Tag: tariffs

  • ⚖️ Deadweight Loss – A Resultant of Trade Tariffs

    ⚖️ Deadweight Loss – A Resultant of Trade Tariffs

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    by

    Fatehbir Singh Sohu
    in

    𝗗𝗲𝗮𝗱𝘄𝗲𝗶𝗴𝗵𝘁 𝗟𝗼𝘀𝘀 𝗮𝗻𝗱 𝗜𝘁𝘀 𝗘𝗰𝗼𝗻𝗼𝗺𝗶𝗰 𝗜𝗺𝗽𝗮𝗰𝘁 – 𝗥𝗲𝘀𝘂𝗹𝘁𝗮𝗻𝘁 𝗼𝗳 𝗧𝗿𝗮𝗱𝗲 𝗧𝗮𝗿𝗶𝗳𝗳𝘀 Tariffs do not just shift wealth; they create a net economic loss (i.e. Deadweight Loss) because the reduction in trade leads to lost opportunities, inefficient resource allocation, and higher costs. Deadweight Loss (DWL) refers to the economic inefficiency that arises when market equilibrium is…

  • Navigating the impact of U.S. Tariffs on the Canadian Economy

    Navigating the impact of U.S. Tariffs on the Canadian Economy

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    by

    Fatehbir Singh Sohu
    in

    Recent developments have seen the U.S. administration propose significant tariffs on Canadian imports, citing concerns over border security and drug trafficking. While some view these tariffs as a strategic bargaining tool, their potential implications for the Canadian economy are profound and multifaceted. 𝗞𝗲𝘆 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀:• Economic Growth at Risk: Analyses suggest that sustained tariffs could eliminate…