Who Really Pays the Price? Unpacking the Truth About Tariffs and Trade

In this episode of Now I Get It, I break down the real story behind tariffs—who actually pays them, how they affect the prices you see on store shelves, and why politicians might not be telling the full truth. Using real-world examples from manufacturing and retail, I explain the flow of goods and costs from producer to consumer, revealing why a 130% tariff isn’t just a number—it’s a seismic shift in how global trade plays out.We also dive into the often-ignored parts of international trade: services and investment. While the media obsesses over the trade deficit in goods, I highlight why things like streaming movies, financial services, and foreign investments are critical components of our economy—and why excluding them from trade calculations paints a misleading picture. If you’ve ever wondered how tariffs impact more than just imported goods, this one’s for you.In this episode, you will learn:(00:30) – Why the person writing the tariff check isn’t the one truly paying for it(02:00) – How elasticity of demand determines who absorbs the cost of import duties(03:20) – How a 50¢ product ends up costing $3—and what tariffs do to that chain(05:00) – Why a 130% tariff on Chinese goods can’t possibly be paid by Chinese manufacturers(06:45) – What the trade deficit leaves out—and why services and investments matter more than you thinkLet’s connect!linktr.ee/drprandy Hosted on Acast. See acast.com/privacy for more information.