We have updated our Privacy Policy and Terms of Use for Eurasia Group and its affiliates, including GZERO Media, to clarify the types of data we collect, how we collect it, how we use data and with whom we share data. By using our website you consent to our Terms and Conditions and Privacy Policy, including the transfer of your personal data to the United States from your country of residence, and our use of cookies described in our Cookie Policy.
{{ subpage.title }}
How campus protests could influence the US presidential election
Jon Lieber, head of Eurasia Group's coverage of political and policy developments in Washington, DC, shares his perspective on US politics.
This is what we are watching in US Politics this week: Campus protests.
They're happening everywhere. Elite schools, state schools, the Northeast, the Midwest, Southern California, campus protests are a major story this week over the Israeli operation in Gaza and the Biden administration's support for it. These are leading to accusations of anti-Semitism on college campuses, and things like canceling college graduation ceremonies at several schools.
Will this be an issue of the November elections?
Really difficult to say. Everyone remembers in 1968, massive protest at the Democratic National Convention, contributing to President Nixon's message that he was the “law and order” candidate, and the Democrats didn't have control. That could easily be repeated this year if the protests continue and are sustained into August at the Democratic Convention in Chicago, where it also was in 1968. And then, if the protests continue on campus once again, when schools come back in in the fall, right before the November elections.
One thing we're watching is how Donald Trump tries to spin these things. A key campaign message that he's been pushing so far, this cycle, is that everything they're saying about him are the things they're actually doing. They thought he would get the US into a war with Iran, and now President Biden came right up to the verge of that last week. They say, “He's the chaos candidate,” and now you've got wars all over the globe, you've got campus protests, you've got a spike in crime, and you've got a massive immigration problem under President Biden.
So, that message is going to be one that Donald Trump continues to push and will definitely resonate with Republican voters and could potentially resonate with independent voters if the large-scale protests and clashes with police continue into the fall.
Will US aid help turn the tide of the Russia-Ukraine war?
Paraphrasing a quote often misattributed to Winston Churchill, the United States Congress finally decided to do the right thing … but not a moment too soon, and only after trying everything else first.
Last Saturday, the House of Representatives overcame months-long opposition from the far-right wing of the Republican Party and okayed a fresh military assistance package for Ukraine. Totaling nearly $61 billion, this is the largest single aid package the besieged nation will have received since the war’s onset. The bill passed the Senate on Tuesday night and was signed into law by President Joe Biden a few hours ago. Some of the newly appropriated American weapons systems and ammunition will begin flowing into Ukraine and reaching the frontline within days.
Congress had last authorized Ukraine funding in December 2022, when Democrats still controlled both chambers. Since then, further aid had been blocked by MAGA Republicans aligned with former president and presumptive GOP nominee Donald Trump. The legislative breakthrough came over the weekend when House Speaker Mike Johnson, alarmed by the intelligence briefings he’d received on the war’s outlook and the scope of Vladimir Putin’s aims (and spurred by Iran’s attack on Israel), ultimately decided to take up the bill on a bipartisan basis despite the threat of removal from within his own party. Once it was brought to the House floor, the bill sailed through 311 to 112.
The decision couldn’t have come at a more critical time for Ukraine’s defense. Congressional inaction had rendered the outgunned and outmanned Ukrainian military desperately short of the artillery and air defense ammunition it needed to fend off both Russian advances on the frontline as well as drone and missile strikes against its cities and power infrastructure. This allowed Moscow to seize more than 135 square miles of Ukrainian territory since the start of 2024, especially in the eastern Donetsk region, including most notably the strategic city of Avdiivka in February.
Indeed, up until last weekend, Ukraine was in danger of suffering a major setback later this spring or summer, when Russia is expected to conduct a major offensive in Donetsk. A territorial breakthrough there could have put Ukraine on course to lose the war as soon as 2025.
The influx of fresh American aid will have an immediate impact on the battlefield, helping the Ukrainians to close the artillery gap with Russia (10-to-1 earlier this month, according to President Volodymyr Zelensky), increasing the odds that they can hold their ground in Donetsk against Russia’s upcoming offensive, and making a return to 2023’s stalemate more likely through at least the end of the year. In that sense, US funding is a meaningful near-term stabilizer.
