Weatherhead’s Jonathan Ernest says tariffs may cause lasting price hikes

If prices go up due to tariffs, will they go down if the tariffs go away?
Marketplace: Jonathan Ernest, assistant professor of economics at Weatherhead School of Management, said that tariffs may cause lasting price hikes, especially if companies overhaul supply chains. “Any price hikes resulting from the new system will likely remain in place,” he said, adding that fears of hyperinflation are unfounded and reciprocal tariffs could even expand U.S. supply and ease prices.