Preston Brashers

And so one of the things that contributes to the large trade deficits that we have is actually the massive budget deficit that we face, this $2 trillion budget deficit, whereas as a government, we're not paying for all the things that the government is spending money on. And this contributes in a large way to those trade deficits that that the administration is trying to address.

And so one of the things that contributes to the large trade deficits that we have is actually the massive budget deficit that we face, this $2 trillion budget deficit, whereas as a government, we're not paying for all the things that the government is spending money on. And this contributes in a large way to those trade deficits that that the administration is trying to address.

And so one of the things that contributes to the large trade deficits that we have is actually the massive budget deficit that we face, this $2 trillion budget deficit, whereas as a government, we're not paying for all the things that the government is spending money on. And this contributes in a large way to those trade deficits that that the administration is trying to address.

There's a lot at play here, and some of it's rhetoric perhaps, some of it's negotiating, and there are some real issues as well. It's a combination of a lot of things.

There's a lot at play here, and some of it's rhetoric perhaps, some of it's negotiating, and there are some real issues as well. It's a combination of a lot of things.

There's a lot at play here, and some of it's rhetoric perhaps, some of it's negotiating, and there are some real issues as well. It's a combination of a lot of things.

I don't have an exact number. That data I don't think would be publicly available this quickly. I would say that The amount of tariffs could potentially be substantial. I mean, just the level of tariffs with China, the level of the across the board tariffs. One of the things that we have looked at at the Heritage Foundation is a border adjustment.

I don't have an exact number. That data I don't think would be publicly available this quickly. I would say that The amount of tariffs could potentially be substantial. I mean, just the level of tariffs with China, the level of the across the board tariffs. One of the things that we have looked at at the Heritage Foundation is a border adjustment.

I don't have an exact number. That data I don't think would be publicly available this quickly. I would say that The amount of tariffs could potentially be substantial. I mean, just the level of tariffs with China, the level of the across the board tariffs. One of the things that we have looked at at the Heritage Foundation is a border adjustment.

It's not exactly a tariff, but it has some similarities. And you can get to a trillion dollars of revenue from a border adjustment at about a 10% rate. Before we go further, what is a border adjustment? What are we talking about? Yeah. So, a border adjustment would act very similar to a tariff. But a tariff, I mentioned how a tariff can capture intermediate goods, for example.

It's not exactly a tariff, but it has some similarities. And you can get to a trillion dollars of revenue from a border adjustment at about a 10% rate. Before we go further, what is a border adjustment? What are we talking about? Yeah. So, a border adjustment would act very similar to a tariff. But a tariff, I mentioned how a tariff can capture intermediate goods, for example.

It's not exactly a tariff, but it has some similarities. And you can get to a trillion dollars of revenue from a border adjustment at about a 10% rate. Before we go further, what is a border adjustment? What are we talking about? Yeah. So, a border adjustment would act very similar to a tariff. But a tariff, I mentioned how a tariff can capture intermediate goods, for example.

And so, what you can have is if you have, say, a car and you have parts that are being distributed across the border and then it's manufactured and assembled in different, you know, maybe the U.S. and then Canada and Mexico, and is crossing the border multiple times, that cascades and then you have this double taxation that happens.

And so, what you can have is if you have, say, a car and you have parts that are being distributed across the border and then it's manufactured and assembled in different, you know, maybe the U.S. and then Canada and Mexico, and is crossing the border multiple times, that cascades and then you have this double taxation that happens.

And so, what you can have is if you have, say, a car and you have parts that are being distributed across the border and then it's manufactured and assembled in different, you know, maybe the U.S. and then Canada and Mexico, and is crossing the border multiple times, that cascades and then you have this double taxation that happens.

What a border adjustment does is it basically acts like what these other countries, most of these other countries, they have a value added tax. And with a value added tax, what they're doing is they're saying it's kind of like a sales tax, but it's done based off of the value of the product.

What a border adjustment does is it basically acts like what these other countries, most of these other countries, they have a value added tax. And with a value added tax, what they're doing is they're saying it's kind of like a sales tax, but it's done based off of the value of the product.

What a border adjustment does is it basically acts like what these other countries, most of these other countries, they have a value added tax. And with a value added tax, what they're doing is they're saying it's kind of like a sales tax, but it's done based off of the value of the product.

So when you have these intermediate goods that are crossing the border, you would have a tax that applies when it comes in. And then if it's coming back out, you have a credit that offsets that. So what you're going to end up with is something that works a little bit more like a flat consumption tax.

So when you have these intermediate goods that are crossing the border, you would have a tax that applies when it comes in. And then if it's coming back out, you have a credit that offsets that. So what you're going to end up with is something that works a little bit more like a flat consumption tax.