Current Economic Issues Facing the U.S.

Some people are confused on what a tariff is. This material will help you better understand the meaning of a word that is constantly in the news.      

Part 1 Definition of tariff    

The definition of tariff is a tax on any import from a foreign country. At a glance it seems ok. Like many things that seem simple, it is not.

Tariffs are confusing to many people. President Trump loves Tariffs. Most award-winning economists say Tariffs are damaging and cause inflation. Who is right?

However, when President Trump said that he was going to raise tariffs significantly across most countries in the spring of 2025, the stock market dropped dramatically. When the President said a day later that he would delay Tariff increases for 3 months, the stock market went back up.

The sub topic Tariffs Math Example is a short example that should clear things up.

Tariffs cannot be both very good and very bad. Tariffs have a significant effect on your economy. Read on.

Somebody is just outright lying.   You need to know who.    

Tariffs are a tax on imports to a country. Many people have been confused or mislead about how tariffs work. Here’s the math to demonstrate the effect of tariffs.

Suppose an overseas company in South Korea makes a TV that costs $1,000 to make in South Korea.  Korea really makes the TV at a lower price, say $800.  $ 200 is their profit margin.

Donald Trump puts a 40 % Tariff on the TV.   40% of $1,000 is $ 400.  Wally Mart buys the TV from Korea at the cost of $1,400.  When the ship dock in the US, $400 goes to our government. Wally Mart pays for the tariff when it purchases the TV at $1,400. To preserve their 20 % profit margin, Wally Mart   passes the cost of the tariff to the customer and adds 20% which is their normal mark-up (.20 * 1400 = $280

US consumer would have paid $1,200 for the TV without the tariff. With the tariff

The US consumer pays $1,680 which is $480 more.  Sales taxes has not been included

in this example in order to make tariffs clearly seen.

 Korea pushes the tariff cost to US company.

US company pushes the tariff cost to US consumer.

The Tariff is, in effect, a tax on the consumer.  It causes inflation.

Korea and Wallymart passed the cost of the Tariff to the consumer. American economists say this is what happens.

These are simplified numbers to clarify the explanation. The Supreme Court ruled on 2/20/26 that Trumps raising tariffs was illegal. However, Trump still raised tariff immediately after the decision.

Well now you know. The last 50 international award winning economists agree with this. By now you seen that prices have risen. We suggest you contact your representatives. Who lied? The US Supreme Court has ruled that tariffs are a tax and cannot be unilaterally made by the US President.

Do you think that the foreign country that has to pay a tariff just sits down and takes this? Find out what their responses are.

If the US raises tariffs on a given country, say Canada. Canada may raise Tariffs on the US in retaliation. This would create more inflation. Companies in the United States that need certain imported goods from Canada would need to pay more for Canadian goods. The increased cost would be added to the price of the goods in the US. This would create even more inflation.

The bottom line would be more hardship on both countries. People in each country would be angry at the people in the other countries. People may not buy goods from the country that creates tariffs and inflation.

This is currently happening.  Both Canada and Mexico are seeking trade with other countries to avoid American tariffs. Losing trade hurts American business.

Loss of vacations in the US from Canada costs the US billions of dollars in income.

Canada cancelled the purchase of US fighters in August of 2025. They decided to build their own jets and buy engines and parts from France, Germany, and Japan. This cost the US $9.4 billion in jet contracts. Thousands of US military engineers were laid off. This is a long-term loss for the US and a large gain for other countries. This is a disaster. 

Canada is stopping the sale of certain goods to the US and selling them to other countries. Canada entered into trade deals with Greenland to deny the US access to critical materials.

If the US makes a tariff high enough, the other country will just sell to a different country. All of this is the fault of President Trump. Why is this not big news?  This is why this website has been created.

Although the Supreme Court just said on February 20 that President Trump cannot unilaterally set tariffs, the Supreme Court does not enforce the decision. Trump just raised all tariffs unilaterally by 10%, then to 15% right after the Court’s decision. We do not yet know if Republicans will work with Democrats to stop him. Currently, the Republicans hold the majority in the Senate and the House.

Contact your representatives. As of 2/18/26, Canada has cut much of the trade with the US. It is trading with other countries instead of the US. Call your representatives.

If a country cannot count on the US to deal fairly and keep its existing agreements, it will just deal with someone else.

The U.S. Dollar is the world’s leading currency. It gives the U.S. leverage in foreign policy bargaining. Under Trump, the U.S. has acted like a bully. He gives verbal threats, raises tariffs, and calls countries and their leader nasty, rude names.

Many countries have had enough and are trying to pool resources to create a new currency that will rival the U.S. dollar. This system is called BRICS. If this is created, It will weaken U.S. economic strength. Being a Bully in small amounts does not push countries to work together against the U.S.; Trump pushes countries away.

The national debt is a problem. Republicans used to care about the debt. Under Trump, they are afraid to speak out.

The debt is covered by other countries investing in the US. The U.S. pays countries interest for their investment. This is like a stock market to parts of the world. If countries withdraw their money, the U.S. economy would have less money to spend on running the country. Less for safety-net programs, the Defense Department, and other programs. Some countries have already pulled out some of their investment in the US Debt as a stock. In September and October of 2025, the national debt increased by 1 trillion dollars.

The national debt in 1985 was 1.82 trillion. In 2026 the debt was 38.6 trillion. This is an average increase of 8.61 % a year.

The world has changed many decades ago to an interlocking economy around the world.

Trump’s ignorance, arrogance, and economic polices drive countries away to deal with countries that are fair, friendly, and mutually helpful to each other.

Trump thinks he can just raise the debt. Many Republicans, Democrats, Independents, and economists think the opposite. Interest on the debt is the 2nd-largest line item in the Federal budget after defense spending.

Why isn’t the press constantly talking about TARIFFS, NATIONAL DEBT, AND BRICS?

This is why this website is being created. You need to be aware of these three key economic factors. Vote for politicians who will help resolve these problems.

How do tariffs hurt business? How does this translate to you and all citizens? Knowing this will enable you to work to stop the damage earlier.

“US companies up against ‘nightmare’ tariff wall,” says Natalie Sherman, BBC News.

“It’s been an absolute nightmare,” said Jared Hendricks, owner of the Utah-based Village Lighting Company, who took out a $1.5m (£1.1m) loan backed by his home earlier this year to cover the unexpected jump in his costs.

