Tariffs on imported oil?

On Friday Trump met with Hamm and other oil company executives and industry leaders and influencers, including The American Petroleum Institute, speaking on behalf of big member companies like Exxon and Chevron, API, and American Fuel & Petrochemicals Manufacturers. While Hamm and Republican Senator Kevin Cramer of major oil-producing state North Dakota pushed for an aggressive approach with tariffs against Moscow and Riyadh, API and American Fuel & Petrochemicals Manufacturers--the country’s largest oil lobby--pushed just as hard in the other direction, imploring the president “to avoid U.S. policies that could do more harm than good for American producers.”

This is still about saving two states from extinction, North Dakota and Alaska.

The United States Census Bureau estimates North Dakota's population was 762,062 on July 1, 2019, a 13.30% increase since the 2010 United States Census. This makes North Dakota the U.S. state with the largest percentage in population growth since 2011.

North Dakota grew substantially while leading the fracker revolution. The state is now suddenly dead with no bubble around.  Alaska, all 500 thousand, cannot survive up there with oil remaining around $20.  Much of the stimuus will be Republicans bailing out the unsustainable states.  Even Wyoming is at risk:

The main drivers of Wyoming's economy are mineral extraction—mostly coal, oil, natural gas,

Trump has to get them their welfare or the Senate shuts down due to existential threat. Moe nes on the subject:

Exclusive: U.S. banks prepare to seize energy assets as shale boom goes bust

JPMorgan Chase & Co, Wells Fargo & Co, Bank of America Corp and Citigroup Inc are each in the process of setting up independent companies to own oil and gas assets, said three people who were not authorized to discuss the matter publicly. The banks are also looking to hire executives with relevant expertise to manage them, the sources said.

North Dakota will be effectively bankrupt.

What about Texas?  Once the tariffs start, everyone retaliates with a tariff on American oil and Texas is screwed.

What caused the problem? Mostly macro economists fucking up on their diagnosis of the 2008 crash.  They knew, but they chose their priors and should be brought to trial for corruption.  In particular I would point to Dean Baker.

Now we have to move 10% of the North Dakota population once more, this is a repeat of Illinois and the pension fraud, also perpetuated by macro economists. Most of the crimes are of the Keynesian variety. If we want to clear a virus out, I can think of a few university econ departments.