"This turns the VAT into an implicit export subsidy." "This turns the VAT into an implicit tariff on US exporters over and above the US corporate income taxes they must pay." This is a very basic error. International economists almost universally agree that a VAT is neutral with respect to trade.
"This turns the VAT into an implicit export subsidy." "This turns the VAT into an implicit tariff on US exporters over and above the US corporate income taxes they must pay." This is a very basic error. International economists almost universally agree that a VAT is neutral with respect to trade.
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Who is Peter Navarro? - Econlib
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