Since April, most goods entering the US have faced tariffs of at least 10%.

In general, goods entering the US are subject to tariffs ranging from 10% to 50%, depending on their origin, compared to an average tariff rate of less than 2.5% at the start of 2025.

The cost of the supply chain for materials is increasing for companies. Jared Hendricks, owner of an electrical company, took out a loan backed by his home to cover costs.

Mr. Hendricks, who employs about a dozen people, though, said the new levies had created a range of challenges for his business selling Christmas lights and decor mostly made in Southeast Asia.

He is expecting many of his shipments to arrive after 1 August, when Trump intends to raise tariff higher. He struggled to compete with bigger players, also pressing suppliers and shipping firms to deliver before the deadline.

The new costs hit during the off-season, when he has little money coming in.

“A hundred billion dollars in tariffs and they’re celebrating that?” he said. “That’s on the backs of people like me who are now trying to figure out how to make payroll.”

Larger businesses, too, say the tariffs already are hurting their bottom lines, even though the White House has granted some exemptions and the full plans have yet to come into force.

General Motors recently told investors it paid more than $1bn in tariffs from the beginning of April through the end of June, despite carve-outs for car parts from Mexico and Canada. Tesla spent an extra $300 million.

Toymakers Hasbro and Mattel expect tariffs to cost tens of millions this year and have reduced their sales forecasts, while aerospace manufacturer RTX, formerly Raytheon, said the measures would cost it $500m, after mitigation efforts.

Executives in some industries, like steel, say the new protections will boost domestic demand for their products. Labor unions have backed parts of Trump’s plans, too.

These price increases will be passed on to American consumers.

But economists still expect the levies to lead to slower growth in the US as company profits take a hit. Firms must then cut back on investing or risk hurting sales by raising prices, or both.

Waza, a Los Angeles shop that employs about 30 people in the US selling Japan-made products like kitchen knives and incense, has already started raising prices 10% to 20%.

Recently, Goldman Sachs analysts estimated the tariffs would lower US growth by 1 percentage point this year, 2025.

Consumer spending on discretionary services, like taxi rides or air travel, slipped in the first five months of the year – something that has only happened during or immediately after recessions, he noted.

With stockpiles of goods that pre-date the tariffs dwindling and 1 August looming, the full effects of the measures will be felt in months ahead.

“People have sort of moved on, but now they’re going to be reinstated in August it’s going to be right back where we were,” said Julie Robbins, chief executive of Earthquaker Devices, an Ohio-based manufacturer of guitar pedals.

The business, which employs about 34 people, has held off hiring and delayed purchases this year, as its profits erode and costs climb. It plans to raise prices, but isn’t sure how much.

Already, sales outside the US – about 40% of the business – have dropped, which Ms Robbins attributes to backlash against Americans, at least partly over tariffs.

“I view the tariffs and the current trade war policy as the largest threat to our business,” she said. “There are so many ways this could go sideways.”

Tariffs cause inflation. It makes your dollars do less. You need to call your representatives.

Are the negative trends just a little difficult? Will they just be a recession or maybe much worse? You need to know this to be motivated to take actions and prevent bad becoming much worse. 

The Great Depression – How bad can tariffs get?

Tariffs contributed to the Great Depression by triggering a trade war, which caused a sharp decline in international trade and worsened the global economic crisis. In 1930, the U.S. passed the Smoot-Hawley Tariff Act to protect domestic industries, but other countries retaliated by raising their own tariffs, which led to sharply reduced trade and made it harder for all nations to recover. 

The Smoot-Hawley Tariff Act 

• Purpose: The Smoot-Hawley Tariff Act of 1930 aimed to protect American farmers and industries by raising taxes on over 80,000 imported goods.
• Unintended consequences: The act prompted other nations to implement similar tariffs on U.S. goods in retaliation. 

The trade war and its effects

• Collapse of trade: The cycle of retaliatory tariffs led to a dramatic drop in global trade, which was down by about 65% between 1929 and 1934.
• Economic harm: This collapse of international trade hurt the economies of countries around the world, making it difficult for them to recover from the Depression.
• Increased costs: Tariffs made imports more expensive, raising the cost of living for consumers.
• Impact on U.S. exports: U.S. exports declined significantly, with the agricultural sector being particularly hard-hit. 

The bottom line is that when banks failed and businesses failed, money was in short supply. The short supply slowed down people from buying commodities and could not purchase necessities. Since tariffs are really a tax on consumers, people had even less money to purchase goods. It accelerated the problem.

Those who don’t know history are doomed to repeat it. This is a classic line from history teachers.

Early action through communication with politicians and voting can lessen the damage occurring now. Pay attention, learn, and be active politically.

Some politicians frequently make great promises that never come. This is an example of such a promise. This section will help you see this. It will help you be less likely to accept lies.

President Trump says he will give citizens a $2,000 tariff dividend. Wow! Doesn’t this sound like a great benefit? However, this is a lie.

Tariffs are taxes on the consumer, American Citizens. Economists have projected that American tariffs will add up to $4,000 per year to Americans’ costs. Trump promises to give us back half of the new taxes he took from us under the name of tariffs on other countries. We will still incur a $2,000 loss. In category 1 Tariffs, this reality about tariffs being taxes was explained.

Incidentally, if you look up in Google, Bing, or any other Web search engine, this will be verified.

The gall of our President to do this is an indication of his lack of respect for the intelligence of American citizens.  As of February 18, 2026, this promised gift has still not happened. Promises and Lies done repeatedly.

How many times does a person have to tell you lies before you no longer believe in them? There is a saying about this: “Fool me once, shame on you. Fool me twice, shame on me.”

You need to talk to your representatives about this. Make them more afraid of you than Trump. Tell them you are voting for your pocketbook.

Tariffs do not just affect our country. Tariffs create tariff responses. All commodities become more expensive across the globe. Everyone suffers.

Tariffs create inflation and anger in other countries. Their citizens suffer economically. Economists call tariffs a form of warfare. Inflation hurts the bottom 20 – 30 % more than the upper 70%. It still hurts everyone.

What countries should be doing is to work with each other. Keep prices low for all people. Share and trade commodities with each other’s needs.

Some people think the top military countries can control things with nuclear weapons. They can’t use these weapons. The nuclear weapons pollute countries with deadly radiation that makes the country unusable for thousands of years. The current nuclear weapons are a hundred times more powerful than those used on Japan. Putin threatens to use nuclear weapons. This is laughable! Ukraine is less than 150 kilometers east from Moscow. The weather patterns travel from west to east. All the fallout will land on Russia and Moscow.

