Posted on 07/07/2025 5:47:24 PM PDT by Old West Conservative
A new CESifo working paper, blandly titled “Making America Great Again? The Economic Impacts of Liberation Day Tariffs,” lands with all the drama of a footnote—until you read what it actually says. If the U.S. can impose tariffs without sparking retaliation, it can come out ahead. Higher wages. Smaller trade deficit. Slightly lower taxes. A net gain in welfare. That’s not a MAGA slogan. That’s a math-based result.
The study, authored by economists from UC Davis, the Norwegian School of Economics, Indiana University, and the University of Milan, builds a global trade model to simulate Trump’s April 2 tariff policy—what he called “Liberation Day.” The tariffs include a 10 percent base rate, with surcharges for countries that run persistent trade surpluses with the U.S. — 20 percent for the European Union, 54 percent for China, etc. The CESifo authors run the numbers and conclude: If foreign governments don’t retaliate, the U.S. gains. The trade deficit drops by 18 percent. Welfare ticks up by 1.13 percent. Tariff revenue offsets income taxes. Even employment nudges higher.
(Excerpt) Read more at breitbart.com ...
Tariffs can work and help unleash a boom in the USA!
So there is a tariff “laffer curve”.
The free traders said that if we allowed all economies to pursue their efficiencies without barriers it would greatly increase the generation of wealth. It was true but what they didn’t advertise is where that wealth would be generated. To wit, billions of people have been pulled out of abject poverty worldwide and the investor class in America became wealthier. The rest of America was kept from noticing by cheap financing of borrowed money.
Yeah. The pie got bigger but our slice shrunk.
They say brevity is the soul of wit. You summed up my post in 8 words lol.
I’m dollar store AI.
Rand Paul and Thomas Massie hardest hit
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