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Economics
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Trust
5 min read

Tariffs destroy trust so where do we go next?

Blunt weapons cause a mess in markets and lives.

Paul Valler is an executive coach and mentor. He is a former chair of the London Institute for Contemporary Christianity.

A gold coin with the DOGE dog on it, lies over the face on a $50 bill.
So doge-y.
Kanchanara on Unsplash

‘When America sneezes the rest of the world catches a cold’ quipped economists almost a century ago after the Wall Street crash.  A comment that might equally apply to the more than 10 per cent drop in stock markets caused by President Trump’s sudden raised tariffs on imports to the USA.  The impact of the American economy on the world is inescapable.  It represents almost a quarter of global GDP and the dollar is the leading reserve currency, accounting for around 60 per cent of international foreign exchange reserves.  Size is what enables America to bully the rest of the world. 

For decades the American trade deficit has been an elephant in the room and Trump is to be applauded for recognising it and addressing the problem. Unfortunately, the way he has gone about it has caused another, bigger problem. Changing the direction of the global economy is like turning a tanker, it cannot be done easily or quickly, but Trump’s style is to attack, like hammering at a nail.  Every issue in geopolitics looks like another nail, waiting for him to hammer out a negotiated deal.  Full marks for courage, but not for wisdom. The blunt weapon of trade tariffs is designed to bring wealth and power back towards the USA, but blunt weapons often cause a mess, and sure enough a global mess is what we now have.  A US/China trade war with higher prices that could end up stoking inflation and a government own goal.   

Panic selling of government bonds signalling a loss of confidence following Trump’s dramatic tariff boost is reminiscent of the impact of Liz Truss’ sudden and radical UK tax cuts, which were also driven by an ideology, but ended up as a wrecking ball.  Even some of Trump’s backers have warned of an economic nuclear winter.  In the long run, Trump has done the world a favour by highlighting a structural issue that needed correction, but his economically violent methods of addressing it look increasingly unwise.  If a global depression does happen on the back of all this, then coupled with the rise of autocratic and belligerent leadership, we would face a worrying parallel to what happened in the 1930s when the world eventually slid into war.   

Tariffs are like walls, barriers to cooperation and the epitome of economic selfishness.  Make America Great Again is selfishness writ large - a society pursuing wealth and power without the cohesive framework of values that are so essential to cooperation and community wellbeing.  A psychology of self-centredness that damages relationships at the national level.  This is what I find most concerning about Trump’s approach; not just the economics but the long-term legacy of relational damage that could last well beyond his Presidential term. 

Our fears reveal just how much we trust in wealth above everything else, and how much the fear of scarcity affects our mental health.

Michael Schluter in his book The Relational Lens defines five principles, or measures, of relational health.  They are directness, parity, common purpose, continuity and breadth.  Applying those five measures helps us see why Trump’s tariffs are the polar opposite of relational.  He introduced these escalating penalties remotely and not in face-to-face negotiations.  Exploiting the power of America instead of showing respect for the status and needs of other nations.  Tariffs have no common purpose with other countries, only a selfish agenda.  There is no continuity with previous trading protocols.  And it is all purely financial, with no reference to the broader holistic impact.  All in all, a relational disaster.   

Despite living in the ‘first world’ we remain gripped with fear of loss.  Our fears reveal just how much we trust in wealth above everything else, and how much the fear of scarcity affects our mental health. Markets are not entirely rational; they are driven by algorithms that stem from this psychology of greed and fear.  Emotions and trading swing wildly with a herd instinct that often drives behaviour.  As Rabbi Jonathan Sachs said:  

‘Markets have no moral compass; we have outsourced morality to legislation by the State.’   

But the worry now is that the current US administration shows signs of ignoring morality and even riding roughshod over the courts.  No wonder people feel afraid. 

Where can we find hope in all this turmoil?  Is there a better response than gritted teeth and the mantra: ‘this too shall pass’?  I think so.  There is life beyond the market.  Jesus said: ‘life does not consist in an abundance of possessions.’  We can choose to step back and look at all this with the true perspective that money isn’t everything.  We can cultivate gratitude for what we do have.  We can learn contentment.  Yet I feel for those who have experienced financial loss, and don’t want to minimise the reality of hardship.  In fact, something important and practical all of us who are privileged can and should do is to be vigilant in watching out for those who are poor and disadvantaged.  To look after those with a real need for the basics of life and help them through this tough time when economic disruption could make life even harder.  For those with a faith this is part of working out how our faith makes a positive difference where we are. 

Perhaps the supreme irony of this crisis is President Trump’s insistence that Americans must trust him.  Ironic, because the one thing that his tariff actions seem to have undermined more than anything else is trust.  The trust that is essential to the functioning of both markets and civilisation as a whole.  Face to face discussions must be the way forward now, to rebuild trust and find more nuanced, mutual approaches to solving America’s trade deficit.   

There is one person we can always trust though, and his name is written clearly on the American One Dollar bill. In God we trust. Let’s pray that Trump and his America returns to that imperative and turns back to a more Christ centred philosophy of loving our neighbour as ourselves, reflected in a more bilateral approach to diplomacy and agreement.

