Evidence from 30 Years of Tax Reforms.” Here’s the gist: We find small elasticities of trade flows with respect to VATs, even when VAT changes are large. These elasticities are substantially ...

His newly issued memorandum cited value-added taxes, or VATs, among a list of “unfair” taxes the U.S. wants to counteract. Targeting VATs as a reason for tariffs threatens to open a new trade ...