I guess it shouldnâ??t have come as a big surprise. After all, presidential candidate Donald Trump promised to protect American jobs and right the perceived wrongs of â??very, very bad trade deals.â?ť
Still, the surprise announcement by President Trump last week of some rather substantial tariffs on all steel and aluminum imports into the United States left me scratching my head. I say that because I donâ??t know anyone who can give me a good argument that tariffs (which are just another form of taxation) on the American people are good economic policy.
Moreover, additional taxes that favor one industry at the expense of many others amount to everything wrong with the special-interest-run â??Washington swampâ?ť that President Trump said he wanted to drain.
In an op-ed titled, â??Tariffs Are Taxes,â?ť written by three well-known free market advocatesÂ — Larry Kudlow, Art Laffer and Stephen MooreÂ — the authors make the following keen observation: