Business
Opinion: Biden delivered a new 'Roaring '20s.' Watch Trump try to take the credit.
Poor Donald Trump. Twice elected president only to have to clean up the economic messes left to him by Democrats.
In 2016, he groused about inheriting “a disaster” from Barack Obama. On Thursday, just four days before his second inauguration, he sent out a fundraising email claiming for the gazillionth time, “During my first term, we made the economy stronger than anyone ever thought possible. And then, Joe Biden came in and destroyed it.”
Except that — no surprise — neither Trump claim is true.
Opinion Columnist
Jackie Calmes
Jackie Calmes brings a critical eye to the national political scene. She has decades of experience covering the White House and Congress.
In fact, it was Obama and Biden who were bequeathed messes, from former Republican presidents George W. Bush and Trump himself. Obama took office after what Ben Bernanke, then the Federal Reserve chair, called “the worst financial crisis in global history, including the Great Depression.” And four years ago, Biden confronted a nation mired in a pandemic and economic distress exacerbated by Trump’s response. Even Trump’s pre-pandemic economy, as good as it was, was far from “the greatest economy in the history of the world,” as he still contends. By various metrics, it was either no better or not as good as under Obama.
As for the handoff in 2017: “Trump inherits Obama boom,” said one headline ahead of his inauguration. And now he’s inheriting even better. “Biden is leaving a stellar economy,” Mark Zandi, chief economist of Moody’s Analytics, wrote as 2024 ended.
Zandi expanded in October: “The economy is at full-employment, no more and no less. Wage growth is strong, and given big productivity gains, it is consistent with low and stable inflation. One couldn’t paint a prettier picture of the job market and broader economy.” In a letter to clients on Friday, UBS Financial Services declared this a new “Roaring ‘20s.”
And here’s another expert take that might come in handy while listening to Trump’s inaugural address Monday, should he resort to talk of “American carnage” as he did four years ago. Jeffrey A. Sonnenfeld, president of the Yale Chief Executive Leadership Institute, and Stephen Henriques, a fellow there, recently wrote, “As Trump bellows to crowds, ‘Are you better off economically than you were four years ago?’, the answer should be a loud YES!”
The problem for Biden, and for his replacement on Democrats’ losing 2024 ticket, Vice President Kamala Harris, many voters’ answer to that question was a loud “NO!”
For one thing, the pain of pandemic-spawned high inflation lingers in what Americans pay for groceries, goods and services. And yet, it’s worth establishing the facts as a baseline to counter what are sure to be Trump’s claims that he not only revived a destroyed economy but topped his own (nonexistent) world record.
The latest good news came Friday, when the International Monetary Fund forecast that the U.S. economy would grow faster this year than recently projected, given gains in employment and investment. The United States is buoying the global economy. “The big story is the divergence between the U.S. and the rest of the world,” IMF chief economist Pierre-Olivier Gourinchas told reporters.
But the fund’s forecast also echoed U.S. economists’ concerns that Trump’s agenda — more deficit-financed tax cuts, wholesale deregulation, across-the-board tariffs, immigration crackdowns and challenges to the Fed’s independence — could reignite inflation and add to the nation’s already unsustainable debt load.
In other words, Trump could break what’s not broken.
Inflation peaked at 9% at the midterm of the Biden administration, and as much as any issue, that helped elect Trump. It’s largely subsided, and good thing: After winning, Trump fessed up that, contrary to his campaign boasts, there’s not much he could do about inflation. “It’s hard to bring things down once they’re up,” he told Time magazine.
What’s worse is that his proposed tariffs — “my favorite word,” says Trump — could raise costs for a typical family about $1,700 a year, according to the Peterson Institute for International Economics. And U.S. trading partners could raise those costs even more if they retaliate with tariffs on American products: “Of course we will,” Canada’s foreign affairs minister, Melanie Joly, told CNN on Thursday.
Economic growth was 3.1% on an annual basis in the third quarter, the Commerce Department reported, making 2024 “yet another shocker year in which the U.S. economy surprised to the upside,” as Axios put it. Last month the Fed cut interest rates for the third straight meeting, but indicated fewer reductions ahead amid the Trump-generated uncertainty over what’s coming. The unemployment rate is at 4.1%; it was 6.4% when Trump left office. Job growth in Biden’s final full month of December was a higher-than-expected 256,000 positions, and job openings exceeded the number of unemployed job seekers. In Trump’s first three years as president, before the pandemic, the number of U.S. jobs increased by nearly 6.7 million; Biden’s four-year total is nearly 17 million. And wage growth, though stymied initially by inflation, now is greater than under Trump.
