Homeland Security looks to buy a new $50M jet for secretary and Coast Guard officials
The request for funding, to come from the Coast Guard's 2025 fiscal year budget, came up during a House appropriations subcommittee meeting on Wednesday. Democratic Rep. Lauren Underwood of Illinois said she was 'horrified' to receive a 'last-minute addition' to the service's budget proposal for the jet, noting Noem has another Gulfstream to use.
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Winnipeg Free Press
5 hours ago
- Winnipeg Free Press
It's Trump's economy now. The latest financial numbers offer some warning signs
WASHINGTON (AP) — For all of President Donald Trump's promises of an economic 'golden age,' a spate of weak indicators this week told a potentially worrisome story as the impacts of his policies are coming into focus. Job gains are dwindling. Inflation is ticking upward. Growth has slowed compared to last year. More than six months into his term, Trump's blitz of tariff hikes and his new tax and spending bill have remodeled America's trading, manufacturing, energy and tax systems to his own liking. He's eager to take credit for any wins that might occur and is hunting for someone else to blame if the financial situation starts to totter. But as of now, this is not the boom the Republican president promised, and his ability to blame his Democratic predecessor, Joe Biden, for any economic challenges has faded as the world economy hangs on his every word and social media post. When Friday's jobs report turned out to be decidedly bleak, Trump ignored the warnings in the data and fired the head of the agency that produces the monthly jobs figures. 'Important numbers like this must be fair and accurate, they can't be manipulated for political purposes,' Trump said on Truth Social, without offering evidence for his claim. 'The Economy is BOOMING.' It's possible that the disappointing numbers are growing pains from the rapid transformation caused by Trump and that stronger growth will return — or they may be a preview of even more disruption to come. Trump's economic plans are a political gamble Trump's aggressive use of tariffs, executive actions, spending cuts and tax code changes carries significant political risk if he is unable to deliver middle-class prosperity. The effects of his new tariffs are still several months away from rippling through the economy, right as many Trump allies in Congress will be campaigning in the midterm elections. 'Considering how early we are in his term, Trump's had an unusually big impact on the economy already,' said Alex Conant, a Republican strategist at Firehouse Strategies. 'The full inflationary impact of the tariffs won't be felt until 2026. Unfortunately for Republicans, that's also an election year.' The White House portrayed the blitz of trade frameworks leading up to Thursday's tariff announcement as proof of his negotiating prowess. The European Union, Japan, South Korea, the Philippines, Indonesia and other nations that the White House declined to name agreed that the U.S. could increase its tariffs on their goods without doing the same to American products. Trump simply set rates on other countries that lacked settlements. The costs of those tariffs — taxes paid on imports to the U.S. — will be most felt by many Americans in the form of higher prices, but to what extent remains uncertain. 'For the White House and their allies, a key part of managing the expectations and politics of the Trump economy is maintaining vigilance when it comes to public perceptions,' said Kevin Madden, a Republican strategist. Just 38% of adults approve of Trump's handling of the economy, according to a July poll by The Associated Press-NORC Center for Public Affairs. That's down from the end of Trump's first term when half of adults approved of his economic leadership. The White House paints a rosier image, seeing the economy emerging from a period of uncertainty after Trump's restructuring and repeating the economic gains seen in his first term before the pandemic struck. 'President Trump is implementing the very same policy mix of deregulation, fairer trade, and pro-growth tax cuts at an even bigger scale – as these policies take effect, the best is yet to come,' White House spokesman Kush Desai said. Recent economic reports suggest trouble ahead The economic numbers over the past week show the difficulties that Trump might face if the numbers continue on their current path: — Friday's jobs report showed that U.S. employers have shed 37,000 manufacturing jobs since Trump's tariff launch in April, undermining prior White House claims of a factory revival. — Net hiring has plummeted over the past three months with job gains of just 73,000 in July, 14,000 in June and 19,000 in May — a combined 258,000 jobs lower than previously indicated. On average last year, the economy added 168,000 jobs a month. — A Thursday inflation report showed that prices have risen 2.6% over the year that ended in June, an increase in the personal consumption expenditures price index from 2.2% in April. Prices of heavily imported items, such as appliances, furniture, and toys and games, jumped from May to June. — On Wednesday, a report on gross domestic product — the broadest measure of the U.S. economy — showed that it grew at an annual rate of less than 1.3% during the first half of the year, down sharply from 2.8% growth last year. 'The economy's just kind of slogging forward,' said Guy Berger, senior fellow at the Burning Glass Institute, which studies employment trends. 'Yes, the unemployment rate's not going up, but we're adding very few jobs. The economy's been growing very slowly. It just looks like a 'meh' economy is continuing.' Trump's Fed attacks could unleash more inflation Trump has sought to pin the blame for any economic troubles on Federal Reserve Chair Jerome Powell, saying the Fed should cut its benchmark interest rates even though doing so could generate more inflation. Trump has publicly backed two Fed governors, Christoper Waller and Michelle Bowman, for voting for rate cuts at Wednesday's meeting. But their logic is not what the president wants to hear: They were worried, in part, about a slowing job market. But this is a major economic gamble being undertaken by Trump and those pushing for lower rates under the belief that mortgages will also become more affordable as a result and boost homebuying activity. Monday Mornings The latest local business news and a lookahead to the coming week. His tariff policy has changed repeatedly over the last six months, with the latest import tax numbers serving as a substitute for what the president announced in April, which provoked a stock market sell-off. It might not be a simple one-time adjustment as some Fed board members and Trump administration officials argue. Trump didn't listen to the warnings on 'universal' tariffs Of course, Trump can't say no one warned him about the possible consequences of his economic policies. Biden, then the outgoing president, did just that in a speech last December at the Brookings Institution, saying the cost of the tariffs would eventually hit American workers and businesses. 'He seems determined to impose steep, universal tariffs on all imported goods brought into this country on the mistaken belief that foreign countries will bear the cost of those tariffs rather than the American consumer,' Biden said. 'I believe this approach is a major mistake.'
