RECOMMENDED READING

The Ronald Reagan Presidential Library is playing host this year to prominent Republicans speaking about their partyā€™s future. Senator Tom Cotton used his recent turn to disavow the longstanding alliance on Americaā€™s right-of-centre between conservatives and libertarians. ā€œWhereas libertarian ideas have helpfully influenced domestic tax and regulatory policy,ā€ he said, ā€œthese ideas often falter in a world of borders. Thereā€™s no natural level of people, goods, or money moving across borders; itā€™s a policy choice that must be made by the people and their representatives.ā€

Despite the priority that the Republican party has traditionally given to the free flow of capital, elevating it almost to a core principle, a wide range of conservatives are now making the case that China should be the exception. Cotton is one such intellectual bellwether. His speech was a sign of how far the economic consensus has shifted against globalisation. Investors should anticipate major policy responses, he made clear, in financial markets.

Continue reading at Financial Times
Oren Cass
Oren Cass is chief economist at American Compass.
@oren_cass
Recommended Reading
The Coming Tax Fight Will Not Be What You’re Expecting

Plus, I share my secret ā€œ19-20 Solutionā€ to our budget crisisā€¦

Make Families Great Again

A call to make good on conservative promises to the American family

Stuck in Reverse

The modern economy needs truckers more than ever, but keeps making their jobs worse