David Lindsay: I was unhappy with Biden’s speech last night, but it was late, and I had tennis at 6:30 am, so I went to bed rather than process my issues. Ezra Klein apparently did not have to go to bed for early tennis, and he really connected some of my thoughts. My main critique was that he continued to want all of the above, instead of a narrow focus on mitigating climate change and rebuilding the middle class through manufacturing in America. He has to get his program past Manchin and Sinema, to get it passed. I agree with David Brooks and others, James Carville, David Axelrod, and Stanley Greenfield, that you have to win over more white working class men in 4 critical states, if you want to carry the 4 swing states that determine whether the Democrats or the Trumpistas take over the White House.
Here is the end of Klein’s take on last night.
“. . . There are parts of Biden’s agenda that, if passed, could help to lower prices for families, rapidly. Medicare could negotiate drug prices next year. Child care subsidies could take effect quickly. There is no resource limitation stopping us from lowering Obamacare premiums. The same cannot be said for Biden’s more ambitious proposals to build the productive might and critical supply chains of the United States. To decarbonize the economy and rebuild American manufacturing and lead again in semiconductor production is the work of years, perhaps decades. It won’t change prices much in 2022 and 2023.
But it needs to be done, and not just because of Russia. Covid was another lesson, as America was caught without crucial supply chains for masks and protective equipment at the beginning of the pandemic and without enough computer chips as the virus raged on. And while I don’t like idly speculating about conflict with China, part of avoiding such a conflict is making sure its costs are clear and our deterrence is credible. As of now, whether we have the will to defend Taiwan militarily is almost secondary to whether we have the capability to sever ourselves from Chinese supply chains in the event of a violent dispute.
Biden devoted a large chunk of his speech to his Buy American proposals, which economists largely hate but voters largely love. As a matter of trade theory, I’m sympathetic to the economists, but as Russia is proving, there’s more to life than trade. You could see that in an analysis done by The Economist, which has long been one of the loudest voices arguing for the logic of globalization. “The invasion of Ukraine might not cause a global economic crisis today, but it will change how the world economy operates for decades to come,” it wrote. Russia will become more reliant on China. China will try to become more economically self-sufficient. The West is going to think harder about depending on autocracies for crucial goods and resources.
This was, in the end, the unfulfilled promise of Biden’s speech. Russia’s invasion and America’s economy were merely neighbors in the address, but no such borders exist. And connecting them, explicitly, would bring more coherence and force to Biden’s agenda.