Trump Will Win Again and Setroy America

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California's war with Trump is destroying America

Andy Serwer

Who's in charge? Donald Trump or California?

There's never been any love lost between the president and the Golden State, but at present what had been a smoldering feud has get an all-out state of war. The implications are huge not just for California, just for other states, and in fact, for the very state of our marriage.

I'll explain well-nigh the big pic, but first, nearly California.

Equally you may have heard, Trump and California have punched and counter-punched each other this calendar week over California's auto emission standards, which are tougher than federal ones, even though automakers—Ford (F), BMW (BMW.DE), Volkswagen (VOW.DE) and Honda (HMC)—have sided with the Californians.

Governor Gavin Newsom and his administration aren't shying away from the battle. "This is the fight of a lifetime for the states," said Mary Nichols, the chairwoman of the California Air Resource Board. "I believe nosotros volition win." 20-2 other states have joined California (an important point hither.) And the legal wrangling is expected to last months if not years and could achieve the Supreme Court.

That's just the latest boxing. The president and California are engaging on dozens of other legal fronts, including over laws governing the census, immigration and health intendance.

Only even more that, the California v. Trump tussle is emblematic of a bigger disharmonize playing out across the state right now, a growing power struggle betwixt the states and the federal government. At issue is which entity has legal authority over everything from gun owner rights to marijuana.

The implications for business and investors are massive. Imagine a country with l sets of regulations and standards across every industry. Nosotros're not close to that yet, but the tendency in our union at this indicate is moving clearly towards disunion.

US President Donald Trump speaks with members of the US Customs and Border Patrol as he tours the border wall between the United States and Mexico in Calexico, California on April 5, 2019. - President Donald Trump landed in California to view newly built fencing on the Mexican border, even as he retreated from a threat to shut the frontier over what he says is an out-of-control influx of migrants and drugs. (Photo by SAUL LOEB / AFP)        (Photo credit should read SAUL LOEB/AFP/Getty Images)
US President Donald Trump speaks with members of the US Community and Border Patrol as he tours the border wall betwixt the United States and Mexico in Calexico, California. (Photo by SAUL LOEB / AFP)

With the election of Trump, nosotros're seeing a major reset

I'll delve into that more, only first some important historical context. Defining the power of the states versus the federal government has vexed our country since its inception. Who holds sway over tax and education for example has divided our nation, and of course the Civil War was fought over southern states wanting to maintain slavery.

This question, nevertheless, really began with a Revolutionary War soldier's unhappy homecoming.

A veteran of Bunker Hill and other battles, Daniel Shays returned to western Massachusetts wounded, unpaid and in debt—forth with thousands of others. Feeling grossly maligned, Shays organized an armed revolt. The army had been disbanded and our nascent federal government had no funds, so merchants in eastern Massachusetts raised a militia on their own to fight Shays and his rebels. In Jan 1787, Shays attacked a federal armory in Springfield, where he was repulsed, with four of his men killed and twenty wounded. The rebellion was quelled the next month in a biting snowstorm and Shays died in 1825, his lot petty improved by what is called Shays' Rebellion.

But Shays' Rebellion had huge consequences for America. It highlighted the weakness of the federal government nether the Manufactures of Confederation and inspired the cosmos of the U.Southward. Constitution in 1789 under a Federalist system with its signature division of power between the states and the federal government. Exactly how much power each side should have, still, wasn't explicitly spelled out and has been a source of friction always since.

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After the Civil War, advocates of states' rights consisted mostly of conservative southern Democrats defending Jim Crow laws. After Republicans joined this camp to push back against laws prohibiting mining and drilling for oil on federal lands for instance. Texas—in one case an contained nation (as nosotros are oft-reminded by its citizens)—has been a states' rights bastion, which has even extended to include a sometimes sizable secessionist movement.

Just with the ballot of President Trump we are seeing a major reset, every bit suddenly liberals and blue states get states' righters, in opposition to new conservative federal mandates and laws.

States resisting Trump

New York state took the atomic number 82 early in Trump's term, when the country pushed back against Trump's immigration policies. Massachusetts attorney general Maura Healy has filed some 43 lawsuits confronting Trump administration policies or laws including the border wall with Mexico, contraception funding, workplace injuries and the Affordable Care Human activity. (There's besides a proposed Massachusetts pecker, which would require presidential candidates to disclose their tax returns. Wonder who that's directed towards?)

To exist certain though, California has become the epicenter of the states' resistance to Trump. Non to exist outdone by an Eastward Coaster, California Attorney Full general Xavier Becerra has filed lx lawsuits and counting confronting the Feds. "Nosotros didn't become the fifth-largest economy in the world by sitting dorsum and spectating," Becerra told the San Francisco Chronicle.

Sometimes the action gets tricky to follow. In a somewhat counterintuitive assertion of states' rights, California recently took the atomic number 82 in striking a accident confronting the gig economic system past ruling that some drivers of ride-sharing giants Lyft and Uber are in fact employees. Surprising since both Lyft and Uber are headquartered in San Francisco.

Then there's marijuana, which though nevertheless illegal on the federal level, is at present OK'd for all types of use in 11 states. It's made for some strange politicking. One-time U.S. Attorney General Jeff Sessions, long a stalwart of states' rights, was very much against letting states decide on this particular issue. Every bit for Trump and weed, he doesn't seem to care much one manner or the other.

But the larger betoken is that states' rights has get a liberal thing. And that'south pretty strange for someone of my generation. Even so, while this new bluish states' rights move has all the momentum right now, conservative anti-Federalism is by no ways expressionless.

Photo by: STRF/STAR MAX/IPx 2018 3/13/18 Trump Demonstration in Beverly Hills, CA.
Photograph by: STRF/STAR MAX/IPx 2018 3/13/18 Trump Demonstration in Beverly Hills, CA.

Conflict over states' rights is 'getting more intense'

Couple both of those strains with years of gridlock in Washington and I call back we are kickoff to see the emergence of a new era in the delicate rest of Federalism. In short, ability is shifting to us. I don't think nosotros're heading straight to a European Wedlock system—which is itself coming autonomously to a caste—simply the trend is non the Us'due south friend.

"Whenever there's a Democratic president, Republican states push for more autonomy. Whenever there's a Republican president, Democratic states push for more than autonomy," says Joachim Klement, head of investment enquiry at Fidante Partners, trustee of the CFA Institute Research Foundation, and author of "Ruby-red States, Blue States: Two Economies, Ane Nation." Merely Klement notes that things are in fact "getting more intense."

No doubt.

"It concerns me a lot of political polarization and one-party rule you have in more than and more states, exist it Democrat and Republican means disparities betwixt states are only getting bigger," Klement continues. "Polarization in Washington translates to polarization at the state level, and seeps back into politics, that'due south a unsafe development."

And of course to business people this is anathema. One of the greatest societal and economical strengths of this land is our rule of police, which in well-nigh cases is ane rule of law. Americans accept legal heterogeneity when information technology comes to say speed limits and tax rates. Nonetheless despite some crazy bluish laws, our country functions because it is a spousal relationship.

This new tilt, empowering states at the expense of the federal government, might feel good for some of the people some of the time, but information technology sure doesn't bode well for all of the people all of the time.

This article was featured in a special Sat edition of the Morning time Brief on September 21, 2019. Become the Morn Brief sent straight to your inbox every Monday to Friday by six:30 a.chiliad. ET. Subscribe

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Andy Serwer is editor-in-chief of Yahoo Finance. Follow him on Twitter: @serwer .

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Source: https://finance.yahoo.com/news/californias-war-trump-destroying-america-121022462.html

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