Most people already understand how tariffs function like a sales tax, and increase the cost of all items covered from food to clothes to construction materials. Tariffs of 25% with our closest allies and trading partners, Mexico and Canada, would painfully raise prices on everyday items and reduce the purchasing power of every American. But tariffs are far worse than just increasing the costs of goods, they also hurt American manufacturing and destroy jobs in two key ways: 1) For every action, there is an equal and opposite reaction. Meaning that the countries we impose tariffs on will certainly put retaliatory tariffs on made in America products. This will hurt American exports, making them more expensive in overseas markets, and less competitive, translating to less demand for made in America and grown in America products and destroying jobs. 2) Nearly all manufactured goods have raw materials and parts that are sourced globally. That means that with tariffs, factories and manufacturers in the United States would be forced to pay a surcharge on parts and raw materials imported from our largest trading partners. Companies would therefore be more likely to shutter American factories and invest and grow production and manufacturing outside of the United States in other countries that don’t have these tariffs, particularly on goods manufactured for the global market. The Wall Street Journal put it very well by calling Trump’s proposed tariffs and trade wars “one of the dumbest in history,” truly a self-inflicted wound on the purchasing power of American families and on our economy and jobs. I truly hope that President Trump is looking for some kind of settlement to avoid this destructive nonsense, because the tariffs would set off a trade war with devastating negative impacts on our standard of living and our economy. There is still time for an off-ramp and to save face, but a global (or western hemisphere) recession is sadly the most likely outcome if these trade wars proceed.