That said, closing the ammunition gap alone won’t be enough for Ukraine to stabilize the frontline. To do that, Kyiv also needs to address its military’s other big challenge: a manpower shortage. The hard-fought and politically unpopular but much-needed law lowering the mobilization age from 27 to 25, reducing service exemptions, and extending conscripts’ terms of service signed by Zelensky earlier this month should help – provided that new troops are properly trained and deployed. Ukraine also has to build up fortifications along the frontline and secure enough air defense systems to protect its cities and infrastructure amid strained supplies due to the Middle East war. If they manage to do all these things, the Ukrainians will be on a stronger military footing going into 2025 than they are now.
Alas, none of this will be enough for Ukraine to turn the tide of the war. The aid package will not give Kyiv any offensive capability this year, and it is likely to be the last major one the US approves in 2024 – and possibly ever if Trump wins the US election in November or Republicans take the Senate. Even if Biden wins a second term, there’s little domestic political support for America to continue to provide $60 billion a year every year until Russia runs out of men to throw at the “meat grinder” and accepts defeat.
Rather than a silver bullet or a turning point, the US aid package is a lifeline that will keep the Ukrainians in the fight for another year, buy the Europeans precious time to step up their defense-industrial production game, and strengthen Kyiv’s negotiating position so that when the time comes to accept the unacceptable yet inevitable outcome of a partitioned Ukraine, it is able to extract the best terms it possible can.
You don’t have to like it. I sure don’t. That doesn’t mean it ain’t happening.
Hard Numbers: Trump jury formed, A 911 for 911, Croatia’s coalition crunch begins, New nets chop malaria in half, Netflix numbers soar
12: And then there were twelve. A dozen jurors, plus one alternate, have been selected in Donald Trump’s criminal “hush money” trial in New York. This comes after two jurors were dismissed on Thursday – one of them resigned over fears she had been targeted publicly by a FOX news host, while the other was sent home over prosecutors’ suspicions he had lied on his juror questionnaire. Five more alternates will be selected on Friday.
4: Who do you call when the emergency is that 911 itself is out? People in four US states had to wrestle with that conundrum on Wednesday night after their emergency call systems went down. No cause was given for the outages in Nevada, Nebraska, South Dakota, and Texas, but federal officials have warned that the move to digital systems in recent years has raised the risk of cyberattacks.
60: As expected, Croatia’s governing center-right HDZ party won the most votes in the election, securing 60 seats out of 151, but it will not be able to govern alone, heralding difficult coalition talks ahead. The vote followed a bitter campaign between the HDZ and a center-left coalition led by President Zoran Milanović.
50: New insecticides applied to mosquito nets cut malaria transmissions by up to 50% in trials. Mosquito nets treated with insecticides are the most effective way to stop the spread of malaria, which infects hundreds of millions around the globe and kills some 600,000 people annually. But as mosquitos develop immunity to long-used insecticides, it becomes necessary to develop new ones.
9.3 million: Netflix’s recent un-chill crackdown on password-sharing appears to have worked, as the global streaming behemoth added 9.3 million subscribers worldwide in the first quarter of 2024, and saw its operating income soar by 54%. The company says it still plans to stop reporting subscriber numbers altogether next year, as it focuses more on “engagement” than account numbers.
Supreme Court considers laws that could affect Jan. 6 charges
On Tuesday, the Supreme Court will hear a case that could eliminate some of the federal charges Donald Trump is facing in the case accusing him of plotting to subvert the 2020 election and the prosections of the hundreds of rioters involved in the Jan. 6 attack. This comes just a day after jury selection began in the People of the State of New York v. Donald J. Trump, with dozens of potential jurors being excused after they told the judge they could not be impartial.
The high court judges will consider whether the Sarbanes-Oxley Act, enacted in the wake of the energy giant Enron’s collapse, can be used against Joseph W. Fischer, a former police officer who participated in the Capitol assault.
The law makes it a crime to obstruct, influence, or impede any official proceeding. It was enacted to prohibit the destruction of evidence, but in this case, it is being argued that by entering the Capitol, rioters like Fischer obstructed the counting of electoral ballots.
The law is involved in two of the federal charges against Trump in his election subversion case. If the Supreme Court rules that it does not apply to Fischer, Trump is almost certain to argue it does not apply to his conduct either.
