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Washington, D.C. shouldn’t run the nation’s economy

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Washington, D.C. shouldn’t run the nation’s economy


In the popular mind, nearly every American city owes its prominence to one private industry or another: steel barons built Pittsburgh, modern finance defined New York City, San Francisco and Austin have ridden high on technology. The one big city without a defining private industry, of course, is Washington, D.C., home of America’s federal government. That’s why it’s so odd that many on the right are now championing “industrial policy” efforts that would try to transform D.C. into a center of economic innovation.

Indeed, proposals for this heavy level of government engagement in the economy, once considered by many on the right as a crony-capitalist venture favored mostly by Democrats, has become increasingly popular with Republicans ranging from presidential candidate Donald Trump to Florida Sen. Marco Rubio. The sheer size of the federal government – more than a fifth of the economy – means that a totally hands-off attitude towards industry is impossible. But, even if the government can’t stay out of the economy entirely, recent history shows it can still foster innovation without picking winners and losers.

The actions typically thought of as industrial policy have an undeniable allure: nearly all experts consider important certain sectors such as artificial intelligence, energy production and biomedicine. By earmarking resources, changing regulations and imposing tariffs on non-U.S. industries and companies, the thinking goes that D.C. can secure prosperity. This is the fundamental approach taken by the Biden administration’s Inflation Reduction Act subsidies for green energy as well as proposals from Republicans to bolster heavy manufacturing and fossil-fuel production.

But expecting these efforts to work flies in the face of history. Since World War II, nearly every president has picked out a favored industry and tried to slant things in its direction. The Trump administration proposed billions of subsidies and even more costly regulations on competitors intended to benefit coal companies which slumped anyway. Bill Clinton’s administration spent millions on a “supercar” project that angered environmentalists and set back America’s efforts to build hybrid vehicles. Richard Nixon’s Department of Housing and Urban development launched an ambitious effort to change how housing got built and ended up making housing more expensive.

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American economic leadership in the 20th century was not the result of a bureaucratically overseen industrial policy. Our nation’s dynamism flows from a broadly supportive government role that involves multi-use infrastructure, limited but important support for science and regulatory certainty.

The government’s role has been most visible in major projects like the interstate highway system and modern internet. While both would not have existed without heavy federal subsidies, neither of these projects was intended to benefit one specific sector. Nobody wanted “leadership” or “jobs” in asphalt or fiber-optic cable production. Instead, the architects of both intended to create accessible scaffolding upon which the private sector could experiment, innovate and scale. Fast-food restaurants probably gained more from the interstate system than roadbuilders.

Similarly, the breakthroughs in technology emerged from regulatory environments where the government’s role was to lay the groundwork – funding basic research, experimenting with a few pilot programs, and then stepping back to allow the private sector to take the lead in development, commercialization and scale. This approach succeeded because it created new knowledge in every field of human endeavor rather than having politicians decide what was important.

Most important, the establishment of limited, efficient regulatory systems that offer clarity and certainty for private enterprises has been critical. Such frameworks enable businesses to plan for the long term, secure in their understanding of the rules of the game. Right now, the American tort law system punishes entrepreneurs and burdensome regulations favor slow-moving incumbent companies. Furthermore, many legacy regulations are ill-suited to the characteristics of new technologies.

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For example, the foremost challenge faced by green industries is regulatory burdens, whereas most green subsidies in the Inflation Reduction Act constitute corporate welfare. Comprehensive reforms to outmoded power-industry regulation and permitting and siting processes could do more to reduce emissions than the trillions of dollars the IRA is likely to cost taxpayers.

As policymakers grapple with the best path forward, it is imperative to remember that the strength of the U.S. economy lies in freedom, diversity and innovation. Principles that emphasize a limited government role could pave the way for a new era of American leadership in the global economy in a way that picking winners and losers never has. It is a no-brainer that Washington, D.C. shouldn’t run the economy.

Eli Lehrer is president of the R Street Institute.



