Sunday, February 2, 2025

The Gloves Are On The Ice

From Ralph Nader -- "Why did Trump—on Inauguration Day no less—praise President William McKinley as a role model? Ominously so. McKinley took over with armed force Puerto Rico, Hawaii and the Philippines, killing many natives in these defenseless regions. McKinley launched the American Empire to which megalomaniac, lawless Trump wants to add the Panama Canal and Greenland." -- "Don’t think he is kidding. The U.S. Navy can take control of the Panama Canal in short order. While mineral-rich Greenland, a quarter the size of the U.S. with less than 60,000 residents, can be seized by the U.S. air base already located there and easily fortified for that purpose. This is what the criminal madness inside Trump’s ego meant when he unfurled the phrase “make America grow again” -R"

Trump has made threats of military action against other countries including Greenland (under NATO by association with Denmark). He has made similar veiled threats against Canada. He has violated our trade agreement in a way that harms all of North America. He has violated the law in less than two weeks in office. He has horribly injured the U.S. Federal civil service. Prior to the worst aviation disaster in decades, "Trump FIRED the heads of the Transportation Security Administration (TSA) and the Coast Guard, and disbanded the Aviation Security Advisory Committee" He may not have caused that accident but he has definitely made a system capable of such a crash even less safe than it was.

Friends and family have resolved to stop buying anything from America. A friend shared this site: https://madeinca.ca/

Someone suggested that a formal analysis predicts Canada and Canadians will simply capitulate—because Trump’s ego eclipses Trudeau’s. Below is my response to them, followed by an examination of how, even without factoring in the chaos of Project 2025 and a growing, FAFO-aware public, the current situation is damaging for Canada but exponentially worse for the United States.

"I have a feeling you don't know many Canadians.

The gloves are on the ice.

No argument about the size of Trump's ego, but that won't keep the lights on. It wasn't sufficient to stave off his bankruptcies or criminal convictions or keep the price of eggs down or even the supply of eggs there at any price. It won't make him suddenly able to read.

Canadians have already hardened their resolve, so to some extent there is no going back. We will be injured but everybody I know and on social media around me is dead firm. We expect to deal with a hit and we are prepared for it.

You have your trade war in spades. Good luck with that.

Trump has put the fox in charge of the henhouse with respect to the U.S. treasury. It is truly bizarre, but it looks like he and Musk are going to loot the treasury. They have already attempted to entirely cut off the economic oxygen to 80 million people and they are threatening to do it again. It was not turned back on for some ...

Millions of people in the U.S. are already hurting after less than two weeks of Herr Trump.

Tell me true: Do you think that Trump and his sad gang of misfits can properly manage a (formerly) $30T economy?"

Here’s a structured breakdown of why the claim that Canada will "submit" under U.S. economic retaliation is flawed:

1. Canada Will Take an Economic Hit, But Not Collapse

  • Yes, Canada will be injured—trade wars always hurt both sides.
  • Resolve matters—Canadians expect pain and are willing to take it, meaning Trump's coercion tactics will fail.
  • The assumption that Canada will "fully submit" ignores history. Economic hardship does not always lead to political collapse—if anything, it often solidifies resistance.

2. The U.S. Will Suffer Just as Much—If Not More

  • The Northern U.S. states depend on Canada for energy, manufacturing, and food. If Canada raises energy prices and redirects exports, U.S. businesses and consumers will feel immediate pain.
  • Supply chains cannot be restructured overnight—U.S. industries are deeply integrated with Canada.
  • U.S. inflation will spike if Canada removes critical goods from its market.

3. U.S. Oil Independence is a Fantasy

  • Trump can't wave a magic wand and make the U.S. energy independent overnight.
  • The U.S. still imports 3.8 million barrels per day, and Canada is its top supplier.
  • Cutting off Canadian oil means either:
    • Massively higher costs for American refiners (who are optimized for Canadian crude).
    • Buying from hostile nations (Russia, Venezuela, Saudi Arabia).

4. The Canadian Dollar Will Drop—But That’s Not All Bad

  • A weaker Canadian dollar actually boosts exports because Canadian goods become cheaper for foreign buyers.
  • If Canada shifts trade to the EU, Mexico, and Asia, those partnerships become more profitable.
  • The real question is whether the U.S. dollar remains stable given Trump’s fiscal chaos. If the U.S. loots its own treasury, the USD itself could be at risk.

5. Trump Is Already Failing at Economic Management

  • Within two weeks, Trump has already:
    • Created massive financial instability.
    • Enacted disastrous policies that hurt Americans.
    • Facilitated outright corruption at the Treasury.
  • His track record on bankruptcy and mismanagement speaks for itself.
  • Egg shortages, surging costs, and instability are already hitting U.S. consumers.
  • If the U.S. collapses into internal chaos, Canada’s suffering will pale in comparison.

Final Thought

Clark Swanson's argument rests on the assumption that Trump is competent, that Canada is weak-willed, and that economic power guarantees victory.

  • In reality, Canada has leverage, U.S. consumers will revolt against Trump’s trade war, and Trump's own policies will deepen America's internal instability.
  • This isn't 1950. Global trade is diversified. Canada has options.
  • Trump’s economic chaos will likely backfire spectacularly.

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