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Economics

The risk of election violence in America is real

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THERE ARE countries in the world where machete-wielding teenagers intimidating voters are a routine part of elections. America is not normally among them. Yet on October 29th an 18-year-old man in Florida was arrested for doing exactly that. Caleb James Williams was, according to local police, part of a group of eight young men hanging out in the parking lot of an early-vote polling station in suburban Jacksonville, waving Donald Trump flags and chanting slogans. Mr Williams allegedly “brandished a machete in an aggressive, threatening posture over his head” at two women who were supporting Kamala Harris.

In late October two ballot boxes, one in Washington state and one in Oregon, were set alight. In Arizona, on October 24th, a 60-year-old man was arrested in connection with three incidents where a Democratic National Committee office was shot at, first with a BB gun, and then with real bullets. In Michigan, on November 2nd, a 55-year-old man was charged after allegedly accelerating his car at Harris campaign canvassers, while calling for them to be exterminated. And in July, one candidate, Donald Trump, was almost assassinated.

Many Americans fear it could get worse. Three-quarters of Americans say that they are worried about post-election violence, according to the AP/NORC poll. Some businesses in Washington, DC, have boarded up their windows, apparently for fear of riots. A few larger businesses are quietly preparing for potential disruption by cancelling meetings and suggesting employees work from home. Readying for potential unrest, some media organisations have even redeployed correspondents from warzones. A few media organisations are warning darkly of “civil war”. But how bad could it really get?

“I am not a panic peddler,” says Sheriff Tom Dart of Cook County, Illinois. “I am just sitting on data that is indisputable…saying that we’ve never had more people saying political violence is OK.” Mr Dart is among the most prominent of 200 law-enforcement officers who have been briefed by Robert Pape, an academic at the University of Chicago who studies political violence. Mr Pape has been surveying voters, both remotely and in person at rallies. Based on this evidence, he is frank: “We are going forward into a season of political violence.”

Underpinning this is data showing that significant minorities—a fifth of Americans—say they support the use of violence to either restore Donald Trump to the presidency or else to prevent him from taking it. That finding, Mr Pape argues, is roughly analogous to discovering there is a lot of dry wood in a forest. It does not necessarily mean that an enormous wildfire will break out. Nor does it tell you much about what sort of spark could set it off. But it means that you should be prepared.

What would violence look like if it happened? Much depends on the results. If Ms Harris appears to be winning in a close count, one possibility is protests at places where counts are being held (as happened in 2020), fuelled by conspiracy theories about fraud. Even if she won clearly, currently sporadic violent incidents against Democrats by amped-up or paranoid individuals could escalate. By contrast, if Mr Trump wins, the fear would be widespread protests in big cities, some of which could turn into violent rioting. Mr Pape stresses that his data suggest people on both sides of the political divide are supportive of violence.

The risk, however, is not evenly balanced. Another survey by the Public Religion Research Institute, a think-tank, suggests Republicans are over three times as likely as Democrats to believe that “true American patriots may have to resort to violence to save the country”. And incitement can turn support for violence into action. In the final weeks of the campaign, Mr Trump has come close to that. At one of his final rallies in Pennsylvania on November 3rd he appeared to make a joke about how he “wouldn’t mind” if somebody shot at the “fake news” journalists covering him, and suggested that “demonic” Democrats “are fighting so hard to steal this damn thing”.

One concern is that viral online posts claiming to offer proof of electoral fraud or irregularities will inspire people to take to the streets. A recent illustration of just how quickly “rage bait” can spin out of control came from the (false) claim that Haitians were eating dogs in Springfield, Ohio. That was then amplified by Mr Trump and his running-mate, J.D. Vance. It led to over 30 bomb threats against schools and government buildings. Already hundreds of posts have claimed to show evidence of election fraud, and many more are certain to follow on and after election day. False claims are also fanned by foreign adversaries: a viral video purporting to show Haitian immigrants illegally voting in Georgia turned out to be Russian election interference, America’s intelligence agencies said last week.