There is a reason that nuclear weapons have not been used. We really need to work together. Those countries that try to impose economic hardship through tariffs will become isolated. This will only hurt the aggressor which is currently America under Trump. Oh yes, Putin is an aggressor even though Trump says otherwise.

Countries need to be respectful and work cooperatively.

Call your representatives.

There is a hidden problem that could become catastrophic. The national debt. Are you curious?       

We have seen in Tariffs 1 and Tariffs 2 that they significantly hurt the economy. They create losses that hurt both the United States and foreign countries, some of which are neighbors and allies.

America is becoming isolated. Its economy is hurting. The national debt is rising. Other countries are working together to create a currency, BRICS, to rival the dollar. BRICS will hurt us economically. Trump’s arrogance and ignorance is making us lose friends and respect across the globe.

On December 3, 2025, Japan took out $ 8.6 trillion in investments in US national debt. This action will cause a shortage of money to run our government.

Several countries purchase US debt as a form of stock market investment. The US does not need to pay off the debt because it only pays interest on it. Making enemies causes negative responses.

The world has become one global economy.  We need to be partners, not bullies. Call you political representatives.

Tourism is more than just a vacation. This section will show you why being a bully on tariffs can backfire. Are you curious?

Tourism is more than just a vacation. This section will show you why bullying on tariffs can backfire. Are you curious?

The relationship the U.S. had with other countries can sometimes be very good or very bad. If citizens of a country dislike our country, citizens of that country may change their minds about visiting the U.S. for a while.

Tourism brings in a substantial amount of income to the United States. Canada and Mexico have a large number of tourists each year. Tourism brings in 8% of the economy.

President Trump has been bullying Canada for over a year. Trump has called Canadians many negative terms. He has unilaterally changed his trade deal with Canada. He has increased tariffs on Canadian goods. He suggested that Canada could be our 51^st state. Trump has also done things similarly with Greenland.

Canadians have labeled U.S. goods in their stores so their citizens can retaliate against the U.S. Canadians have also changed their tourism to avoid the U.S. The financial cost in 2025 was enormous, billions of dollars.  Many Tourist places, such as Florida, California, and the East Coast, lost 20% of their tourism income.

Other countries on which Trump tried to impose tariffs at a great rate have rated the U.S. as an unsafe country to visit. Ice activities are also part of this. Visitors feel less safe. Tell your representative that this is hurting the country and hurting business.

America’s degrading image can hurt US travelers when they take vacations abroad. How?

For many years, the United States has been looked at favorably as the leader of the free world.

• The US has been viewed as the most powerful military
• The US will jump in and help other countries.
• The US has a fair justice system. There are due process protocols for all citizens and visitors. Arrested under a judge’s warrant, a trial, an attorney.
• The US helps other countries financially.

Under Trump, things have changed.

• Trump denies military help. He has said the Ukraine is responsible for the invasion of their country by Russia.
• He speaks in racial terms about immigration and immigrants’ behavior. His language is crude and offensive. He makes threats to allies. He said that Canada should be the 51^st state of the US. He has threatened to take over Greenland.
• He does not follow due process. He arrests people through ICE without a warrant, using people without identification and wearing a mask. These people are denied an attorney and are sent to an unknown destination. They are forced to go to countries other than their original countries. He separates family members and children.
• He uses the military to help ICE. Under US law, the state’s military reserves are under the direction of the Governor. He ignores the laws and uses the military anyway.
• At the United Nations in October, Trump told the audience of world representatives that their countries are “Hell Holes”.

People all over the world see this. They are shocked. Their view of America is different. When US citizens visit abroad, they can encounter cold, unfriendly reactions from foreign citizens.

From the Pew Research Center, the following are tables showing the percentages of people who dislike the US and who distrust US democracy.

This image will make interactions in foreign countries less enjoyable.

Mexican visitors provide income to the US. This hurts us. This is not obvious.

Tourism from Mexico to the U.S fell sharply in the first quarter of 2025 by 7.2%, with business and leisure travel declining by 19% and 5.1%, respectively. Factors contributing to this decline include negative perceptions of U.S. stemming from the Trump administration’s anti-immigrant rhetoric, fears of unfair detention at the border, and a strong dollar making U.S. vacations more expensive. This drop has affected U.S. businesses that rely on international visitors, even as other countries such as Spain, Saudi Arabia, and Turkey see increased tourism.

KEY STATISTICS quarter of 2025

• 2% decrease: The overall drop in arrivals from Mexico in 1^st quarter of 2025
• 19% decline: The drop in business visitors.
• 1 % decline: The decrease in Mexican leisure travelers.

CONTRIBUTING FACTORS

• Negative Perceptions: The Trump administration’s strong anti-immigrant rhetoric has created a negative perception of the U.S. among Mexican travelers.
• Fear of Detention: Reports of arbitrary detentions and fears of encountering aggressive customs enforcement have deterred Mexican tourists.
• Increased Competition: Other countries are more attractive destinations for international travelers.
• Effect on Tourism Industry: While the U.S. sees fewer visitors, other nations are experiencing a surge in internation tourist, indicating a global shift in travel patterns.

America’s image in the world is deteriorating and negatively affecting the economy.

When President Trump talks at the United Nations and tells the audience of national leaders that their countries are going to hell, there are negative consequences

Our President’s lack of manners hurts us in many ways. Taking over the House and or the Senate will slow him down. VOTE!

 Tourism is a lot more than just having visitors. Here are some of the problems.

When the U.S. loses tourism, it affects many sectors of the economy.

• Airlines lose business. People lose jobs.
• Hotels lose business. People are laid off. Unemployment payments increase. Unemployed people do not pay taxes.
• Fewer tourists mean fewer tourists buying things or going to restaurants.
• Airbnb and rental properties lose critical business.

When other countries dislike the U.S., it makes vacationing there less enjoyable. People in other countries go elsewhere and spend their money there.

THE MAGNITUDE OF THE PROBLEM TO THE U.S.

In 2024, international tourism generated over $253.9 billion in income for the United States.

• In 2024, on average, this amounted to an injection of $696 million per day to the U.S. economy.
• This income is known as travel exports. It accounts for 8% of all exports.
• Some of the spending breakdown: travel spending 12.8 billion, medical and education 6.3 billion, and 3.3 billion for U.S. carriers (cabs, car rentals, airfare) and international visitors.

