Robert Lighthizer

So the question is whether it's going to systemically raise prices. A lot of people would say, including Milton Friedman, that that's really a monetary phenomenon. It's basically monetary policy that's going to dictate whether everything goes up or everything goes down. And this is not going to change monetary policy necessarily. Now, someone might say, oh –

So the question is whether it's going to systemically raise prices. A lot of people would say, including Milton Friedman, that that's really a monetary phenomenon. It's basically monetary policy that's going to dictate whether everything goes up or everything goes down. And this is not going to change monetary policy necessarily. Now, someone might say, oh –

it's gonna slow down the economy, thus we should lower interest rates. Someone else will say it's gonna have inflation, thus we should raise interest rates. So it's kind of a conundrum for the Fed, but set that aside. The notion is that you will increase production in the United States You will maintain consumption at about the same, and that will not be inflationary, if anything.

it's gonna slow down the economy, thus we should lower interest rates. Someone else will say it's gonna have inflation, thus we should raise interest rates. So it's kind of a conundrum for the Fed, but set that aside. The notion is that you will increase production in the United States You will maintain consumption at about the same, and that will not be inflationary, if anything.

it's gonna slow down the economy, thus we should lower interest rates. Someone else will say it's gonna have inflation, thus we should raise interest rates. So it's kind of a conundrum for the Fed, but set that aside. The notion is that you will increase production in the United States You will maintain consumption at about the same, and that will not be inflationary, if anything.

It'll be deflationary. So that's our idea. There's a model that some economists use called the GTAP model. Which, by the way, generally assumes you cannot get economic growth, that you're a full capacity, industrial capacity and full employment. So if you have a model like that, then that's going to show inflation. But I would suggest that the model is not predictive. And indeed, the St.

It'll be deflationary. So that's our idea. There's a model that some economists use called the GTAP model. Which, by the way, generally assumes you cannot get economic growth, that you're a full capacity, industrial capacity and full employment. So if you have a model like that, then that's going to show inflation. But I would suggest that the model is not predictive. And indeed, the St.

It'll be deflationary. So that's our idea. There's a model that some economists use called the GTAP model. Which, by the way, generally assumes you cannot get economic growth, that you're a full capacity, industrial capacity and full employment. So if you have a model like that, then that's going to show inflation. But I would suggest that the model is not predictive. And indeed, the St.

Louis Fed made the statement a few years ago that the predictive model. The quality of this model is 0.0%. So a lot of economists are using a model that's unhelpful. But so the notion is you're going to increase production, and that will happen, and that that is not going to be inflationary. Right. The idea is that inflation is systemic, not individual prices, so you can't just stack stuff up.

Louis Fed made the statement a few years ago that the predictive model. The quality of this model is 0.0%. So a lot of economists are using a model that's unhelpful. But so the notion is you're going to increase production, and that will happen, and that that is not going to be inflationary. Right. The idea is that inflation is systemic, not individual prices, so you can't just stack stuff up.

Louis Fed made the statement a few years ago that the predictive model. The quality of this model is 0.0%. So a lot of economists are using a model that's unhelpful. But so the notion is you're going to increase production, and that will happen, and that that is not going to be inflationary. Right. The idea is that inflation is systemic, not individual prices, so you can't just stack stuff up.

The other thing is in the argument against inflation is that we did it last time in a big way. All the same people said it would be inflationary, and we had no inflation, right? We had 1.3%. So we had no inflation. So they were proven wrong.

The other thing is in the argument against inflation is that we did it last time in a big way. All the same people said it would be inflationary, and we had no inflation, right? We had 1.3%. So we had no inflation. So they were proven wrong.

The other thing is in the argument against inflation is that we did it last time in a big way. All the same people said it would be inflationary, and we had no inflation, right? We had 1.3%. So we had no inflation. So they were proven wrong.

And then the final thing I would say, if the notion that economists use, which is that trade barriers create inflation and that's the basic notion that you're talking about on their side, why is it that China has deflation and not inflation? Right. Why is it that the country with the most trade barriers actually has no inflation at all?

And then the final thing I would say, if the notion that economists use, which is that trade barriers create inflation and that's the basic notion that you're talking about on their side, why is it that China has deflation and not inflation? Right. Why is it that the country with the most trade barriers actually has no inflation at all?

And then the final thing I would say, if the notion that economists use, which is that trade barriers create inflation and that's the basic notion that you're talking about on their side, why is it that China has deflation and not inflation? Right. Why is it that the country with the most trade barriers actually has no inflation at all?

And if you look like at Germany, they have some inflation, but it's less than a lot of the rest of Europe. So it would suggest that there is not necessarily a relationship between tariffs and inflation.

And if you look like at Germany, they have some inflation, but it's less than a lot of the rest of Europe. So it would suggest that there is not necessarily a relationship between tariffs and inflation.

And if you look like at Germany, they have some inflation, but it's less than a lot of the rest of Europe. So it would suggest that there is not necessarily a relationship between tariffs and inflation.