Consumers pay cost of tariffs

USA President’s decision to impose tariffs on some imported goods could start trade wars.

That appears to be something of which Foreign Minister Winston Peters approves:

What’s Donald Trump’s biggest complaint? It’s that countries shouting out ‘free trade for America’ don’t practise free trade themselves. In fact it’s New Zealand First’s and my complaint that the countries we deal with apply tariffs against us whilst we’re giving them total and unfettered access to our country. It’s simply not fair.

It might not be fair but imposing tariffs on goods from other countries in retaliation is simply stupid.

It might protect inefficient local industries but local consumers will pay for that in higher prices and less choice.


3 Responses to Consumers pay cost of tariffs

  1. adamsmith1922 says:

    Reblogged this on The Inquiring Mind and commented:
    Thus Winston Peters proves his inadequacy

  2. Bulaman says:

    I found the arguments here an interesting read.

  3. Will says:

    Some of these ‘free trade’ arguments are verging on economic mysticism. Riccado for one. China and the EU started the trade wars years ago. Trump is just firing back. Funny how nobody reacted when Obama imposed 500% tariffs a few years back.

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