large negative impact on US exports in addition to the effect of tariffs. Abstracting from general equilibrium effects …, while tariffs account for an 8% decline in US exports to China, the SOE effect accounts for a 4% decline. This SOE effect … targeted by tariffs. Further, the SOE effect was concentrated among agricultural goods and industrial supplies, as well as …

potential productivity benefits. The welfare benefits of final-good tariffs thus tend to be larger, with the optimal degree of …Import tariffs tend to be higher for final goods than for inputs, a phenomenon commonly referred to as tariff …-maximizing tariffs are uniform across sectors. We show that tariff escalation can be rationalized on efficiency grounds in the presence …

On April 2, 2025, President Trump declared "Liberation Day," announcing broad tariffs to reduce trade deficits and … revive U.S. industry. We analyze the long-term economic impacts of these tariffs through the lens of a trade model that … trading partners do not retaliate, the tariffs could decrease the U.S. trade deficit and improve its terms of trade, yielding …

This paper examines the effect of tariffs and exchange rates on U.S. prices of Japanese cars, trucks and motorcycles …. In particular, we test whether the long run pass-through of tariffs and exchange rates are identical: the symmetry …

In theory, we should expect tariffs to be partially offset by a currency appreciation in the tariff-imposing country or … by a depreciation in the country on which the tariff is imposed. We find, based on a calibrated model, that the tariffs … the dollar and the renminbi. We find that tariffs explained at most one fifth of the dollar effective appreciation but …

This paper uses a new dataset on the universe of Canadian imports and tariffs between 1924 and 1936, disaggregated into … tariffs which varied substantially across goods, trade partners, and time. We develop a novel method of controlling for … the impact of tariffs on trade flows. The overall impact of post-1929 tariff shifts, including the 1932 agreements, was …

major financial or economic crash. With a shrinking labor force and declining efficiency of investment, raising productivity …

these wedges to calculate the impact of the Smoot Hawley tariffs on total factor productivity and welfare. In our benchmark …