Advantages and Disadvantages of Tariffs

Latest update: January 9, 2020

World Retaliatory Tariffs Against US and the Resulting Deflation for Agricultural Products

Important Note. This entire prediction is based on there being an honest marketplace. However, due to monopolies and semi-monopolies using tariffs as a make-believe excuse to raise prices on domestic American goods in parallel with the foreign goods price increases, virtually all consumer prices may be raised.

Due to the retaliatory world tariffs against US products, world demand for US products will drop, thus domestic supply will increase. What does this mean for the US consumer regarding those products?

It is a basic law of supply and demand: when demand drops and supplies remain constant or increase, prices drop. Hundreds of American products will be affected directly. Thousands of products will be affected indirectly. Domestic prices will gradually fall for those products as the effects of the tariffs moves through the supply pipeline.

This page was originally published June 2018 (do read the updates as well). At this point, the above must be considered as a prediction; though it can be considered as a pretty reliable prediction. After all, the basic laws of supply and demand have been a proven fact since the beginning of capitalism. This page will be updated as things progress. And needless to say and in order to benefit, one will need to Buy American. This shouldn't be too hard, since those products will be the ones with the lower prices.

For reference: Bureau of Labor Consumer Price Index Page.

September 2018 Update:

It all depends on an honest marketplace. And there's the increased revenue to the federal treasury from the tariffs. However, it all depends on how capitalism is practiced in the US; admittedly, there has been so much corporate thievery that I have no idea what is going to happen.

January 2019 Update:

Looks like things have calmed down, leastwise as far as international relations. However, it does look like the meat industry is pulling a fast one. Even though international demand has decreased, thus increasing the domestic supply; beef prices still remain inflated.

April 2019 Update:

Well, well. Meat and farm produce prices dropping for the US consumer. I have experienced this personally as well as seeing media reports about it.

September 2019 Update:

Yep, meat prices remain lower. Farm produce should also be lower. Canned goods should also be affected and slightly lower; this being due to tariffs relating to the manufacturing component.

January 2020 Update: Grocery prices have been rising in my town. However, this may be due to a certain supermarket chain having a monopoly where I live. The latest, national CPI index is due out on the 14th; see the above Bureau of Labor Consumer Price Index link.

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