Tuesday, July 29, 2025

U.S. Economy Remains Strong Despite Tariffs: How Sustainable Is It?

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The U.S. economy remains surprisingly robust despite ongoing trade tensions, with stocks reaching record highs, strong employment figures, and minimal inflation impacts following President Trump’s tariff policies. Economists speculate that the anticipated negative effects of the tariffs may have been overstated, noting that other nations have refrained from retaliation and that U.S. consumers have largely been insulated from price increases. Similarly, Canada’s economy has demonstrated resilience, with rising consumer spending and a declining unemployment rate. However, uncertainty looms as experts caution that the current stability could be fragile and exposed to the repercussions of an escalating trade war, which could lead to job losses and rising prices.

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