|
S Illinois | Tariffs are a tax on imports. This causes an increase in price which lowers the standard of living for the importing country. In low income/low GDP per capita countries this price increase matters little as the general populace can not afford to import foreign goods anyway. Tariffs were part of the mercantilism theory of old whereas it was thought that the more goods a country sold the better off they were. That was a debunked theory as modern economics evolved and writing such as the Wealth of Nations began taking center stage.
Throw in the protectionism argument aspect made by politicians and its winning strategy to remain in power. Seldom will you hear anyone advocate for the consumer. Special interest groups are easy to advocate for. | |
|
tarriffs
