Trump’s Washing Machine Tariffs Cost Consumers $800,000 Per Job Created

in economics •  last year 

If the Dealmaker-in-Chief thinks it’s a good deal to force US consumers to pay $820,000 annually in higher costs to create a new $43,000-per-year factory job, then he might have to re-think his deal-making strategies. The costs to American consumers exceeds the value of each new job by a factor of 19-to-1.

Source: Trump’s Washing Machine Tariffs Cost Consumers $800,000 Per Job Created - Foundation for Economic Education

One of the reasons that tariffs are always a bad idea is that they cost more than they save. Sure, a few jobs related to washing machines were saved but if each job saved has an economic cost of $820,000 then that just means jobs are ultimately lost elsewhere and probably a lot more of them. Since consumers had to spend more money on that washing machine that they needed, that means they had less to spend elsewhere. Tariffs are a bad idea when a Democrat implements them and they are a bad idea when a Republican implements them.

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