US President-elect Donald Trump’s plan to impose tariffs on Chinese imports could ironically lead to higher inflation in the United States, according to Richard Wolff, a professor of economics at the University of Massachusetts. In a recent interview, Wolff highlighted the potential unintended consequences of Trump’s trade policies.
“By imposing tariffs on Chinese goods, prices for everyday products in the US could rise significantly,” Wolff explained. “This would effectively act as a tax on American consumers, leading to an increase in inflation.”
Trump has advocated for higher tariffs on Chinese imports to protect American industries and reduce the trade deficit. However, Wolff warns that such measures might backfire, hurting the very consumers they aim to protect.
“Consumers rely heavily on affordable goods from China,” he said. “Tariffs would make these goods more expensive, squeezing household budgets and potentially slowing economic growth.”
As Trump prepares to take office, economists like Wolff are urging caution regarding trade policies that could have far-reaching effects on the US economy.
Reference(s):
cgtn.com
