How do tariffs work?

What are tariffs and how do they work?

Tariffs are taxes on imported goods paid by importing companies but typically passed on to consumers. They vary by country and product and, despite recent spikes, have historically accounted for less than 2% of federal revenue. Explore more with these data visualizations from USAFacts.

An economic evaluation of US tariffs

Most economists agree that the implementation of large-scale tariffs on foreign goods would hurt both the American and global economies. This video from The Wall Street Journal explains the rationale for tariffs as a tool for domestic job creation, but explains why they may hurt the overall economy.

Explore the complex trade-offs policymakers face when considering tariffs

While tariffs can generate government revenue and encourage the consumption of locally produced goods, they can often lead to higher consumer prices and may negatively impact economic growth.

A nuanced break down of how tariffs are impacting prices

As tariffs have increased to their highest levels since the 1930s, economists have kept a close eye on retail prices. This chart and accompanying explainer shows correlations between key tariff announcements and news and the costs of roughly 350,000 goods from five major retailers.

Behind the scenes on tariff politics

Economist Gene Grossman joined the Trade Talks Podcast to discuss why tariffs really happen. The episode digs into how voters, politicians, lobbyists, and even campaign cash can affect when protectionist trade policies are put forward. Produced in 2019, the podcast also discusses how populist trade policies and identity politics accounted for Donald Trump’s victory in the 2016 Presidential election.

Read an overview of US tariff policy before the second Trump Administration

This comprehensive report from the Congressional Research Service explores the evolving role of tariffs—from a major source of government revenue to a tool for trade and foreign policy—providing insights into current practices, legal foundations, and global trade dynamics.

A trade war is an economic conflict where nations impose tariffs or other trade barriers on each other in retaliation for similar actions

The US-China trade war is one example. While they aim to protect domestic industries, they can lead to higher prices for consumers and strained international relations.

Trade and tariffs in the Roman world

Trade between nations and empires date back thousands of years, including the use of tariffs to raise government revenue.

A brief video explainer on the US 'One China' policy

Wondering what the "One China" policy means? This four-minute explainer video delves into which nations recognize Beijing as the seat of the Chinese government and which recognize Taiwan as such. Meanwhile, the United States of America views Beijing as the true government while maintaining relations with Taiwan, including selling them arms to protect themselves.

Watch a video that visualizes what really happens inside a credit card network when you make a purchase.

Every tap sets off a lightning-fast relay. When someone buys coffee with their Visa, a tiny "runner" races between the coffee shop's bank, Visa's network, and their bank—all in under a second. The catch? No money has actually moved yet. Here's what really happens behind that instant "Approved."

How tea gets made

Tea is one of the most consumed beverages in the world, and this video walks us through the process of supplying it from farms to our mugs. Workers handpick leaves, ferment them, and dry them as part of this involved operation. Follow along for a scientific understanding of the many steps it takes to produce tea and appreciate the detail and effort to create its flavor, aroma, and color.

A visual summary of WWI

This animated video summarizes the "Great War"—World War I—tracing its progression through Europe, detailing the rise of nationalism in the middle of the 19th century until the signing of the peace treaties after 1918. This 18-minute provides a year-to-year accounting of the war with various helpful insights along the way.

Global trade volume is roughly 45 times what it was when the General Agreement on Tariffs and Trade was founded

Since 1950, world trade values have grown nearly 410 times, mainly due to the successive tariff reductions negotiated under GATT and the WTO.

The stock market, explained in 3 minutes

Curious about the inner workings of the stock market? 1440's got your breakdown of how it works.

Government shutdowns halt nonessential services and furlough federal workers

When Congress fails to pass a budget or stopgap funding, the government shuts down. This video explains which services stop, who is furloughed, and how shutdowns ripple through the economy and daily life.

What is CAR T-cell therapy?

A four-minute video about CAR T-cell therapy to help answer patients' questions: What is CAR T-cell therapy? How does CAR T-cell therapy work?

Patents arguably grant inventors monopolies for a short period of time

As a way to reward innovation, the government grants short-term monopolies on patented products. Patents block other companies from producing or selling that product, giving inventors the rights and opportunity to establish themselves in a market before other competitors enter.

Watch 'I'm Just a Bill' explain how a law gets made

First aired in 1976, "I'm Just a Bill" became a defining civics lesson for generations, using animation and humor to trace the legislative process and cement itself as a lasting piece of US political culture.

