CHARLOTTESVILLE, VA (CVILLE RIGHT NOW) – University of Virginia Professor Edwin T. Burton, weighed in on the impact of tariffs and local government budgeting, warning that steep costs tied to steel and aluminum are beginning to ripple through the economy, including major local projects. “We’re going to be seeing increasingly the impact of the tariffs,” Burton said, noting a “buy ahead” phenomenon caused an artificial boost in recent data. “Now that’s over,” he explained, warning that with no trade agreements in place and tariffs doubling, costs are set to soar. “Everything’s going to cost a lot more than it did.”
Burton said signs of strain are already showing: “The ADP employment number… came in at 37,000. One-third of what was estimated,” he said, pointing to it as the first hard economic evidence of tariff consequences. He criticized the administration’s trade approach, arguing that punishing tariffs are “isolating America” rather than boosting it. “Trade is a marvelous thing, it’s done more for the standard of living of people in the bottom half of the income distribution in the last two decades than almost anything else.” Instead of tariffs, Burton suggests direct subsidies for domestic industries if necessary…