For 2025, a significant decline in international visitor spending is projected. The World Travel & Tourism Council forecasts a drop to $ 169 billion.

The bottom line is that if you want people to visit your country, you must:

• Be polite, friendly, and warm when speaking to and about foreign countries.
• You must create a feeling of safety, due process of law, and an acceptance of all types of people.

Call your representatives.

How would you feel if you gave a friend money to buy you a TV and they used the money for something else that they wanted? They did not return your money. The Just kept it. This is cost shifting. Really, you would think of it as stealing. We think you would be right. Read on this is happening to US citizens.

Cost shifting is taking money that you have given to the federal government to provide you with services and using it for something else. When the federal government cuts benefits and redirects tax revenue to other uses, the responsibility for benefits falls to the states. If the state cannot afford to pay for the service, you lose the service.

In the US, the states and the federal government often work on a common task. States cannot pay for certain things such as the national defense, making money, protecting our borders, the national weather service and more. The federal government helps states with these tasks.

When the federal government uses our federal taxes for certain projects, it is using our federal tax money to fund those projects. FEMA is a federal program that helps states when a weather-related disaster occurs. This is a long-standing activity. Trump is cutting back FEMA. This cutback is shifting costs to the states. FEMA is really an insurance policy for the country. States cannot do this themselves.  The medical safety net programs of SNAP, Medicaid, Medicare, and the Affordable Care Act (ACA) are also too big for states to do this alone. These programs have existed for a long time. Trump is significantly cutting back these programs. They affect people at their most vulnerable times.

What is Trump spending on that is more important than FEMA and the safety net programs? These tax revenue decisions are not being made known to US citizens. Is the new ballroom at the White House a justification for the cuts?

SNAP affects 42 million people. Medicaid affects 70 million people; Medicare affects 69 million people. The ACA affects 45 million people. How many people would use Trump’s new ballroom?  Where is his compassion?

The states cannot handle these services on their own. In many cases, states pay half the costs. If Trump is allowed to do this, the states will have no choice but to cut services. Cuts in the medical areas will cause more people to die.

If you are not getting mad, you will when a family member or a friend dies. Call your representatives.

In the past, when there was a federal disaster, the federal government stepped in to help through FEMA. If this program benefit is cut, what will happen to you in a disaster?

EFFECT OF CUTTING FEMA THROUGH COST SHIFTING

In 2025, FEMA denied several disaster claims, particularly related to hazard mitigation funding. Notably, the Trump administration rejected requests for such funds in states like Iowa, Mississippi, Missouri, and Oklahoma, which were part of a trend to cut costs and narrow the scope of FEMA. Additionally, a federal judge ordered the restoration of canceled disaster mitigation funding, siding with 22 states and the District of Columbia. These denials reflect a significant shift in how FEMA operates, with fewer funds available for disaster preparedness and recovery efforts.  (politics)

WHY FEMA CONTINUES DENYING DISASTER PREPAREDNESS AID TO STATES

The Trump administration is increasingly skipping a form of federal disaster aid that helps states better prepare for future storms, flooding, and wildfires.

The Federal Emergency Management Agency, FEMA, rejected requests for resiliency funding, known as Hazard Mitigation Grant Program funding, for Iowa, Mississippi, Missouri, and Oklahoma last week, part of a trend that began this spring.

These denials are one way the administration is trying to cut costs and narrow the scope of FEMA, the nation’s primary agency for disaster work that sits under the Department of Homeland Security.

The administration is weighing the approval of hazard mitigation funding “with states’ ability to execute those funds,” said White House spokesperson Abigail Jackson. “To date, we are observing large unobligated balances across the board,” she added

On Tuesday, President Donald Trump reiterated his plan to eliminate the agency, possibly as soon as the end of hurricane season in late fall. “We’re going to do it much differently,” he said in the Oval Office. Standing near Trump, Homeland Security Secretary Kristi Noem said: “You’ve been very clear you want to see FEMA eliminated as it exists today. So, I’m preparing all these governors so that they will have more control over the decisions on how they respond to their communities, so that they can help it happen faster.”   How?  If they are not given any funding?

The federal hazard mitigation money is used for flood buyouts of homes and for constructing tornado-safe rooms. Not receiving it “would mean that there would be fewer funds available for Missouri communities to fund such projects,” said Mike O’Connell, communications director for the Missouri Department of Public Safety.

The requests for hazard mitigation funds were part of the states’ applications for major disaster declarations, a status that comes with federal assistance. Missouri experienced back-to-back severe storms in mid- and late March. That same month, Iowa experienced a severe winter storm, while Mississippi was hit by strong storms and Oklahoma was affected by straight-line winds and wildfires. In each case, the destruction from the disasters overwhelmed local and state responses, prompting Republican Governors Kim Reynolds of Iowa, Tate Reeves of Mississippi, Mike Kehoe of Missouri, and Kevin Stitt of Oklahoma to seek federal assistance.

On May 21, Trump signed major disaster declarations that greenlit some funding to help affected communities in the four states recover and rebuild. But the states’ specific requests for money to invest in projects to boost defenses and preparedness against future storms and other disasters remained under review.

Less than two weeks later, on June 2, FEMA denied the hazard mitigation requests, according to a review of three of the five rejection letters and interviews with state officials.

It’s a pattern that started in March, when the Trump administration stopped automatically approving hazard mitigation requests tied to major disasters. It later denied two state requests in May.

The denials represent a big change from how previous administrations, including Trump’s during his first term, responded to such requests, when the approval of this money as part of large post-disaster aid packages “was considered to be almost automatic,” said Michael Coen, who used to review the requests as FEMA’s chief of staff under former President Joe Biden.

Jackson said in a statement that the White House is “working with states to assist them in identifying projects and drawing down balances in a way that makes the nation more resilient.” (When asked about the administration’s denials of hazard mitigation funding in May, she provided identical comments.)

Neither she nor the DHS provided any additional details.

Missouri officials said they are preparing to appeal FEMA’s denial of hazard mitigation funds, while Iowa and Mississippi are still considering their options. Oklahoma has decided against appealing because it received other federal funding it can use in a similar way, according to state officials.

It is better to call your representatives before a disaster occurs. Call.

