Goolsbee on Tariff War: Nobody Wants to Go Back to 2020, the Beginning of Covid

EXCERPT:

GOOLSBEE: “There‘s just a lot of question marks. And so, that‘s led everybody in the Fed and all across the spectrum to go out and talk to the business leaders themselves. What are we hearing? And there‘s a lot of anxiety. And I guess the way I‘d characterize it is the anxiety is if these tariffs are as big as what are threatened on the U.S. side, and if there‘s massive retaliation, and then if there‘s counter-retaliation, again, it might send us back to the kind of conditions that we saw in ‘21 and ‘22 when inflation is raging out of control, that it could send us back to the supply disruptions of the form that we saw in 2020, beginning of Covid, and nobody wants to go back there. So I think you can see why there‘s this expression of anxiety collectively across the board.”