Saturday, July 4, 2020

Understanding Trump

It's not easy for Washington, and the Media and academics that advise them, to 'get' Trump's modus operandi.

He's a business owner.

That's one of the rarest Washington inhabitants. Oh, sure, they have some corporate executive types - University-trained CEOs, MBAs working to administer think tanks and NGOs.

But, actual working owners - the guys who started/took over the day-to-day operations of a business - one that has to get out there and hustle for contracts - is a rare bird, indeed.

Think about what distinguishes Trump from most university grads. He had to get out there, in the early days of learning about his dad's business, and collect rents. NOTHING taught in business classes is going to approach that experience for teaching you about how distant the cases presented in class are from the actuality.

Like this clip:

Reality, in every endeavor, is far separated from what is learned in school. And, having your own money on the line teaches you to question EVERY line in the budget. No sense spending money on fancy offices, if you aren't bringing in the cash. Which, is not the same as putting on a front for the lenders, that supports your profitability facade. You can't get cash for your business, unless the surroundings convince the lenders that you don't really NEED the guilders.

So, yeah, Trump lives in a fancy high-rise - but, I'll bet a lot of his life is filled with leased luxuries - the kind that you can return without a problem, should the business go bust. That's just good sense - don't tie yourself down with a lot of expensive stuff that isn't liquid.

Business owners also delegate - but also ask a lot of questions and keep up on performance of subordinates. They aren't that quick to fire - it costs a lot to go through that process - easier, and cheaper, to make that person so uncomfortable that they quit. That, and not crash ignorance, is what drives his rough handling of employees.

Unlike his reputation as enjoying saying "You're Fired!" - Trump actually keeps most of his employees for years. If anything, Trump exhibited more patience than he should have with recalcitrant underlings. And, he probably underestimated just how much abuse a government employee would take for the paycheck.

One thing that I've seen criticism about is the Stimulus package that he rammed through. Although generous (perhaps more than it needed to be), it kept a lid on complaints about money loss for the time needed to manage this, and - perhaps more importantly, it is definitely time-limited, rather than a general universal income scheme.

Sometimes, you've got to spread around money - quick - to be able to work your way through a crisis. The federal debt is already huge - the stimulus just adds to it - and, IF Trump is re-elected, and the economy improves, he'll have breathing room to bring that down.


Paul Bonneau said...

"he'll have breathing room to bring that down"

Now, back on planet Earth... ;-)

Historian said...

I am forced to agree with Paul's implication. It is not possible for the debt to be reduced given the present political imperatives and social pressures. The Federal debt will be defaulted upon, make no mistake.

Now, that will happen whether Trump is President or not. The question to be answered is whether we'll be better or worse off to have Trump as President. *MY* answer is that we'll be more miserable without him than with him, but miserable we WILL be.

With regard to all who seek the Light,

Linda Fox said...

Bringing the debt down has several aspects:
- Reducing the outgo - that's a measure that is seldom used. Hell, just cutting down on waste/fraud would go a long way towards reduction.
- Selling off much of the land/buildings that the Federal government owns - that would change the parcel from non-taxable to taxable, thereby allowing the local governments to benefit (of course, this would be an argument for reducing the funneling of money from the feds to the state, as well). Dump those employees that used to work there, guard it, groom the grounds, etc.
- Stop the waste in federal grant system. Audit the recipients - a reasonable guess is that at least 25% of them piddled away the money. Offer to settle for not sending them to jail, if they admit to a felony, and agree that any employer that hires them in the future will be ineligible for any federal money.
- Go after fraud in 'entitlement' programs. Offer bounties for those turning in offenders - think of it as full employment for ex-spouses and ex-girlfriends.