Feb 24 • 19:25 UTC 🇩🇪 Germany FAZ

US Tariffs: What History Tells Us About Trump's Trade War

The article explores the historical impact of tariffs in relation to Trump's trade policies, suggesting that they often do not achieve their intended economic outcomes.

The article discusses the historical context of tariffs in the United States, particularly under President Trump's trade policies. It references a study by researchers from Northwestern University that analyzed US tariff history from 1842 to 2024, concluding that tariffs have rarely produced the desired economic results. Experts have long warned that the imposition of tariffs might not yield the benefits expected, reflecting a distrust in their efficacy as a trade policy tool.

The researchers categorize tariffs into politically motivated and economically motivated types, revealing that a significant number of tariffs have historically been implemented for political reasons rather than genuine economic necessity. For instance, they identify 21 politically motivated tariffs that were enacted for various ideological reasons, such as commitments to protectionism or free trade, or for distributional motives related to political gain. This differentiation highlights how tariffs can serve more as political instruments than effective economic strategies.

This analysis aims to shed light on the broader implications of tariff policies, especially in light of current discussions surrounding Trump's trade war. The findings serve as a cautionary reminder that historical precedent suggests that tariffs are likely to hinder rather than help the economy, raising questions about their use in contemporary trade negotiations and future economic policies.

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