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      Lessons for Elon Musk from the original Doge | Brief letters

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      As Elon Musk’s unelected “Doge” troops slash and burn US federal departments (Elon Musk appears with Trump and tries to claim ‘Doge’ team is transparent, 12 February), it is ironic to note that the Doges of ancient Venice were always elected, and by a process that was designed to avoid wealthy families taking too much power.John JacobsAlton, Hampshire I agree with your correspondents about the difficulty of hearing the lyrics in musicals (Letters, 13 February), but there’s little mention of the problem in cinemas, where conversations are drowned out by background music. In the recent film about Bob Dylan, Timothée Chalamet perfectly captured the musician’s mumble. What words he actually said remain A Complete Unknown.Joanna RimmerNewcastle upon Tyne Re the letters on analogue photography (14 February), there is a good compromise. I use a digital camera, which means I can go “snap happy”. Then I can look at all the images, select what I want and get them printed.Peter ButlerRushden, Northamptonshire I’m not entirely convinced that the Guardian style guide does a lot for women’s rights in advising that actresses should always be called actors (Editorial, 14 February). Why not the other way around?John OwensStockport, Greater Manchester My school report read: “Angela has influence, unfortunately in the wrong direction.” I became a probation officer (Letters, 16 February).Angela GlendenningNewcastle-under-Lyme, Staffordshire More

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      Trump and Musk want people to think college is not worth it. They are wrong | Carlo Invernizzi-Accetti

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      One of the many guises in which the Trump-Musk duo presents itself to the American public, as they take office in the new administration, is as ”employers-in-chief”: seasoned businessmen entitled to give life advice to their fellow citizens on the basis of a purported real-life experience that cuts against received wisdom.It is in this guise that both Trump and Musk recurrently attack higher education institutions as one of the as yet unconquered bastions of the “liberal America” they are now keen to tear down. Already during his first presidential bid in 2016, Trump famously stated that he “loves the poorly educated”. More recently, at a campaign rally in support of Trump’s re-election bid, Musk stated that “too many people spend four years in college, accumulate a ton of debt, and don’t have any useful skills they can apply afterwards”.The message appears to be landing. According to recent polls, the percentage of Americans who express “a lot of confidence” in higher education has declined from 57% to 36% over the past decade, and only about one in four now believe it is “extremely” or “very important” to have a college degree to get a well-paying job in today’s economy.Defending the emancipatory promise that has historically been at the heart of the United States’ higher education system against these attacks and widespread concerns requires going back to the basics about the nature of that promise. Simply pointing to statistics about the monetary returns of a college education won’t cut it, for at least two reasons.To begin with, aggregate data says little about individual life or investment decisions. While it is true that on average college graduates make between 60% and 80% more than workers without college degrees, a lot depends on what you study, where and at what cost. A more detailed program-level assessment conducted by Wharton professor Peter Cappelli found that “the cost-adjusted payoff from many college programs across the country – as much as one in four – is actually negative”.More importantly, however, this purely monetary way of assessing the value of a college education already concedes too much to its critics. By focusing exclusively on the economic returns after graduation, it ignores the broader educational – but also moral and political – value of the experience of actually being in college.There are not many times in most people’s lives nowadays when they can devote themselves to cultivating their own talents and opinions, without immediate regard to external constraints. Prior to entering college, most young people remain under the tutelage of their parents and are therefore at least in part constrained to do what they think is best for them. Afterwards, they usually have to enter the labor market, thereby falling under the authority of their employers, or at least the economic constraints of their revenue-generating activities.That is why, in his recent book entitled The Student: A Short History, Wesleyan University’s president, Michael Roth, reminds us that the college experience has historically been construed as a “concrete exercise of freedom”. In advocating for the creation of a publicly funded university in the state of Virginia at the beginning of the 19th century, for instance, Thomas Jefferson maintained that it was essential for a citizenry aspiring to be “self-governing” to