5 ways Trump's next presidency could affect the U.S. economy — and your money
CBSOCT 25 2024
Trump: Tariffs to be Imposed on Mexico, Canada, and China
Above: Donald Trump arrives during a "Get Out The Vote" rally in Greensboro, North Carolina, US, on March 2, 2024. Image copyright: Al Drago/Contributor/Bloomberg via Getty Images
The Spin
Republican narrative
Pres.-elect Trump's bold tariff strategy offers both a transformative vision for the US economy and a strong tool to achieve foreign policy goals. He aims to revitalize American manufacturing, protect domestic jobs, and counter unfair trade practices from nations like China. These tariffs will create a fairer global market, penalizing countries that exploit the system while favoring US workers. Moreover, the revenue from tariffs could fund critical initiatives while incentivizing companies to invest at home.
Democratic narrative
Donald Trump has primed an economic time bomb that would devastate US industries, inflate consumer prices, and shatter global supply chains. His policies risk a trade war, skyrocketing costs, and widespread job losses in industries reliant on integrated North American and global trade. His plan undermines existing trade agreements, destabilizes diplomatic ties, and ignores the reality that tariffs are paid by US consumers and businesses. This short-sighted policy guarantees economic pain without solving financial issues in the long run.