Have Some Inflation, Ya Basterds

A broad 10% tariff on goods imports, with a 60% tariff on Chinese imports, would raise $2.6 trillion over the next decade—0.7% of GDP—if other countries did not retaliate against the US. If targeted countries retaliate, however, as is likely the case, tariff revenue falls by 12-26% depending on the scenario.

The level of consumer prices would rise by 1.4 to 5.1% before substitution, between a tenth and a third of the first four years of pandemic inflation. This cost is the equivalent of $1,900 to $7,600 per household in 2023 dollars.

— “Fiscal, Macroeconomic, and Price Estimates of Tariffs Under Both Non-Retaliation and Retaliation Scenarios,” The Budget Lab at Yale University

Share the Post:

Latest Posts

A Revolutionary CheGPT Rages Against Trump’s First 100 Days

With President Trump’s first 100 days now complete, I thought it might be fun (and perhaps even inspiring) to instruct ChatGPT to reflect on all of the Executive Orders issued during the first 100 days and provide an analysis written in the voice of the legendary left-wing revolutionary, Che Guavera.

Read More

Dear Neighbor: An Open Response to Raj Bhakta

In response to a ‘Dear Neighbor’ letter from a local millionaire, I’m setting the record straight. As we approach our annual town meeting, he is using misinformation to pressure the town into action. My open letter challenges his claims and highlights the truth.

Read More