David Frum, in a near-perfect analysis, rips Trump’s tariffs for forcing the poor to pay for the government, continuing the wealthy’s parasitic nature.
Conservative David Frum nails tariffs.
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Summary
In this compelling segment, conservative commentator David Frum incisively criticizes Trump’s tariff policy, exposing it as a regressive tax scheme that shifts the burden of funding government from the wealthy onto working-class Americans. Frum inadvertently validates a progressive critique of economic injustice by unpacking the nature of tariffs as discretionary taxes that disproportionately impact those least able to pay. His analysis reveals how Trump’s policies enrich the elite, protect corporate giants, and devastate consumers and small businesses.
- Tariffs as Taxes: Frum clarifies that tariffs are taxes mainly on goods, not services, disproportionately hurting low-income Americans who rely on imported everyday products.
- Presidential Discretion: Unlike other taxes, the president can unilaterally impose or waive tariffs, making them vulnerable to cronyism and political favoritism.
- Regressive Impact: The poor pay more as tariffs target cheap goods, while the wealthy—who consume more services—escape the burden entirely.
- Corporate Advantage: Big corporations can lobby for exemptions, while small businesses that rely on imports face extinction due to a lack of pricing power and political access.
- Policy Hypocrisy: Both Trump and many Democrats fail to challenge the regressive nature of tariffs, instead offering vague support for “smart tariffs” without addressing their impact on inequality.
Frum’s critique cuts through partisan noise to affirm what progressives have long argued: tariffs under Trump are a con, designed to offload the cost of government onto the poor while billionaires and corporations reap benefits. This regressive strategy punishes working families at the cash register and wipes out small businesses in favor of monopolistic giants. True economic justice demands not trickle-down tariffs, but structural reform that shifts the burden back to the wealthy elite who have gamed the system for far too long.
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In a rare but powerful moment of ideological crossover, conservative commentator and former George W. Bush speechwriter David Frum delivers a scathing indictment of Donald Trump’s tariff policy—an indictment that, ironically, echoes the criticisms long levied by progressives. Frum’s clear-eyed analysis reveals what many economists and social justice advocates have argued for years: tariffs, especially those imposed under the Trump administration, function as regressive taxes. They disproportionately harm the poor and working class while shielding the wealthy and enriching the political elite’s corporate allies. In short, Trump’s trade war is not about economic patriotism—it is class warfare in disguise.
At its core, a tariff is a consumption tax that applies only to goods, not services. This distinction is crucial. Wealthier Americans spend more on services—fine dining, landscaping, child care, and exclusive club memberships—which are largely untaxed under a tariff regime. Meanwhile, working- and middle-class families, who rely on tangible goods like affordable furniture, electronics, clothing, and basic household items (many of which are imported), shoulder the bulk of the tariff burden. As Frum explains, “It falls on the doll, not on the nanny that is hired to play with the doll.” This targeted consumption taxation acts as an invisible hand, shifting the government’s financial burden away from billionaires and multinational corporations and onto ordinary people.
What makes Trump’s tariffs particularly dangerous is their arbitrary nature. Unlike income taxes or corporate taxes, which must pass through Congress, tariffs can be levied or exempted at the whim of the executive. This opens the door to crony capitalism, political favoritism, and outright corruption. Trump and his inner circle used this power to grant waivers and carve-outs for favored industries and allies, benefiting big donors and friendly corporations while punishing others. As Frum notes, it creates a system where a company doesn’t need to lobby Congress to change the law—they simply need to cozy up to the president.
The economic impacts of these tariffs have already been devastating, especially for smaller businesses and consumers. According to a 2019 National Bureau of Economic Research study, American consumers and businesses paid nearly the entire cost of Trump’s tariffs, not Chinese exporters. The study found that “U.S. tariffs continue to be almost entirely borne by U.S. firms and consumers.”
Furthermore, small import-dependent businesses that bring in niche products from abroad and provide local jobs cannot compete with corporate giants like Walmart or Amazon, which have the scale and political connections to absorb or dodge tariff costs. These small enterprises represent the backbone of the American economy, yet Trump’s tariff regime has pushed many to the brink of collapse. Once they fold, multinational monopolies are free to jack up prices, cementing their market dominance while diminishing consumer choice. It’s neoliberal capitalism’s version of a foreclosure sale—except it’s not just homes, but entire communities and industries on the auction block.
Frum’s analogy of two families dining—poor and rich—is hauntingly illustrative. The poor family pays a tax on nearly every item at the dinner table. What is the wealthy family’s experience at a high-end restaurant? Almost none of their costs are tariffed. Add to this the Republican Party’s push for sweeping tax cuts for the rich—such as those in the 2017 Tax Cuts and Jobs Act—and you see the full picture: a deliberate policy shift transferring wealth upward, making working-class Americans foot the bill for a government captured by oligarchic interests.
Progressives have long understood this dynamic. Senator Bernie Sanders, Representative Alexandria Ocasio-Cortez, and economists like Joseph Stiglitz and Robert Reich have warned of a political economy rigged to benefit the 1% at the expense of the many. What’s noteworthy is that someone like David Frum—hardly a progressive torchbearer—now echoes these concerns. It reflects an emerging consensus that, irrespective of partisan affiliation, the Trump-era economic model was less about America First and more about Billionaires First.
However, Frum does fall short in one critical area: he underplays the unique harm these tariffs inflict on small, independent businesses. These are not mega-corporations exploiting tax loopholes and political influence. These are local entrepreneurs and tradespeople who depend on modest imports to sustain their operations. By crushing these businesses, tariffs not only impoverish workers, they destroy the seeds of economic democracy.
Progressives must seize this moment. The left has an opportunity to forge a populist economic message rooted in justice, equity, and transparency. Democrats should reject both Trump-style protectionism and neoliberal free-market absolutism. Instead, they must push for a progressive trade policy that protects workers, supports local businesses, upholds environmental standards, and holds corporations accountable. This includes smart tariffs—targeted not at everyday goods but at corporations that exploit labor, dodge taxes, or violate trade agreements.
Moreover, Democrats must fight for tax fairness. If the wealthy are to enjoy the benefits of civil society—courts, roads, public safety, education—they must pay their fair share. Repealing the Trump tax cuts, closing offshore loopholes, and enacting a wealth tax would be essential first steps toward that goal.
Ultimately, Frum’s warning about tariffs is not just an economic critique—it’s a moral one. A society that taxes the dinner table of the poor to pay for the tax cuts of the rich is a society in decline. Progressives must lead the charge to reverse this moral and economic erosion, because justice, not exploitation, must be the foundation of a just economy.
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