Playing the Indian Card

Thursday, January 16, 2025

Playing 4D Chess

 



Trump really is “playing 4D chess.” He learned how to swing a deal as a real estate developer. Consider the Gaza deal. He framed it all as a threat against Hamas: “if the hostages are not freed by inauguration day, there will be hell to pay.” But behind the scenes, the pressure was really on Netanyahu to accept a partial deal. This way, Netanyahu has made concessions, but can frame it as a victory. It’s a win-win, at least for the short term.

He is doing the same with Greenland. Greenland is a financial liability to Denmark, held only for prestige, and Greenland for its part feels colonized. Trump sees the opportunity. Denmark saves face and looks righteous by giving Greenland independence. Greenland can afford this pretense of self-determination now, with US backing. Then it gets to cut a better deal with the US. The US gets to cut Denmark out of any deal, buying wholesale. It’s a win-win.

I think Trump should and will offer Greenland immediate full statehood, to preserve the sense of self-determination.

Now how about Canada? 

Alberta’s situation is like that of Greenland. Alberta has been subsidizing the rest of Canada with their energy resources. At the same time, with their carbon tax and their environmental regulations, the Canadian central government has been hobbling the Alberta energy industry. 

Perhaps Trump was clever enough to check and realize that energy was a provincial responsibility. Perhaps he was clever enough to see that Canada has recognized the right of provinces to separate. Perhaps he was clever enough to school himself on Western alienation.

With his tariff threats, Trump is shaking that fruit from the tree. He can appeal to Albertan alienation. They have the one card to play against the Trump tariffs.

He can offer Alberta a separate deal. He says he wants to annex Canada; but the value to the US is all in Alberta. Moreover, they are more politically aligned than the rest of Canada with the US; they would probably vote Republican. He can now offer them statehood. Alberta gets to escape their subsidies to the rest of Canada, escape the carbon taxes and the environmental regulations, lower their taxes, and start pumping oil like gangbusters. 

Okay, this one isn’t quite win-win. The rest of Canada is left in the lurch, cut off from Alberta’s subsidies and facing stiff tariffs from the USA. 

Unless they quickly end equalization payments, kill the carbon tax, end supply management, cut environmental regulations, and start severely restricting immigration.

All of which would be more or less what the Canadian public is demanding.

So, again, win-win. Unless we are governed by idiots.

Uh-oh.


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