Tariffs are Not Pro-Growth
How can protectionists like Trump and his allies not understand that tariffs are destructive? A tariff is basically a tax on imports. It is championed as a means to boost domestic production and government revenue, but this is far from economic reality. Tariffs clearly and consistently hurt the consumer and taxpayer by driving costs up to everybody in amounts far in excess of any short-term benefits.
Tariffs further add to inflation and put American companies at a disadvantage because foreign countries can (and do) retaliate by putting their own tariffs on our exports. This slows manufacturing growth (the cost of their inputs goes up), increases prices, and makes the economy more sluggish. On the other hand, free trade creates better choices for consumers and more global opportunities for American companies, resulting in lower costs and an expanded job market.
Even media outlets like the NY Post and Fox News are still parroting the mantra that even though tariffs are bad, they could have long=term benefits. These benefits are supposed to be because they will achieve an overall reduction of foreign tariffs against the US, which will allow US companies to make more profits. Though this sounds like it may be right, there has never been any evidence that this is the case (the most logical reason being that because the US economy is so much stronger than other economies, there may be some real economic rationale that tariffs should not be reciprocal).
To suggest a tariff is a pro-growth economic policy is utterly ridiculous. Tariffs don’t strengthen American manufacturers; they are cronyism of the highest order. Protectionists are economically ignorant, and tariffs have proven yet again to be disastrous for our economy.