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Washington, D.C

Trump sets sights on next renovation project – Washington DC’s public golf courses

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Trump sets sights on next renovation project – Washington DC’s public golf courses


President Donald Trump has set his sights on his next renovation project: Washington, D.C.’s golf courses, according to a new report.

The president, who frequently spends weekends on the fairways at his various properties, is seeking to redevelop the three public golf courses in the nation’s capital, The Wall Street Journal reported.

“If we do them, we’ll do it really beautifully,” he told the outlet on Friday after reportedly describing the courses as run down and neglected. Interior Secretary Doug Burgum echoed this sentiment, describing one course as “in total disrepair,” adding that Trump is trying to bring it “back to what it was originally envisioned to be, which is the finest municipal golf in the country, right here in our capital.”

In his pursuit to remake the green spaces, he is attempting to wrest control from the National Links Trust, a non-profit with a 50-year lease to operate, restore and maintain the affordability of East Potomac Golf Links, Rock Creek Park Golf and Langston Golf Course.

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Earlier in 2025, the administration ordered the group to take dirt resulting from the demolition of the East Wing of the White House or risk defaulting on its lease with the government, people familiar with the matter told the outlet. The group accepted and trucks were seen dumping piles of soil onto one of East Potomac’s courses.

Despite this, the Interior Department told the National Links Trust that it violated its lease and delivered an official default notice. Trump said that the courses will fall under the administration’s control if the group does not remedy alleged violations by the end of the year.

President Donald Trump has set his sights on his next renovation project: Washington D.C.'s public golf courses, according to a new report.

President Donald Trump has set his sights on his next renovation project: Washington D.C.’s public golf courses, according to a new report. (Getty Images)

“Such a move could make it easier for Trump to implement his vision for the East Potomac course, which sits on a prime stretch of Washington real estate along the river,” the outlet reported, noting that the course is “at the top of his list.”

In a statement, the group disputed the administration’s assessment.

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“National Links Trust respectfully disagrees with the characterization that we are in default,” a spokesman for the National Links Trust told the newspaper. “National Links Trust appreciates the president’s interest in the D.C. golf courses and looks forward to the opportunity to partner with the administration to improve these historically significant facilities.”

But the Republican president has no interest in working with the organization.

“I think what we’re looking to do is just build something different, and build them in government,” he said.

He’s also shown interest in hiring Tom Fazio, a famed golf course architect, to create designs for a new East Potomac course and hopes to host a professional golfing event in the capital in the near future.

East Potomac Golf Links, located near the Potomac River, is

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East Potomac Golf Links, located near the Potomac River, is “at the top of the list,” according to The Wall Street Journal. (East Potomac Golf Links, Facebook)
The course, which dates back over a century, offers views of the Washington Monument.

The course, which dates back over a century, offers views of the Washington Monument. (East Potomac Golf Links, Facebook)

The president’s renovation attempts have triggered consternation among some golfers in Washington, D.C., who fear Trump’s beautifying efforts could boost prices and render the courses unaffordable for residents.

But, Trump said that, if he takes over the three courses, D.C. inhabitants will receive lower rates than visiting golfers.

If Trump is successful in his bid, it would add to the many changes he’s made to the nation’s capital since returning to office in January. At the White House, he’s paved over the Rose Garden, installed towering flag poles on the lawn, affixed gilded furnishings to the Oval Office and began constructing a massive ballroom where the East Wing once stood.

He’s also proposed building a victory arch on the banks of the Potomac and is considering renovating the Reflecting Pool that sits in front of the Lincoln Memorial.

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A White House spokesperson did not immediately respond to a request for comment from The Independent.



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DC teacher accused of climbing through student’s window to sexually abuse her

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DC teacher accused of climbing through student’s window to sexually abuse her


A D.C. high school teacher is accused of climbing through a student’s window at night to sexually abuse her on numerous occasions.

At least twice, the teacher used the 16-year-old student’s phone to record explicit videos of himself with the girl, the U.S. attorney’s office said.

The abuse began last spring. The most recent incident happened last month.

FBI agents arrested 35-year-old John Gass at his Hyattsville, Maryland, home Thursday.

