Name a product that went up 25% and EVERYONE stopped buying it? Ever buy a McD hamburger? How much did they cost in 1995?
Prices will be higher, post tariff. Much higher at first them lower later on as domestic supplies kick in. The higher cost will be the difference in US labor/regs minus cheaper shipping costs. I'd estimate 5-7% higher in the end. But quality will go up too. Yes, the one time inflation is worth it to me and a lot of other patriots.
Politics and economics mesh, they are really the same thing. Whether pointy headed green eye shade arm banded ledger types like it or not, that is reality.
Yes, consumption taxes, especially the tariff, is the fairest most conservative tax of all. Tariffs are regressive ! Libertarians and Republicans should be in favor of them.
Therefore, I am in favor of the tariff. More please.
I didn't say that. I said prices would rise and some part of that price increase is passed on to the buyer. The most important factor on the proportion passed on to the consumer has little to do with inflation and almost entirely on the elasticity of demand for the product. Elasticity of supply is also important.
You can't simply say tariffs are regressive, as that requires the definition of both the tariff and the proportion of the buyer's income that is presented by the tariff. Look at the Luxury Tax from years ago on imports. You think that was regressive?
A regressive tariff is one where the poor pay a higher percentage of income for the tax than the rich. I fail to see why Republicans or Libertarians should favor a regressive tax.