MOOSE JAW — Trump tariffs are not added to all goods. But Trump Tariffs increase the price of all goods.
Why? Economics 101. Supply and demand.
The item with the tariff added, like a vehicle, is more expensive than a non-tariff vehicle. The consumer, or vehicle buyer in this case, decides to buy the cheaper vehicle without tariffs. The low price stimulates demand. The more demand, the higher the price.
Same with all products and goods.
The demand for products and goods without tariffs causes all prices to go higher.
Supply and demand: the higher the demand for a product, the higher the price. Prices increase until they find an equilibrium, either by increased supply or decreased demand decrease.
Economics students learn this in week one.
