Aure's Notes
1 min readFeb 7, 2025

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In 1915, the U.S. was largely self-sufficient, producing most of its goods domestically. Today, the economy is deeply integrated into global trade. Try to reach that mark today and prices would skyrocket. -> It stopped being self-sufficient when it delocalized to China. This is being reversed.

Unlike an income tax, which targets earnings, tariffs act as a consumption tax—businesses pass the costs on to consumers. Inflation would rise, hitting lower- and middle-income households the hardest. -> Won't be the case once production becomes domestic again, the original purpose of Trump's tarrifs.

While tariffs can be a useful tool for targeted trade policy, they are no longer a viable primary revenue source in a globalized economy. The U.S. government is simply too large, and modern economic structures are too interconnected. -> that's in part because spending and size unnecessarily inflated, which can also be reversed. But I do recognize that counting on tariffs to finance a government is in the long-term, self-defeating.

And DOGE seems busy targeting agencies that were investigating and/or suing Elon. -> that's just not true.

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Aure's Notes
Aure's Notes

Written by Aure's Notes

2X Msc in pol. science and business econ. Summarized +100 books. 25k people read auresnotes.com. From Belgium. No niche.

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