WHAT FEMA CLAIMS WERE DENIED IN 2025 

Is the above cut above just one case? Look below to find out.

In 2025, FEMA denied several major disaster assistance requests, notably for Maryland (Western Counties floods) and Wisconsin (August floods), citing insufficient damage or unmet criteria despite state appeals, leading to accusations of politicization. Other denials included Washington State for infrastructure repair and West Virginia for some counties, with a trend of increased scrutiny and denials affecting states with Democratic governors. FEMA cited policy and review standards, while state officials blamed partisan decisions, with Maryland’s denial even reaching the final appeal stage. 

Key Denied Claims & Locations in 2025:

• Maryland (May Floods): FEMA denied both the initial request and the state’s appeal for a Major Disaster Declaration for Allegany and Garrett Counties, affecting towns like Westernport.
• Wisconsin (August Floods): A request for Public Assistance (infrastructure repair) for six counties (Door, Grant, Milwaukee, Ozaukee, Washington, Waukesha) was denied after preliminary assessments.
• Washington State (Unspecified Disaster): Denied $34 million for roads, utilities, and power system repairs.
• West Virginia (Unspecified Floods): Individual assistance was denied for seven of the fourteen affected counties.
• Illinois (Summer Storms): Despite extensive damage, disaster aid for Chicago residents was reportedly denied. 
• The Trump administration has made aid harder to obtain. 

Outcomes:

• For Maryland, the denial of the appeal meant no further federal disaster funding for the May floods, leaving communities reliant on state funds.
• Wisconsin officials continued to object, while some denied states explored other recovery avenues. 

In 2025, FEMA, under the Trump administration, denied several state requests for major disaster declarations and public assistance following various natural disasters. These denials have been notable.

The disasters wipe out entire towns. Having a federal department handle these emergencies creates an experienced task force to handle every weather event. Doing it by each state creates a less experienced task force in each state. Some states may not have a weather event for 10-15 years.

If politicians get many calls, they will be pressured to change these cuts.

SUMMARY OF EFFECT OF COST SHIFTING TO STATES  

When you hear some problems in isolation, you may not initially see the total magnitude of adding all the damage of each problem. Eventually, you do. This talks about the magnitude of the cuts.

According to projections and analysis from 2025, various cost-shifting proposals and economic factors could lead to significant dollar effects within the federal government, but a single, comprehensive dollar figure for all cost-shifting is not available. For example, the transfer of Medicaid costs to states could result in billion-dollar shortfalls for those states, while a government shutdown could permanently remove billions from the GDP. Conversely, new tariffs could increase federal revenue by trillions over a decade, though with negative economic impacts.

Specific examples of the dollar effect of cost-shifting in the 2025 federal government include:

• Medicaid and states: Proposals to shift Medicaid costs to states could force them to absorb billions of dollars in new expenses. If states are unable to make up the funding, they would face service cuts or eligibility restrictions. For example, analyses projected North Carolina could lose $6 billion in federal funds, and Utah could lose $1.4-1.5 billion annually under potential changes.
• Medicaid and beneficiaries: A House Republican bill could eliminate Medicare Savings Program assistance for 1.4 million dually eligible people, leading to increased out-of-pocket costs for seniors and people with disabilities.
• Tariffs: The Tax Foundation estimated that tariffs implemented in 2025 could raise an additional $1.8 trillion in federal tax revenue over a decade on a “dynamic basis”. The Yale Budget Lab reported that 2025 tariffs could raise $2.2 trillion over 2026-2035, while also slowing GDP growth.
• Contracts and grants: An executive order was issued in February 2025 as part of a “cost efficiency initiative” impacting federal spending on contracts, grants, and loans. This initiative was intended to reduce federal costs, but specific dollar amounts are not available from the search results.
• Government shutdowns: A Congressional Budget Office (CBO) assessment of a government shutdown in October 2025 projected a permanent, unrecoverable reduction in real GDP of between $7 billion and $14 billion (in 2025 dollars), depending on the length of the shutdown.
• SNAP funding: Proposed legislation in 2025 would require states to pay a portion of SNAP benefit costs, creating a significant cost shift to states that could lead to reduced benefits or eligibility. A CBO estimate projected that expanding work requirements could cut SNAP by $92 billion over ten years.
• Increased Costs for All, Hospitals and Lives at Risk

When these cuts hit you, it will really hurt. It is better to call now to get the cuts restored.

When the federal government creates safety-net programs, they are funded by federal tax revenues. When the president directs Congress to reduce or cut these benefits, they are shifting the Federal Tax Dollar responsibility to the states. Citizens’ federal tax dollars go elsewhere. Citizens lose the service, the safety net. Where do the tax dollars go?

The states would need to raise their taxes to sustain the service. They simply cannot afford this.

FEMA, the Federal Emergency Management Agency, is best handled by the Federal Government. Extreme weather events can be better handled by a nationwide insurance policy. The high costs of weather storms are too much for a state to handle. Would you have each state handle its own defense against another country? Of course not. The national defense is too large to be handled piecemeal.

Weather events are not foreseeable, consistent events. FEMA can take its tax dollars and spread it across the country where it is needed. FEMA is a critical safety net for the states.

Public schools cannot be funded by the local communities alone. Some municipalities do not have the tax base to totally fund the schools. States have a support system to help fund schools with their problems. They create a pool of state tax money to help public schools. The wealthy school districts receive less from this fund than the poorer districts. This enables all school districts to function. Again, this is the same idea as FEMA and the national defense helping states.

The Department of Education acts as an additional safety net to public schools. It provides help in specialty areas and support for very poor school districts. Nationally, on average, 14 % of every school district’s budget is paid for by the Department of Education. In extremely poor districts, as much as 48% of the school district’s budget is paid by the Department of Education (Detroit, Michigan).

Democracy does not work with an uneducated population.

Medical Benefits give similar federal assistance to citizens through SNAP, MEDICAID, MEDICARE and ACA, which expands support to the most vulnerable.

All of these programs are being cut. The costs are being shifted to the states. Without an understanding of Insurance and actuary science, you might think cost shifting is workable and acceptable. It is not!

The magnitude of the damage of these cuts will never be forgotten!

Trump did the same damage during COVID in his first term. First, Trump claimed COVID was a hoax. He delayed. Things got out of hand. He talked about drinking bleach as a cure. There were 1,228,289 confirmed COVID deaths in the US. Now he intends to do more stupid things that will hurt people badly. Please pay attention.

