The newspapers are full of Trump’s saying that his tariffs are or will bring billions of dollars into the American treasury and thus help pay for many of the measures he is implementing which otherwise would lead to a substantial increase in the nation’s deficit.
Yes … but with a big BUT. During the 1st Trump administration, I wrote the following post on this topic:
“Trump is fond of saying, in support of his trade war tariffs, that as a result China is paying billions of dollars directly into the U.S. Treasury. That is blatantly and categorically false. Either Trump knows the truth and is lying, or he is just dumb about how tariffs work, which is certainly possible.
“What really happens when tariffs are imposed is that the producing country, here China, does not pay a penny. The tariffs are instead paid by the company importing the product into the U.S., typically an American company. It is they who are paying the billions of dollars into the U.S. Treasury.
“And guess what the importing company then does? They typically pass the cost on to their consumer, whether it is a business or the American public.
“So at the end of the day, the billions of dollars in tariffs are in fact paid by the American consumer or company, not China. China is only hurt by the tariffs in so far as the increase in the cost of their products to consumers because of the tariffs causes sales to decline.
“And that, as Edith Ann (the Lily Tomlin character) would say, is the truth.”
It is either American business or the American consumer, or both, who suffers from tariffs and pays the cost. It’s like imposing a Federal sales tax on imported products. As such it is a regressive tax, with the burden falling most on those who cannot afford it.
The broad use of tariffs is thus a bad idea. They should be used only selectively when specifics facts warrant their imposition.
Preserving American Values 
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