Recent Publications
Taiwan Economic Research Monthly
Reducing tariffs to stabilize prices requires careful research
U.S. inflation has been rising fast and significantly, and many people suggest and advocate lowering the punitive tariffs imposed on some Chinese imported goods during the Trump administration so as to reduce import costs and related prices, an idea to cope with inflation Janet Yellen, the former chairman of the US Federal Reserve and the current US Treasury secretary, also concurs with this idea; however, Katherine Chi Tai, the US trade representative, believes that the tariff has its strategic purpose, and its adjustment should be based on medium and long-term demand, and does not seem to agree with short-term prices. There are many long-term purposes of the tariff policy. To see whether it is worth adjusting for the short-term impact on the price increase rate, it is necessary to carefully consider its various purposes and actual effects, as well as other effects that may be caused by the adjustment.