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Bloomberg Television

What could a #Trump presidency mean for inflation? #election 💞

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most beautiful word in the dictionary is tariff the higher the Tariff the more likely it is that the company will come into the United States and build a factory in the United States so it doesn’t have to pay the Tariff if I that may very well in the long term be good for the US economy it will absolutely undoubtedly be terrible for inflation in the short term the 2018 tariffs added about 2 percentage points onto the the cost of the Imports the tariffs he’s talking about now if he really goes through with it will add 1 percentage points if you are a company you will pass that on or pass as much of it as you can on so it is directly inflationary in the short term if you persuades companies currently operating in China to move their production facilities here in the long term that will definitely be good but it takes far longer to build a factory than it does to raise a price this is a totally different ball game that he’s proposing a massive change in the way the global economy works

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