have the opportunity of spending a period of their lives dedicated to cultivating the capacity to “judge for themselves what will secure or endanger their freedom”, unencumbered from both familial authority and the burdens of toil work.The usual retort against this conception of higher education as an intrinsically valuable exercise in freedom is that it can at best be available to a privileged few. The former director of the (for-profit) University of Phoenix, Mark DeFusco, is on record stating: “I’m happy that there are places in the world where people sit down and think. We need that. But that’s very expensive. And not everyone can do that. So for the vast majority of folks who don’t get that privilege, then I think it’s just business.”Upon reflection, however, this is the stance that turns out to be most truly elitist, since it assumes that the freedom afforded by a dedicated period of cultivation of one’s own talents and opinions cannot – or indeed shouldn’t – be available to everyone. As a professor at a higher education institution – the City College of New York, founded with the explicit goal of “educating the whole people” – I cannot abide by such a surrender of America’s democratic promise, masquerading as realism.For most of the predominantly working class and first-generation students on our campus, the decision to enroll is not a consequence of “privilege”. It involves significant costs and also risks. That is why it is generally experienced as an achievement in itself. By the very fact of going to college, these students already get to take part in what they themselves frequently – and unironically – refer to as the “American dream”.skip past newsletter promotionafter newsletter promotionIn their eyes, this dream isn’t therefore reducible to a prospect of monetary payoff after graduation. It also includes a direct experience of freedom in the present. And although many City College students also have to work to support themselves while studying, they usually see their jobs as instrumental to their education, not the other way around.I take there to be a lesson in this also for our “employers-in-chief” – which is that the American dream they are so fond of referring to as well isn’t for most people about rushing to serve them (more or less lucratively) on the job market, but rather about a more expansive life of freedom, of which higher education remains a core component.

      Carlo Invernizzi-Accetti is executive director of the Moynihan Center and full professor of political science at the City College of New York. More

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      IRS reportedly preparing to give Musk’s Doge agency access to taxpayer data

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      The US federal tax collection agency is reportedly preparing to give a team member of Elon Musk’s “department of government efficiency” (Doge), which has already gutted several federal agencies and sparked multiple lawsuits, access to personal taxpayer data.The New York Times and the Washington Post both reported early on Monday that the Internal Revenue Service had received a request for access to a classified system that contains sensitive personal financial records.The request, which is reportedly under review, would give Doge officials “broad access to tax-agency systems, property and datasets, including tax returns”.One of these, the integrated data retrieval system (IDRS), gives tax agency employees the ability to see IRS accounts and bank information, the Washington Post reported.“Waste, fraud and abuse have been deeply entrenched in our broken system for far too long,” said Harrison Fields, a White House spokesperson. “It takes direct access to the system to identify and fix it.”Fields added that Musk’s controversial program “will continue to shine a light on the fraud they uncover as the American people deserve to know what their government has been spending their hard-earned tax dollars on”.The Doge team member is reported to be software engineer Gavin Kliger, who is a staff member at the office of personnel management, which manages the US civil service.The New York Times reported that Kliger, 26, one six young programmers hand-selected by Musk, was working out of IRS headquarters on Thursday and would be assigned as a senior adviser to the acting IRS commissioner, Doug O’Donnell, giving him broad access to its systems.Kliger’s primary focus at the IRS is to provide engineering assistance and IT modernization consulting, the request to the agency said.Prior efforts by Doge members to access treasury department data have been pushed back. Nineteen state attorneys general have sued to block the Trump administration’s policy of allowing political appointees and “special government employees” to the access that department’s payment systems.Doge incursions into the US tax collection agency come as the agency is preparing to lay off thousands of workers hired by the previous Biden administration.Last week, Scott Bessent, the US treasury secretary, said last week he hoped to upgrade the technology at the IRS. Bessent told Fox Business he wanted to improve collections, privacy and customer service.