Trump's NYC hush-money trial: What to watch for
Jon Lieber, head of Eurasia Group's coverage of political and policy developments in Washington, DC, shares his perspective on US politics.
This is what we are watching in US Politics this week: Trump's trials.
Former President Trump faces or faced six civil or criminal actions against him in 2024, an election year. Two of which, civil finds that he was already found liable for. He's had to pay significant sums of money. Two of which, a case in Georgia and one in Florida, are very unlikely to start in this year, and one of which could start later this summer, this federal trial against Trump for election interference in Washington, DC. The final trial is set to begin next week. A trial in Manhattan for business records frauds related to hush money payments he made to a woman he was having an affair with before the 2016 election.
The key witness in this trial is Michael Cohen, Trump's former attorney, who Trump's going to try to discredit the testimony of by saying, “He's a liar, he's out for publicity. But the evidence against Trump is pretty damning here. There's almost no, it sure looks like he committed this crime. However, the allegations will have to be proven in court. Trump could win this case and the jury could decide to throw out the corroborating evidence. There's a lot of ways this could still go in Trump's favor. And if it does, that will be a significant win for Trump, because a significant portion of the electorate is telling pollsters today that if Trump is found guilty of a crime before the election, they would be less likely to vote for him.
Trump support drops by about ten percentage points in a New York Times poll from earlier in the year, based on whether or not he's found guilty. And these are really high stakes, drama for Trump. One of the key political inoculates Trump has is that the trial could be over quickly. He also is going to make the case that this is a politically motivated witch hunt and that Alvin Bragg, the Manhattan DA, is out to get him and stop him and undermine him because he's a Democrat. That message is certainly resonating with Republicans. The key question for Trump's election campaign is, “Does that message resonate with independents, or do they continue to see the criminal charges against Trump as being disqualifying?”
The trial starts next week. We'll find out what happens.
Biden and Trudeau: A political eclipse?
Why are Joe Biden and Justin Trudeau getting so badly eclipsed by the great totality of critics? Can good policies seize back the agenda of a lagging campaign?
President Biden is busy touting his positive economic record but is baffled when it gets eclipsed by issues like his age. He rightly touts creating 300,000 new jobs in March and dropping the unemployment rate to 3.8%, but the headlines still say he looks like a guy who might as well have watched a solar eclipse alongside Moses.
Want to brag about the bullish stock market? Biden could, but that’s overshadowed by news this week about stubbornly high prices on gas, rent, and groceries. Want to shed some light on an economic recovery? Nice try. Word that the Fed may delay rate cuts clouds it over. How about projecting US strength in the world and containing a wider war with Iran, which the US has been doing? That’s undermined by the Hamas-Israel war and the casualties in Gaza that the US appears to have little influence over.
Meanwhile, every day Donald Trump does something so astronomically weird – selling golden shoes or hawking mash-up Constitution-Bibles – that all political telescopes end up turning his way first. So all that good economic result and that big fundraising advantage, so far, has not done much for Biden.
In Canada, Prime Minister Justin Trudeau is also having trouble staying unblocked. After eight long years in office, you now need to consult with Stephen Hawking on black holes to figure out if any light can escape from the event horizon of the Liberal campaign. This morning,Abacus Data released a poll showing the Conservative Party is 20 points ahead of the Liberals, the highest ever.
That kind of polling eulogy is why Mr. Trudeau is hemorrhaging leaks about his upcoming April 16 federal budget in order to recapture the penumbra of popularity he had when he was first elected. Can these new shiny programs do the trick?
- On April 1 came the CA$1 billion national school food program to ensure over 400,000 kids get school meals annually over the next five years.
- Then came the new national defense policy, “Our North, Strong and Free,” which focuses on Arctic and cyber security, increasing spending by CA$8.1 billion over the next five years, which will push Canada’s spending up to 1.76% of GDP. It’s not quite at the NATO prenup agreement of 2%, but closer.
- There is another CA$1.5 billion for a new Canada Rental Protection Fund to spur more affordable housing and rental units and then, boom, another $600 million in loans and funds to help new owners and renters.
- Oh yes, and CA$2.4 billion for the AI industry to make sure Canada doesn’t take the Large Language Model hit on the chin.
Has it worked? Have the giant budget leaks reframed the Trudeau government’s political fortunes? And more broadly for any government, can new ideas actually change political fortunes?
