Tariffs, Immigration, Taxes and Federal Spending: Implications for the Economy and Financial Markets
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Greenwich Sentinel·
- July 2, 2025·
Dr. Kantor’s presentation to the RMA addressed how recent U.S. policy changes—particularly tariffs, immigration restrictions, and federal spending—are creating economic challenges, such as higher prices, reduced output, and increased inflation, while emphasizing the resilience of the U.S. economy due to strong job growth and investment. He argued that tariffs are ultimately paid by U.S. consumers, not foreign exporters, and that reduced immigration would lower economic output and strain programs like Social Security, while high deficits and public debt limit the effectiveness of fiscal policy. Despite global uncertainties and market volatility, Kantor forecasted that inflation would settle at 3–4% and interest rates would remain elevated, with the U.S. economy likely to “bend but not break” because of its underlying strengths.