Microchips are used in everything from computers and phones to cars and smart home appliances. While COVID-related chip shortages have recently shown signs of easing, the supply squeeze has left lasting questions about the resilience of global supply chains, the yearslong shift of leading-edge manufacturing capabilities from the U.S. to East Asia, and what role industrial policy should play in beefing up U.S. production capacity.
On today’s episode of HPS Insights, Host Bryan DeAngelis sits down with Oliver Edelmann, a director at HPS, and Kushal Modi, an associate at HPS, to get their thoughts on semiconductor supply chains and congressional efforts to boost domestic chip production.
Oliver and Kushal begin by outlining the current state of the industry, from increasing demand for chips to rising production costs and the complexity of global chip supply chains.
The group then discusses the United States Innovation and Competition Act, which includes significant funding for domestic semiconductor production under the CHIPS Act, and the effects of U.S. sanctions on China’s efforts to become a global leader in semiconductors.
On this episode of HPS Insights, Jason Kander, former Missouri Secretary of State and current President of National Expansion at Veterans Community Project, joins HPS Senior Director Rebecca Buck to discuss his new book, “Invisible Storm: A Soldier’s Memoir of Politics and PTSD.”
The two talk about Jason’s thoughts on and experiences with mental health, politics, and how our nation can better serve veterans. Tune in to hear about Jason’s personal and political journey, what led to him seeking treatment from the VA, and his thoughts on how the U.S. should improve trauma and PTSD screening among veterans returning from combat. Rebecca and Jason also discuss the intersection of mental health and public life and how public figures can set a positive example for others by talking about their mental health.
You can order Jason’s book online here or pick it up at your local bookstore.
On today’s episode of HPS Insights, HPS Managing Director Jonathan Graffeo sits down with Mark Calabria, senior advisor at the Cato Institute and former director of the Federal Housing Finance Agency to talk about the current state of the housing market. Mark also previously served as the chief economist for Vice President Mike Pence and as a senior aide to the U.S. Senate Committee on Banking, Housing, and Urban Affairs.
The two talk about the current state of the housing market, including how it compares to the housing market in 2008. They examine how factors related to COVID-19, such as increased disposable income and movement out of cities, impacted the housing market, leading to a gap between supply and demand. The impact of international affairs on housing also sparked discussion, as did the Federal reserve and upcoming midterm elections. Lastly, Jonathan and Mark chat about Mark’s upcoming book, which will feature insights on the housing market from Mark’s time at the Federal Housing Finance Agency.
With a historic global tax deal on the horizon (albeit delayed), new tax provisions lurking in the BBB, and renewed congressional interest in corporate tax practices, what better time to talk tax?
On the latest HPS Insights, HPS Partner Tony Fratto and HPS Senior Director Elliott Owensby are joined by Alex Parker. Alex is a writer, researcher, and Principal at Capitol Counsel. A former journalist at Law360, Alex previously covered federal taxation issues, such as the Tax Cuts and Jobs Act, efforts to address taxation of online commerce at the Organization for Economic Cooperation and Development, and the debate over inequality in national and global tax systems.
The trio first discusses the latest in international tax, including a discussion of different countries’ motives for updating global tax frameworks and the domestic politics underlying international tax debates in the U.S. The group also covers tax provisions in BBB, compliance, and prospects for an agreement on a new global tax framework.
In this edition of HPS Insights, HPS Partner Tony Fratto and Senior Director Stephanie Dodge host Fanta Traore, CEO and Co-Founder of the Sadie Collective, and Young-Chan Lim and Doug Ortiz, members of the working group for the Cross-Policy School White Paper on Anti-Racism, for a conversation on racial equity in graduate public policy programs.
The next generation of policymakers is being shaped by racial equity & inclusion (REI) efforts within their own university programs. Fanta, Young-Chan, and Doug discuss the new white paper, which draws on input from students across the country to offer recommendations for making graduate public policy programs more inclusive.
The group also discusses how using a REI lens over a diversity, equity, and inclusion (DEI) lens can lead to better outcomes, both for students of color at public policy programs and policymaking itself.
Welcome back to Capitol Chatter: A Quarterly Analysis Of Congressional Tweets, where we help you keep track of what Congress is tweeting.
