How Tariffs Could Distort the Economy

By Anonymous

With more tariffs threatened, it is rational for consumers and businesses to buy before price increases hit, but then comes the hangover

When times get tough, the tough go shopping. That is the rational response to the escalating U.S.-China trade battle.

A buying spree by consumers and businesses looking to get ahead of the tariffs will add another distortion to an economy already revved up by a big stimulus and tax cut and already facing a tight jobs market and rising prices.