The United States drastically cut its reliance on tariffs as a primary form of federal revenue over a century ago. Nobel Prize-winning economists have predicted that Donald Trump's proposed tariffs would send the United States into a combined depression/recession that it might never recover from.
Handed a robust economy by his predecessor Barack Obama, Trump proceeded to tear it all down, hastened by the COVID-19 pandemic. When Trump left office, inflation was at a record-high 6.7%. Somehow, the message that inflation is currently at 2.4% was never properly delivered by the corporate media, leaving far too many voters under the wrong impression that the American economy was the worst in the world when it currently is, in fact, the best.
As Americans grapple with the potential of raised consumer prices because Trump doesn't understand how tariffs work, U.S. retailers are preparing for the impact. Trump has proposed adding a tariff of 10 to 20 percent on all imports and a 60 to 100 percent tariff on imports from China specifically.
A new study says that American consumers could lose between $46 billion and $78 billion in spending power each year Trump is in office his tariffs are implemented, with up to $7,600 in additional costs annually per household.
The study by NRF, which calls itself the "world’s largest retail trade association," estimated the costs of apparel after the tariffs, with an $100 coat rising to between $112 and $121. A $26 board game would cost between $34 and $39, and a $40 toaster would cost between $48 and $52, according to the association.