Donald Trump’s tariff proposal is worse than even his critics say. Much worse. Trump keeps telling audiences that he’s going to make China and other countries pay taxes to the American government. As even right-wing economists are acknowledging, that’s utter nonsense, as fanciful as his claims that he would make Mexico pay for a wall on our Southern border.
A tariff is, in effect, the equivalent of a national sales tax on imported goods, as any economics professor will tell you. Think of it: If we impose a 10 percent tariff on a dishwasher made in China, the manufacturer or importer just raises the U.S. price by 10 percent.