Kimberly Clausing
@kclausing.bsky.social
Economist; Professor @law.ucla.edu; senior fellow @piie.com; former tax DAS at Treasury; Author, Open: The Progressive Case for Free Trade, Immigration, and Global Capital
Out today: part 2 of my blog with Maurice Obstfeld on why so-called "optimal" tariffs are not optimal. Within, we discuss the latest research on tariff incidence, and what we've learned from the Trump tariffs so far...
Peterson Institute for International Economics@piie.com · 2d agoPart 2: One of the biggest impediments to "optimal" tariffs improving national welfare is that it is US households & businesses who have borne most of the burden of Trump's tariffs in practice. Read here:
(1/2) My new blog out today with Maurice Obstfeld. We discuss why so-called "optimal tariffs" are far from optimal. In part 1 today, we show problems with the textbook argument, and note that other tax instruments are superior for the underlying aims.
Peterson Institute for International Economics@piie.com · 6d ago"Optimal" tariffs are misnamed, @kclausing.bsky.social & Maurice Obstfeld write, & do not lead to a net gain in national welfare in practice—in fact, they harm US interests. Tariffs are also not an efficient way to shift tax burdens from US residents onto foreigners.
Trump's Section 301 tariffs reach beyond the statute’s intention @kclausing.bsky.social says, & the focus on forced labor “is a mere pretext for recreating the IEEPA tariff regime.” There's “no evidence linking this sort of trade measure to the supposed policy goal” of cracking down on forced labor.
Trump sued hours after new tariffs take effect, as experts say they may not hold up
President Donald Trump has renewed a flurry of tariffs, including slapping 25% duties on Brazilian imports and vowing 50% tariffs on goods from Canada.
cnbc.com
under the cloak of boring technical guidance, the Trump administration is working to delete the existence of millions of immigrants, steal congressional seats and redirect potentially hundreds of billions of federal dollars www.thebulwark.com/p/inside-tru...
Inside Trump’s Stealth Trick to Rig the Census—and Congress
The administration’s latest power grab is disguised as boring technical guidance.
thebulwark.com
Let's be clear. Trump's new tariffs merely recreate his unlawful IEEPA tariffs, and they are also unlawful. But it will take the courts a long time to establish this, if they do. In the meantime, US consumers and businesses will pay the price. www.piie.com/blogs/realti...
Trump's new tariffs over forced labor are unlikely to survive a court challenge
The Trump administration is again shifting its stated rationale for placing comprehensive tariffs on imports of nearly all goods from virtually all countries. After originally presenting such measures...
piie.com
Cool cool cool I see Trump is now actually employing Smoot-Hawley. www.nytimes.com/2026/07/20/b...
Trump to Impose 50% Tariff on Many Canadian Goods
The administration will use an untested legal provision to put significant duties on Canadian exports, reigniting a clash with one of America’s biggest trading partners.
nytimes.com
Yesterday the US Administration supercharged its explicit effort to bar international students from staying in the US after graduation. All Americans should know: 1/3 of *all* STEM PhDs working in the US are immigrants who graduated from US universities, then stayed. www.piie.com/index%2Ephp/...
🔥 Here in Boston, like elsewhere, we're seeing air pollution from Canadian wildfires — the odd-colored sun, the haze, and the real health risks that come with it. This has real costs. @kclausing.bsky.social, @knittelmit.bsky.social and I tallied ways that U.S. hhs have experienced climate change.
To estimate whether data centers raise electricity bills, you need to solve a classic econometric problem: data centers pick low-price locations, which makes them look good. Our solution involves Dwight Eisenhower. New working paper with @asawatten.bsky.social and Geoff Blanford 🧵
🧵(1/12) On Tuesday, @hamiltonproject.org released my proposal on reforming US international tax. I suggest raising corporate rates for the biggest profit taxpayers, and strengthening US international tax rules to better align with the large potential of international efforts.
