>>512622000 (OP)Here's a situation I'd like for you to address OP. Here in Canada. We start to impose tariffs on certain products depending on how much purchasing our suppliers were doing from outside sources.
Take eggs for example.
Lets say a supplier purchases 1 million eggs from the USA. People keep buying them. Now Canada says, if you buy more than 1 million eggs from the US to sell, then you're getting tariffed.
The supplier goes
>well shit guess it makes more sense to buy from Canadian egg producers nowSo the supplier goes to buy from the Canadian companies.
The Canadian companies cannot outcompete the sheer volume of eggs the US can produce.
So lets take away the concept of these tariffs. Instead, suppliers now only purchase from US companies. Its cheaper after all, the sheer quantity of eggs is massive in comparison to Canadian producers. It easily outcompetes them.
Lets assume this was happening for 40 years. Do you think less money would have gone to Canadian producers of eggs? Because guess what, less money would have gone to those producers. Further pushing out their want/need to produce. American eggs are better priced.
So now in this hypothetical. Assuming Canada never had these tariffs over the decades. And being entirely reliant on eggs produced from the USA.
How do you think prices would have looked in Canada for a carton of eggs when the USA decided they needed to cull all their hens?