This is not your fault. The Media is scared and not acting responsibly. This site is here to help. We, you and us, are the last defense against corrupt, incompetent politicians. This country exists because a few dedicated people beat the British Empire.

It is up to us. VOTE!

This is much more impactful than it appears.  The total impact is not obvious?

This is a special topic that impacts all Americans. It requires more detailed information. To effectively run a democracy, you need an educated population. America needs an educated population to give industry effective workers and to vote intelligently.

Public education is a state’s right. Those items not expressly stated in the US Constitution are reserved to the states. Each state runs its public schools based on its elected school board members and its citizens through their school board and state officials.

Public education is funded by citizens in the school district, state supplementary funding by the states, giving more money to the school districts with a lower tax base, and supplementary funding by the federal government to help special needs students and help for very poor districts. Both state and federal funding are safety net programs for public education.

The percentage of a school district’s total funding is, on average, 13.6% from the federal government, 40% by the state, and 45% by the school district, through approximately 1% in income tax and property taxes. Although the average federal benefits from the Department of Education are nationally on average, 13.6 % of a school district’s budget, some districts get much higher. The Detroit School District receives 48 % of their budget from the Department of Education. Some districts do not need help.

Trump is in the process of eliminating the Department of Education. Linda McMahon, US Secretary of Education, has fired over 20,000 staff members and is making deep cuts. Trump’s plan is to eliminate the Department of Education completely after the midterm election in 2026. This is cost shifting.

Consequences: School districts cannot raise taxes 13.6 % in a given year. The states cannot make up the difference. School will be forced to make deep cuts. The Detroit Schools loss of 48 % of their budget will force them into bankruptcy. The damage is enormous. An educated population is ESSENTIAL for having a successful democracy.

Some Republicans are trying to stop this. The Speaker of the House, Johnson, is refusing to bring a bill to stop this to a vote in the house. Here is another Safety Net Program being cut or dismantled.

Whether your children go to private school or you have no children, school taxes will increase. Many public schools are financed through property taxes. Your property taxes will increase. Call your representative.

Why not just cut federal funding to public school? I do not have children. I am retired. This is why.

Investing in Public Education Will Strengthen the U.S.

The U.S. is a global powerhouse. Public education is one of the main reasons why.

Public education in the U.S. is under attack. Whether at the local, state or federal level, political and religious groups have pushed for funding cuts while diverting more money to private-school vouchers, trying to alter curricula and removing books from children’s reading lists. By not prioritizing free and equitable public education, the U.S. government is robbing our youths of the critical-thinking skills and knowledge that drive innovation and democracy.

These efforts fall heavily on science education in our classrooms, if not directly on classwork, then on its fundamental drivers—curiosity, imagination, ingenuity and innovation. To ask the kinds of questions of our natural world that would produce such things as artificial intelligence, spacecraft, medicines, and more, children need exposure to the ideas that have shaped our progress as a society, the status quo we have bucked against to bring about great changes for humanity, the declarations we have questioned and then reshaped.

The attempt to quell and control taxpayer-funded education is antithetical to a society that values evidence and knowledge. It’s a concerted effort in thought control, racism, classism and sexism. It’s not very democratic—or very smart.

About 50 million children in the U.S. attend public school, according to the National Center for Education Statistics. That number was closer to 51 million in 2019, but many kids who left public school during the COVID pandemic didn’t come back to public education. Children attending public school exercise a right that used to be a privilege, as schooling in the U.S. was generally tuition-based until the mid- to late 1800s. By 1870, about 78 percent of children ages five to 14 were enrolled in taxpayer-funded schools. In 2019 and 2020, between 80 and 90 percent of children who went to public school in the U.S. graduated from high school, depending on the locale.

Critical thinking and exposure to different ideas are fundamentals of not only democracy but also creativity and innovation.

Some of the biggest battles about the right to comprehensive knowledge have been waged in public schools. They include the fight over the ability to teach evolution at Rhea County High School in Tennessee, which was at the center of the Scopes Trial 100 years ago, and clashes over the inclusion of climate change science in textbooks that serve millions of public school students in Texas and elsewhere. School districts nationwide have removed school library books that contain information on changing bodies or that explore mental health, not to mention ones that discuss slavery, race and gender identity. Under the guise of protecting children from harm, censors instead seek to whitewash the inconvenient truths that make it harder for them to maintain their profiteering and social hegemony: Earth is warming, and humans are responsible; slavery did happen; neither race nor gender is hierarchical.

Among the most egregious examples of the drive to undermine public education are school voucher programs. These efforts funnel taxpayer dollars to private and parochial schools, frequently at the expense of the long-term funding of public education. Often sold as “school choice,” these legislative initiatives are championed as a way to help students escape poorly performing public schools or to give families of lesser means more options in education. But problems abound.

Arizona is hemorrhaging money to keep its voucher program afloat. In Indiana, educational gains in voucher-eligible schools are debatable. Joseph Waddington, an education researcher at the University of Notre Dame, says his and others’ examination of Indiana’s program showed that when children initially transitioned to private schools, their math scores fell significantly. It took a while for them to rebound. The researchers found no difference in English scores. The idea in some corners has been that voucher programs will stimulate the development of more religious or for-profit schools, which would, of course, enrich the entities opening the schools. But in many rural areas, there are no such schools. Many Texas counties have no private option. This lack was the basis for one of the bigger criticisms of Texas’s new voucher program, passed during the state’s January 2025 legislative session. Such examples beg the question of why these funds shouldn’t just be used for public education that everyone can benefit from.

Critical thinking and exposure to different ideas are fundamentals of not only democracy but also creativity and innovation. For the U.S. to maintain its status as an economic powerhouse and driver of the global economy, we need problem-solvers, inventors, iterative thinkers and people who view failure as part of progress. This is the realm of science and mathematics, the realm of history and geography, the realm of a broad-based and well-rounded education. Diverting funds from public education while stifling certain ideas in public schools would certainly diminish our footprint in the world.

And although public education in the U.S. is a local and state issue, federal support does matter. Efforts to dismantle the Department of Education, which helps students with disabilities, gives grants and funds to equalize educational opportunity, and carries out research on different aspects of education, leave students at every level in the lurch, especially in less affluent school districts. Schooling may be local, but national support is critical.

