times)

Since returning to the White House last year, President Trump has gotten the government involved in the private sector in ways that Mr. Obama and other past presidents, of either major party, would never have considered.

The Trump administration has taken ownership stakes in corporations, intervened in business deals and negotiated a cut of the revenue of American companies’ overseas sales. Mr. Trump has unilaterally deployed tariffs and other policy levers to help industries he favors, like artificial intelligence and cryptocurrencies, and to punish those he dislikes, like wind power. He has wielded the powers of the federal bureaucracy to pressure executives, sometimes in ways that blur the lines between his policy objectives and his personal business interests. […]

So far, however, the public seems just as unhappy with Mr. Trump’s economy, which has not delivered the manufacturing jobs and lower prices that he promised on the campaign trail. It remains uncertain whether the Republican Party will continue down the path charted by Mr. Trump after he leaves office, or turn back toward the version of the party he left behind.

Democrats, in their own way, are engaged in a similar debate. President Joseph R. Biden Jr., too, embraced tools like tariffs and industrial subsidies, and while some moderate Democrats were unhappy with that shift, many of the party’s rising stars come from a progressive wing of the party that has long called for more government involvement in the economy.

Joe’s failure was a function of aping Donald.

DONALD KILLS EVERYTHING HE TOUCHES:

Did Slovakia Just Switch Sides?: Robert Fico’s sudden enthusiasm for the EU shows Trump’s influence is waning. (Dalibor Rohac, Feb 06, 2026, Persuasion)

Reporting by Politico and an earlier testimony by one of Fico’s coalition partners, Andrej Danko, suggest that Fico’s own European awakening was prompted by his 45-minute conversation with U.S. President Donald Trump at Mar-a-Lago on January 17. According to sources privy to conversations at the recent European Council, Fico described Trump as “dangerous” and was frightened by his “psychological state.”

Days later, Slovakia turned down Trump’s invitation to join his Board of Peace. On January 24, the country’s foreign ministry issued an unusual, strongly worded statement about Russian attacks on Ukraine’s energy infrastructure. And then there was a two-hour conversation with Macron in Paris.

BERNIE BRO IN CHIEF:

The ‘Affordability’ Horseshoe: The president is stealing progressive Democrats’ worst economic ideas. (Scott Lincicome, February 4, 2026, The Dispatch)


Trump was never a doctrinaire Reaganite supply-sider, of course, but his embrace of domestic economic policies championed by U.S. progressives is the clearest evidence yet that the “horseshoe” theory of politics—i.e., that the extreme left and extreme right have more in common with each other than with the moderate center—is alive and well in the United States. The similarities have been clearest on trade, where both the far left and far right uniformly disdain “globalization” and the “elites” who supposedly use it to profit at The People’s expense. But we now see the same parallels in domestic economic policy, too—both in the details and the script that each policy follows: target common enemies and offer easy solutions to complex problems—solutions that don’t actually work and, in fact, can often make things worse for the very people that they claim to be helping.

Trump’s “affordability” proposals follow the “horseshoe economics” script to the letter. Smacking institutional investors (aka “Wall Street”) might make for a great populist soundbite, but as housing expert Jay Parsons explained at considerable length (and as we’ve discussed here at Capitolism), there’s simply no good case for the ban, which would likely harm rental markets yet have a minimal effect on the supply of single family homes—even in investor-rich markets. (My Cato Institute colleague Norbert Michel has more on this myth in The Dispatch this week.)

Trump’s populist attack on Big Meat would be similarly ineffective: As Reason’s Jack Nicastro explains, there’s no evidence that meatpackers are, as Trump alleges, “criminally profiting at the expense of the American People,” because the real culprit for high beef prices is the greatly reduced supply of cattle in the United States and from Mexico, which is struggling to stave off the New World screwworm. (More bad news on that front today, unfortunately. Sorry, fellow carnivores.)


