Elon Musk stood next to President Donald Trump in the Oval Office on Friday, but the physical proximity belied a growing philosophical divide between two of the world's most powerful men, resulting in the tech mogul's abrupt announcement that he is departing Washington — without having achieved his goal of decimating the federal government.
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Trump took a more charitable view of Musk's tenure during a sprawling news conference in which he also declined to rule out pardoning Sean "Diddy" Combs, who is on trial on charges of sex trafficking and other alleged crimes; said he dislikes "the concept" of former first lady Jill Biden being forced to testify before Congress about her husband's mental fitness; and predicted again that Iran is on the cusp of making a deal that would suspend its pursuit of nuclear weapons.
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In a battle of plutocrats against populists, Bannon, a longtime advocate for reducing the size and scope of government, found Musk's methods and policy preferences to be sharply at odds with those of the MAGA movement. So, ultimately, did Musk, who broke with Trump repeatedly on agenda items as narrow as limiting visas for foreign workers and as broad as Trump's signature "big beautiful" budget bill — which Musk belittled for threatening to add trillions of dollars to the national debt.
“I was, like, disappointed to see the massive spending bill, frankly, which increases the budget deficit, not just decrease it, and undermines the work that the DOGE team is doing," Musk said in an interview with CBS' "Sunday Morning," which will air this weekend.
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"I love the gold on the ceiling," he said.
Musk has argued that inertia throttled his efforts to reduce government spending — a conclusion that raises questions about whether he was naive about the challenge of the mission he undertook.
“The federal bureaucracy situation is much worse than I realized,” he told The Washington Post this week. “I thought there were problems, but it sure is an uphill battle trying to improve things in D.C., to say the least.”
On Friday, he drew an implicit parallel between American government and the Nazi regime that committed a genocide, invoking the "banality of evil" that Hannah Arendt used to describe the atrocities in Germany.
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Rescuers are hailing as a “four-legged hero” a furry Chihuahua whose pacing atop an Alpine rock helped a helicopter crew find its owner, who had fallen into a crevasse on a Swiss glacier nearby.
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The man, who was not identified, was exploring the Fee Glacier in southern Switzerland on Friday when he broke through a snow bridge and fell nearly 8 meters (about 26 feet), according to Air Zermatt, a rescue, training and transport company.
Equipped with a walkie-talkie, the man connected with a person nearby who relayed the accident to emergency services. But the exact location was unknown. After about a half-hour search, the pacing pooch caught the eye of a rescue team member.
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As the crew zeroed on the Chihuahua, the hole the man fell into became more visible. Rescuers rappelled down, rescued the man and flew him and his canine companion to a hospital.
“Imagine if the dog wasn’t there,” Air Zermatt spokesman Bruno Kalbermatten said by phone. “I have no idea what would happen to this guy. I think he wouldn’t survive this fall into the crevasse.”
On its website, the company was effusive: “The dog is a four-legged hero who may have saved his master’s life in a life-threatening situation.”
Job losses
But what about the impact of tariffs on job creation? Surprisingly, an increase in import taxes has been found to result in slightly more unemployment across countries.
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An example provided by Irwin at Dartmouth College points to one plausible explanation — and it has to do with the steeper cost of imported goods.
“A number of studies have shown, on net, we lost jobs from the (2018) steel tariffs rather than gained jobs because there are more people employed in the downstream user industries than in the steel industry itself,” he said.
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A study by the Federal Reserve Board found that a rise in input costs resulting from US tariff hikes in 2018-19 led to job losses in American manufacturing. The damage from those higher expenses was compounded by retaliatory taxes on US exports, more than offsetting a small boost to manufacturing employment from US tariffs — at least so far, the 2024 paper said.
Retaliation by other countries is indeed another danger of pulling the tariff lever. Higher tariffs on American exports would typically raise their prices for foreign consumers, hitting demand for the goods in many cases.
When Trump announced new tariffs this year, America’s major trading partners were quick to strike back with their own levies, although the US then agreed a temporary truce with China and the European Union.
Costs of free trade
While economists generally agree that free trade has benefited the global economy in recent decades, they acknowledge that it comes with certain costs.
One is the loss of jobs in communities that are particularly exposed to new competition from foreign manufacturers.
That is similar to the impact of technological progress on workers. “Manufacturing jobs as a share of the labor force have come down everywhere. It isn’t a US-specific story,” said Gimber at JPMorgan Asset Management, pointing to automation.
He drew a parallel between helping workers affected by higher imports and what is known as a just transition — the idea that the drastic changes needed to move toward a greener economy should be fair to everyone and minimize harm to workers and communities.
In both cases, providing workers in impacted industries with new skills or retraining them could be key, Gimber said.
