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EFFEMINATE! Trump's Washing Machine Tariffs Cleaned Out Consumers

By APOCALYPSEFUCKisShostikovitch following x   2019 Apr 30, 6:06pm 396 views   3 comments   watch   nsfw   quote     share    


Although the trade policy did cause some manufacturers to shift production from overseas to the United States in an effort to avoid the new tariffs, the 1,800 jobs created by Trump's washing machine tariffs cost consumers an estimated $820,000 per job.

The new working paper provides yet more evidence that consumers, not Chinese-based companies as the president has often claimed, are paying the costs of tariffs. The increase in retail prices for dryers also demonstrates how some businesses have taken advantage of the Trump administration's trade policy to soak consumers a second time.

"Given that many consumers buy these goods in a bundle, the price increases were partially hidden by raising the price of dryers," Tintelnot told The New York Times. "That's very clearly visible."

Indeed, the price of both washers and dryers spiked in the months after the Trump administration tariffs took effect, ending what had been a years-long decline in retail prices for both appliances.

Source: The Production, Relocation, and Price Effects of US Trade Policy: The Case of Wash i n g Mach i nesAaron Flaaen, Ali Hortaçsu, and Felix Tintelnot

Similarly, American washing machine manufacturers—which are not subject to tariffs, obviously—decided to hike their prices after the tariffs increased prices on foreign-made washers, the economists found.
1   HEYYOU   ignore (31)   2019 May 1, 12:12am   ↑ like (0)   ↓ dislike (0)   quote   flag        

APOCALYPSEFUCKisShostikovitch says
decided to hike their prices after the tariffs increased prices on foreign-made washers

Brilliant Free Market Entrepreneurship!
2   APOCALYPSEFUCKisShostikovitch   ignore (41)   2019 May 1, 11:53am   ↑ like (0)   ↓ dislike (0)   quote   flag        

Brilliant Free Market Entrepreneurship!

Right! Haliburton meets Maytag!


3   ForcedTQ   ignore (0)   2019 May 2, 12:32pm   ↑ like (0)   ↓ dislike (0)   quote   flag        

The tariffs make sense if it raises foreign machines to the price level of equivalent USA made machines. If it raises the price of equivalent machines above USA prices, and USA manufacturers increase their prices to match, that truly is fucking the consumer.

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