State of the State is the monthly round up of policy and research for the state of Michigan from Michigan State University’s Institute for Public Policy and Social Research (IPPSR). Matt Grossmann and Arnold Weinfeld from IPPSR are joined by economist Charley Ballard to discuss the latest in politics and the economy.

MSU Supply Chain Professor Jason Miller joins the trio to discuss the trade and tariff issues dominating the news.

Conversation Highlights:

(1:14) – Ballard unpacks the latest numbers showing a shrinking national economy. And he talks about Michigan’s unemployment numbers showing an increase in labor participation in the state despite an uptick in Michigan’s unemployment numbers.

(4:32) - Grossmann on the political implications of the economic numbers.

(7:32) – What about immigration? What are the political implications of the court rulings mostly going against the Trump administration?

(9:34) – Is a lot of the American electorate in the middle of the extremes shown by the Biden and Trump positions on immigration?

(10:40) – Are the court defeats for the Trump administration helping to inform the Democrats strategy to restrict Trump?

(12:15) – What’s the status of Republican budget and tax proposals? “It’s difficult to have high spending, low taxes, and a balanced budget.”

(14:34) – Miller weighs in on the latest trade and tariff news. “The United States will not win a trade war with China. U.S. consumers do not like to find empty shelves in stores.”

(18:43) – Is there long-term isolation ahead for the United States when it comes to trade?

(22:37) – How will Michigan’s economy be impacted as the trade war continues. Will Trump back down?

(25:43) – How will Americans react to empty shelves in the stores? How do these tariffs compare to the tariffs in the first Trump term? There are more consumer goods impacted this time. What is the worst-case scenario? Do bigger tariffs mean bigger problems for Trump?

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