“I don’t think there’s anyone, anyone in the country, who thinks that they – that the IRS has achieved its potential in either of those three,” he said.skip past newsletter promotionafter newsletter promotionThe Doge-led sweep through federal agencies, including USAid and the Department of Education, faces time constraints. Musk and his team have 120 days before they are required to make federal employment declarations.According to a draft of the IRS memorandum obtained by the Post, Kliger is set to work at the IRS for that period, though his employment can be renewed for the same duration.The memo said the agreement is for Kliger to keep any tax return information confidential, to keep it safe from unauthorized access and to delete it from his records after he finishes his term at the IRS, the outlet said.According to a Government Accountability Office report, the government spent around $90bn in 2019 on information technology, with most of that spent on operating and maintaining legacy systems that are in some cases half a century old and vulnerable to hackers.IRS systems are among the oldest – many were built using computer coding language from the 1960s – so overhauling the IT is broadly in line with the Doge team mandate to modernize and synchronize systems across departments. More

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      ‘This is a coup’: Trump and Musk’s purge is cutting more than costs, say experts

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      Donald Trump and Elon Musk’s radical drive to slash billions of dollars in annual federal spending with huge job and regulatory cuts is spurring charges that they have made illegal moves while undercutting congressional and judicial powers, say legal experts, Democrats and state attorneys general.Trump’s fusillade of executive orders expanding his powers in some extreme ways in his cost-cutting fervor, coupled with unprecedented drives by the Musk-led so-called “department of government efficiency” (Doge) to slash many agency workforces and regulations, have created chaos across the US government and raised fears of a threat to US democracy.Trump and Musk have also attacked judges who have made rulings opposing several of their moves after they ended up in court, threatening at least one with impeachment and accusing him of improper interference.“In the US, we appeal rulings we disagree with – we don’t ignore court orders or threaten judges with impeachment just because we don’t like the decision. This is a coup, plain and simple,” Arizona’s attorney general, Kris Mayes, said.Trump and Musk, the world’s richest man and Trump’s largest single donor, now face multiple rebukes from judges and legal experts to the regulatory and staff cuts they have engineered at the treasury department, the US Agency for International Development and several other agencies.Incongruously, as Trump has touted Musk’s cost-cutting work as vital to curbing spending abuses, one of Trump’s first moves in office last month was to fire 17 veteran agency watchdogs, known as inspectors general, whose jobs have long been to ferret out waste, fraud and abuse in federal departments.Those firings were done without giving Congress the legally required 30 days’ notice and specific justifications for each one, prompting mostly Democratic outrage at Trump’s move, which he defended as due to “changing priorities”, and falsely claimed was “standard”.In response to the firings, eight of those inspectors general filed a lawsuit against Trump and their department heads on Wednesday arguing their terminations violated federal laws designed to protect them from interference with their jobs and seeking reinstatement.The IGs who sued included ones from the Departments of Defense, Education and Health and Human Services.View image in fullscreenDemocratic critics and legal experts see Trump’s IG firings and Musk’s Doge operation as blatant examples of executive power plays at the expense of Congress and transparency.“I think their claims that they’re going after waste, fraud and abuse is a complete smokescreen for their real intentions,” said Democratic senator Sheldon Whitehouse of Rhode Island.Likening Trump’s firing of the IGs to “firing cops before you rob the bank”, Whitehouse stressed: “It’s pretty clear that what’s going on here is a very deliberate effort to create as much wreckage in the government as they can manage with a view to helping out the big Trump donors and special interests who find government obnoxious in various ways.”On another legal track opposing Trump and Musk’s actions, many of the nation’s 23 Democratic state attorneys general have escalated legal battles against Doge’s actions and sweeping cost cutting at treasury, USAid and other agencies.For instance, 19 Democratic AGs sued Trump and the treasury secretary in February to halt Doge from accessing sensitive documents with details about tens of millions of Americans who get social security checks, tax refunds and other payments, arguing that Doge was violating the Administrative Procedures Act. The lawsuit prompted a New York judge on 7 February to issue a temporary order halting Doge from accessing the