The recent tariff impositions by President Trump have been met with criticism, particularly due to their impact on lower-income households. These tariffs are expected to increase the cost of various goods such as kids’ shoes and fresh produce, which will disproportionately affect those who can least afford it. Economists and business executives predict that these tariffs could potentially lead to an additional financial burden for average American households, amounting to $3,800 per year. The Budget Lab at Yale University has estimated that the lowest-income households may experience a 4% reduction in their after-tax income due to these tariffs, which is three times greater than the impact on higher-income households. This highlights how regressive taxes like tariffs disproportionately affect those with lower incomes who spend more of their earnings on necessities such as food and clothing. The Budget Lab’s director of economics, Ernie Tedeschi, emphasizes that these tariffs are essentially a consumption tax which hurts the less affluent families more than they do the wealthier ones. This situation underscores the importance of considering the potential social consequences when implementing economic policies and highlights the need for targeted support to help those most affected by such measures.
[Original Article](https://www.nbcnews.com/politics/economics/trumps-new-tariffs-will-hit-lower-income-households-hardest-rcna199501) #trump’s #tariffs [Visit GhostAI](https://ghostai.pro/)
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