White House: Exporters Will Eat Most of Tariffs, We Can Import from Different Countries, Switch to Home Production

On Wednesday’s broadcast of the Fox Business Network’s “Kudlow,” White House Council of Economic Advisers Chair Stephen Miran said that he believes exporters will end up eating far more than half the cost of tariffs “because they’re inflexible and we’re flexible. Because we can substitute to home production, we can substitute to different countries to import from.”

Host Larry Kudlow said, [relevant exchange begins around 8:00] “Kevin Hassett and I have talked about this for years. I think the — I like to use China as the exporting nation, but the exporters who are hit by this, they’re going to have to eat half of it. they’re going to eat half of it.”

Miran responded, “They’ll eat much more than half, because they’re inflexible and we’re

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