Winnipeg Free Press
10 hours ago
- Winnipeg Free Press
Who is Erika McEntarfer, the Bureau of Labor Statistics commissioner fired by Trump?
WASHINGTON (AP) — The head of the agency that compiles the closely watched monthly jobs report usually toils in obscurity, but on Friday, the current holder of that job was loudly fired by the president of the United States. Erika McEntarfer, a longtime government employee, bore the brunt of President Donald Trump's unhappiness with Friday's jobs report, which showed that hiring had slowed in July and was much less in May and June that previously estimated. He accused her without evidence of manipulating the job numbers and noted she was an appointee of President Joe Biden. McEntarfer, a longtime government worker who had served as BLS head for a year and a half, did not immediately respond to a request for comment by The Associated Press. But her predecessor overseeing the jobs agency, former co-workers and associates have denounced the firing, warning about its repercussions and saying McEntarfer was nonpolitical in her role. Here's what to know about Erika McEntarfer: McEntarfer has a strong background on economics McEntarfer, whose research focuses on job loss, retirement, worker mobility, and wage rigidity, had previously worked at the Census Bureau's Center for Economic Studies, the Treasury Department's Office of Tax Policy and the White House Council of Economic Advisers in a nonpolitical role. She has a bachelor's degree in Social Science from Bard College and a doctoral degree in economics from Virginia Polytechnic Institute and State University. She was confirmed as BLS head on a bipartisan vote McEntarfer was nominated in 2023 to serve as BLS head, and the Senate Committee on Health, Education, Labor and Pensions recommended that her nomination go to the full Senate for a vote. She was confirmed as BLS commissioner in January 2024 on a bipartisan 86-8 Senate vote. Among the Republican senators who voted to confirm her included then-Sen. JD Vance of Ohio, who is now Trump's vice president, and then-Sen. Marco Rubio of Florida, who is now Trump's secretary of state. Before her confirmation hearing, a group called the Friends of the BLS, made up of former commissioners who served in both Democratic and Republican administrations, members of statistical associations and credentialed economists, said McEntarfer's background made her a great choice for the job. 'The many reasons to quickly confirm Dr. McEntarfer as the new BLS Commissioner all boil down to this: the agency, like the entire statistical system, is undergoing an intense, significant period of change and Dr. McEntarfer's wealth of research and statistical experience have equipped her to be the strong leader that BLS needs to meet these challenges,' Friends of the BLS wrote. Her former associates and co-workers decry her firing William Beach, who was appointed BLS commissioner in 2019 by Trump and served until 2023 during President Joe Biden's administration, called McEntarfer's firing 'groundless' and said in an X post that it 'sets a dangerous precedent and undermines the statistical mission of the Bureau.' Former Labor Department chief economist Sarah J. Glynn, who received regular briefings from McEntarfer about BLS findings, said McEntarfer was generous with her time explaining what conclusions could or couldn't be reached from the data. If the data didn't support something an administration official was saying, McEntarfer would say so, Glynn said. She also never weighed in on how the administration should present or interpret the data, Glynn said — she would simply answer questions about the data. Monday Mornings The latest local business news and a lookahead to the coming week. 'She had a sterling reputation as someone who is concerned about the accuracy of the data and not someone who puts a political spin on her work,' Glynn said. Heather Boushey, a senior research fellow at Harvard University, served with McEntarfer on the White House Council of Economic Advisers and said McEntarfer never talked politics at work. 'She showed up every day to focus on the best analysis and the best approach to her field and not get political. That is what I saw from her time and again. She is brilliant and well-respected among labor economists generally,' Boushey said. 'She wasn't coming into my office to talk politics or the political implications of something. She definitely wasn't engaging on that side of things.' ___ Olson reported from New York. Associated Press writer Christopher Rugaber in Washington contributed to this report.
Toronto Star
15 hours ago
- Toronto Star
Democrats cry foul as Republicans push to redraw Texas electoral maps to gain US House seats
AUSTIN, Texas (AP) — Democratic lawmakers tried to build a case Friday that Republicans in Texas have engineered a rushed and unfair process for redrawing the state's congressional districts in response to a push by President Donald Trump to win more GOP seats that Democrats fear will spread to other states. Democrats in the Republican-controlled Texas Legislature delayed the start of public testimony during a hearing of a state House Committee on Redistricting by peppering its chair with pointed questions about how quickly GOP lawmakers planned to move and whether the public is getting enough of an opportunity to weigh in. The Republican proposal would give the GOP five more winnable seats in next year's elections, which would make it easier for the party to keep its slim U.S. House majority.
