This conversation delves into the complexities of tariffs and economic policy, particularly in the context of the U.S. economy. Dr. Kimberly Clausing provides insights into the historical significance of tariffs, their impact on consumers and producers, and the misconceptions surrounding who ultimately bears the cost of these taxes. The discussion also touches on the interconnectedness of the global economy, the implications of trade deficits, and the lessons learned from historical tariff policies, particularly during the Great Depression. In this conversation, Kimberly Clausing discusses the implications of tariffs and trade wars, emphasizing the historical context of trade policies, the shifting power dynamics in tariff implementation, and the economic consequences of such policies. She critiques the unilateral power of the presidency in imposing tariffs and highlights the need for congressional oversight. Clausing also explores the effectiveness of tariffs as a tool for economic leverage and the potential retaliatory measures from other countries, ultimately advocating for a more collaborative approach to international trade.