Story perspectives

Study: Tariffs Harm Economy, Inflate Costs and Unemployment

11/16/2025

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Summary

Story summary

A new study analyzing 150 years of tariffs finds tariffs disrupt the economy and lower inflation.
Researchers from the San Francisco Federal Reserve find higher tariffs reduce economic activity and raise unemployment in the short term.
They say tariffs create uncertainty that undermines consumer and investor confidence.
Under U.S. President Donald Trump, tariffs have faced backlash due to rising costs, while GDP rebounds and consumer spending continues, benefiting the wealthy.

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Story summary

A new study analyzing 150 years of tariffs finds tariffs disrupt the economy and lower inflation.
Researchers from the San Francisco Federal Reserve find higher tariffs reduce economic activity and raise unemployment in the short term.
They say tariffs create uncertainty that undermines consumer and investor confidence.
Under U.S. President Donald Trump, tariffs have faced backlash due to rising costs, while GDP rebounds and consumer spending continues, benefiting the wealthy.