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    U.S. Weighs Ban on Chinese Drones, Citing National Security Concerns

    The Commerce Department requested that private companies comment on the implications of the rule by March. The final decision will fall to the Trump administration.The Biden administration said on Thursday that it was considering a new rule that could restrict or ban Chinese drones in the United States out of national security concerns.In a notice, the Commerce Department said the involvement of foreign adversaries — notably China and Russia — in the design, development, manufacture and supply of drones could pose “undue or unacceptable risk to U.S. national security.”The notice requested private companies to comment on the scope and implications of the rule by March 4. The decision of what restrictions to impose, if any, on Chinese and Russian drones will fall to the Trump administration.China and Russia have shown a willingness to compromise U.S. infrastructure and security through cyberespionage, the Commerce Department said, adding that the governments could leverage their laws and political situations to “co-opt private entities for national interests.”Beyond the use of drones by hobbyists, the devices are employed in a variety of U.S. industries. They help farmers monitor crops and spray for pests, inspect pipelines for the chemical industry, survey bridges and construction sites, and aid firefighters and other emergency responders.But drones have evolved over the past decade to include sophisticated cameras, receivers and artificial intelligence abilities, fueling concerns that they could be turned into a useful tool for an adversarial government.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Richard A. Easterlin, ‘Father of Happiness Economics,’ Dies at 98

    He put forth the so-called Easterlin paradox, finding that the richer you are doesn’t mean the more satisfied you’ll be with your life.Does getting a year-end bonus or raise make you happier? Does the lift it gives you tend to quickly fade, especially if others around you also won out in the annual compensation sweepstakes?If the answer is that a boost in income doesn’t greatly improve your sense of well-being, then you are a proof point of the Easterlin paradox, the economic theory that more money, over the long run, won’t buy more happiness.The paradox was put forth by Richard A. Easterlin, an economist, a demographer and a seminal figure in the field of academic research into happiness. The University of Southern California, where he was an emeritus professor, called him the “father of happiness economics” in announcing his death. He died at 98 on Dec. 16 at his home in Pasadena, Calif.Mr. Easterlin’s work challenged both conventional wisdom and a core economic tenet that economic growth in a society leads to a general improvement in feelings of well being.Economists, policymakers and ordinary citizens had long taken it as a given that increasing a nation’s gross domestic product — its total economic output — improves its people’s happiness.But in the 1970s, Mr. Easterlin, then at the University of Pennsylvania, published research showing that even though incomes in the United States had risen dramatically since World War II, Americans said in surveys that they were no happier.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Debate Over U.S. Sanctions on Russia For Ukraine War Intensifies

    The president-elect has said he will use sanctions sparingly while vowing to end the war in Ukraine, renewing questions over their efficacy.Thousands of far-reaching sanctions have been imposed by dozens of countries on Russian banks, businesses and people since Moscow ordered tanks to roll across the border into Ukraine in the winter of 2022.Now, more than 1,000 days later, as President-elect Donald J. Trump prepares to take office, questions about the sanctions’ effectiveness — and future — are expected to come under renewed scrutiny.Mr. Trump has stated, “I want to use sanctions as little as possible.” And he has made clear that there will be a shift in American policy toward Ukraine, having promised to end the war in a single day.Experts believe that sanctions and continued military aid are almost certain to be bargaining chips in any negotiations.So how valuable are the sanction chips that Mr. Trump will hold?The answer is hotly debated.Predictions in the early months of the war that economic restrictions would soon undermine President Vladimir V. Putin’s regime or reduce the ruble to “rubble” did not pan out. Mr. Putin remains entrenched in the Kremlin, and his forces are inflicting punishing damage on Ukraine and gaining on the battlefield.Yet the idea that economic sanctions could bring a quick end to the war was always more a product of hope than a realistic assessment, said Sergei Guriev, a Russian economist who fled the country in 2013 and is now the dean of the London Business School.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Chinese Companies Have Sidestepped Trump’s Tariffs. They Could Do It Again.

    The companies have found plenty of new channels to the U.S. market — demonstrating the potential limits of the tariffs Donald Trump has promised to impose.After President Donald J. Trump slapped tariffs on Chinese bicycles in 2018, Arnold Kamler, then the chief executive of the bike maker Kent International, saw a curious trend play out in the bicycle industry.Chinese bicycle factories moved their final manufacturing and assembly operations out of China, setting up new facilities in Taiwan, Vietnam, Malaysia, Cambodia and India. Using parts mostly from China, those companies made bicycles that they could export directly to the United States — without paying the 25 percent tariff had the bike been shipped straight from China.“The net effect of what’s going on with these tariffs is that Chinese factories in China are setting up Chinese factories in other countries,” said Mr. Kamler, whose company imports some bicycles from China and makes others at a South Carolina factory.Pushing those factories into other countries resulted in additional costs for companies and consumers, without increasing the amount of manufacturing in the United States, Mr. Kamler said. He said he had been forced to raise his prices several times as a result of the tariffs.“There’s no real gain here,” said Mr. Kamler, whose bikes are sold at Walmart and other retailers. “It’s very inflationary.”Arnold Kamler said he had to raise prices at Kent International several times as a result of President Donald J. Trump’s 2018 tariffs.Kate Thornton for The New York TimesWe are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Canadian Ministers Meet Trump Aides at Mar-a-Lago to Discuss Border, and Tariffs

