President Donald Trump has just delayed the implementation of his universal tariff policy until August 1st.
Good evening,
President Donald Trump has just delayed the implementation of his universal tariff policy until August 1st.
Though a full cancellation of these tariffs would be better, the delay is a welcome first step.
The rationale you often see for these tariffs is that free trade rips off America.
But is that true?
Not really. Free trade is really — at its root — about economic liberty.
Free trade allows people to freely exchange goods and services they specialize in, for goods and services they desire.
Americans purchase the foreign-grown coffee beans or cheap bananas they desire, while foreign consumers and companies purchase our world-leading software programs or our North Carolina-grown sweet potatoes.
It’s a mutually beneficial global exchange where everyone plays to their strengths. That is called comparative advantage.
In fact, it's more often trade barriers that give Americans a raw deal. Tariffs and market restrictions make your life more expensive and less prosperous.
Free trade made Americans the most prosperous nation in the world. It’s allowed us to dominate software, technology, AI, and so much more. John, that sounds like a good deal to me.
You can watch our latest explainer separating fact from fiction on trade deficits below:
