North Central Illinois | oldbob - 10/5/2018 20:38
I firmly believe that the US has been out traded in a bad way with our business dealings with other countries as far as the difference in tariffs that we are charged for items received from other countries compared to the tariffs that we charge other countries for the items we ship to them.
I think you are understanding this incorrectly. Tariffs are assessed on incoming goods, so as to make goods from other countries more costly. So, tariffs will never reduce the cost of any particular item. The intent of tariffs is to encourage domestic production.
Take the wiper blade example. I am making these numbers up for an example. Say it costs $2 to make a wiper blade in the US. China can do it for $1 and ship it here for 50¢. Our domestic manufacturers shrink, because there are not many willing to pay 50¢ extra for USA made. Put a 50¢ tariff on wiper blades, and now it costs $2 to get a Chinese wiper blade here, so the domestic manufacturer can compete. |
Tariffs
