The Hidden Costs of Tariffs: What They Mean for Your Wallet

Tariffs often function like an invisible tax on consumers. This session explores how tariffs reduce purchasing power by raising the cost of essential goods and discouraging discretionary spending. In early 2026, economists have observed that broad, universal tariffs tend to affect consumers in two key ways: they take more money out of individuals’ pockets for necessities and make people less likely to spend on nonessential items.

Participants will examine how changes in spending ability impact individuals and families—and why these effects are not felt equally. The session will cover what tariffs are, the three main types of tariffs, and their real-world impact on households. Classroom-ready examples, a student worksheet, and guided discussion questions will be provided to support deeper, more global thinking about trade and consumer behavior.