Former Treasury Secretary Larry Summers said on Thursday that President Donald Trump‘s tariffs will cause an “oil crisis-like shock” to the economy, simultaneously spiking prices and unemployment while shrinking productive capacity.
What Happened: Summers told Bloomberg Television that the tariffs should be seen as “a supply shock,” comparable to “an oil-price spike or earthquake or a drought,” with significant economic consequences.
Potential economic losses, according to Summers, may amount to $30 trillion, or significantly more than $300,000 for a household of four people.
The “reciprocal” duties, which go into effect on Apr. 9, are half …