For all Trump’s talk of “drill, baby, drill,” energy production already is at a record high, according to the U.S. Energy Information Administration. The number of Americans without health insurance is at an all-time low, though Republicans aren’t likely to renew the tax credits that helped make the reduction possible.
Biden used his farewell speech Wednesday for a pre-buttal to Trump’s inevitable attempts to usurp credit for good times — assuming they remain good. The outgoing president hailed the post-pandemic revival on his watch and suggested that the laws he got passed for infrastructure, clean energy and semiconductor investments would keep delivering: “The seeds are planted, and they’ll grow and they’ll bloom for decades to come.”
Zandi, the Moody’s economist, expects the United States economy to continue to lead the world: “Of course, this assumes there will be no policy errors going forward.” And then he added: “Hmmm…”
@jackiekcalmes
The luxury shopping center in Pacific Palisades will reopen next month after more than $100 million in renovations forced by the January 2025 wildfire that devastated the Los Angeles neighborhood.
Palisades Village will reopen Aug. 15, owner Rick Caruso announced Wednesday. The outdoor center survived the blaze that destroyed homes and other businesses but needed refurbishment to eliminate contaminants that the fire could have spread.
Crews are putting finishing touches on mall buildings after tearing them down to the studs, treating the wood and rebuilding the walls, Caruso said.
“Everybody’s working, and stores are moving their products in,” he said. “It’s a really cool feeling that people have really locked arms and are working together.”
An electrician installs lighting for a restaurant at Rick Caruso’s Palisades Village on Thursday. The shopping center is scheduled to reopen mid-August.
(Myung J. Chun / Los Angeles Times)
Pacific Palisades resident Allison Polhill, who is rebuilding the home of 30 years that her family lost in the blaze, said she is “thrilled” at the prospect of returning to the mall she used to frequent. Its comeback is a boost for the community, she said.
“Every single step that we make to reopen our commercial corridors is going to bring more people back into the Palisades,” said Polhill, who expects to move back into her home at the end of August.
A total of 6,822 structures were destroyed in the Palisades fire, including more than 5,500 residences and 100 commercial businesses, according to the California Department of Forestry and Fire Protection.
Caruso previously attributed the mall’s survival to the hard work of private firefighters and the fire-resistant materials used in the mall’s construction.
The $200-million shopping and dining center opened in 2018 with a movie theater and a roster of upmarket tenants, including Erewhon, which may be the only grocer in the heart of the fire-ravaged neighborhood when it opens.
Caruso’s company was able to fill the mall with tenants despite the long shutdown.
Palisades Village is 99% leased, with the majority of tenants returning, said Jackie Levy, chief financial and revenue officer. Nearly one-third of the shops and restaurants are new to the property.
A firefighter carries a hose back to his rig while walking through a destroyed home from the Palisades fire in Pacific Palisades on Jan. 7, 2025.
(Genaro Molina / Los Angeles Times)
Last year, Pacific Palisades-based fashion designer Elyse Walker said she would reopen her eponymous store in Palisades Village after losing her 25-year flagship location on Antioch Street to the inferno.
Other neighborhood shops destroyed in the fire that are reopening at the mall include K Bakery and Loomey’s Toys, which caters to children up to age 12 and used to be across the street from Palisades Elementary Charter School.
“It’s been a journey and I’m excited because I wasn’t sure that there was going to be a place to come back to,” said toy store owner Amanda Rastegar. “Hopefully we can bring some of that magic back.”
Rastegar’s home in the Palisades survived but was damaged by the fire. The family returned about eight weeks ago. Her last memory of the fire was a burning supermarket.
“I just couldn’t wrap my brain around what was happening,” she said. “By the time I left, Gelson’s was on fire.”
Among the returning tenants is Angelini Ristorante & Bar. Well-known Los Angeles chef Gino Angelini said he will be in the kitchen next month for a return of the Italian restaurant.
“We won’t do a big celebrity open,” he said. “We want to have a very soft opening and see our customers come back.”
Construction takes place at Rick Caruso’s Palisades Village on Thursday. The shopping center is scheduled to reopen mid-August.
(Myung J. Chun / Los Angeles Times)
An elaborate celebration would not feel “correct for me,” Angelini said, because the devastation has been “very sad” for so many.
