Trump’s Proposed Tariffs Would Add Nearly $250 to the Price of New Gaming Consoles
Economist Mark Perry has been tracking the prices of various goods and services since the start of the 21st hentury. His so-called “Chart of the Century” neatly summarizes which products have become more expensive and which have become more affordable relative to overall inflation:
Updated “Chart of the Century” with data through June 2023. Note: Since 2000, College Tuition increased 184% which is 2.4X greater than overall inflation of 76% & 1.7X greater than the 110% increase in average wages. No wonder there’s $1.8T in student loan debt @stevenfhayward pic.twitter.com/m1IkiS2PQ4
— Mark J. Perry (@Mark_J_Perry) August 2, 2023
Even after the recent high inflation run, the trends are clear. Categories that have high levels of government intervention (health care, college tuition, housing) have seen prices rise faster than categories where the market has been more free (home goods, clothes, TVs). The lowest line on the chart shows the price of televisions, which are 97 percent more affordable today than in 2000 even after accounting for inflation—a remarkable decline that’s been made possible by a combination of technological progress and free trade.
There is no line on Perry’s chart for video game consoles, but it would be near the bottom too. When adjusted for inflation, the price of an original PlayStation or Xbox would be significantly higher than the price of the newest version of those game systems. Relative to inflation, video game consoles have become more affordable—and have gotten a lot more advanced at the same time.
Former President Donald Trump wants to inject a little more government intervention into that market. Guess what will happen if he does.
The Republican presidential nominee’s threat to impose new tariffs on nearly all imports into the United States would make video game consoles 40 percent more expensive, according to an analysis published this month by the Consumer Technology Association (CTA), an industry group best known for its annual Las Vegas conference showcasing the latest tech for home and
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