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Trump tariffs set to reduce trade deficit, household purchasing power, CBO says

By Eliana Hubacker ( June 4, 2025, 23:36 GMT | Insight) -- New estimates from the US Congressional Budget Office indicate that the tariffs imposed from Jan. 6 to May 13 would reduce trade deficits and lower federal borrowing, but would also reduce the size of the economy and reduce household purchasing power.New estimates from the Congressional Budget Office indicate that the tariffs imposed from Jan. 6 to May 13 would reduce trade deficits and lower federal borrowing, but would also reduce the size of the economy and reduce household purchasing power....

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