Other proposals, meanwhile, would be downright bad for most Americans

TRUMPISM VS ECONOMICS:

Tariffs Are More Destructive Than You Think (Şebnem Kalemli-Özcan, 1/26/26, Project Syndicate)

In today’s economy, tariffs are not just a demand shock; they are also a supply shock. While it is still true that tariffs shift demand toward domestically produced goods, domestic production now relies heavily on imported intermediate inputs. From manufacturing components to energy, logistics, and business services, firms source inputs globally and depend on complex cross-border supply chains. When tariffs raise the cost of imported inputs, they directly increase firms’ marginal costs.

These higher costs then propagate across sectors and countries through production networks. Industries that appear only indirectly exposed – such as services or downstream manufacturing – can experience substantial cost increases and price pressures. As a result, tariffs distort not only what consumers buy, but also how firms produce. As output contracts, productivity falls and inflationary pressures emerge well beyond the initially targeted sectors.

IT’S NOT AMERICAN:

2025 was a political disaster for MAGA: And 2026 could be even worse. (Justin Glawe, Dec 17, 2025, Public Notice)

From the Epstein files, to the economy, to the deadly military airstrikes on alleged drug boats in international waters, Trump and his entire administration are engaged in a desperate battle against the truth at the end of politically disastrous year for the MAGA movement.


But the lies aren’t really working anymore, and polls reflect this. Against the backdrop of a sluggish economy that’s been made worse by his own policies, Trump is less popular than he’s ever been. Instead of actually doing something to combat stubborn inflation and stagnant job growth, the president and his surrogates are just trying to lie their way out of it.

Meanwhile, despite having power in both the House and the Senate, congressional Republicans have failed to accomplish anything of note since the passage of Trump’s (also deeply unpopular) “Big Beautiful Bill.” Right now, they’re doing nothing to prevent healthcare premiums from rising for 21 million Americans when enhanced Obamacare subsidies expire at the end of this month.

THIS IS THE WAY:

Jack Smith, Trump’s Target, Shifts From Defense to Counterattack (Glenn Thrush, Nov. 3, 2025, NY Times)

Mr. Smith, who spent more than two years aggressively collecting evidence to prove Mr. Trump mishandled classified documents and tried to overturn the results of the 2020 election, appears eager to publicly challenge a foundational pillar of MAGA canon: that the president was a sinned-upon innocent who did nothing to deserve scrutiny, much less two prosecutions.

Mr. Smith has told people in his orbit that he welcomes the opportunity to present the public case against Mr. Trump denied to him by the Supreme Court decision asserting broad presidential immunity from prosecution and adverse rulings from a Trump-appointed judge on the federal bench in Florida.

THE DOOR WAS AJAR:

The history of American corporate nationalization (Tyler Cowen, August 24, 2025, Marginal Revolution)

You should note that although the United States has not so many state-owned enterprises, the American government still has ways of expressing its will on business, or as the case may be, favoring one set of businesses over another. In these latter cases it can be said that American business is expressing its will over government through forms of crony capitalism, a concept which is spreading in both America and China.

The United States has evolved a subtle brand of corporatism and industrial policy that is mostly decentralized and also – this is an important point — relatively stable across shifts of political power. America uses its large country privileges to maintain access to world markets and to protect the property rights of its investors, usually without much regard for whether they are Democrats or Republicans. For instance the State Department works hard to maintain open world markets for films and other cultural goods and services. Toward this end America has used trade negotiations, diplomatic leverage, foreign aid, and also explicit arm-twisting, based on its military commitments to protect allied nations in Western Europe and East Asia. America already had successful entertainment producers, it just wanted to make sure they could earn more money abroad, and that is why the American government usually insists on open access for audiovisual products when it negotiates free trade treaties. Yet in these deals there is not much if any explicit favoritism for one movie or television studio over another, or for one political alliance over another. Democrats are disproportionately overrepresented in Hollywood, but Republican administrations protect the interests of the American entertainment sector nonetheless. It’s about the money and the jobs, not about shifting political coalitions. You’ll note that the independence from particular political coalitions gives the American business environment a particular stability and predictability, to its advantage internationally and otherwise.