My Thoughts on Tariffs

 

My Thoughts on Tariffs A Short Summary of Reasons and Problems By Curtis Neil

A country (or its leader) must always clearly explain what the tariff is and why it's being imposed. No vagueness allowed.

Here are the three main reasons tariffs get used, and my straightforward take on each:

A. To raise revenue (government money) Possible, but full of problems.

• Tariffs only hit imports (not all goods).
• They raise prices for consumers and businesses.
• They distort trade and slow economic growth.
• Retaliation from other countries often wipes out much of the revenue. Bottom line: Not the best or fairest way to collect money.

B. To fix unfair (mercantilist) actions by other countries This is a strong, legitimate reason—if handled properly.

• State it plainly and loudly: "This tariff responds to X specific unfair action (e.g., subsidies, dumping, IP theft) by Z country."
• Keep it targeted and temporary.
• Open the door: "If you want this lowered or removed, let's talk and resolve the issue." This makes tariffs a real tool for fairer trade and negotiation, not endless protectionism.

C. A small charge to level the playing field in a pure consumption-tax system (Consumption taxes are fairer than production/income taxes—details in my other articles.)

• In a consumption-tax country, the government collects when domestic workers earn and spend (realizing value through consumption).
• For imports: Foreign workers' labor and spending occur abroad, so none of that gets taxed here.
• A low tariff on imports acts as a fair equalizer— it offsets that missing revenue without forcing higher domestic consumption-tax rates (which risk evasion if too high). This isn't protectionism; it's true neutrality so the system stays fair and simple.

That's it—clear principles, no hidden motives, always with transparency and an eye on fairness. Tariffs should be exceptions, not the rule.

CURTIS NEIL/ GROK 4.0 / LibreOffice. February 22st, 2026