    President-elect Donald J. Trump has threatened to impose tariffs on Canadian exports unless the country stops the flow of migrants and fentanyl to the U.S.Two top Canadian ministers met on Friday with members of President-elect Donald J. Trump’s circle in Florida about a border security plan that Canada hopes will ward off Mr. Trump’s threats to impose economically damaging tariffs on imports from the country. But the ministers returned home without any assurances.The meeting was characterized in advance as an attempt to build on a dinner Prime Minister Justin Trudeau had with Mr. Trump at Mar-a-Lago over the Thanksgiving weekend as well as on a recent telephone conversation between members of Mr. Trudeau’s cabinet and Thomas D. Homan, Mr. Trump’s designated border czar.Mélanie Joly, Canada’s foreign minister, and Dominic LeBlanc, its finance minister, arrived in Florida on Thursday evening for the session with Howard Lutnick, Mr. Trump’s choice for commerce secretary, and former Gov. Doug Burgum of North Dakota, the president-elect’s pick to run the Interior Department who would also coordinate energy policy.Mr. Trump has said he will impose 25 percent tariffs on imports from Canada when he takes office in January if the country does not reduce the flow of migrants and fentanyl into the United States. Such a move could be devastating for Canada, whose economy depends heavily on exports to the United States. But on at least one occasion, Mr. Trump has suggested that his tariff plan may have less to do with border security than with his desire to eliminate the $50 billion trade deficit with Canada. Oil and gas exports from Canada account for most of that trade imbalance. Without them, the U.S. generally has a trade surplus with Canada.Jean-Sébastien Comeau, a spokesman for Mr. LeBlanc, described the Mar-a-Lago session as a “positive, productive meeting” and said that the two nominees “agreed to relay information to President Trump.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Yellen Issues Debt Limit Warning to Congress

    The Treasury secretary urged Congress to protect the full faith and credit of the United States by raising the debt limit.Treasury Secretary Janet L. Yellen informed Congress on Friday that if lawmakers do not act to raise or suspend the nation’s debt limit as soon as Jan. 14 she would most likely need to begin using “extraordinary measures” to prevent the United States from defaulting on its debt.Ms. Yellen issued her warning about the debt limit — which caps the amount of money that the United States is authorized to borrow to fund the government and meet its financial obligations — at a fractious political moment. Republicans are set to take control of Washington next month, and President-elect Donald J. Trump has already called on Congress to abolish the debt limit before he seeks to push through a new round of tax cuts and other spending priorities.The debt limit was suspended in June 2023 after a contentious negotiation over federal spending, work requirements for receiving government benefits and funding for the Internal Revenue Service. That suspension is scheduled to expire on Jan. 2, forcing Treasury to begin using so-called extraordinary measures to allow the federal government to keep paying its bills.Those measures are essentially accounting maneuvers that keep the government from breaching the debt limit. They can include suspending certain types of investments in savings plans for government workers and health plans for retired postal workers.The United States borrows money to pay its bills and obligations, including funding for social safety net programs, interest on the national debt and salaries for members of the armed forces. If the United States is unable to raise the debt limit, it will soon be unable to make many of those payments, including to investors who have bought government debt.“I respectfully urge Congress to act to protect the full faith and credit of the United States,” Ms. Yellen said in a letter on Friday.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Trump Backers, Including Elon Musk, Clash With Far Right Over Immigrant Workers and H-1B Visas

    A fierce dispute erupted in the president-elect’s camp between immigration hard-liners and tech industry leaders including Elon Musk.Weeks before President-elect Donald J. Trump is to take office, a major rift has emerged among his supporters over immigration and the place of foreign workers in the U.S. labor market.The debate hinges on how much tolerance, if any, the incoming administration should have for skilled immigrants brought into the country on work visas.The schism pits immigration hard-liners against many of the president-elect’s most prominent backers from the technology industry — among them Elon Musk, the world’s richest man, who helped back Mr. Trump’s election efforts with more than a quarter of a billion dollars, and David Sacks, a venture capitalist picked to be czar for artificial intelligence and cryptocurrency policy.The tech industry has long relied on foreign skilled workers to help run its companies, a labor supply that critics say undercuts wages for American citizens.The dispute, which late Thursday exploded online into acrimony, finger-pointing and accusations of censorship, frames a policy quandary for Mr. Trump. The president-elect has in the past expressed a willingness to provide more work visas to skilled workers, but has also promised to close the border, deploy tariffs to create more jobs for American citizens and severely restrict immigration.Laura Loomer, a far-right activist and fervent Trump loyalist, helped set off the altercation earlier this week by criticizing Mr. Trump’s selection of Sriram Krishnan, an Indian American venture capitalist, to be an adviser on artificial intelligence policy. In a post, she said she was concerned that Mr. Krishnan, a naturalized U.S. citizen who was born in India, would have influence on the Trump administration’s immigration policies, and mentioned “third-world invaders.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    California Economy Feels the Pain of Hollywood Studio Troubles

    The struggles have become a painful, recurring story line in Hollywood.A script supervisor visiting a food bank every other week. The cinematographer who moved to Georgia for better filming opportunities. An art department coordinator applying for administrative jobs to cover rent.The economic outlook of the Los Angeles area, with a population larger than most states, has been clouded in recent years by events that have upended the entertainment industry. Market saturation led to a shakeout among direct-to-streaming providers. Then the Covid-19 pandemic shut down production. And strikes by writers and actors last year went on for months, giving studios time to explore filming elsewhere, in regions that offer hefty tax incentives.When the strikes ended, workers in Hollywood hoped their schedules would finally fill up again. But for many people, things only got worse.In the third quarter of 2024, film production levels declined 5 percent from the same stretch in 2023, based on a report from FilmLA, the official film office of the City and County of Los Angeles.Warner Bros. Studios in Burbank, Calif. Strikes by writers and actors last year went on for months, giving studios time to explore filming elsewhere.Stella Kalinina for The New York TimesPaul Audley, the organization’s president, said in the report that even a few months ago many had thought they would see gains — hoping for a rebound from what he called “the strike effect.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More