BELOW SUPERNAV drop zone ⇩

Yellen criticizes Trump’s idea to replace income taxes with tariffs

Treasury Secretary Janet Yellen arrives for a House Ways and Means Committee for a hearing on Tuesday, April 30, 2024.

MAIN AREA TOP drop zone ⇩

MAIN AREA TOP drop zone ⇩

Mortgage Calculator

This calculator helps you estimate your monthly mortgage payment. It adds up the loan payment (principal + interest), property tax, and insurance. The loan payment is spread out over the years of your loan term.

This is the total amount you're borrowing from the bank.
This is the yearly interest rate on your loan.
This is how long you'll take to repay the loan.
This is the yearly tax you pay on your property.
This is the yearly cost to insure your home.

Monthly Payment Breakdown

Principal and Interest: $

Property Tax: $

Homeowners Insurance: $

Total Estimated Monthly Payment: $

AUTO TEST CUSTOM HTML 20241114185800

AUTO TEST CUSTOM HTML 20241115200405

Treasury Secretary Janet Yellen criticized former President Trump after he suggested replacing some of the United States’s income taxes with higher tariffs on imports to make up for lost revenue.

The former president outlined his idea during a meeting with Republican lawmakers on Capitol Hill last week. Yellen joined ABC’s “This Week” on Sunday, where host Jonathan Karl asked if Trump’s idea would be “remotely feasible.”

“It would require tariffs well over 100 percent,” Yellen said.

“The impact would be to make life unaffordable for working-class Americans,” she continued, adding it “would harm American businesses.”

Trump’s campaign described his tariff as a key feature of their economic strategy, which is focused on domestic manufacturing.

Experts on both sides of the aisle have raised questions about Trump’s latest tariff policy proposal. According to an analysis from the Center for American Progress, a left-leaning Washington think tank, the proposal would cost Americans around $1,500 per year.

The study, like Yellen, says the tariff would be more detrimental to U.S. consumers and importers than it would to foreign adversaries like China.

For example, the tax on imports would translate to an additional $90 per year spent on food, $120 spent on oil, $220 on automobiles, $70 on clothes, $80 on electronics and $50 on furniture and appliances.

Tariffs are currently a small source of U.S. revenues, accounting for 1.7 percent of annual federal income in fiscal 2024.

Both Trump and President Biden say domestic manufacturing is the center of their economic agenda while they campaign across America ahead of this fall’s election.

During the interview, Yellen also defended the Biden administration and its economic policies when Karl asked her why Americans are feeling frustrated with prices when inflation has slowed.

“It’s something the Biden administration absolutely wants to address,” she said.

The Hill Sunday

Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed

 

MAIN AREA MIDDLE drop zone ⇩

Trending on NewsNation

MAIN AREA BOTTOM drop zone ⇩

tt

KC Chiefs parade shooting: 1 dead, 21 shot including 9 kids | Morning in America

Witness of Chiefs parade shooting describes suspect | Banfield

Kansas City Chiefs parade shooting: Mom of 2 dead, over 20 shot | Banfield

WWE star Ashley Massaro 'threatened' by board to keep quiet about alleged rape: Friend | Banfield

Friend of WWE star: Ashley Massaro 'spent hours' sobbing after alleged rape | Banfield

Sunny

la

66°F Sunny Feels like 66°
Wind
9 mph WSW
Humidity
32%
Sunrise
Sunset

Tonight

Clear skies. Low 47F. Winds light and variable.
47°F Clear skies. Low 47F. Winds light and variable.
Wind
6 mph NNW
Precip
0%
Sunset
Moon Phase
Waning Gibbous