Imports don't /reduce/ GDP. They don't affect GDP because they are not produced domestically. What you're proposing is import substitution (tariffs), which is b

Imports don't /reduce/ GDP. They don't affect GDP because they are not produced domestically. What you're proposing is import substitution (tariffs), which is bad because 1. domestically imported goods can have imported inputs. 2. reduced competition from the external good means the internal ones will be worse. > It should be totally obvious and intuitive that if the same good is consumed domestically, producing it domestically rather than importing it will increase GDP, all other externalities and second-order impacts aside. There's no situation where those can be put aside, and since GDP is an artificial formula you shouldn't Goodhart it like that.