Trump’s tariffs will shrink the economy and reduce investment, CBO says

Posted by ONETRILLIONAMERICANS

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  1. ONETRILLIONAMERICANS on

    > An increase in tariffs of 10 percent on all imports would reduce America’s gross domestic product (GDP) by about 0.3 percent, while 60 percent tariffs on all imports from China would knock GDP down by another 0.3 percent, the CBO projects.

    > Meanwhile, the tariffs would “make consumer goods and capital goods more expensive, thereby reducing the purchasing power of U.S. consumers and businesses,” the CBO found. The productivity of American businesses would decline due to “limiting competition from imports and causing resources to be used less efficiently than they otherwise would have been used.”

    thanks to u/Longjumping_Gain_807 for posting it in the DT

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