May 5, 2025: The dolls and pencils economy

If one issue has defined President Donald Trump’s second term, it is the economy. Markets continue to deal with tariff-induced whiplash, and people around the country are bracing for higher prices to hit home. But rather than denying the possible hits to people’s wallets, Trump has taken to projecting a new message: settle for less. Playbook managing editor and author Jack Blanchard and POLITICO White House bureau chief Dasha Burns discuss. Plus, what’s next for Secretary of State Marco Rubio?