Former Trump Advisor Changes Tune: Tariffs Essentially Invisible Consumption Tax, May Drag on Economy and Employment

In a surprising turn, conservative economist Moore, who previously served as a senior economic advisor in Trump's first term, publicly questioned the Trump administration's extensive tariff policy, stating that it essentially imposes an invisible tax on consumers, potentially dragging down economic growth and weakening employment.

Moore stated that tariffs are taxes, and taxes are never a good thing, a stark contrast to his previous support for trade protectionism. He pointed out that although tariffs are seen by the government as a tool to revitalize manufacturing and fund tax cuts, the costs often end up being passed on to consumers, raising prices and exacerbating inflation.

Data from multiple research institutions show that the new round of tariffs implemented in 2025 could increase the tax burden by around $1.2 trillion over the next decade, causing a 0.4% decline in U.S. GDP and reducing 344,000 job positions. Moore also acknowledged that the regressive nature of tariffs will have a greater impact on low to middle-income families.

Moore called for targeted, time-limited implementation of tariffs, while quickly offsetting the negative impacts through tax cuts. His change in stance is seen by many as a signal of deepening divisions within the Trump camp between free market principles and trade protectionism, adding uncertainty to the direction of U.S. economic policy in 2026.

Related Articles