The Economic Truth About Tariffs & Trade Deficits
As trade and tariffs dominate the news once again, it's time to take a step back and look at the bigger picture. President Trump has been consistent in his trade war rhetoric, but what does it really mean for the American consumer? I’m a firm believer in free markets, so the alarm bells go off for me when I hear the word “tariff.” While protectionism may provide short-term relief for some industries, it reduces economic efficiency and raises prices for American consumers. However, black swan events like COVID raise important questions about how reliant we should be on foreign production. Rebuilding the infrastructure for industries long ago outsourced is a massive undertaking, especially in times of crisis. Have I been missing the larger lesson here about free trade, national security, and sovereignty? Let’s dig in.