3 ms·
That’s certainly possible, but by no means guaranteed, right? If someone selling goods to the US is selling out (supply-limited) the rest of the global market m
by dahart 9mo ago
That’s certainly possible, but by no means guaranteed, right? If someone selling goods to the US is selling out (supply-limited) the rest of the global market might absorb the US share. But one might wonder if that was the case, why would they be selling to the US in the first place. I would, by default, assume that losing the US market reduces demand for any given non-US export, and the amount that it hurts depends on how big the US market was compared to the non-US market.
This isn’t the first time tariffs have been used in a country to push purchasing preferences. The problem is that it hurts them and it hurts us, it’s just a net economic drain and doesn’t effectively achieve the local economic boost that some want it to, especially in today’s global economy where trade has become so integral that we no longer produce many of the products we buy, and therefore tariffs can’t fix. “There is near unanimous consensus among economists that tariffs are self-defeating” https://en.wikipedia.org/wiki/Tariff https://en.wikipedia.org/wiki/Tariff