Resilience of the Economy Amid Tariffs

The current economic climate, despite recent tariff impositions, suggests that the economy remains mid-cycle rather than facing imminent doom. Tariffs are primarily aimed at raising revenue and negotiating with trading partners, notably concerning issues like border control and economic security. Although the introduction of significant tariffs on imports from key partners like China, Mexico, and Canada may initially slow growth and raise inflation, these effects are viewed as temporary. Historically, the economy has shown resilience, and it is anticipated that growth will adjust and recover as businesses adapt to the new tariff landscape.