Another potential cost of free trade is dependency on far-flung manufacturers. That took on new relevance during the pandemic, which snarled global supply chains, contributing to shortages of products such as face masks and respirators in the US and elsewhere.
However, economists do not typically see tariffs as a good way to build up domestic manufacturing, Fatas at INSEAD said, noting that subsidies for specific industries are viewed as a better tool “because they work more directly.”
But perhaps the strongest argument in favor of free trade is its importance to maintaining peace between nations.
As Gimber’s colleague David Kelly noted in March, closer trade relations give countries more to lose in any conflict.
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Whilst Egypt’s summer heat increases its electricity demand, it could also offer a solution. The south of Egypt, where Scatec’s new project is breaking ground is “in the magic solar belt,” said Elgendy. According to the Global Solar Atlas, Egypt has the fourth-highest solar PV (photovoltaic) potential of any country.
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Historically, solar energy has been hampered by its intermittency — solar panels only work during the day and large-scale battery storage has been too expensive. However, falling battery prices, combined with the lower operational and installation costs of solar power means that projects that combine solar generation with battery storage, like Obelisk, could overcome this problem.
Because of its size and prime location, Obelisk, Elgendy said, “can demonstrate value for the rest of the region, for the rest of the world, that ‘solar plus batteries’ can take away this primary weakness.”
The cost of battery storage projects has dropped by 89% between 2010 and 2023, driven by growing production capacity, especially in China. This drop, Elgendy said, means that by 2027 solar plus battery plants will be “the cheapest form of (any kind of electricity) generation.” A report by the Global Solar Council said that the availability of energy storage is a “major driver for increased solar installations globally.” However, whilst global battery storage capacity hit 363 gigawatt hours (GWh) in 2024, Africa only has 1.6 GWh.
Whilst battery prices have dropped and solar is cheap to operate, these plants still need large investments to build, and the money can be hard to find, Elgendy said, adding that the “risk premium” of investing in the developing world means that these projects are more expensive to build in Africa. The continent attracted only 3% of global energy investments in 2024.
Obelisk will receive $479.1 million in funding from the European Bank for Reconstruction and Development, the African Development Bank, and British International Investment. The first 561 MW of solar power and the full battery capacity are due to be online in the first half of 2026, and reach the full 1.1 gigawatt capacity by the end of the year.
Tbilisi, Georgia — Jailed journalist Mzia Amaghlobeli gets weaker every day as her hunger strike has reached three weeks in Rustavi, a town near the Georgian capital of Tbilisi, her lawyer says. Now the 49-year-old is having difficulty walking the short distance from her cell to the room where they usually meet, and human rights officials, colleagues and family fear for her life.
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Amaghlobeli was arrested Jan. 12 during an anti-government protest in the coastal city of Batumi, one of over 40 people in custody on criminal charges from a series of demonstrations that have hit the South Caucasus nation of 3.7 million in recent months.
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The political turmoil follows a parliamentary election that was won by the ruling Georgian Dream party, although its opponents allege the vote was rigged.
Protests highlight battle over Georgia's future. Here's why it matters.
Its outcome pushed Georgia further into Russia's orbit of influence. Georgia aspired to join the European Union, but the party suspended accession talks with the bloc after the election.
As it sought to cement its grip on power, Georgian Dream has cracked down on freedom of assembly and expression in what the opposition says is similar to President Vladimir Putin's actions in neighboring Russia, its former imperial ruler.
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Questioned by both Republicans and Democrats on Capitol Hill about the low staffing numbers, Interior Secretary Doug Burgum has brushed off concerns, testifying in May that slightly less than half of permanent NPS employees work on the ground in the parks, while other staff work at regional offices or at DC headquarters.
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“I want more people in the parks,” Burgum said. “I want less overhead. There’s an opportunity to have more people working in our parks … and have less people working for the National Park Service.”
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But internal NPS data tells a different story, Brengel said, showing that around 80% of National Park Service staff work in the parks. And regional offices play an important supporting staff role, with scientists on staff to help maintain fragile parks ecosystems, as well as specialists who monitor geohazard safety issues like landslides.
Republican Sen. Lisa Murkowski of Alaska recently pressed Burgum to provide a full list of staff positions that have been cut at the National Park Service, Bureau of Land Management and the US Forest Service since the Trump administration took over. The Interior Department has not provided the list, a Senate staffer said.
The regional offices within the park service are on edge, waiting to see how courts rule on a Trump administration reduction in force plan they fear could gut their ranks, a National Park Service employee in a Western state told CNN.
“If they greenlight the RIF plan, then it’s going to be a bloodbath,” the employee said.
In addition to probationary workers that were fired in February, early retirements are also culling the agency’s ranks, and the continued $1 spending limit on federal workers’ credit cards is making it extremely difficult to do field work in the parks, with a simple overnight trip needing to be requested 10 days in advance, the employee added.
