From inflation to your grocery bill, the Federal Reserve’s independence shapes everyday life. UC Davis research explains how political pressure on Fed interest rates could impact the U.S. economy.
New research from economics finds that the U.S. could achieve modest economic benefits with tariffs on all trade partners, but the complicated realities of supply chains, global trade and its downstream effects on people and businesses could offset economic gains and even lead to significant losses.
The U.S. government’s recent shift to a non-cooperative negotiating strategy has used the tactic of threatening to increase the costs of not agreeing to U.S. terms, according to a UC Davis expert in international negotiations. While non-cooperation is far from unprecedented in international negotiations, it could make U.S. negotiations in the future much more challenging.
Tariffs have a long complicated history in the U.S. that stretches back to before the nation's founding. Two UC Davis economists discuss what tariffs are, how they can be used and how they might impact the U.S. economy.
New research in economics looks back at the history of U.S. tariffs and finds that from 1870 to 1909, tariffs made U.S. businesses weaker, not stronger. Tariffs reduced the average size of businesses while increasing the price of what they produced. Because tariffs work the same way they did 100 years ago, these findings have relevance today.