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Gass taught at the D.C. International School. He has been fired.

Gass is charged with production of child pornography and enticement of a minor.

Detectives say there could be other victims. Anyone with information should call the FBI.



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Draft DOJ report accuses DC police of manipulating crime data

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Draft DOJ report accuses DC police of manipulating crime data


The Justice Department has notified D.C.’s Metropolitan Police Department that it completed its investigation into whether members of the department manipulated crime data to make crime rates appear lower, sources tell News4.

Multiple law enforcement sources familiar with the matter tell News4 that DOJ will release its findings as early as Monday.

A draft version of the report obtained by News4 describes members of the department as repeatedly downgrading and misclassifying crimes amid pressure to show progress.

MPD’s “official crime statistical reporting mechanism is likely unreliable and inaccurate due to misclassifications, errors, and/or purposefully downgraded classifications and reclassifications. A significant number of MPD reports are misclassified,” the draft report says.

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Investigators spoke with more than 50 witnesses and reviewed thousands of police reports, the draft report says. Witnesses described a change under Chief of Police Pamela Smith.

“While witnesses cite misclassifications and purposely downgraded classifications of criminal offenses at MPD for years prior, there appears to have been a significant increase in pressure to reduce crime during Pamela Smith’s tenure as Chief of Police that some describe as coercive,” the draft report says.

The draft report faults a “coercive culture” at in-person crime briefings held twice a week.

“The individuals presenting are denigrated and humiliated in front of their peers. They are held responsible for whatever recent crime has occurred in their respective districts. For instance, if a district had a homicide and numerous ADWs over a weekend, Chief Smith would hold the Commander of that district personally responsible,” the draft report says.

Smith announced this week that she will step down from her position at the end of the month. News4 asked her on Monday if she is leaving because of the allegations and she said they didn’t play into her decision.

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The DOJ review is one of two that were launched in relation to MPD crime stats, along with a separate investigation by the House Oversight Committee.

Both MPD and Mayor Muriel Bowser’s office have been given copies of the report. They did not immediately respond to inquiries by News4. The U.S. Attorney’s Office for D.C. also did not immediately respond.

News4 was first to report in July that the commander of MPD’s 3rd District was under investigation for allegedly manipulating crime statistics on his district. Cmdr. Michael Pulliam was placed on leave with pay and denied the allegations. The White House flagged the reporting.

“D.C. gave Fake Crime numbers in order to create a false illusion of safety. This is a very bad and dangerous thing to do, and they are under serious investigation for so doing!” President Donald Trump wrote on social media.

Trump has repeatedly questioned MPD crime statistics. He put News4’s reporting in the spotlight on Aug. 11, when he federalized the police department. He brought up the allegations against Pulliam at a news conference, and the White House linked to News4’s reporting in a press release titled “Yes, D.C. crime is out of control.”

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A D.C. police commander is under investigation for allegedly making changes to crime statistics in his district. News4’s Paul Wagner reports the department confirmed he was placed on leave in mid-May.

D.C. Police Union Chairman Gregg Pemberton told NBC News’ Garrett Haake this summerthat he doubts the drop in crime is as large as D.C. officials are touting.

“There’s a, potentially, a drop from where we were in 2023. I think that there’s a possibility that crime has come down. But the department is reporting that in 2024, crime went down 35% — violent crime – and another 25% through August of this year. That is preposterous to suggest that cumulatively we’ve seen 60-plus percent drops in violent crime from where we were in ’23, because we’re out on the street. We know the calls we’re responding to,” he said.

In an exclusive interview on Aug. 11, News4 asked Bowser about the investigation.

“I think that what Paul’s reporting revealed is that the chief of police had concerns about one commander, investigated all seven districts and verified that the concern was with one person. So, we are completing that investigation and we don’t believe it implicates many cases,” she said.

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D.C. Chief of Police Pamela Smith will step down at the end of the month after heading the department for less than three years. She spoke about her decision and whether tumult in D.C. including the federal law enforcement surge and community outrage over immigration enforcement played a role. News4’s Mark Segraves reports.



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