Trump’s tariffs are working — now comes the ‘marshmallow test’

Trump’s tariffs are working — now comes the ‘marshmallow test’


The Congressional Budget Office released a report Wednesday detailing the budgetary and economic impact of President Trump’s tariffs. The top-line result: Even the Democrat-controlled CBO concedes that tariffs will reduce the deficit over the next decade.

Trump has every reason to celebrate. Tariffs shrink the deficit in one of two ways. They either raise revenue directly — as tariffs are a form of tax — or they do so indirectly, by reshoring industry and expanding GDP.

History suggests both outcomes are likely. But if Trump stays the course and keeps tariffs high and stable, the United States could seize the opportunity of a generation: reindustrialize the economy, grow GDP, and restore prosperity for our grandkids.

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The marshmallow test goes national

In the 1960s, Stanford psychologist Walter Mischel

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