Yet there are reasons to be optimistic for a smoother ride than in 2020. Local officials are better prepared. In Michigan, poll workers have been given special phone numbers to contact law enforcement if they are threatened. In Philadelphia’s, ballot-counting  has been moved from the city centre location warehouse , where in 2020 Mr Trump’s supporters banged on the windows demanding to “stop the count” to a suburban warehouse, is now surrounded by barbed wire. “Do we think it’s possible there’s going to be protests at election warehouses? We’ve already seen that, so, yeah, we’re planning for that. Do we think that folks are going to get threatened? Yeah, we’re planning for that,” says Adrian Fontes, Arizona’s Democratic secretary of state. According to the Brennan Centre for Justice, a think-tank, 92% of local election officials across America have taken steps to improve election security and staff safety.

Will it be enough? Predictions of imminent civil war are clearly overblown. Even widespread violence seems unlikely. But irregularities and a few bad incidents are inevitable (and happen at every election). “The notion that all police departments are going to be up to speed on election law is wildly naive,” worries Mr Dart, the sheriff in Illinois. After all, America has almost 18,000 police departments. Small forces are not all trained in active-shooter response, best crowd-control practices or in riot equipment and weapons, says Brian Higgins, a former cop and now a crowd-control expert at John Jay College of Criminal Justice.

Overall, police seem prepared. And election officials have put measures in place, including live feeds of drop boxes, in an attempt to build trust in the process. Sending a signal that political violence will be severely punished would help. Unfortunately Mr Trump is conveying the opposite message to his supporters—by promising to pardon January 6th rioters if re-elected. As long as violence is not roundly condemned, it is impossible to rule out.

Economics

Stagflation fears swirl as Trump tariffs take effect and economy slows

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Traders work on the floor of the New York Stock Exchange (NYSE) in the Financial District in New York City on March 4, 2025. 

Timothy A. Clary | Afp | Getty Images

A growth scare in the economy has accompanied worries over a resurgence in inflation, in turn potentially rekindling an ugly condition that the U.S. has not seen in 50 years.

Fears over “stagflation” have come as President Donald Trump seems determined to slap tariffs on virtually anything that comes into the country at the same time that multiple indicators are pointing to a pullback in activity.

That dual threat of higher prices and slower growth is causing angst among consumers, business leaders and policymakers, not to mention investors who have been dumping stocks and scooping up bonds lately.

“Directionally, it is stagflation,” said Mark Zandi, chief economist at Moody’s Analytics. “It’s higher inflation and weaker economic growth that is the result of policy — tariff policy and immigration policy.”

The phenomenon, not seen since the dark days of hyperinflation and sagging growth in the 1970s and early ’80s, has primarily manifested itself lately in “soft” data such as sentiment surveys and supply manager indexes.

At least among consumers, long-run inflation expectations are at their highest level in almost 30 years while general sentiment is seeing multi-year lows. Consumer spending fell in January by its most in nearly four years, even though income rose sharply, according to a Commerce Department report Friday.

On Monday, the Institute for Supply Manufacturing’s survey of purchase managers showed that factory activity barely expanded in February while new orders fell by the most in nearly five years and prices jumped by the highest monthly margin in more than a year.

Following the ISM report, the Atlanta Federal Reserve’s GDPNow gauge of rolling economic data downgraded its projection for first quarter economic growth to an annualized decrease of 2.8%. If that holds up, it would be the first negative growth number since the first quarter of 2022 and the worst plunge since the Covid shutdown in early 2020.

“Inflation expectations are up. People are nervous and uncertain about growth,” Zandi said. “Directionally, we’re moving toward stagflation, but we’re not going to get anywhere close to the stagflation we had in the ’70s and the ’80s because the Fed won’t allow it.”

Indeed, markets are pricing in a greater chance the Fed will start cutting interest rates in June and could lop three-quarters of a percentage point off its key borrowing rate this year as a way to head off any economic slowdown.

