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Americans love to buy stuff.
It generates jobs, promotes social mobility, and helps the overall growth and stability of the economy.
And many are concerned these tariffs will result in higher prices for many goods.
Cheap goods, according to money expert Andrew Lokenauth, are part of what makes the American Dream possible.
Are Cheap Goods Part of the American Dream?
Those exhibitions in Europe shaped our own self-image too.
A factory worker could buy a TV for their family something unthinkable in most other countries, Lokenauth said.
That ability to purchase comfort items, regardless of social class, became a defining feature of American prosperity.
How Tariffs Could Impact the American Dream
Experts are estimatingprice increases for many items due to tariffs.
It also cited price increases for groceries, household necessities, auto parts, clothing and recreational items.
More expensive goods could compromise the core promise of upward mobility.
Last month, I spoke with families in Michigan who are already stretching budgets to afford basics.
The typical family has about $5K in savings.
These price increases eat away at their ability to get ahead.
Could Tariffs Make the American Dream More Achievable?
Many believe cheap goodshelp fulfill the American Dream, but Treasury Secretary Scott Bessent has a different view.
However, the tariffs could have other consequences as well.
From studying similar policies historically, Im skeptical this tradeoff will work.
What Could Happen to the American Dream?
Consumer spending drives roughly 70% of GDP, he said.
The current system relies on people being able to buy things to create economic growth and opportunity.
If this current system is impacted by tariffs or something else, things could be disrupted.
But if goods do get more expensive and stay that way, the American Dream could be affected.
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