Doubt
The doubters are coming out in full force. It's going to be a running fight.
Musk is AI policy's giant question mark
They haven’t even started and people already predict Musk and Ramaswamy’s fall from Trump’s favor.
‘Musk's sway with Trump is high right now. But the president-elect's favors are fickle, and there are already signs that Musk may be overplaying his hand.’
The worry is that the tech approach to government will discount or ignore dimensions of public sector problems such as fairness, justice, and inclusivity because that seems to characterize their private sector approach.
These concerns may be overblown. They’re certainly hard to disprove until we see what Musk and Ramaswamy recommend. Perhaps that’s the point. They’re the straw man.
Of course, this discounts the pejorative implications for fairness, justice, and inclusivity of the massive frictions in an inefficient system.
‘The concern here is that the kinds of solutions and “efficiencies” that Silicon Valley produces may end up serving the few at the expense of the many. Some “inefficiencies” of public services arise from the fact they are designed to take as many people into account as possible. Provisions and protections for older people, for those with disabilities, for those who may not speak English as a first language, for example, all create the need for more bureaucracy and more regulation.’
'Department of Government Efficiency' faces daunting task
To really make the DOGE actions sustainable, the Administration should go through Congress. This will require bipartisan support.
Will the ruling party be able to swing some opposition votes?
‘“It all depends on what President Trump does with the recommendations,” Schatz said. “Recommendations have to be implemented, either through executive orders or legislation … but it takes leadership, and it takes really Congress, in many cases, to carry out the recommendations.”’
Trump Can Topple the Climate-Change House of Cards
The first two years are going to be vital for Trump to execute his fight against the bureaucracy in a sustainable way. He needs Congress to pass laws cementing his moves in place.
Can he do it?
‘With this in mind, among Mr. Trump’s top priorities should be to free U.S. energy policy from the artificial constraint of greenhouse-gas emissions caps and re-establish the objectives of reliability, abundance and low cost. To achieve lasting results, he will need to restore the rule of law and take advantage of the Republican majorities in Congress.’
Biden Antitrust and the Spirit Airlines Bankruptcy
As predicted, the Spirit-JetBlue antitrust actions to block the deal have reduced competition at the low-end. Congratulations to the large carriers. You’ll be sad to see the change in administration, I think.
‘Now passengers can look forward to fewer choices and higher prices as a result of Spirit’s bankruptcy. Spirit furloughed hundreds of pilots this autumn to shave costs. Its Chapter 11 filing will let it restructure debts while continuing to operate, but it’s hard to see how Spirit can emerge in a stronger position to compete with legacy carriers.’
The role of regulators in a changing world
Today’s regulator struggles with digitization, transparency, citizen journalism, and rising complexity.
Are they adapting to it well?
‘‘In a fast moving and complex landscape, regulators should be mindful of the digital challenges, media pressures, and be prepared to adapt quickly.
‘Regulators need specialist skills to assess the risks, engaging and understanding the industry, to take action appropriately. ‘
Why Big Oil Doesn’t Mind Big Regulation
Bureaucracy and regulation favor the large, oil and gas edition.
‘Leading oilmen haven’t suddenly become Greenpeace activists—strict regulations tend to work in their interest. Larger companies can afford to comply with them while smaller ones often can’t. Stringent rules can put these smaller companies out of business or force them to sell to larger producers. Notably, producers that had higher methane intensity than peers back in 2020—such as PDC Energy and Callon Petroleum—have since been gobbled up by larger companies.’