Jef PoskanzerWrong: "Trump imposed a 39% tariff on Switzerland." Right: "Trump imposed a 39% tariff on Americans who buy from Switzerland." Every time you see this mistake, correct it. Every. Time.
DJGummikuh@jef I actually don't think that's true, though. Tariffs are always imposed on the Vendor side of a transaction AFAIK, even if they are eventually paid by the buying side. And the resulting chilling effect also is going to reduce either revenue or margin (or both), also (mainly) hurting the vendor, given that alternatives exsist for the customer. "Imposed tariffs are most directly felt by US citizens" would however be a claim I would rally behind. 🤔
Ysegrim@DJGummikuh @jef No. Tariffs are always paid by the importers of goods. If a US-American flies to Switzerland, buys things, and brings them into the US, the US-American pays. If they order via mail from Switzerland, the US-American pays. If they buy at Walmart, and Walmart gets it shipped from Switzerland, Walmart pays (and you can be sure they add this to their retail price, so again it's the American who pays).
The only effect tariffs have on the Swiss here is that in cases where there is another country that produces comparable goods. For example, if Kazakh and Swiss chocolate are produced at the same price, Swiss chocolate will now be 35% more expensive for US consumers, so they will sell less into the US (and more into the rest of the world). Unless Kazakh manufacturers increase their prices for US consumers themselves and thus their revenue by up to 35% to match the Swiss (assuming Trump imposed 0% Tariffs on Kazakhstan).
Alan Clifford 🏌️♂️🦈 📷@ysegrim @DJGummikuh @jef
The effect is supposed to be, or so we are told, is that U.S.Americans buy U.S.American chocolate instead. Which ignores what I vaguely remember as "comparative advantage" such that U.S.American companies should be manufacturing corn syrup cookies for export to Switzerland.
The effect is supposed to be, or so we are told, is that U.S.Americans buy U.S.American chocolate instead. Which ignores what I vaguely remember as "comparative advantage" such that U.S.American companies should be manufacturing corn syrup cookies for export to Switzerland.