Part 2/9:
Tariffs serve two primary purposes: they can be a fixed percentage of product prices or fluctuate according to market values. However, the majority of economists argue that tariffs cause inflation and negatively impact economic growth and welfare. Tariffs protect local industries but often lead to higher prices for consumers as importers pass the costs onto them. Mr. Beat, who shares a playful disdain for tariffs, highlights their resurgence amidst increased economic dissatisfaction.