Who pays for tariffs? | 11alive.com [Video]

Trump and his administration have advocated for tariffs to bolster the U.S. economy by protecting domestic industries, reducing trade deficits, and encouraging companies to manufacture goods within the United States.

But who exactly pays for them? Many have been searching for that question online as some economists warn the economic decision could negatively impact U.S. consumers.

Firstly, it’s essential to understand precisely what a tariff is.

What is a tariff? 

A tariff is a tax imposed by a government on imported or exported goods. While the importing country enforces the tariff, the financial burden often extends beyond its borders, affecting both the importing and exporting nations.

Who pays for tariffs?

In theory, the importing country collects the tariff revenue. However, the economic impact is more complex. Economists generally agree that the cost of a tariff is shared between consumers and producers in the importing country …