As Australia ponders how to deal with a castrated Trump administration, one lesson is clear: ‘It’s the economy, stupid’ | Zoe Daniel

Donald Trump’s crushing defeat in the US midterms over cost-of-living pressures is a warning for politicians closer to home Fascinating, isn’t it, that for all that Donald Trump has got away with, it’s arguably the cost of fuel that’s finally led to an absolute rout in the midterms. So many Americans held their noses at so many other things, but in the end his own decision-making on Iran will haunt the rest of his presidency. And it’s not so much the broken promise on ending the forever wars: it’s a rebirth of the old phrase “it’s the economy, stupid” that our own government will note.

In the end, it transcends just about everything else. In the US, the cost of petrol is much lower than in Australia generally, but gasoline is up 40% since last year. The price of diesel has jumped a massive 71%, hitting record highs in almost all states, since the start of the war in Iran and the disruption of shipping through the strait of Hormuz. This has whacked families, farmers and industry in key battleground