Who Pays the Tariffs? - Explained Like You're Five

This should be required viewing for MAGA and Trump voters.

Have been interested in seeing the real world effects of the tariffs on consumer products. When I saw the massive tariff on Canadian liquor, I resolved to pay particular attention to my favorite Whiskey - McNaugtons. Prior to the placement of the tariff, the big bottle went for $20. As the first effects of the tariff rolled in, it remained $20 -$22. Now that things have settled in a bit, the big bottle is going for $18. So, at least for this product, the tariff seems to be much adieu about nothing.

That cookie story really made it clear!

Moral of the story… shop and build stuff in our country and stop sending work overseas. Creating jobs and income here not to others. Made in the USA was a thing growing up. Now we send out money to people that despise us. Consuming massive amounts of stuff creates greed here and overseas. Stop being so needy for the newest iPhone or buy a new car every time it needs tires. It’s your responsibility to shop locally and stop buying everything just because you can’t stop watching tv.

America first 🇺🇸

The most important thing to come from tariffs is bringing back manufacturing to America. We can not as a nation rely on our enemies to supply us with necessary goods.

Thanks I need to understand tariffs

Trump will say this channel is fake news.

take in count once the domestic companies can also raise their price and the consumer pays the consequences

My son watches these with me. We are both learning so much!

Tariffs really do change prices a lot.

Nothing from tarrifs helps any American products when most of the material used to make most of the items in America are imported. Steel and other material that make American cars come from Mexico or other countries.

Hey how can I contact you ?

I would imagine that understanding Tariffs is really complicated. It has many moving parts. It must be the case that countries like China benefit from low wages as they can manufacture hardware much more cheaply than the United States, and production, in general, will go to the area where the greatest margins can be made. So China makes “stuff” and America buys that “stuff.” Problem is there now have been job shifts from one country to another and so countries such as the US now has to increase social programs to compensate for job losses, which increases taxes on American workers, or at least those still working. But even if, say, Americans pay higher prices for some goods it could be argued it’s a “good tax” — rarely will I ever write that — as pressure will then be placed on corporations to return jobs to America. I’ve heard a lot of arguments such as, “Americans will pay more because of tariffs!” and that, while bring true, might be more short-to-medium term. For the long term if jobs are created in America then the actual dollars paid for goods, assuming inflation, might decrease in the aggregate long term as there should be more dollars later in the average American’s bank account.

The other problem is that minimum wage laws make American workers cost more than workers from other nations. The best thing to do is to eliminate the minimum wage so that it maximizes employment. Case in point, a Doctor in the US costs about $300,000; a doctor just south of the border only makes about $115,000. Then you have to take into play that other nations pay for goods and services in US dollars, which are fiat. So, if the US military doesn't back the dollar by threat of war, bye, bye Mrs. American pie.

Now the government collects more money from those who wants the goods. Minus the administration cost. Hopefully just on items that is not a necessity. If you have only one option, your freedom is reduced..
Did dad buy beer and cigarettes on what he collected?

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Wow, I really like this channel, you got an amazing way to explain things in a simple way, thank you so much ❤

1:50 lmao, boomgate just clipping through his head

well its part of the explanation of tariffs, it underscores the importance of trade balance, imagine all your stores are buying goods outside, they gain money from you, the regular citizen, who gets the money from them, so where does the money come from? its from loans, so the only lifeline you have is the hope that those loans and gov projects generate enough positive cash flow to sustain yourselves.. i think after a while your currency will devalue and its over. not everyone is a currency staple. at-least this is how i interpret it

What you are leaving out is that the world has always tariffs that USA and no issue. Then the USA does it back and rightfully so and now it's problem? Please

Awesome video! Keep up the amazing work on this channel and your other ones.All the best!

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this channel is going to blow up. This is amazing. This is perfect for kids.😮 1.92k subscribers right now I’m calling it. It’s gonna go to 1 million in six months.