treasury payments system.In response, Musk and Trump lashed out by charging judicial interference. Musk on his social media platform Twitter/X where he has more than 200 million followers charged that the judge was “corrupt” and that he “needs to be impeached NOW”.Trump, with Musk nearby in the Oval Office on Tuesday, echoed his Doge chief saying: “It seems hard to believe that a judge could say, ‘We don’t want you to do that,’ so maybe we have to look at the judges because I think that’s a very serious violation.”Legal experts, AGs and top congressional Democrats say that Trump’s and Musk’s charges of improper judicial interference and some of their actions pose dangers to the rule of law and the US constitution.View image in fullscreen“The president is openly violating the US constitution by taking power from Congress and handing it to an unelected billionaire – while Elon Musk goes after judges who uphold the law and rule against them,” said Mayes.Ex-federal prosecutors echo some of Mayes’s arguments.“The suggestions by Trump, Musk and Vance that courts are impermissibly interfering with Trump’s mandate to lead is absurd,” said the former federal prosecutor Barbara McQuade, who now teaches law at the University of Michigan.“Under our constitutional separation of powers system, each co-equal branch serves as a check on the others. The role of the courts is to strike down abuses of executive power when it violates the law. Comments disparaging the courts seems like a dangerous effort to undermine public confidence in the judiciary. If people do not respect the courts, they will be less inclined to obey their orders.”Likewise, some former judges worry that certain judges could face violence sparked by the threats Musk and Trump have publicly made.“While federal judges expect people to disagree with their opinions, I have long feared that personal attacks like those from Trump and Musk against at least one New York judge would expose them to harm and even death,” said the former federal judge and Dickinson College president, John Jones.“Worse, judges are essentially defenseless when it comes to fighting the false narratives that are being promulgated because their code of conduct prevents them from engaging with the irresponsible people who make these statements.”Legal experts too are increasingly alarmed about how Musk and Trump are exceeding their power at the expense of Congress, including some of the retaliatory firings by Trump against critics or perceived political foes.skip past newsletter promotionafter newsletter promotionIn one egregious case the IG for USAid, Paul Martin, on Tuesday was abruptly fired almost immediately after he issued a highly critical report warning of serious economic repercussions from the sweeping job cuts that Doge was making as it gutted agency staff.Musk has blasted USAid, which doled out over $40bn in congressionally authorized aid in 2023 and consummated $86bn in private sector deals, as a “criminal organization” and an “arm of the criminal left globalists”. The agency’s mission is to provide humanitarian aid and fund development assistance and tech projects in developing countries.“The firing of IG Paul Martin, a highly respected and experienced inspector general, on the day after his office released a critical report, risks sending a chilling message that is antithetical to IGs’ ability to conduct impactful independent oversight on behalf of the American taxpayer,” said the ex-defense department IG Robert Storch.Storch, one of the 17 IGs Trump fired abruptly last month who has joined the lawsuit against the Trump administration, stressed more broadly that “IGs play an essential role in leading offices comprised of oversight professionals across the federal government to detect and deter waste, fraud, abuse and corruption.”A former IG, who requested anonymity to speak freely, warned bluntly: “Trump and Musk are gaslighting the American people. No one should believe Musk and his troops have actually discovered billions of dollars of waste, fraud, abuse and ‘corruption’. If they had, we would know the specifics. They can’t provide them and they won’t. At most, they have seen things that may need to be explained, but they haven’t bothered to seek the explanation from anyone with relevant knowledge.”Despite rising concerns about the powers assumed by Musk, Trump unveiled a new executive order in the Oval Office on Tuesday expanding Musk’s authority and mandate.Trump’s new order requires federal agencies to “coordinate and consult” with Doge to slash jobs and curb hiring, according to a White House summary.All agencies were instructed to “undertake plans for large-scale reductions in force” and limit new hires to only “essential positions”, according to the summary.View image in fullscreenDuring the Oval Office meeting on Tuesday Musk spoke in grandiose terms about his mission with a few dubious and broad claims about frauds that it had uncovered, while declaring without evidence that it was what “the people want”.Musk, the CEO of Tesla and SpaceX, which have received billions of dollars in federal contracts in recent years, is wielding his new federal authority as a “special government employee” without giving up his private-sector jobs. Musk’s post is a temporary one that bypasses some of the disclosure requirements for full-time federal employees.As Musk’s powers have expanded and Doge has done work in more than a dozen agencies, 14 state AGs filed a lawsuit in federal court in DC on Thursday broadly challenging Musk and Doge’s authority to obtain access to sensitive government data and wield “virtually unchecked power”.The lawsuit argues that Trump violated the constitution’s appointments clause by establishing a federal agency without Congress’s approval.At bottom, some legal experts and watchdogs say the threats posed by Musk’s cost-cutting drive that Trump has blessed, are linked to the record sums that Musk gave Trump’s campaign.