"to lower prices"

of tariffs will be paid by consumers.

say something cost $100, but donnie slapped a $30 tariff on it. few, if any, businesses have margins that large, the can't fully absorb it even if they wanted to.

say the arrangement was the importer paid $100, they charged $125 to the distributor, who charged $160 to the retailer, who charged $200 to the consumer.

a best case scenario might be prices might change to $95, $115, $145, $180 respectively, ignoring the tariff.

but with the tariff (now $28.50 on the lower price of $95), it's actually $123.50, $143.50, $173.50, $208.50. So every business along the chain takes a hit and the end consumer still winds up seeing an $8.50 price increase.

in practice, most the numbers won't like this. most businesses aren't going to absorb $20 out of the $28.50 hit, more of it will be passed on to the consumer.

and as tariffs aren't listed on receipts, all anyone will really see is prices going up.

well, other than the CFOs, who will see sales and net revenue go down.

downward pressure on wages.

Layoffs and bankruptcies are more my concern.

this means absorbing a (usually) small portion of the tax.

they have to find the new optimal point, increasing prices to the point where lower sales at the new price (higher for their customer, lower net for the business itself after tariffs) optimizes net profit.

Taking into account the new variables, increased prices, lowered sales, lower net, etc.
They are going to lose as little as possible.

it spreads around the pain to everyone involved, but no one ends up happy. except putin.

Destroying American without firing a shot.
Causing pain, hardship, deaths.
He loves it.

affecting either demand or profits.

So they are saying instead “We need to offset ourselves from the flames and smoke”.
In this way, only we get burned!

Why not get Mikey J on the phone and demand he get the House together to vote to overrule the tariffs? Or else no more big checkies to any GOP

Lmao that's the current 😂🙄