Other new tenants include local chef Nancy Silverton, who has agreed to move in with a new Italian steakhouse called Spacca Tutto. Women’s activewear retailer LESET will open its first West Coast location.
Caruso said he is optimistic that customers will return to the center, even though many Pacific Palisades residents are still dispersed. One tracking system estimated that about 30% of the Village’s customer base was impacted by the fire, he said.
“That means 70% did not get impacted, so there’s a lot of customers still left out there,” Caruso said. Historically, the center drew customers from as far away as Beverly Hills and Calabasas, as well as Malibu, Brentwood and Santa Monica.
He also hopes many will be inspired to visit the revived mall.
“I believe in the goodness of people and I believe that people are going to want to support the Palisades,” he said. “They’re going to want to be there and support the businesses that have had the courage and the heart to reopen.”
Walmart is rapidly expanding its network of electric vehicle chargers designed for customers to use while they shop.
The network could help fill gaps in EV infrastructure in states with greater need for chargers. Walmart, which has more than 5,000 locations in the U.S. and hundreds in California, says more than 90% of Americans live within 10 miles of one of its stores.
The chargers also offer an incentive for customers to choose Walmart — Walmart Plus members will receive a 10% discount off an average price of $0.46 per kilowatt-hour of energy at the company’s chargers.
Walmart chargers are already available at more than 75 locations in 17 states, with Texas boasting the most charging stations, followed by Florida and Arizona.
Matthew Nelson, Walmart’s director of energy policy, said last week on LinkedIn that the network will soon reach 29 states, including California.
“We are delivering on the promise of affordable, reliable and convenient charging,” Nelson said in his post.
According to Walmart’s website, six charging stations are coming to California soon, though the company did not offer a specific timeline.
The chargers will be installed at stores in Antelope, Brea, Fresno, Stockton, Suisun City and Vallejo.
Most charging sites in California will include eight to 16 fast-charging stalls, said Walmart spokesperson Kelsey Bohl.
The company first announced plans in April 2023 to install its own EV chargers at Walmart and Sam’s Club stores, with a goal of installing thousands of chargers by 2030. Partnering with ABB E-Mobility and Alpitronic, it added 25 new charging sites this past May and six more in June.
“Walmart is building a leading retail-integrated EV fast-charging network, focused on delivering an affordable, reliable and convenient charging experience where customers already shop,” Bohl said in an emailed statement. “Customers can charge while they shop, access stations through the Walmart app they already use, and benefit from affordable pricing.”
The charging stations already available include 612 individual charging stalls using 400-kilowatt chargers. Each stall has a dual charging cord with both Combined Charging System and North American Charging Standard connectors. The standard connectors, designed by Tesla, are smaller and lighter than the combined systems.
The primary way to pay for the chargers is through the Walmart app, but the company is also experimenting with built-in credit card readers to allow those without the app to use the stations.
Customers can check charger availability on the Walmart app. The company said the chargers will be available 24 hours a day.
Robotaxis could be turning into robocops.
A self-driving Waymo reported two teens to San Mateo, Calif., police on Monday after they were found drinking alcohol and shooting toy guns in the back of the vehicle.
According to a social media post from the San Mateo Police Department, officers detained two 15-year-olds after the Waymo they were riding in contacted the department and stopped in a parking lot until law enforcement arrived.
“Parents do you know where your teens are?” the San Mateo Police Department wrote on Facebook following the incident. “Waymo does!”
Officers removed both teens from the vehicle and determined they were using toy guns to shoot Orbeez out the windows. Orbeez are small, water-absorbing beads sold at toy stores.
“Toy guns, water guns, and BB guns all pose real dangers, especially to an untrained eye,” the Police Department said. “The simple handling of them can cause fear in [passersby].” “
A video posted on Facebook shows at least five officers and a police dog responding to the scene and approaching the Waymo with their weapons raised.
Waymo did not immediately respond to a request for comment.
Waymo vehicles have internal cameras and microphones that may be used in an emergency or to “promote safety and security,” according to Waymo’s online support page.
The cameras are also used to ensure the vehicles are clean and to help find lost items, according to the support page.
The company said it does not use facial recognition or other biometric identification technologies to identify individuals.
“In more urgent circumstances, support may access live video during a trip,” the Waymo page said.
The San Mateo Police Department’s Facebook post has garnered nearly 60 comments, with one user accusing Waymo of “snitching.”
“At least they got a designated driver?!” one user commented.
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