High Tariffs will Murder Our Institutions and our Economic Growth

Philip Kotler

Today’s news covered the story that the Trump administration is raising steep tariffs on “phamaceuticals, semi-trucks, kitchen cabinets and furniture”. These high import taxes will go into effect this Wednesday.

Hurry, buy what you need now before their prices become prohibitive.

As an economist, I forsee the following dismal scenario.

AGGRESSIVE TARIFFS will spur CONTINUOUS PRICE INCREASES.
Rising inflation will lead people and companies to SPEND LESS.
Lower consumer spending and investment will lead to RISING UNEMPLOYMENT.
Rising unemployment will lead to SLOWER ECONOMMIC GROWTH.
The pathetic economic outcome is called STAGFLATION.
STAGFLATION leads to long run RECESSION AND DEPRESSION. 😟 😟
Unfortunately, economists have no easy cure.