The business models behind vaccines

Watch experts weigh in on the prevailing business models of vaccine production, including how the Covid-19 pandemic has disrupted the industry for good in this 20-minute video from Financial Times.

Investors trading their municipal bonds can't use the same method to purchase them

Instead, they’ll have to go through the secondary market, which has its own set of rules and steps to follow. An illustrated, explanatory video can help you learn how to sell your municipal bonds for the best market value.

How starting a union works

Starting a union within a workplace is a long, complicated process. There are many steps to take depending on how management reacts to each decision workers make during the proceedings. If you’re interested in helping your workplace unionize—or curious about what the journey to unionization looks like—this video can help.

OPEC often intervenes to influence the price of oil

This guide explains how investing in oil works with in-depth explanations of each of the forces that control oil’s price. Oil is unique as a commodity in part because of OPEC’s role in regulating its price.

Are burritos sandwiches?

In this video, we trace the burrito's origins, explore the legal and culinary battles around its classification, and break down why this seemingly simple food raises such a complicated question.

Learn about the basic anatomy of mosquitoes

This short explainer video breaks down the mosquito's general body components, highlighting how mosquitoes breathe, fly, and more. It also touches on how experts can tell different mosquito species apart.

See how fireworks are made and which metals are responsible for different colors

This roughly five-minute video breaks down details about how pyrotechnicians make fireworks, including that magnesium is responsible for white fireworks, copper salts for blue, and charcoal for orange.

The price of gas is a composite made up of several different factors, with the federal gas tax making up less than 20% of what drivers pay at the pump.

See how fireworks are made and learn how metals like magnesium and copper are responsible for different colors.

While the first exchange-traded fund (a 'basket' of different assets that can be bought and sold on a stock exchange) in the US only launched in 1993, the global ETF market has grown to more than $10T in the short time since.

Watch this video that uses Lego bricks to explain how venture capital works.

Use this tool to calculate the dollar value of your parental mental load, from meal planning to coordinating after-school care, then see resources that help generate solutions.

US consumers collectively owe more than $1T to credit card companies—almost as much as they owe in auto loans.

Discover the catastrophic consequences of a failure of the US electrical grid—something that is more likely than many Americans think.

Netflix profits when you're not watching, and its movies are designed that way—read a detail-rich critical essay exposing lesser-known Netflix takes

Visualize how CRISPR-Cas9—a type of immune system used by single-celled organisms to attack invasive viruses—targets and makes precise changes to a gene's DNA.

Gerrymandering works through two techniques: cracking opposing voters across districts to dilute their power, and packing them into a few to waste their votes in lopsided majorities.

Stanford built a Google Maps for the Roman Empire, revealing how much it cost to travel in the ancient world

The history of many kitchen appliances involves unexpected discoveries and applications, including wartime radar turned hamster defroster and replacing an 'ice king' with heat-stealing boxes.

Mark Twain spent decades feuding with the US Postal Service, convinced its costs and regulations were bureaucratic overreach.

Pure water does not conduct electricity because this flow of energy requires the movement of charged particles, and water is a neutral molecule.

Long before Major League Baseball began allowing instant replay for balls and strikes, an umpire reluctantly used the technology to determine whether a hit was a home run, a move that inadvertently ushered in a new era for the sport.

Some coin denominations have ridges etched on their sides, partly to prevent counterfeiting, in a practice called 'reeding.'

Explore the history, structure, and species of Australia's Great Barrier Reef with this interactive journey narrated by Sir David Attenborough.

Art theft is the third-largest source of criminal revenues worldwide, thanks in part to the subjective nature of valuing a work of art.

In 1945, Surrealist artist Salvador Dalí and legendary animator Walt Disney began collaborating on a short film that was not completed until 2003, years after both men had died.

Tattoos remain visible on your skin thanks to immune cells called macrophages

Hurricanes, which rely on air consistently spinning in the same direction, cannot cross the equator because air curves in opposite directions north and south of it.

Objects can be 3D printed with light by projecting 2D computerized tomography (CT) scans onto rotating cylinders of resin, which solidify upon exposure.

After the Boston Tea Party, colonists switched to coffee, which became the main morning drink for revolutionaries.

Watch the cumbersome, but necessary, precautions healthcare workers must take to care for and protect themselves while caring for Ebola patients.