The future of US international corporate tax reform - The Hamilton Project
Kimberly Clausing proposes to strengthen and reform U.S. corporate taxation while better aligning U.S. corporate tax policy efforts with the potential of international collective action.
hamiltonproject.org
@kclausing.bsky.social proposes a package of corporate tax reforms that would strengthen U.S. corporate taxation while better aligning U.S. corporate tax policy efforts with the large potential of international collective action.
The future of US international corporate tax reform - The Hamilton Project
Kimberly Clausing proposes to strengthen and reform U.S. corporate taxation while better aligning U.S. corporate tax policy efforts with the potential of international collective action.
hamiltonproject.org
TOMORROW at 3 PM ET: @hamiltonproject.org, @taxlawcenter.org, and @taxpolicycenter.bsky.social are hosting an event on business tax reform. www.hamiltonproject.org/event/taking...
Next week, we’ll be getting down to business (taxation) with @avivaaron-dine.bsky.social, @kclausing.bsky.social, @richardrubindc.bsky.social, and more. Join us on 6/16 @ 3 p.m. ET: www.hamiltonproject.org/event/taking...
(1/2) Looking forward to talking tax @hamiltonproject.org in one week, on June 16! At the event, the conversation will focus on three new business tax proposals, including my own proposal, a DBCFT proposal, and a pass-through reform. www.hamiltonproject.org/event/taking...
Taking on tax: The future of corporate taxation - The Hamilton Project
On June 16, The Hamilton Project, the Tax Law Center at NYU Law, and the Urban-Brookings Tax Policy Center will host an event on business tax reform.
hamiltonproject.org
MIT has lost 500 international grad students relative to last year. Caused directly by the White House. Closing America's doors to the very best, most brilliant people on the planet is like dropping a bomb directly on America's capacity to innovate. On the prosperity of our children's future.
A message from MIT President Sally Kornbluth
YouTube video by Massachusetts Institute of Technology (MIT)
youtube.com
More good news for the rule of law (re. tariffs). So happy to join the efforts of @stanveuger.bsky.social on the amicus brief.
Stan Veuger@stanveuger.bsky.social · 3mo agoThe Section 122 tariffs are unlawful, as well.
Climate change is no longer a distant threat—it is already imposing substantial and uneven costs on U.S. households. This paper by @kclausing.bsky.social, @knittelmit.bsky.social and @cwolfram.bsky.social seeks to quantify these costs across multiple channels, check it out here: ceepr.link/4cWpkCV
Huge congrats to @justinwolfers.bsky.social on his new project; this @nytimes.com piece has a good introduction. This effort will expand his reach in teaching the world economics. I wish him every success.
Justin Wolfers@justinwolfers.bsky.social · 3mo agoA funny thing happened on the way to launch day. The @nytimes.com wrote about Platypus Economics. Brian O'Keefe asked tons of questions, interviewed all sorts of folks, and produced something I'm a little stunned by. nytimes.com/2026/05/06/b... (gift link)
(1/6) 🧵 My new working paper is out today @piie.com, comparing three global collective action problems that occupy my recent scholarly work: international tax, climate, and world trade. I look at both the nature of these problems, and lessons for progress in times ahead.
Simon Johnson and I have a new article out at @thedispatchmedia.bsky.social, explaining why Section 122 does not authorize the administration's latest round of worldwide tariffs. thedispatch.com/article/trum...
Terrific piece from my coauthor Maury Obstfeld, examining the claim that dollar centrality lies at the heart of US current account deficits. My favorite line: "That this proposition is wrong has not prevented its confident assertion." (Applies to so much these days.) www.piie.com/blogs/realti...
Don't blame America's current account deficit on the dollar
The Trump administration and China's leaders generally differ on economic policy, but on one proposition some prominent members of their economic teams seem to agree: The dollar's status as the world'...
piie.com
Thanks to @stanveuger.bsky.social for his work on this important effort.
