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- As the enterprise lowers the price of tariffs for consumers in the form of production prices, As in the last month of the Federal Reserve of the New York, prices were increased in products that many enterprises were not received. Economists said that these price choices were benefited from the uncertainty of unexpected tariffs, but it also worsens the potential of inflation.
Companies that increase the prices of imported products to replace the prices of imported products, as well as these taxes, New York federal reserves increase ineffective goods value questionnaire and beige book report Released on Wednesday.
The survey was carried out 2 fluids and May 9 in New York and about 110 manufacturers and more than 200 service companies in New York and New Jersey. In this case, Trump has not yet reduced tariffs from 145% to 30%. One Increased trail From 25% to 50% steel and entered into effect on Wednesday for aluminum.
Trump management is also preparing for a work Demonstration of the Supreme Court The Constitution of the Constitution of Tariffs is due to the fact that the president has the authority to apply taxes after the US court.
At the beginning of the “significant share” of the companies that fed companies, the prices for the prices for the sweeping teams of the President Donald Trump for the wider impact of the scoring strategy for the wider impact of taxes, he said.
“A heavy construction equipment supplier said they were not used by tariffs to use tariffs by tariffs by tariffs,” said Beige Book Report.
Economists, commissioners, customers are expected to increase the price increase in the growing value of the growing value, no income margins or income margins to gain income margins. Congress warned the budget management can be inflation.
NY Federal Reserve Investigation has approved the price intentions of companies with “most enterprises” prices in at least one of the prices, and 45% of the manufacturers and 45% of the “full transmission” price increase.
The price increases under ‘uncertainty cover’
Economists can be a strategy of increased prices in the board, even in the products that are neutralized by tariffs, and feeling pressure on economic uncertainty, to manage economic uncertainty.
“(It may be) a common unpredictable. It can be another reason to take advantage of a common inflation environment,” said Susan Ariel Aaronson, George Washington University Research Teacher at the Ellivott School Fortune. “No one, tomorrow does not have to predict for recipes or other trading barriers or other trading barriers or other trading barriers or its approach, not transparent, and it is not transparent and really motivated by market conditions.”
In response to tariffs, companies feel that the companies should be further increased, “This inflation is further increases the potential,” Aaronson added.
Given the price increases, companies will do this according to this “covering of uncertainty”, Rebecca Homkes, London Business School teacher and Duke Corporate Training.
“We will see that some companies are trying to do some situations,” he said.orthone. “Maybe you will get out of work, maybe you will cut a product, maybe you’ll lift the price of something you are a little hesitant.”
It will be able to try to guess which tariffs will be applied to increase part of the decision to increase prices in a large number of products and only many price changes, which will increase prices in a large number of products. In other cases, enterprises will think that customers order each other. If one of these products is recipe, but another company may still choose to raise the price of both products.
HOMKES This price increase, consumers is a stroke, a recent tool for companies and realizes after exhausting other options as only a company swallows costs.
“You have to pass these costs,” said Homkes. “If they do not pass these expenses, what does it do? It needs to be launched, hiring, including recreation. Thus, they take into account all these variables.”
This story was first displayed Fortune.com
