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Tariffs
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w1891
Posted 11/23/2024 17:51 (#10979763 - in reply to #10979388)
Subject: RE: Tariffs


S Illinois
Here is the actual paper.
https://www.federalreserve.gov/econres/notes/feds-notes/global-trade...
There is no data or information on consumer pricing rather just the change regarding the makeup of US import origination. Of which the US experienced increased imports from other countries in the wake of the decline of Chinese imports. Which is to be expected as tariffs increase costs and drive the search for alternatives. All of which are higher priced otherwise would have been the export origin of choice to begin with.

Also remember it's not just consumers that drive inflation. US producers can also push inflation or be the focal point of economic slowdown. As their costs rise and the price demand elasticity limit is reached, economic output slows. So consumer inflation or US producer induced economic slowdowns are the two outcomes.

https://www.federalreserve.gov/econres/feds/files/2019086pap.pdf

Tariffs are nothing but feel good actions that are completely detrimental to the country implementing them. The burden is not born by the exporting country especially when an across the board one is implemented.

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