Day 19: Welcome to the Oligarchy…

…President Musk's Holiday Power Play...and Chaos

Day 19 — December 19, 2024

After Elon Musk, followed by Donald Trump, tanked a bipartisan deal to avert a government shutdown, dozens of Republicans refused to support a new Musk/Trump/Johnson deal that was cobbled together at the last moment. As a result, the deal died a day before the shutdown deadline.

As the dust settled, details of the rushed and rejected “deal” became clear: to name a few—cuts to child cancer research; elimination of a crackdown on pharmaceutical benefit managers (PBMs) to lower drug prices; and elimination of restrictions in high tech investments in China, which directly impacted Musk’s business interests.

While it’s unclear what will happen in the coming days, Musk’s chaos machine has clarified a number of realities even before the Trump term begins:

1) with his billions, willingness to invest it in primaries, and huge digital/disinformation megaphone via Twitter/X, Musk has more power/sway than Trump (past fat cats hid this fact better);

2) just a few tweets from Musk can launch a battle royale within the Republican Party; given their thin margins in the House, and fear of primaries, that is a guarantee of chaos and perpetual leadership uncertainty;

3) in supporting a two-year extension of the debt ceiling they oppose under Democratic presidents…

…Republicans confessed that they know full well that their plan to lavish tax cuts at the top will explode the American deficit—which only extends the pattern (of my lifetime) that despite all the rhetoric, the deficit/debt always explodes from large GOP tax cuts and so-called trickle down economics.

Trump knows this more than anyone, which is why, overnight, he tweeted that he now wants a four-year extension:

4. Amid rhetoric of “America First,” Musk and others will actually use their power to hurt everyday Americans (through cuts, shutdowns, higher drug prices, etc.), while advancing private and their own interests that have nothing to do with (or actually counter) American interests. It’s no accident that the PBM reform and China/tech restrictions were stripped from the original bill.

   

So, whatever happens in the coming hours and days, this is all instructive about what to expect going forward…and how to best fight back.