In the first quarter of 2022, Congressional Twitter accounts sent out 135,116 tweets—a 16.8% increase from the fourth quarter of 2021. The economy fell from being the most tweeted-about topic as lawmakers increased focus on foreign affairs and defense as a result of Russia’s invasion of Ukraine. Not only was Ukraine the most discussed major event in Q1, it also reshaped the conversation on issues beyond foreign affairs, including energy and the environment.
The most notable difference between Q1 2022 and the previous quarter is the nearly 150% increase in the number of times members of Congress mentioned terms related to foreign affairs and defense, driven by members calling for consequences against Russia for its invasion of Ukraine.
Meanwhile, tweets mentioning the economy decreased 32% from 2021 Q4 to 2022 Q1, returning to levels in line with Q1 2021. A drastic decrease in tweets about Build Back Better, with tweet volume falling almost 90% as the bill lost momentum in Congress, drove the overall downward trend of economy mentions.
Democrats’ and Republicans’ different focuses on Twitter continue to be evident in how and how much they talk about President Biden, with Republicans mentioning Biden more than 3 times as much as their Democrat counterparts. While Democrats most frequently referred to Biden as “POTUS,” their Republican counterparts referred to him as “Biden,” tying him to negative issues like inflation.
Despite the public’s focus on growing inflation, the number of congressional Tweets about the topic rose only slightly from Q4 2021 to Q1 2022. We predict that the number of inflation-related tweets will increase in the second quarter as the midterms approach and inflation continues to threaten the U.S. economy; Republicans will likely continue connecting inflation to Democratic policies, while Democrats will need to develop their own messaging strategy to address what’s expected to be a top issue for voters in November.
While President Biden’s nomination of Judge Ketanji Brown Jackson to the Supreme Court and his State of the Union address were the two other major political moments in Q1 2022, the number of tweets about them peaked in the few days immediately following these events and stayed relatively low otherwise. Ukraine, on the other hand, had consistently high volumes throughout the quarter, with larger and more frequent peaks.
Even as these three major events unfolded, members of Congress still spent the majority of their Twitter posts discussing other topics more immediately relevant to their constituents, such as the economy and education. Russia’s invasion of Ukraine created an exception to this rule: in the two days immediately following the invasion, overall tweet volume fell, indicating that members tweeted significantly less about other topics as they focused on the situation in Ukraine.
The war in Ukraine also reshaped the discussion on energy and the environment. Members of Congress began to tweet more frequently about energy and environment compared to other topics: while the total daily volume of tweets remained roughly the same, members of Congress tweeted about energy and the environment 2.5 times more every day after Russia invaded Ukraine. And as the tightening global oil supply pushed American gas prices to record highs, fossil fuels took center stage. Members of Congress mentioned “oil” 6 times more after the invasion began than before.
Methodology
HPS conducted text analysis on tweets and retweets from members of Congress and Congressional committee accounts that were posted between January 1, 2022 and March 31, 2022. In total, we searched for more than 150 keywords in each of the 135,116 tweets to determine which topics were discussed in each. In this analysis, independent Senators Bernie Sanders (I-Vt.) and Angus King (I-Maine), who caucus with the Democratic Party, were treated as Democrats. Charts and numbers may vary slightly quarter to quarter given methodology adjustments.
On the latest episode of Crypto Convos, Craig Salm, Chief Legal Officer of Grayscale Investments, joins HPS partner Bryan DeAngelis to discuss the past, present, and future of cryptocurrency investing and surrounding regulation.
In the episode, Craig explains how what started as an “intellectual investment” in crypto during law school led him to his work today, “bring[ing] access and exposure to the digital currency asset class in the form of a security, which is just a very familiar, transparent, traditional type of way to get investment exposure.” He details the history of Bitcoin ETFs, delving into the legal nuances of the Securities Act of 1933 (’33 Act), the Securities Exchange Act of 1934 (’34), and the Investment Company Act of 1940 (’40 Act), arguing that “in the context of Bitcoin ETF approvals, those are distinctions without a difference.” Craig goes on to emphasize how a spot Bitcoin ETF provides increased investor protections, improves American competitiveness and leadership in the cryptocurrency space, and is the natural next step given SEC approval of a Bitcoin futures ETF.