“After Musk reportedly spent close to $300m to help Trump get elected, Trump has been giving Musk what appears to be unprecedented access to the inner levers of government, including private and confidential information about individuals,” said Larry Noble, a former general counsel at the Federal Election Commission who now teaches law at American University.“Musk and his followers can use that access to help Trump kill or neutralize congressionally created agencies and rules that serve and protect the public interest, while ensuring the government protects and serves the ability of the wealthy to grow their fortunes.”Other legal watchdogs fear more dangerous fallout to the rule of law from Trump’s greenlighting Musk’s Doge operation and agenda.“President Trump has not only afforded Elon Musk and Doge extraordinary power over federal agency operations with little public oversight and accountability, but he has also done so at the expense of Congress and its constitutionally mandated power,” said Donald Sherman, the chief counsel at the liberal-leaning watchdog group Citizens for Responsibility and Ethics in Washington.“Trump enabled Musk’s capture of the federal government after illegally firing more than a dozen inspectors general despite Congress strengthening the laws protecting IGs less than three years ago … ”Sherman noted that “what’s even more troubling is that congressional Republicans have been more than willing to cede their constitutional powers in service of President Trump and Elon Musk’s political agenda.” More

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      Trump under fire for likening himself to Napoleon amid attacks on judges

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      Critics rounded on Donald Trump on Sunday for likening himself to Napoleon in a “dictatorial” social media post echoing the French emperor’s assertion that “he who saves his country does not violate any laws”.The post came at the end of another tumultuous week early in Trump’s second presidency, during which acolytes questioned the legitimacy of judges making a succession of rulings to stall his administration’s aggressive seizure or dismantling of federal institutions and budgets.His defiance of some of those orders, including one ordering a restoration of funding to bodies such as the National Institutes of Health, has led to several of the president’s opponents declaring a constitutional crisis.“He is the most lawless president in US history,” Robert Reich, a former US secretary of labor, wrote on Wednesday in the Guardian.“This is bonkers. In our system of government, it’s up to the courts to determine whether the president is using his power ‘legitimately’, not the president.”Trump laid out his position in the tweet posted on Saturday afternoon, after a round of golf at his Florida resort. The quote, as internet sleuths soon discovered, is a version of a phrase attributed to Napoleon “Celui qui sauve sa patrie ne viole aucune loi,” translated as: “who saves his country violates no law”.Another version appeared in the 1970 movie Waterloo, starring Rod Steiger as the dictator who rode roughshod over the French constitution to declare himself emperor and pursue world domination before his comeuppance at the pivotal 1815 battle from which the film’s title is derived.Senior Democrats led the criticism of Trump. The Virginia US senator Tim Kaine, Hillary Clinton’s running mate in the 2016 presidential election that Trump won, told Fox News Sunday that occupation of the White House was not a mandate to ignore the courts.“The president has authority, but the president also has to follow the law,” he said.“There’s this law that, you know, the Empowerment Act, that says once Congress has appropriated dollars for a particular purpose the president is not allowed to say: ‘Yeah, I don’t like that. I’m going to spend this money, but not that money.’