How scared should you be about tariffs?
A Vox reader asks: Can you explain how tariffs work? How will imposing tariffs impact the everyday lives of Americans?
According to President Donald Trump, “tariffs is the most beautiful word in the dictionary,” surpassed only by God, religion, and love.
Trump has also claimed, as he did shortly after his inauguration, that “tariffs are going to make us rich as hell” and will “bring back businesses that left us.”
Basically, to hear Trump tell it, tariffs are magical things that make everyone’s lives better.
But is this true?
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The short answer is no. Tariffs aren’t a magic wand, but a complex — and potentially dangerous — economic tool that could make life more expensive and difficult.
An aggressive set of tariffs were announced at the beginning of February: 25 percent on all Mexican and Canadian goods on Saturday, as well as a new tariff of 10 percent on all Chinese goods.
For a moment, the North American continent seemed........
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