US Republicans face post-election soul search

Significance The Republicans lost control of the US House of Representatives to the Democrats for 2019-21 in the midterms, while Democrats also made gains at state-level. Yet there is disagreement over why the party endured losses; arguably, one over-riding factor is that US conservatism faces fundamental (but not new) shifts. Impacts Trump’s “Make America Great Again” exhortation will be a broad enough church in 2020 to attract conservatives’ votes. Trump’s appeal in 2020 will be damaged if, as seems likely, the economy’s lustre of 2017-18 fades. The Democratic Party could be destabilised by newly elected progressives and competing versions of ‘liberal’.

Significance Candidates ranged in their responses, from non-committal on their use of tariffs to criticism of President Donald Trump’s tariff use. The Democratic Party is in the midst of a debate about the direction of trade policy, including whether to pass the US-Mexico-Canada Agreement (USMCA) and how to conduct and prioritise trade policy should their nominee win the presidency in November 2020. Impacts The House of Representatives may vote on the USMCA in coming months. If the House does not vote on the USMCA before December 2019, the next window would likely be November-December 2020. The Trump administration will try to show progress in trade talks with China before November 2020, hoping to gain votes.


2018 ◽  
Vol 78 (4) ◽  
pp. 497-512
Author(s):  
Gulcan Onel ◽  
Jaclyn Kropp ◽  
Charles B. Moss

Purpose Over the past four decades, real values of farm real estate and the share of assets on farmers’ balance sheets attributed to farm real estate have increased. The purpose of this paper is to examine the factors that explain the concentration of the US agricultural balance sheet around a particular asset, farm real estate, and the extent to which the degree of asset concentration varies across United States Department of Agriculture production regions. Design/methodology/approach State-level data from 48 states and entropy-based inequality measures are used to examine changes in asset distributions (real estate vs non-real estate assets) both within and between regions over time. Findings The agricultural balance sheet is found to concentrate into real estate in the USA over the period 1960-2003 with the rate of concentration varying across production regions. In some regions, the concentration is mainly due to changes in real estate prices, while in other regions concentration is also driven by changes in real estate holdings or changes in total factor productivity. Originality/value This study formally estimates the degree to which the concentration of balance sheet items can be explained by the observed changes in farm real estate prices relative to observed changes in agricultural factor productivity or changes in farm real estate holdings. The computed regional differences in asset concentration and its main drivers have implications for changes in equity and solvency positions of farmers as well as agricultural lenders’ risk exposure.


Subject The implications for Japan of the US presidential election. Significance US presidential election campaign rhetoric has sparked serious concerns in Japan about Washington's commitment to the East Asia region in the context of a long-term rise in geopolitical tensions. Republican candidate Donald Trump has publicly questioned the value of the US-Japan alliance, while Democratic Party candidate Hillary Clinton has muted her previous support for the Trans-Pacific Partnership (TPP) trade agreement, seen as the economic component of the US 'rebalance' to Asia under President Barack Obama's administration. Impacts Doubts about the US commitment to the region work to Beijing's advantage. The US government's likely failure to ratify the TPP will damage perceptions of Washington's commitment to the region. Though occasionally mooted, the idea of developing nuclear weapons is a non-starter in Japan.


Subject The US indictment of Russian intelligence officers. Significance The latest indictment to come out of the investigation led by Special Counsel Robert Mueller is the most striking yet as it targets Russian state actors for the first time. It sets out charges of hacking into Democratic Party networks, stealing more than 50,000 documents and using them for disruptive purposes in the 2016 US presidential election. Despite the considerable level of detail in the evidence offered, the White House has yet to address publicly the issues raised or confronting Russia. Impacts US government, election software providers, parties and social media platforms will face pressure to prepare for the midterm elections. Detailed attribution of cyber interference will likely weaken the notion that perpetrators enjoy a high level of plausible deniability. Hackers will continue to employ 'spearphishing' for its simplicity, success rate and cost-effectiveness.


Significance The US census is conducted every ten years. The survey contributes to public allocation of resources and determines how many US House of Representatives seats each state has. Although online, telephone and mail-in responses are ongoing, the census still requires face-to-face interviews and events. Impacts The 2020 census will still be susceptible to systemic factors that produce undercounting, impairing public policy effectiveness. Areas with minorities, poverty, poor internet access and college towns are at greater risk of undercounting. Republican presidential candidates could benefit from likely 2020-21 seat reapportionments from 2024.


Subject Tackling online extremism. Significance Online fringe communities pose jurisdictional and investigation challenges, amid technological limits and a free speech dilemma for Western law enforcement. This makes effective policing extremely difficult, even though the hate speech and extremism that such sites offer a platform to are contributing to real-world crimes, with the US El Paso shooting last month being only the latest. Impacts Trust-based community programmes will expand. Federal US funding will shape state-level anti-crime priorities. US gun laws will remain a major sticking point in tackling violent extremism.


Significance Intensified political disputes between the main parties are holding up the state budget for 2020, including funding for local elections in November. They also threaten to weaken the response to the looming socio-economic crisis from the COVID-19 pandemic. Impacts The US entry ban on former senior SDA member Amir Zukic is seen as an attempt to persuade the party to behave more responsibly. The EU is in a contest with China, Russia and Turkey to retain influence in the region. Pre-election positioning may explain the defection of Fahrudin Radoncic’s Union for a Better Future party from the state-level government.


Author(s):  
Tanya Smith Brice

Shirley Chisholm (1924–2005) was a political leader and activist best known as the first African American woman elected to the US House of Representatives and the first African American to seek the Democratic Party nomination for US President.


Subject 'Brexit' polling. Significance On June 23, the pound swung wildly: final polls on whether the United Kingdom should leave the EU ('Brexit') had shown a 4-percentage-point lead for 'Remain', only for the final result to be the opposite. Pollsters have been criticised for their failure to predict both this result and the 2015 UK general election outcome, even as qualitative analysts have also been criticised for missing the results. Impacts The US presidential election is immune from most polling failures, given its hyper-coverage and the discrete decisions of swing states. US Senate and House of Representatives elections are much more difficult to poll, leading to likely market volatility in early November. Changes in communication methods are sparking debates about how a representative sample of the population can be reached best.


Significance The governing coalition led by Prime Minister Shinzo Abe's Liberal Democratic Party (LDP) made gains, with the LDP itself now controlling exactly half the seats in the chamber. Parties in favour of revising Japan's Constitution captured the two-thirds supermajority necessary to call a referendum on the question for the first time ever. Impacts An economic stimulus package is likely soon. Parliamentary opposition to relocation of the US Futenma airbase has strengthened -- a setback for Japan-US relations. New foreign policy initiatives are likely in the near future. Cooperation among opposition parties paid off, and may become more common in future.


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