Why Trump Didn’t Predict the Gas-Price Spike

David Frum: “How did Trump get Hormuz so wrong? The answer reveals one of Trump’s most characteristic and most fateful mistakes: his steadfast refusal to acknowledge that Americans live in a world economy.”

“Trump wishes for a United States economy walled off from the rest of the world. That’s why he loves tariffs so much—and why he refuses to think about what they mean to American producers, who now must pay more for inputs such as aluminum.”

“But with energy, there is no walling off. Most of America’s oil and gas is produced in the United States. American imports come overwhelmingly from Canada and Mexico. But American oil can be put on a tanker and sent to Japan or the European Union if the price across the ocean rises. The global process of buying and selling equalizes prices worldwide.”