So far, the evidence is scant. The Abacus poll actually asked the question, “do budgets move votes?” and used the national school food program as a case study. Turns out, most folks didn’t even know about it yet. “Less than half of Canadians were aware of the program announcement” and worse, “parents with kids aged 3 to 14 years of age were actually less likely to be aware of the announcement (41%) than everyone else.”
What does that tell us? That no one is listening to Trudeau – that he’s being tuned out? Or is it more that the media is so fragmented that it takes more time to sell programs these days? Or, maybe that program got drowned out by the other four or five other announcements that spilled out.
Instead of selling voters on one big, new idea to frame the election, Trudeau has set out a smorgasbord of bureaucratic bonanzas with no central theme. Restaurants that serve buffets rarely get Michelin stars.
But here is where the political eclipse gets really weird: The programs being pitched by the Liberal leader … are extremely popular, even with people who oppose Trudeau.
“68% of current Conservative supporters think [the national school food program] is a good or acceptable idea,” according to the Abacus poll. And even stranger, “2 in 3 of those who have a very negative impression of Justin Trudeau think it's a good idea.”
That means even if you have ideas people really like, sometimes it will not change voter intention. “It is like the Prime Minister is a shepherd with no flock,” Abacus CEO David Coletto told me. Biden has the same issue. Even though the economic numbers are good, the narrative frame of negativity is hard to shatter.
That doesn’t mean that opposition leaders – Pierre Poilievre or Donald Trump – have a lock on winning. There is lots of time ahead, and campaigns matter. Trump will have to do more than be a vindictive doomsayer campaigning as the Count of Counterfactuals (“none of these terrible events would have happened if I were President!!!,”he says of inflation and the war in Ukraine, claims which are, of course unprovable), and Poilievre might have to get off Mean Street and move to Main Street. But at least people are listening to them.
Politicians think if people look directly at their records, they will see something truly beautiful. But it turns out that direct scrutiny often blinds the electorate to their message, and voters either turn away or grab a set of glasses the opposition conveniently gives them in order to change their view.
And that’s why a political eclipse is so fascinating: When even the best policies, the ones people really like, no longer illuminate the way, it’s hard to know which way to look.
– Evan Solomon, Publisher
Secret sauce of the boom: immigration
The riddle of recovery: Is the economy broken, or is it booming? And is there a secret accelerant no elected official wants to talk about?
Turns out, how folks perceive the economy is often tied more closely to how they vote than to reality. Donald Trump's supporters argue the economy is a disaster of debt and inflation, made worse by an immigration nightmare playing out at the borders. To prove their case, they wander into the Cherry Orchard of Convenient Stats and pick a few choice numbers to make their case.
- US debt has passed $34 trillion and will exceed the dangerous 99% debt-to-GDP ratio.
- Between 60%-78% of US households are living paycheck to paycheck, depending on the survey.
- Credit card debt has hit record levels, with 50% of consumers unable to pay off their monthly bills.
- Food prices are going up even as inflation is down, rising over 2.2% from last year, according to the Consumer Price Index.
- Big layoffs are hitting the tech, financial, retail, media, and energy sectors.
- Home affordability: Most people with an average income can no longer afford a home, which in most cities now requires an income of over $100,000.
The harvest from that side looks rotten. But walk over to the Joe Biden side of the Cherry Orchard of Convenient Stats, and things look pretty darn good:
- Post-pandemic, the US has been the fastest-growing economy in the G7.
- Job growth is shattering expectations with over 353,000 jobs in January, and unemployment is under 4%.
- Inflation has fallen to 3.2% from over 9% two years ago.
- Real wage growth is way up.
- The stock market is on a bull run.
Overall, it’s a pretty tasty harvest, if that’s all you pick.
Still, Gallup’s famed Economic Confidence Index – though ticking up a bit last month – is shockingly negative, revealing most Americans think things are bad. So consumers are doing boom-like things, like spending, while perceiving bust-like things – and complaining.
Plenty has been written about the lens of partisanship distorting economic reality: People believe the economy is bad, just not for THEM! “It’s now a well-established fact that partisan orientation affects expressed views about the economy,” economist Paul Krugman wrote in the New York Times. “Democrats are more positive when a Democrat holds the White House; Republicans are more positive when the president is a Republican … but the partisan effect on sentiment is two and a half times as large for Republicans as it is for Democrats.” Krugman argues that this so-called “asymmetric amplification” accounts for 30% of the “gap between economic sentiment and economic fundamentals.”
