Lightnews — Scholar-powered news

Haroon Bhorat

@haroonbhorat.bsky.social

390 followers 670 following 0 posts

Professor of Economics University of Cape Town South Africa

Videos

Economics 48%

Political science 11%

Posts Media Videos Starter Packs

Reposted by Haroon Bhorat

Reposted by Richard S.J. Tol, Haroon Bhorat

Florian Ederer @florianederer.bsky.social · Jul 30

How can tariffs improve welfare? Your country needs market power.

A quick explainer below 👇🏻

1 6 22

Reposted by Paul D. Grauwe, Haroon Bhorat

Reposted by Haroon Bhorat

SALDRU @saldru.bsky.social · Jun 26

HAROON BHORAT (@haroonbhorat.bsky.social, our colleague at @dpru-uct.bsky.social): Getting the numbers right on the informal economy

www.businesslive.co.za/bd/opinion/2...

HAROON BHORAT: Getting the numbers right on the informal economy

It is wrong to assume that what is true at the local level must translate to a 1:1 relationship at national level

www.businesslive.co.za

3 5

Reposted by Haroon Bhorat

Dani Rodrik @drodrik.bsky.social · Apr 3

Trump's claim that foreigners will pay the tariffs in full. They assume a small but positive passthrough indicating that domestic prices will rise by 25% of the tariffs.

1 3 27

Reposted by Haroon Bhorat

Dani Rodrik @drodrik.bsky.social · Apr 3

But of course this equation and calculation are a travesty. It is a silly attempt to provide a veneer of respectability to a nonsensical, arbitrary, and ad hoc political decision. Whoever produced this (and indeed all the economists working for Trump) should be embarrassed of themselves.

1 9 41

Reposted by Haroon Bhorat

Dani Rodrik @drodrik.bsky.social · Apr 3

Their use of elasticity is inconsistent and would not pass an undergraduate test (where is the price effect on the value of imports?) The assumption that exports will be unaffected is crazy. Note also that their (necessary) assumption that domestic import prices will rise contradicts +

1 6 42

Reposted by Grégory Claeys, Mark E. Schaffer, Haroon Bhorat , and 3 more Grégory Claeys, Mark E. Schaffer, Haroon Bhorat, Michał Myck, Peter Tillmann, Ferdinand Fichtner

Dani Rodrik @drodrik.bsky.social · Apr 3

This is what Trump's "economists" say about how they calculated the "reciprocal" tariffs. Don[t be fooled by the equation. They commit countless crimes against economics. ustr.gov/issue-areas/... +

Reciprocal Tariff Calculations

Executive Summary Reciprocal tariffs are calculated as the tariff rate necessary to balance bilateral trade deficits between the U.S. and each of our trading partners. This calculation assumes that pe...

ustr.gov

10 80 240

Reposted by Haroon Bhorat

Dani Rodrik @drodrik.bsky.social · Apr 2

Trump’s new tariffs are an abomination. It’s not just the economics that is backwards. It’s also the geopolitics/national security angle. Countries have always used trade for geopolitical reasons. But it’s by opening your market to other nations that you get them to align with you, not by closing.

2 24 90

Reposted by Haroon Bhorat