Bryan and Craig also walked through Grayscale’s public push for SEC approval of its own proposed spot Bitcoin ETF, with Craig calling the SEC open comment letter period “a great demonstration of the democratic process at work.” He concluded by outlining possible courses of action following an SEC decision. Give it a listen and check out the show notes below!
On this episode of HPS Insights, Emily David Hershman, Director of Engagement and Special Projects in the Office of Delaware Governor John Carney joins HPS Partner Bryan DeAngelis to discuss the role of a communications team at the state government level and the unique challenges of the job.
In the episode, Emily dives into how her team managed the COVID-19 crisis over what has now been over two years, outlining Delaware’s response to the pandemic and the ways in which her office worked to confront misinformation, build wide-reaching trust, and develop local relationships.
Emily notes the importance of being nimble in public-facing communications and honest in disclosing the limitations of available information. “The message we’re saying today is accurate today,” she said. “But we have to all understand that just like this virus is changing—it’s getting new variants, etc.—so is our messaging.” She also provides insights into how Delaware and other states have been creative in the distribution of key messaging to reach new, younger audiences. Emily speaks to the importance of compassion and working with other states—from Massachusetts to Connecticut and Rhode Island—to learn how to better reach their citizens where they are. Listen to the full conversation here and check out the show notes below!
At the beginning of Russia’s invasion of Ukraine, HPS examined the historical and economic context behind Russia’s tumultuous relationship with Ukraine, analyzing the state of play in regard to international sanctions as well as the broader global reaction
With what seem like new innovations almost every day and an uncertain regulatory environment, the crypto space is rapidly changing—so much so that it’s hard to keep up with the latest developments.
To help provide the latest insights and analyses, HPS Insights launched “Crypto Convos,” a miniseries hosted by HPS Partner Bryan DeAngelis and HPS Senior Director Elliott Owensby. Each episode features an interview with a crypto expert from various segments of the industry to discuss the latest developments in crypto technology, policy, and regulation. Each guest offers a unique perspective on some of the biggest questions facing crypto regulators and investors today.
In the series’ inaugural episode, Bryan and Elliott were joined by Amit Sharma, CEO & Founder of FinClusive, a fintech firm at the cutting edge of 21st century compliance solutions for un- and underbanked communities across the globe. The group discussed how FinClusive is using new crypto products to expand financial access across the globe, the tight-rope that U.S. regulators walk when trying to balance the need for crypto regulation without hamstringing innovation, and the inherent tension between financial inclusion and counter-terrorist financing.
In the second episode of the series, Bryan and Elliott spoke with Alex Sternhell, principal at the Sternhell Group and a top financial services public policy strategist in Washington. The group discussed the evolving interest in crypto on the Hill, including new stablecoin developments and the inclusion of crypto-related tax provisions in the Bipartisan Infrastructure Deal. After walking through the past and present landscape surrounding crypto regulation and policy in the U.S., the group debated what future regulatory and policy action might look like.
Crypto Convos’ third installment features Will McDonough, a leader in introducing one of the first Bitcoin future ETFs and Vice Chairman of Valkyrie Investments. HPS Partner Matt McDonald and Markets Policy Partners’ Brendan Walsh joined Bryan for the conversation, in which Will shared insights on the maturing regulatory environment for crypto-based funds, the potential of NFT technology, and more.
The latest episode of the series is a “podcast within a podcast,” as Bryan and Elliott are joined by Modern Markets Initiative CEO Kirsten Wegner and Elliptic Senior Policy Associate Kate Goldman, co-hosts of Crypto [StudyHall], a podcast that dives into the ever-evolving crypto landscape through conversations with experts from across the industry. Kirsten and Kate discussed new crypto developments and upcoming guests that they are most excited about, crypto’s impacts on almost every facet of life, particularly on social justice and geopolitics, and more.
Stay tuned for additional episodes throughout 2022, the so-called year of crypto regulation, as HPS continues its work to help clients define and navigate this new industry. Be sure to subscribe to the HPS Insights podcast on your favorite podcast platform to be the first to know about additional episodes, coming soon!
