Paul Krugman: Chaos Is About to Take Its Toll [View all]

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Chaos Is About to Take Its Toll

April 24, 2025 at 7:35 am EDT By Taegan Goddard 36 Comments

https://politicalwire.com/2025/04/24/chaos-is-about-to-take-its-toll/

Paul Krugman: “It has been amazing to watch the stock market gyrating in response to things that aren’t even policy changes — they’re hints and rumors of policy changes. Today’s Washington Post has an article with the headline ‘White House eases tone on tariffs on China but won’t be cutting them soon.’ OK, how much does the change in ‘tone’ tell you about what will actually happen?”

“Why, then, did stocks rise on this non-news? I’d say that the market is like someone caught in an abusive relationship — still in denial, seizing on every hint of decency as evidence that their partner is really changing their ways.”

“Apparently investors and the news media still haven’t learned that you can’t read supposed insider reports on administration thinking the way you could in a normal administration — as indications of where the policy process is headed. There is no policy process. Trump will zigzag based on who talked to him last.”