“That’s why, so far, there’s a whole lot of lawsuits that have been successful. They’ll go through appeals courts, but a lot of the president’s extreme executive actions that hurt folks are being challenged in court right now.”According to the Associated Press, the administration is facing at least 70 lawsuits nationwide covering actions from the attempted elimination of birthright citizenship to the freezing of federal grants and funds – and the accessing of sensitive computer systems and data by unofficial entities.Trump’s wrecking ball approach since his 20 January inauguration continued this week with deeper infiltration by Elon Musk’s so-called “department of government efficiency” (Doge) into federal institutions – and the latest firings of vast numbers of employees.On Sunday, Bloomberg reported a wave of new dismissals at health department agencies including the Centers for Medicare and Medicaid Services and Centers for Disease Control and Prevention.Other agencies where the workforce has, or will be, slashed include the homeland security department, the Food and Drug Administration, US Forest Service and National Park Service, the US Agency for International Development (USAid), and the Department of Education.Critics believe that a hollowing out of many essential taxpayer-funded services, especially in healthcare, support for veterans, and military and defense expenditure, will come with a lucrative corresponding financial windfall for private companies, including those owned by Musk.skip past newsletter promotionafter newsletter promotionMusk, the world’s richest man and Trump acolyte, who has been awarded the status of “special government employee”, has called on the administration to “delete entire agencies”, which it could not legally do without the sanction of Congress that created them.“I don’t like the fact that Donald Trump is shutting the government down as we speak,” Kaine told Fox.“He says he wants to shut down the Department of Education, shrink USAid staff down to 250 people. That is a shutdown unauthorized by Congress, against the law.“My outrage is about who they’re hurting. I don’t like unelected officials, those Doge guys, posting classified information on their website. You shouldn’t let people run rampage through offices that have classified information.”More turmoil came with the administration’s decision to ban Associated Press journalists from the Oval Office and Air Force One for refusing to comply with Trump’s executive order attempting to rename the Gulf of Mexico as the “Gulf of America”.The White House sought to justify the punitive move by insisting that it was “a lawful geographic name change”. The AP pointed out that the agency served an international audience, and while it recognized Trump’s order, it would continue referring to the body of water by its globally accepted name.In a statement, Axios said the right of news organizations to report how they saw fit was “a bedrock of a free press and durable democracy”. Nonetheless, it also said it would use the name Gulf of America because “our audience is mostly US-based compared to other publishers with international audiences”.The Atlantic’s view was that it was a spat the AP should have avoided. “To cave now would be to surrender on the constitutional issue. But this is a fight that Trump is clearly happy to have, especially to the extent that it draws attention away from his more egregious affronts to the public interest and the rule of law,” it said.Meanwhile, economic headwinds continue to mount for the fledgling Trump administration as it prepares to impose new tariffs on trading partners that analysts predict will lead to an international trade war and job losses. Inflation rose to 3% in January, according to government figures, despite Trump promising during election campaigning that prices “will come down, and they’ll come down fast”.By Thursday, the message had changed. “Prices could go up somewhat short-term,” Trump said as he laid out his tariffs plan, before promising they would go down again at some point. More

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      Forget Trump’s tariffs, the president’s bond market threat is worse | Heather Stewart

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      When Donald Trump gave an in-flight press conference en route to the Super Bowl last week, it generated a flurry of news, from the fresh threat of steel tariffs to the declaration of “Gulf of America Day”.Much less remarked upon was a throwaway comment about the US’s financial obligations, which underlined the fact that tariffs are far from the only way in which Trump is jeopardising economic stability.“We’re even looking at Treasuries,” the president told reporters. “There could be a problem … It could be that a lot of those things don’t count. In other words, that some of that stuff that we’re finding is very fraudulent, therefore maybe we have less debt than we thought.”The suggestion was that opening up the US Treasury’s data to Elon Musk’s “department of government efficiency” team had identified a money-saving wheeze: why not walk away from some of America’s debt obligations – a “selective default”, as economists call it.Like so many of the serially erratic president’s pronouncements, this one had to be “walked back”, as the Americans call it. Kevin Hassett, his economic adviser, stressed the next day that Trump was referring to other payments that the US Treasury had been making, not its $36tn (£28.6tn) in debt obligations. Hassett suggested the Treasury “had been “sending money out without flagging what it was for”.Yet just entertain for a moment the idea that a US administration might decide it could unilaterally default on even