Economist Dr. Greg George, director of MGA’s Center for Economic Analysis, talks to Atlanta's 11 Alive about Donald Trump's impending tariffs and their long-term effects on inflation, trade relationships and Americans' household budgets.
"'The threat is a trade war, and that hurts all countries equally,' Middle Georgia State Economics Professor Greg George said. 'It’s like pulling the pin on a grenade and saying, "If you don’t play by my rules, I’m going to blow up everything."'
"The Trump administration has positioned the tariffs against China, Mexico and Canada as retaliation for illegal immigration, drug trafficking and trade deficits. A trade deficit is when a country imports more goods and services than it exports.
"The U.S. produces many goods, including construction materials and pharmaceuticals, but American consumers still rely heavily on imports for essentials like energy, clothing and food. According to economists at Mercer University and Middle Georgia State University, history shows that tariffs trigger two major ripple effects."