What does appropriate funding for public education look like? Higher teacher salaries. Better buildings, not just stadiums. More reliable transportation. More comprehensive, influence-free textbooks. Better laboratories. More subject options. Better training in trades. More preschool. Mental health services. Physical health services. More nutritious meals. Better and free after-school programs.

The idea that we can defund public education in favor of alternatives belies reality and common sense. Public education provides community, refuge and opportunity. It is a common good that we must nurture. The U.S. became a world leader thanks in no small part to universal, standard public education. We owe it to future generations to keep it that way.

This article was published with the title “Invest in Public Education” in Scientific American Magazine Vol. 333 No. 2 (September 2025), p. 72

Democracy does not work well with an ignorant population. Call your representative.

Public Education is a state’s right. It varies across the country. However, they all have the features below. Read on if you are interested.

PUBLIC EDUCATION CHARACTERISTICS   

Public education in the U.S. is a free, taxpayer-funded system for K-12 students, governed at the local, state, and federal levels. It serves the majority of American students and includes elementary, middle, and high school, with compulsory attendance typically from ages 5/6 to 17/18. The system faces challenges, including ongoing debates about funding, curriculum, and quality, as well as recent issues like absenteeism and the need for modernization. 

Administration and funding

• Decentralized control: Authority is divided among local school boards, state governments, and the federal government.
• Funding: Public schools are supported by local property taxes, state funds, and federal resources.
• Governance: Locally elected school boards make decisions on academic standards, staffing, and costs, often with input from parents and community members. 

Student access and demographics

• Universal access: Public schools are free and open to all children, including those who are not U.S. citizens or permanent residents.
• Diverse student body: Students from all cultural and linguistic backgrounds attend public schools.
• Majority of students: Traditional public schools serve the majority of students in the U.S., though families also have options like charter schools, private schools, and homeschooling. 

Historical context

• Colonial roots: Public schooling has origins in the colonial era, initially to preserve religious and cultural values, with early laws mandating towns to have a teacher.
• Expansion: The 19th century saw the expansion of compulsory education laws and the establishment of schools for students with disabilities.
• 20th-century reforms: This era brought about the end of segregation, the prohibition of prayer in schools, and efforts to improve educational opportunities for disadvantaged and disabled students. 

Current issues and future directions

• Funding challenges: Issues like property tax freezes have led to significant drops in per-student spending in some states.
• Absenteeism: Chronic absenteeism in K-12 schools has risen significantly since the pandemic.
• Modernization: There are ongoing calls for investment in public education to modernize facilities, improve teacher compensation and development, and address the place of technology like AI in the classroom.
• Student support: Addressing students’ health and well-being through wraparound support services and promoting social-emotional learning are also key focuses.
• Public opinion: A recent poll showed a record-low percentage of Americans are satisfied with the quality of K-12 education. 

Public education in the U.S. is a system of free, government-funded, mandatory schooling provided to all children from kindergarten through 12th grade. It is primarily a state and local responsibility, with federal involvement to ensure equal access and opportunity for all students.

Key Characteristics

• Mandatory Attendance: All U.S. states have compulsory education laws, requiring children to attend school within a specific age range, typically starting between ages five and eight and ending between sixteen and nineteen, depending on the state. This requirement can be fulfilled via public school, private school, or homeschooling.
• Funding: Public schools are funded by a combination of local property taxes, state funds, and federal resources. State and local governments provide the bulk of the funding.
• Governance: The system is decentralized, with over 50 independent educational systems across states and territories. Public schools are generally overseen by locally elected school boards that make decisions on academic standards, staffing, and operating costs.
• Curriculum & Standards: Educational standards are set at the state level. Reforms like the Common Core State Standards initiative aimed to create consistent benchmarks across states for math and English language arts, though adoption and implementation have varied.
• Inclusivity: By law, public schools must accept all children regardless of background (race, religion, ethnicity, income, etc.) and provide additional support services for students with disabilities or language barriers. 

Structure of the System (K-12)

Education is divided into three main levels: 

• Elementary School (Grades K-5): Focuses on foundational skills like reading, writing, and math, usually with one primary teacher.
• Middle School (Grades 6-8): Introduces more specialized subjects and multiple teachers, helping students develop stronger study and organizational skills.
• High School (Grades 9-12): Offers advanced academic classes and electives to prepare students for college or the workforce. A high school diploma is awarded upon graduation.

Public education in the U.S. faces ongoing debates and challenges: 

• Funding Inequality: Significant disparities in resources can exist between districts due to reliance on local property taxes.
• Student Performance: The U.S. ranks below average in some international assessments in subjects like math and science compared to other developed nations.
• Teacher Shortages: The system is facing crisis-level teacher shortages and concerns about teacher compensation.
• Political Intrusion: Debates over what should be taught in schools and the role of government in education policy are prominent.
• Impact of Technology: The integration of digital tools has grown, accelerated by the COVID-19 pandemic, raising issues about the digital divide and effective use of technology. 

When you no longer personally need a feature of the country, others still do. The country still needs to work even if you are in a nursing home. Uneducated works do not help our country. You know what to do.

Do you understand the magnitude of public education across the country?

Overview

U.S. public education serves nearly 50 million K-12 students, with expenditures over $850 billion annually, averaging around $17,700 per student, funded by federal, state, and local sources, though enrollment has seen slight declines recently, especially in older grades, with variations in per-pupil spending by state and growing diversity in student populations. Key stats include about 98,000 public schools, around 15:1 student-teacher ratios, and significant funding disparities, like New York spending much more per pupil than Utah. 

Enrollment & Demographics

• Total Students: Around 49.6 million K-12 public school students (Fall 2022).
• School Count: Over 98,000 public schools.
• Largest States: California, Texas, Florida have the highest enrollment.
• Diversity: Growing representation from Asian, American Indian/Alaska Native, and Pacific Islander students. 

Spending & Funding (Approx. 2023-2024) 

• Total Expenditure: ~$878 billion.
• Per Pupil: ~$17,700.
• Funding Sources: Federal ($119B), State ($384B), Local ($375B).
• State Variation: New York spends much more per pupil than Utah. 

Teachers & Ratios

• National Average Ratio: About 15 students to 1 teacher.
• High Ratios: California, Nevada, Utah (around 22:1).
• Low Ratio: Puerto Rico (around 10:1). 
• Slight Enrollment Decline: Overall public school enrollment decreased slightly (0.2%) from Fall 2022 to Fall 2023, with decreases in K-8 but a slight increase in high school (9-12).

