Expenditure switching effectWe develop a stochastic two-country general equilibrium model, where prices are determined under conditions of monopolistic competition to examine the macroeconomic and welfare effects of tariffs on the world economy under alternative nominal rigidities: producer-currency pricing (...
“It’s going to have a massive effect — positive effect. It’s going to be a positive effect,” Trump saidduring an interviewat the Economic Club of Chicago last week. “It must be hard for you to spend 25 years talking about tariffs as being negative and then have somebody explain ...
They reveal not only that most of the effect on agriculture comes from agricultural policies, but also that when non-farm policies are additionally removed, the impact on both farm and non-farm value added is not a lot different. This again underscores the point made earlier that the most ...
Most economists agree that the possible tariffs would impact growth, though views diverge on the effect on consumer prices. Some argue the U.S. trade barriers will push up the value of the dollar, making imports of key commodities more expensive, while likely retaliatio...
Implementing tariffs can create a ripple effect throughout the economy, affecting not just direct trade partners but entiresupply chainsand related industries. This widespreadimpact makes tariffs a significant factor in economicforecasting and risk assessment. ...
Referring to the effect the trade war has had on the Chinese economy, he said that "I don't really think it's hitting the Chinese economy." Rather, the tariffs undermined Trump's campaign pledge to bring back manufacturing jobs and boost the U.S. economy, he said. ...
American businesses' plans for capital spending had been scaled back or postponed as a result of uncertainty over trade policy, and U.S. farmers were concerned about the effect of potentially higher tariffs on their exports, according to the minutes of the Fed's June policy meeting released las...
The cumulative effect of current and potential U.S. trade actions on automobiles and auto parts could cause new car prices to rise by 2,750 U.S. dollars on average, according to estimation by the Center for Automotive Research (CAR) in a recently released report. ...
Jeans, T-shirts, sweatshirts and a host of other apparel items are set to go up in price if Trump’s tariffs take effect, experts said. The U.S. imports more than 80% of clothing items offered up by retailers,U.S. Bureau of Economic Analysisdata last year showed. ...
of the 60 economists surveyed believed that the tariffs on steel and aluminum imports would actually harm the U.S. economy, with the rest believing that the tariffs would have little to no effect. All in all, none of the economists surveyed thought that the tariffs would benefit the economy...