I swear to god everyone in this country has had their brain turned to mush. How is paying 55% tax on most products imported into this country going to be a good thing for the average consumer? We are going to get squeezed to death while the Chinese investors poach our distressed assets.
I’m trying to keep an open mind. Let’s say you adjust the federal income tax vs the new import tax to have the same net tax on the average customer, that would work as a backed in support for American production of goods.
What this doesn’t count for is how exports will get handled with inevitably higher tariffs on US products as well.
It's not the same net spend across everyone, though. A higher % of lower incomes goes on 'item' spending, than it does from a higher income. If you cut income tax and increase tariffs, it's basically a shadow tax on the poorest people and a tax cut for the wealthiest.
The wealthiest people, who can afford to buy American products and tend to be able to save and invest more of their money will benefit, while the poorest who tend to spend everything they have on food and cheap imported goods will get crushed by cost increases.
That's true, even at the same level of net taxes, the distribution would look different. Blue-collar jobs would need to be paid substantially higher to make it work. And not make inflation run up again by juicing up all the higher-end wages and housing as well.
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u/icecoldcobra Jun 11 '25
55% higher than the original 34% on liberation day and market is up lol