We hope this helps you better understand public education. The quality of the public schools is one of the greatest causes for the value of your home. This helps you at retirement when you sell your home to downsize.

Do you like your taxes? Cutting the Department of Education will significantly raise your taxes. How much? Read on.

The Department of Education under the Trump administration has undergone significant changes, including the redistribution of responsibilities and the potential abolition of the agency. The changes have been met with criticism from lawmakers and student leaders, who argue that shifting major Education Department programs to other federal departments would create service gaps and weaken oversight, leaving vulnerable students without support. The administration’s plans to dismantle the department have been described as part of a larger assault on the foundations of education, with implications for students, families, and local schools nationwide.

The U.S. Department of Education (ED) provides a relatively small slice of total public school funding; nationally, federal sources provide about 10-14% of K-12 funds, with the majority coming from states (around 45%) and localities (around 43%), though federal amounts vary greatly by state and year. The ED’s share is part of this federal total, with other agencies, such as Agriculture, also contributing (e.g., school lunches). 

• Total Federal Share: Around 10-14% of total K-12 funding.
• Typical Split (approx.):
• State: ~45%
• Local: ~43-44% (often from property taxes)
• Federal: ~10-14% (includes ED and other agencies) 
• Total Federal Share: Around 10-14% of total K-12 funding.
• Typical Split (approx.):
• State: ~45%
• Local: ~43-44% (often from property taxes)
• Federal: ~10-14% (includes ED and other agencies) notes Education Week

• On average, approximately 13.7%of public-school funding in the US comes from the federal government during the 2021-22 school year. This percentage can vary, with some sources indicating it may be around 8% to 13% depending on the fiscal year and specific programs funded. The federal government provides a significant portion of funding through specific grant programs aimed at supporting disadvantaged students and other educational needs. 

Can you afford to have you school taxes go up this much?  Call your representative.

Why is Trump doing this?  Below is some of his views and effects.

Recent cuts to the U.S. Department of Education, primarily driven by the Trump administration’s proposals for year 2026, target significant budget reductions (around 16%) and workforce downsizing, heavily impacting special education (IDEA) programs, research, and staffing, with plans to return more control to states, sparking debate over federal oversight and impact on vulnerable students.

Key Areas Affected by Recent/Proposed Cuts:

• Staffing: A drastic reduction in the Department’s workforce, with nearly 50% cut since early 2025, including significant layoffs in the Office of Special Education Programs (OSEP).
• Special Education (IDEA): Proposed elimination of specific support programs, consolidation of funding, and reduced accountability for disabled students.
• Research & Data: Cuts to departments that collect data and research best practices, impacting the identification of effective teaching methods.
• Programmatic Changes: Efforts to streamline bureaucracy and shift responsibilities to states, including interagency agreements to reduce the federal footprint.

Rationale & Impact:

• Administration’s View: The administration aims to reduce the federal role in education, return power to states, and address issues like low math/reading scores by empowering parents and local communities.
• Concerns: Critics, including disability advocates and education organizations, warn that these cuts will harm students with disabilities, reduce oversight, and undermine essential educational research.

Current Status (as of late 2025):

• The Trump administration’s proposals face challenges from Congress, with bipartisan Senate efforts to largely maintain current funding levels for K-12 programs.
• The debate highlights ongoing tensions over the federal government’s role in education, particularly concerning funding for special needs programs.

Call your representatives.

Trump wants to eliminate the Department of Education. He wants to cut costs in the Federal Government. He has given large tax cuts to the upper class and their businesses. These gifts lead to other programs being cut. IT IS THIS SIMPLE.

The trade-off is that Wealthy gets wealthier at the expense of education for most of the country. This cut will make our workforce less qualified. These effects high tech jobs like engineering, doctors, nurses, and members of the military.

America’s colleges and universities need educated students. They need people to teach. They need immigrants to be students, teachers, and to conduct research.

How can America remain competitive in the world with undereducated citizens?

Well, this is another disaster, like tariffs and the gutting of the Federal Government.

The total of all the cost shifting is enormous. The adds up all the cuts. Can you handle all these cuts?

When the federal government creates safety net programs, they are paid for by federal tax revenues. When the president directs Congress to reduce or cut these benefits, they are shifting the Federal Tax Dollar responsibility to the states. Citizens’ federal tax dollars go elsewhere. Citizens lose the service, the safety nets. Where do the tax dollars go?

The states would need to raise their taxes to sustain the service. They simply cannot afford this.

FEMA, Federal Emergency Management Agency, is best designed to be done by the Federal Government. Extreme weather events can be better handled by a nationwide insurance policy. The large costs of weather storms are too much for a state to handle. Would you have each state handle its own defense against another country? Of course not. The national defense is too large to be handled piecemeal.

Weather events are not forceable, consistent events. FEMA can take its tax dollars and spread it across the country where it is needed. FEMA is a critical safety net for the states.

Public schools cannot be funded by the local communities alone. Some municipalities do not have the tax base to totally fund the schools. States have a support system to help fund schools with their problems. They create a pool of state tax money to help public schools. The wealthy school districts get less than the poorer districts from this fund. This enables all school districts to function. Again, this is the same idea as FEMA and the national defense helping states. The Department of Education acts as an additional safety net to public schools. It provides help in specialty areas and support for very poor school districts. Nationally, on average, 14 % of every school district’s budget is paid for by the Department of Education. For the extremely poor districts, as much as 48 % of the school district’s budget is paid by the Department of Ed (Detroit, Michigan).

Democracy does not work with an uneducated population.

Medical Benefits give similar federal assistance to citizens through SNAP, MEDICAID, MEDICARE and ACA, which expands support to the most vulnerable.

All of these programs are being cut. The costs are being shifted to the states. Without an understanding of Insurance and actuary science, you might think cost shifting is workable and acceptable. It is not!

The magnitude of the damage of these cuts will never be forgotten!

Trump did the same damage during Covid in his first term. First Trump claimed COVID was a hoax. He delayed. Things got out of hand. He talked about drinking bleach as a cure. There were 1,228,289 confirmed covid deaths in US. Now he intends to do more stupid things that will hurt people badly. Please pay attention.

This is not your fault. The Media is scared and not acting responsibly. This site is here to help. We, you and all of us, are the last defense against corrupt, incompetent politicians. This country exists because a few dedicated people beat the British Empire.

It is up to us. VOTE!