Brent Neiman, a distinguished economist at the University of Chicago’s Booth School of Business, has unexpectedly been thrust into the spotlight amidst controversy over President Donald Trump’s aggressive tariff policies. This development follows the Trump administration’s citation of a 2021 academic paper Neiman co-authored as a basis for its new tariffs—tariffs that Neiman firmly believes have been drastically miscalculated.
The Unlikely Center of a Storm
In a surprising turn of events, Brent Neiman has become a prominent voice opposing the Trump administration, contending that the government fundamentally misunderstood the findings derived from his research. According to Neiman, these calculations are not just off mark; they are purportedly inflated by a factor of four.
Misused Math: How Did It Go Wrong?
As outlined in the New York Times, Neiman was shocked upon the release of the new tariff rates, and even more so when the administration claimed to base these rates on an academic study involving Neiman himself. “I think they grabbed the wrong number from our research,” Neiman stated, pointing to a grave error in the calculation that he said should lead to much lower tariffs.
A Critique of Trade Strategy
Aside from the miscalculation, Neiman criticizes Trump’s strategy of aiming to eliminate bilateral trade deficits through reciprocal tariffs as both unrealistic and unsound. He believes that such trade imbalances can often stem from various unrelated factors such as differences in natural resources.
A Call to Divide by Four
Neiman’s advice to the government couldn’t be clearer: the tariff rates either need a complete overhaul—or at the very least—a significant reduction by dividing them by four. It’s an appeal for logical recalibration over political bravado, a clear divide between academic insight and governmental execution. According to Mint, these tariffs led to immediate market repercussions, with stock plummets and bipartisan criticism.
Tariffs Unveiled on ‘Liberation Day’
Presented with great fanfare as part of an “economic revolution,” these tariffs, including a 10% baseline duty on all imports, were announced on what Trump called “Liberation Day.” However, Neiman’s insights cast doubt on the longevity and efficacy of such bold moves, emphasizing the need to rethink methods of boosting U.S. manufacturing without resorting to flawed precedents.
