why can't we just raise tariff on all imported goods? Watch

GnomeMage
Badges: 2
Rep:
?
#1
Report Thread starter 5 years ago
#1
Just impose a 200% tax on all imported items to promote 'buy british first' policy. Soon we will be out of this recession.

Donald Trump suggested this before. Not sure why no one listens to him.
0
reply
Juno
Badges: 20
Rep:
?
#2
Report 5 years ago
#2
Because there are some things that can't be made in the UK, and other things that are made more cheaply abroad. So by raising prices (which is what a tariff will do, as companies will pass that on to the consumer) you're then increasing inflation and the cost of living. Also, if people are encouraged to buy British there will be a sharp increase in demand which firms will struggle to meet - they can't just double or triple their output. This may then lead to rationing, or prices having to rise to cope with the demand.
0
reply
Drewski
Badges: 19
Rep:
?
#3
Report 5 years ago
#3
It also means other countries will do the same to our exports in a tit-for-tat way, so everything we try to sell abroad suddenly becomes massively more expensive for the buyers, they refuse to buy them and our finances take a hit.
0
reply
Maker
Badges: 20
Rep:
?
#4
Report 5 years ago
#4
Other countries will increase tariffs on British goods and British companies would lose business.
0
reply
Tempest II
Badges: 16
Rep:
?
#5
Report 5 years ago
#5
Protectionism is the old way of doing things. Modern economies are designed to function with as much free trade possible. Heck, why do you think more countries sign up to free trade deals like the original idea of the EU? Trade ways benefit very few people.
0
reply
X

Quick Reply

Attached files
Write a reply...
Reply
new posts
Back
to top
Latest
My Feed

See more of what you like on
The Student Room

You can personalise what you see on TSR. Tell us a little about yourself to get started.

Personalise

Have you made up your mind on your five uni choices?

Yes I know where I'm applying (116)
66.29%
No I haven't decided yet (35)
20%
Yes but I might change my mind (24)
13.71%

Watched Threads

View All