Barron’s market reporter Jacob Sonenshine discusses the impact President-elect Trump’s tariffs could have on the U.S. economy on ‘Varney & Co.’
President-elect Trump’s plan to impose a 25% tariff on all goods from Mexico and Canada while hiking the levies on products from China will drive up costs for Americans, Goldman Sachs warned this week.
Economists at the Wall Street bank wrote in a note on Tuesday that the proposal Trump floated the day before would add a tax on 43% of U.S. imports, and could push inflation higher by nearly 1%.
President-elect Trump’s plan to increase tariffs on China and impose them on Canada and Mexico will drive up inflation, Goldman Sachs warned this week. (Scott Olson/Getty Images / Getty Images)
“Using our rule of thumb that every 1 [percentage point] increase in the effective tariff rate would raise core [personal consumption expenditures] PCE…
