i'm trying to understand ... how does this editorial cartoon even make sense? why is the cannon ball landing in the middle of America? why isn't the Chinese dragon running for cover? i don't get it...
who pays a tariff?
the importer - the person who receives the goods from the exporter - in this case, China is the exporter and the American is the importer
so ... if the importer pays the tariff, how does the importer recover the expense of the tariff?
the importer incorporates the added expense into the end consumer's price
so ... if the added cost from the tariff is added on to the end consumer's price, where does that extra money come from?
everyday American consumers
so ... China doesn't pay the 145% tariff on all imported goods to the FSA, we pay it?!?
yep, you and me
how does that lower prices?!? isn't that just forcing me to pay a national sales tax?!?
yes. does it make sense to you now?
just sayin'