a small portion of its debts. The result would be catastrophic. Because of the dollar’s status as the world’s reserve currency, the yield on US Treasuries – US government bonds – is perhaps the most important benchmark in global financial markets.If investors suddenly began demanding a higher yield – in effect the interest rate – as insurance against the risk they would not get their money back, the effects would ripple through the trillions of dollars of other assets worldwide priced with reference to supposedly super-safe Treasuries.Hassett made clear this is absolutely not an outcome the saner elements of Trump’s administration were aiming for. Indeed, the treasury secretary, Scott Bessent, has said the president wants to bring down the yield on 10-year US government borrowing costs.Yet as a result of Musk’s crazed takeover of the financial plumbing of the state, the US is already welching on its obligations – moral and financial – all over the world.Every day seems to bring fresh examples: health clinics in the developing world being closed because of the dismantling of USAid; researchers whose projects funded by the National Institutes of Health have been put on hold.Officials from the city administration in New York have even claimed the government in effect dipped into the city’s bank account to claw back $80m in federal grants that had already been made.This fast-track austerity is ostensibly aimed at improving the government’s balance sheet – putting the US through “the private equity wringer”, as Wired’s Brian Barrett put it last week.But the Musk/Trump takeover simultaneously risks shattering confidence in US institutions, in a way that is liable to have long-lasting and unpredictable consequences.Five former treasury secretaries warned in an extraordinary New York Times editorial last week of the risks of letting Musk loose on the nation’s financial system.“Any hint of the selective suspension of congressionally authorised payments will be a breach of trust and ultimately, a form of default. And our credibility, once lost, will prove difficult to regain,” they said.Musk has faced legal action and is targeting arms of government with which he has a particular beef, meaning the chances of anything that looks like a formal default remain low.View image in fullscreenBut the whole performance – as exemplified by a rambling Oval Office briefing involving Trump, Musk and his son X (who has the same name as the social media platform formerly known as Twitter) – screams “political risk”, as analysts would call it if it was happening elsewhere in the world.It would not be surprising if efforts to spur the development of alternative global reserve currencies and payments structures – such as those proposed by nations in the global south – are given added impetus by the shenanigans in Washington.The sheer insularity of the Trump administration’s approach was illustrated on Friday when Bessent – supposedly one of the more sensible figures in the administration – said: “The US has a strong dollar policy, but because we have a strong dollar policy it doesn’t mean that other countries get to have a weak currency policy.”In the short term, the most immediate impact of Trump’s plans on the global economy is likely to be via his long-trailed tariffs plan, which will throw sand in the wheels of the international trading system.All of this is likely to dampen growth, and if trade analysts are right that Trump’s latest idea of “reciprocity”, based on each country’s existing tariff and VAT rates, is the opening bid in a negotiation, it may be weeks or even months before any clarity emerges.Given this corrosive uncertainty, markets have so far been remarkably quiescent in the face of Trump’s wayward trade policy, and appear to be relatively unconcerned about Musk’s slash-and-burn mission, for now.They have been putting their faith in the mighty US consumer, and the economy’s powerful and innovative tech sector, to feed the narrative of US “exceptionalism”.But every week of the Trump/Musk show in Washington surely increases the threat of a structural shift in how investors view the US economy – which would ultimately be felt around the world. More

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      ‘A particularly heinous villain’: a disdain for Musk has sparked protests across US

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      When protesters showed up at state capitols around the country and at a host of federal agencies this month, they carried signs with messages about the unelected billionaire running a slash-and-burn government-cutting campaign that moved them to action.As liberal protesters find their footing in the second Donald Trump era, Elon Musk is proving a potent target.