Boaz.
My understanding of tariffs are as follows.
Tariffs are placed on good imported into America in order to give American manufacturers and producers a leg up in the market.
So, let's say car manufacturers. Japanese cars imported into America have tariffs placed on them, making them more expensive for the consumer, which in turn helps American car manufacturers sell more vehicles.
The problem is, manufacturing in other countries and importing to America, even with tariffs, is still cheaper for the consumer than buying American made goods.
Over time, America stopped manufacturing and now we rely on imports. We've become dependent on imported products.
Trump's plan to increase tariffs in order to help America reduce its dependence on foreign imports is half baked.
What needs to first happen is to breath life into manufacturing in America once again, and the only way to do that is to heavily subsidize it. Like California has done for Tesla. Then, once these companies are able to provide and compete in the marketplace, you place tariffs on the imported competitors.
Placing tariffs on imports before providing an alternative serves no purpose and is what's causing everything to become more expensive for Americans.