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Truth and Trust
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The ancients had the right words for Trump’s tussle with the BBC

Can the truth be concealed?

Hal is a theologian and writer based in London.

A composite images shows the entrance to the BBC on one side and Donald Trump on the other
BBC.

The recent controversies surrounding the BBC's leadership and the lawsuit brought by Donald Trump may appear, at first glance, to be merely another chapter in the ongoing drama of contemporary politics and media. Yet for those with eyes to see, something far older and more profound lies beneath the surface turbulence—a perennial struggle concerning the very nature of truth itself, one that reaches back to the dawn of Western thought and touches the deepest springs of our common life. 

The sequence of events is itself instructive. The disturbances at the Capitol occurred on January 6, 2021. More than three years thereafter, the BBC's Panorama programme broadcast an investigation examining the relationship between Mr Trump's rhetoric—his exhortation to "fight like hell"—and the violence that ensued. The programme did not fabricate a narrative but rather sought to interpret one, attempting to hold words and their consequences together within a coherent moral framework. This work was, in its essence, what the pre-Socratic philosopher Parmenides termed Aletheia: truth understood as 'unconcealment', the patient labour of bringing into public view that which has been hidden or obscured. 

A vocation 

When the crisis deepened, the BBC's then Director of News, Deborah Turness, reaffirmed the Corporation's mission as the pursuit of truth "with no agenda". It was a well-intentioned defence, though perhaps insufficiently bold. For the BBC's founding vision was never a pursuit of neutrality as an end in itself, but rather the pursuit of truth in service of the common good—a vision given permanent expression in the inscription carved into the very walls of Broadcasting House: 

"This Temple of the Arts and Muses is dedicated to Almighty God... It is their prayer that good seed sown may bring forth a good harvest... that the people, inclining their ear to whatsoever things are beautiful and honest and of good report, may tread the path of wisdom and uprightness." 

This inscription is no mere ornament. It constitutes a theological statement concerning the vocation of public speech. The call to sow "good seed"—echoing Jesus’ parable of the sower in St Matthew's Gospel—the summons to attend to whatsoever things are "honest and of good report" as St Paul exhorts in his letter to the Philippians, and the call to walk "in wisdom and uprightness" from the book of Proverbs—all these speak to a moral order in which words are meant to bear fruit. Panorama's investigation may be understood as a contemporary attempt to fulfil this sacred charge: an inevitably human and imperfect effort to unconceal the connection between language and its consequences in the world. 

The ancient force of oblivion 

Mr Trump's response, however, embodies a different and equally ancient force: Lethe—the personification of oblivion and forgetfulness in Greek thought. His lawsuit is not simply a defence against an allegation he finds unwelcome. It represents, rather, a strategic campaign to enforce forgetfulness. What Trump has chosen to bring into the light is not his own intent or action, but rather the BBC's editorial process. By directing all attention toward the matter of editing, he seeks to bury and render forgotten the original and far more consequential question: the demonstrable connection between his words on the sixth of January and the violent response of his supporters. The strategy is to employ a minor unconcealment—the technical matter of the edit—in order to accomplish a major concealment: the causal chain linking rhetoric to riot. 

This, then, is the quiet heart of the matter. The lawsuit functions as a modern political instrument deployed within an ancient philosophical conflict. It represents a deliberate choice for Lethe over Aletheia, aiming to dissolve the connection between word and reality, and to immerse the most uncomfortable truths in the waters of oblivion. 

For Christians, this struggle occupies familiar ground. To stand for truth is not to claim infallibility—a pretension that belongs to God alone—but rather to participate in the slow, difficult work of revelation: to bring things into the light for the sake of healing and restoration. Whether in journalism, the Church, or the wider public square, truth remains first a vocation before it becomes a verdict. 

The crisis at the BBC, therefore, is not merely about institutional governance or corporate reputation. It serves as a reminder that the pursuit of truth is always a contested act of unconcealment, perpetually threatened by the seductive pull of forgetfulness. In an age tempted by distraction and denial, even imperfect truth-telling becomes an act of faith—a wager that reality is trustworthy, that words have weight, that consequences follow causes. 

A reason to persevere 

This ancient struggle between unconcealment and oblivion offers perspective on our present moment. For those who hold religious faith, it recalls St John's testimony that "the light shineth in darkness, and the darkness comprehended it not"—a conviction that truth ultimately prevails. For those who do not share such faith, the argument stands on its own philosophical ground: that truth-telling, however costly and imperfect, serves something greater than partisan advantage or institutional survival. 

The inscription at Broadcasting House speaks to both believer and non-believer alike. Its prayer for "good seed" and "good harvest", its call to attend to things beautiful, honest, and of good report, articulates a civic ideal that transcends particular creeds. It suggests that public institutions bear a responsibility—not to be infallible, but to resist the gravitational pull of forgetfulness, to maintain the connection between words and their consequences, to choose unconcealment over oblivion. 

Whether one grounds this commitment in theological conviction or in secular principle, the work remains the same: the slow, difficult labour of bringing uncomfortable truths into the light, trusting that a society capable of facing reality is stronger than one that retreats into comfortable fictions. In an age tempted by distraction and denial, this may be reason enough to persevere. 

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