But Zandi thinks the Fed reaction might do just the opposite — raise rates to shut down inflation, in the vein of former Chair Paul Volcker, who aggressively hiked in the early ’80s and dragged the economy into recession. “If it looks like true stagflation with slow growth, they will sacrifice the economy,” he said.

Sell-off in stocks

The converging factors are causing waves on Wall Street, where stocks have been been in sell-off mode this month, erasing the gains that were made after Trump won election in November.

Though the Dow Jones Industrial Average fell again Tuesday and is off about 4.5% through the early days of March, the selling hasn’t felt especially rushed and the CBOE Volatility Index, a gauge of market fear, was only around 23 Tuesday afternoon, not much above its long-term average. Markets were well off their session lows in afternoon trading.

“This certainly isn’t the time to hit the panic button,” said Mark Hackett, chief market strategist at Nationwide. “At this point, I’m still in the camp that this is a healthy resetting of expectations.”

However, it’s not just stocks that are showing signs of fear.

Treasury yields have been tumbling in recent days after surging since September. The benchmark 10-year note yield has fallen to about 4.2%, off about half a percentage point from its January peak and below the 3-month note, a reliable recession indicator going back to World War II called an inverted yield curve. Yields move opposite to price, so falling yields indicate greater investor appetite for fixed income securities.

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10-year Treasury yield in 2025.

Hackett said he fears a “vicious circle” of activity created by the swooning sentiment indicators that could turn into a full-blown crisis. Economists and business executives see the tariffs hitting prices for food, vehicles, electricity and an assortment of other items.

Stagflation “certainly is something to pay attention to now, more than it’s been in a while,” he said. “We have to watch. This is such a collapse in sentiment and such a change in the way people are viewing things and the level of emotion is so elevated right now that it will start impacting behavior.”

White House sees ‘the greatest America’

For their part, White House officials are maintaining that short-term pain will be dwarfed by the long-term benefits tariffs will bring. Trump has touted the duties as way to create a stronger manufacturing base in the U.S., which is primarily a service-based economy.

Commerce Secretary Howard Lutnick acknowledged in a CNBC interview Tuesday that there “may well be short-term price movements. But in the long term, it’s going to be completely different.” Market-based inflation expectations are in line with that sentiment. One metric, which measures the spread between nominal 5-year Treasury yields against inflation, is at its lowest level in nearly two years.

“This is going to be the greatest America. We’ll have a balanced budget. Interest rates will come smashing down, and I mean 100 basis points, 150 basis points lower,” Lutnick added. “This president is going to deliver all of those things and drive manufacturing here.”

Likewise, Treasury Secretary Scott Bessent told Fox News that “there’s going to be a transition period” and said the administration’s focus is on Main Street more than Wall Street.

“Wall Street’s done great. Wall Street can continue to do fine, but we have a focus on small business and the consumer,” he said. ” We are going to rebalance the economy, we are going to bring manufacturing jobs home.”

Important clues on where the economy is headed should come from Friday’s nonfarm payrolls report. If the jobs count is good, it could reinforce the notion that the hard data has remained solid even as sentiment has shifted.

But if the report shows that the labor market is softening while wages are holding higher, that could add to the stagflation chatter.

“We have to be observant. There’s the potential that the stagflation term just by itself, by talking about it, can manifest some of it,” said Hackett, the Nationwide strategist. “I’m not in the we-are-in-a-period-of-stagnation camp, but that is the disaster scenario.”

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Economics

Andrew Cuomo plots a comeback in New York City

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Political disgrace isn’t as constraining as it used to be. Andrew Cuomo, whose public career was thought to be dead just three years ago, is back in the spotlight as a newly declared candidate for mayor of New York City—and he is topping polls. Mr Cuomo resigned as governor of New York state in August 2021 amid multiple sexual-harassment allegations (which he denied). On March 1st he announced his comeback.

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Economics

Trump’s armed forces won’t look like Biden’s

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America is set to spend more—and differently

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