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Summary:
Art Carden offers sound advice on how to respond to Trump’s ignorant pronouncements on trade. A slice: The cruel irony is that all of the benefits of the tariffs to domestic producers can be wasted in lobbying and political jockeying for tariffs and other protection. The fantastic amounts of time and energy expended by expensive lobbyists in K Street offices to persuade politicians to adopt restrictions on international trade? It’s pure social waste. It’s beneficial for the lobbyists and beneficial for the firms that increase their profits thanks to tariffs, but every dollar of additional income to a tariff-protected firm is a dollar that comes out of American consumers’ pockets. Dan Mitchell warns of the dangers of Trump’s protectionism. Here’s David Henderson on the

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Art Carden offers sound advice on how to respond to Trump’s ignorant pronouncements on trade. A slice:

The cruel irony is that all of the benefits of the tariffs to domestic producers can be wasted in lobbying and political jockeying for tariffs and other protection. The fantastic amounts of time and energy expended by expensive lobbyists in K Street offices to persuade politicians to adopt restrictions on international trade? It’s pure social waste. It’s beneficial for the lobbyists and beneficial for the firms that increase their profits thanks to tariffs, but every dollar of additional income to a tariff-protected firm is a dollar that comes out of American consumers’ pockets.

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Don Boudreaux
He is a professor of economics at George Mason University in Fairfax, Virginia. Previously, he was president of the Foundation for Economic Education.

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