There is, however, a reality that should not be wiped aside: The post-pandemic recovery for some has not been post-pandemic recovery for all. “I think the old name for this was ‘K-shaped recovery,’ the idea that different parts of the country are experiencing vastly different conditions,” Robert Kahn, the global head of macrogeoeconomics at Eurasia Group, told me. “Rising numbers living paycheck to paycheck or getting squeezed by high debt. Conversely, many still cash flush from pandemic support/policies.”
The K-shaped recovery also means that while, say, the stock market is booming, there are painful layoffs in sectors across the economy, like tech, finance, media, and retail. When Nike is slashing $2 billion dollars, people start to notice.
Sure, some of this is a correction from over-hiring in recent years, and some might be the impact of AI, but combine that with debt levels, worries about commercial real estate, and layoffs, and you see this could be a ... Special-K kind of recovery. There is a lot of optimistic froth covering some big pain points.
But there is a deeply inconvenient political truth here: Things would be much worse for everyone without the single most controversial, politically radioactive issue: immigration.
Trump is making his entire campaign about immigration, and his fiery rhetoric about it – he recently called illegal immigrants “animals” – is now a staple. So he is not about to discuss the benefits of immigration.
Even in Canada, Prime Minister Justin Trudeau, who has presided over massive increases in immigration levels, is now saying temporary immigration – foreign workers and international students – needs to be brought “under control.” This week he admitted it has “grown at a rate far beyond what Canada has been able to absorb.” Okay…
The thing is, immigration likely saved the economy and continues to do so. “The US let in about 3 million additional people last year,” my colleague Jon Lieber, head of research at EG, told me. “That puts downward pressure on wages and is a source of new consumer spending. There are some economists who attribute the continuing strength of the American economy to this factor.”
To dig deeper – and what GZERO reader doesn’t like to dig deeper? – it’s worth checking out the analysis done by Ernie Tedeschi, the former chief economist for the White House Council of Economic Advisers. “Immigration since the pandemic has strongly bolstered US labor supply and employment,” Tedeschi wrote. “The US economy is 8.2% larger in inflation-adjusted terms than just before the pandemic. Of this, 1.6 percentage points – about a fifth of US post-2019 growth – can be accounted for directly by foreign-born workers.”
Well, that isn’t something you hear about very much on the campaign trail. Immigration is the super-charge factor of the economy? “Politically, this is pretty ironic,” says Lieber, “if the immigration crisis that is weighing on Biden’s approval rating is actually saving the US economy.”
Is it naïve to think that citizens could one day turn to their politicians to get the facts straight about the economy – or admit that some of the very things they are demonizing and running against are the things that are boosting the economy and saving their political hides?
That’s likely the biggest riddle of this recovery story.
– Evan Solomon, Publisher
Hard Numbers: Trump and RNC fundraising haul, NATO’s long-term plan for Ukraine, Uganda’s anti-gay law upheld, Eurozone inflation cools
65.6 million: Former President Donald Trump and the RNC raised $65.6 million in March, ending the month with $93.1 million in cash on hand. This should be welcome news to Trump as he faces a slew of money problems. President Joe Biden has been outpacing Trump in terms of 2024 fundraising so far, but his campaign has yet to release numbers for last month.
107 billion: NATO is considering a plan for a $107 billion, five-year fund for Ukraine. The proposal, pushed by NATO chief Jens Stoltenberg, has been met with skepticism by some members of the alliance — particularly Hungary. Ukraine has relied heavily on foreign aid amid its war with Russia, but internal divisions in the West have seen assistance dry up in recent months. Stoltenberg says the alliance needs to ensure Ukraine is supported for the “long haul.”
14: Uganda’s constitutional court on Wednesday slapped down a petition to overturn the country’s controversial anti-gay law, which permits the death penalty for “aggravated homosexuality,” among other harsh and discriminatory penalties. The petition was put forward by 14 people, including legislators, activists, and law professors. One of the petitioners pledged to appeal the decision.
2.4: Eurozone inflation surprisingly fell last month, raising expectations for a rate cut in June. Consumer prices were 2.4% higher in March compared to last year, down from 2.6% in February.