“He’s a particularly heinous villain,” said Ezra Levin, a co-founder of the activist organization Indivisible. “He is less popular even than Trump, and it makes sense, because he’s an unelected billionaire, in fact, the richest man in the world, who’s trying to end cancer research and nutrition assistance for the poorest children in the country.”Trump’s inauguration wasn’t met with protests like in 2017. In the 2024 election, Trump won the popular vote for the first time and Republicans took hold of both chambers of Congress, dampening the movement against him. But the ascendancy of Musk in Washington has given the leftwing protest movement somebody to mobilize against, and people across the country appear to be taking their poster boards out of storage.In Washington, Indivisible and other groups on the left have organized protests, moving from agency to agency and following Musk’s team at the unofficial “department of government efficiency” (Doge) as it tries to gut programs and services.The protests are meant to voice anger against Musk and Trump, but also to pressure Democrats into working in tandem with groups such as Indivisible as an opposition party, Levin said. Democratic elected officials have not led the resistance, he argued, so the resistance is pushing them to action.Even without Musk, though, Levin thinks people would have been moved to opposition by the actions taken by the Trump administration, which is “not starved for possible villains”.“Musk is particularly bad, and he makes for an easy opponent to rally against,” he said. “ We thought there was going to be a backlash at some point. We didn’t think that we were going to have the richest man in the world tweet out that the Department of Education no longer exists. I mean, that is bonkers.”Beyond DC, a nascent protest movement – organized on social media by people who were tired of waiting for direction on how to voice their discontent with Trump – began in late January with a Reddit post that set a date chosen at random, 5 February, for a 50-state protest. Now called 50501 (for 50 states, 50 protests, one day), the group claims people turned out in 80 cities that day. Established left-leaning groups first viewed the protest plans with wariness, given the organizers’ inexperience.The movement is planning a president’s day protest on 17 February, dubbing it the “not my president’s day of action”. On social media, the group talks about standing up to dictators and “tech bros” and against the abuse of power they see in the second Trump administration.View image in fullscreenThe 50501 group is working to build relationships with activists around the country and plan further protests, said Sydney, an organizer with 50501, who asked that her last name not be used. She had never organized before, but didn’t see anyone on social media channels planning for the 5 February protest in Pennsylvania.“I decided to pick the ball up and do it myself. And I learned a lot extremely quickly. It’s probably one of the most rewarding things I’ve ever done,” she said.Levin, of Indivisible, said he hoped those who attend protests then find further ways to get involved – many local chapters of Indivisible formed on the buses on the way home from the Women’s March in 2017, he said.Those Indivisible chapters around the country have grown steadily, and Levin is seeing more groups registering now than the same period in 2017. Chapters in all 50 states organized 300 events at local Senate offices to call on senators to oppose Russ Vought’s nomination to lead the office of management and budget.Levin said his organization was initially “really frustrated” that Democratic leadership was not responding strongly to the funding freeze that caused confusion and chaos. The group held a “Nobody Elected Elon” protest at the treasury department, and elected Democratic members of Congress made an appearance.At a protest at the Consumer Financial Protection Bureau on 10 February, Levin introduced 17 members of Congress. During each introduction, he asked them if they would withhold their vote on any funding bill, the next big battle for Democrats to show they are standing against the Trump agenda. Sixteen of the 17 said they would – some answering before he could even finish the question. The one who didn’t, the California representative Brad Sherman, faced a crowd chanting “withhold your vote,” Levin said.While the long-term efficacy of such efforts is unclear, Quinta Jurecic, a a fellow in governance studies at the Brookings Institution, suggested in an interview with the New York Times that protests outside the labor department prompted in an-person “Doge” meeting to move online.Some Democrats have privately complained that Indivisible and MoveOn, another liberal advocacy group, were pressuring them too much, considering Republicans hold the levers of government power, Axios reported. Faced with a barrage of phone calls, Democratic representative Don Beyer said: “It’s been a constant theme of us saying, ‘Please call the Republicans.’”Republicans have also been getting calls – Lisa Murkowski, the Republican senator from Alaska, told the Washington Post on 7 February that the Senate was receiving 1,600 calls per minute, and that calls to her office were mostly from people concerned about Musk and his agency.Alexandria Ocasio-Cortez, the Democratic representative from New York, said in an Instagram story that the volume of calls to her Republican colleagues is sending the message that people are mobilized and angry. “But the pressure needs to stay on,” she said.Send us a tip
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