Doug Irwin, On Tariffs
Doug Irwin, my coauthor of International Economics, is in the news today, for obvious reasons.
Doug Irwin, my coauthor of International Economics, is in the news today, for obvious reasons.
Should’a bought that EV! Joseph Brusuelas notes tariffs should show up in gas prices in the Midwest pretty quick, as the region gets its oil from Canada.
Canada is America’s second largest trading partner. In 2023, of the $416 billion of imported goods from Canada, $119 billion is oil and gas, and petroleum products and coal. (Total merchandise imports is $3.1 trn.) From the Milwaukee Sentinel Journal today:
From a fascinating paper by Oli Coibion, Yuriy Gorodnichenko and Michael Weber, “The Upcoming Trump Tariffs: What Americans Expect and How They Are Responding“:
That’s my name for Trump’s 10% universal tariffs plan augmented with additional 60% on Chinese-made imports. h/t to Torsten Slok for the CBO letter. I show implied effects on PCE deflator inflation, and GDP relative to January 2025 CBO projection.
Per DJT. That’ll show those elitist diabetes/weight-loss drug consumers! Some back of envelope calculations for Wegovy and Ozempic (both manufactured by Novo Nordisk).
Today, we present a guest post written by Jeffrey Frankel, Harpel Professor at Harvard’s Kennedy School of Government, and formerly a member of the White House Council of Economic Advisers. An earlier version appeared at Project Syndicate.
From Reuters: In an interview with NBC’s Meet the Press that aired on Sunday, Trump said he did not believe that consumers ultimately pay the price of tariffs, adding “I think they’re beautiful.”
President-elect Trump has mentioned a 25% tariff on Mexico and Canada. Time to think about how this would affect Wisconsin, a state that voted for Mr. Trump.
Answers: No. No. No.