The lack of superintendents and NPS supervisors creates more of a headache, they added.
“These times, when it’s all about fighting for scarce resources, you really need those upper-level people with clout working the system,” the employee said.
Hall, the retired NPS regional director, said losing rangers, maintenance professionals and park superintendents could profoundly alter American landmarks.
“What you’ve lost with all this attrition – you’ve lost all this knowledge that’s going to take years to build back up,” Hall said.
The latest Barbie slays in a chic blue polka-dot crop top, ruffled miniskirt, chunky heels and an insulin pump. She is the brand’s first doll with type 1 diabetes.
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Dollmaker Mattel worked with Breakthrough T1D, formerly known the Juvenile Diabetes Research Foundation, to design the doll, which aims to represent the roughly 304,000 kids and teens living with type 1 diabetes in the United States.
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The doll launched Tuesday at the Breakthrough T1D Children’s Congress, a three-day event in Washington that brings in kids and teens living with the condition to meet with lawmakers. This year, they’re asking Congress to renew funding for the Special Diabetes Program, which was first allocated by Congress in 1997. The program’s current funding ends after September.
The advocacy efforts have taken on new urgency this year. With so many deep cuts to federally funded projects in recent months, Breakthrough T1D said it’s anxiously watching to see if this funding will be reupped.
Type 1 diabetes is an autoimmune disease, meaning the body mistakenly attacks its own organs and tissues. In this case, rough antibodies go after cells in the pancreas that make insulin, an essential hormone that helps the body turn food into energy. As a result, the body doesn’t make enough of its own insulin, so people have to take insulin by injection or though a pump to survive.
Type 1 diabetes is typically diagnosed in childhood but can be diagnosed in anyone at any age. It differs from type 2 diabetes, in which people are still able to make insulin but their cells stop responding to it.
In addition to the insulin pump that attaches to the new Barbie’s waist, the chestnut-haired beauty has a continuous glucose monitor on her arm – a button held on by a strip of heart-shaped Barbie-pink tape. Her cell phone displays an app that shows her glucose readings. She also has a light blue purse to hold her supplies and snacks to help her manage her blood sugar throughout the day. It matches her shoes, of course.
The levies are also likely to reduce America’s economic output, as has happened before. A 2020 study, based on data from 151 countries, including the US, between 1963-2014, found that tariffs have “persistent adverse effects on the size of the pie,” or the gross domestic product of the country imposing them.
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There are a number of possible explanations for this.
One is that, when tariffs are low or non-existent, the country in question can focus on the kind of economic activities where it has an edge and export those goods and services, Gimber told CNN.
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“If you raise tariffs, you’re not going to see that same level of specialization,” he said, noting that the result would be lower labor productivity. “The labor could be better used elsewhere in the economy, in areas where you have a greater competitive advantage.”
Another reason output falls when tariffs are raised lies in the higher cost of imported inputs, wrote the authors of the 2020 study, most of them International Monetary Fund economists.
Fatas at INSEAD suggested the same reason, providing an example: “So I’m a worker and work in a factory. To produce what we produce we need to import microchips from Taiwan. Those things are more expensive. Together, me and the company, we create less value per hour worked.”
Yet another way tariff hikes can hurt the economy is by disrupting the status quo and fueling uncertainty over the future levels of import taxes. That lack of clarity is particularly acute this year, given the erratic nature of Trump’s trade policy.
Surveys by the National Federation of Independent Business in the US suggest the uncertainty is already weighing on American companies’ willingness to invest. The share of small businesses planning a capital outlay within the next six months hit its lowest level in April since at least April 2020, when Covid was sweeping the globe.
“The economy will continue to stumble along until the major sources of uncertainty (including over tariffs) are resolved. It’s hard to steer a ship in the fog,” the federation said.
Whichever forces may be at work, the IMF, to cite just one example, thinks higher US tariffs will lower the country’s productivity and output.
Tbilisi, Georgia — Jailed journalist Mzia Amaghlobeli gets weaker every day as her hunger strike has reached three weeks in Rustavi, a town near the Georgian capital of Tbilisi, her lawyer says. Now the 49-year-old is having difficulty walking the short distance from her cell to the room where they usually meet, and human rights officials, colleagues and family fear for her life.
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Amaghlobeli was arrested Jan. 12 during an anti-government protest in the coastal city of Batumi, one of over 40 people in custody on criminal charges from a series of demonstrations that have hit the South Caucasus nation of 3.7 million in recent months.
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The political turmoil follows a parliamentary election that was won by the ruling Georgian Dream party, although its opponents allege the vote was rigged.
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As it sought to cement its grip on power, Georgian Dream has cracked down on freedom of assembly and expression in what the opposition says is similar to President Vladimir Putin's actions in neighboring Russia, its former imperial ruler.
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