Study Warns Of Massive Impact To Arizona Economy From Proposed Tariffs On Mexico
A study commissioned by the Arizona Chamber of Commerce has found President Donald Trump’s proposed tariffs on goods from Mexico would have a significant impact on Arizona’s economy.
Jim Rounds is an Arizona-based economist and policy analyst. He said he initially thought reports of the proposed tariffs were exaggerated.
“And so we just went ahead and did the math internally a little bit more detailed than what were seeing," Rounds said, "and the numbers were larger than I was anticipating.”
He said every 5 percent tariff increase would cost individual Arizonans about $60 and result in an annual loss of 6,000 jobs.
He said his numbers are conservative estimates and adds that longer term tariffs would result in massive fiscal consequences.
Rounds said job growth numbers are seen as important economic indicators, and slowing job growth could have a much larger impact on the region if tariffs are implemented and remain in the long term.
Rounds said if the tariffs are simply a threat or only in place for a short period of time, Arizona’s strong economy can weather the storm.