Delve into the economic interplay between tariffs and consumer prices, uncovering market dynamics that affect everyday expenses and consumer behavior. A tariff is a tax levied by the government on imported goods. Tariffs affect consumers in two main ways.
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First, they increase the cost of what we buy when the added cost, which companies pay as a tax to the federal government, gets.
Millennials are most likely to cut back.
Consumers tighten their wallets as tariffs loom our survey found that 70% of consumers will reduce overall spending once new tariffs take effect. They raise costs for importers who usually pass them on to consumers in the form of higher priced goods.
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