'That's Basic Econ' — Dave Ramsey Says Increased Tariffs Do Not Cost Companies Money, As 'They Pass The Tariff Cost On To The Customer'

Core Message - Rising tariffs do not directly reduce company profits; instead, they lead to increased prices for consumers, as companies pass on the costs to customers [1][5]. Group 1: Impact of Tariffs on Pricing - Companies do not absorb the costs associated with tariffs; they raise prices to maintain profit margins [5][6]. - The logic of passing on costs applies to all external cost increases, including tariffs [5][6]. Group 2: Business Strategies in Tight Margins - When facing tighter margins, businesses should focus on revenue opportunities rather than cutting costs [3][4]. - Companies that fail to raise prices in response to rising costs may find their profit margins shrinking, as competitors will likely increase their prices [4][6]. Group 3: Real-World Examples - An example provided is the increase in the price of hardcover books from $17 to $32 over the past decade due to rising production costs [4][5].