Stan Veuger@stanveuger.bsky.social · 4mo agoI had the privilege of organizing economist amicus briefs in support of the parties challenging the administration’s most recent round of worldwide tariffs. The cases are Burlap and Barrel, Inc. v. Trump. and Oregon et al. v. Trump, both before the U.S. Court of International Trade.
Huge congratulations to @ludwigstraub.bsky.social for winning the Clark Medal. He is not only brilliant and original, he is also at a commensurate level in kindness and humility.
Last week, I outlined questions I would be looking to have answered when the President’s budget is released. Now that we have the full proposal, we can now answer them. Hint: It fails to offer affordability solutions to make life more affordable while raising the risk of hasty, harmful cuts. 🧵
Center on Budget and Policy Priorities@centeronbudget.bsky.social · 4mo agoThe Trump Administration is expected to release a budget proposal for 2027 in late March or early April. @brendanvduke.bsky.social lays out five key questions we will be looking to answer when the budget is released: www.cbpp.org/research/fed...
Here is my thread on Trump's budget request, which I'll update throughout the day. He calls to cut domestic discretionary funding to the lowest level in the modern era. Trump's budget reimagines Americans' relationship with our govt, and proposes a country that does less to help people get by.
Has it only been one year??? (Also, hi. Trade Talks is back)
208. It's been one year since Trump's "Liberation Day" tariffs
Aime Williams joins to help explain what has happened since President Trump’s sweeping April 2, 2025 tariff announcement.
tradetalkspodcast.com
The Fed won a sweeping court victory Friday. But the fact that it needed one tells you everything about how much has changed. The unsealed filings are something else—the Fed catalogued 100 Trump attacks on Powell. Fed independence used to be protected by norms. Now it’s depending on judges.
The Court Ruling in the Fed Chair’s Favor Is a Double-Edged Sword
The decision was good news for Jerome Powell, but it shows that Fed independence now depends on judges.
wsj.com
(1/2) Your daily reminder that Congress has the power of the purse. They control these delegations of authority, and they have the ability to curb/end them. SCOTUS has done their job standing up for separation of powers. It's time for Congress to do theirs. www.nytimes.com/2026/03/11/b...
U.S. Accuses 16 Trading Partners of Unfair Practices and Opens Investigation
nytimes.com
![May 12, 2025
MEMORANDUM FOR: All ICE Personnel
FROM: Todd Lyons Acting Director
SUBJECT: Utilizing Form I-205, Warrant of Removal
On January 20, 2025, President Donald J. Trump issued Executive Order 14159, Protecting the American People Against Invasion, directing the Secretary of Homeland Security to "ensur[e] the successful enforcement of final orders of removal." 90 Fed. Reg. 8443, 8444 (Jan. 20, 2025) (E.O. 14159). Essential to the removal of aliens subject to final orders of removal is the ability to locate and arrest them. To this end, certain supervisory immigration officers within both Enforcement and Removal Operations (ERO) and Homeland Security Investigations (HSI) are authorized to issue an administrative warrant, Form I-205, Warrant of Removal (Form 1-205), for the arrest of an alien with a final order of removal. 8 C.F.R. § 241.2(a)(1). All U.S. Immigration and Customs Enforcement (ICE) special agents and deportation officers are authorized to execute Forms 1-205. 8 C.F.R. § 287.5(e)(3)(iii) - (y)
Although the U.S. Department of Homeland Security (DHS) has not historically relied on administrative warrants alone to arrest aliens subject to final orders of removal in their place of residence, the DHS Office of the General Counsel has recently determined that the U.S. Constitution, the Immigration and Nationality Act, and the immigration regulations do not prohibit relying on administrative warrants for this purpose. Accordingly, in light of this legal determination, ICE immigration officers may arrest and detain aliens subject to a final under of removal issued by an immigration judge, the Board of Immigration Appeals (BIA), or a U.S.](https://cdn.bsky.app/img/feed_thumbnail/plain/did:plc:2vtbmhmrwzbqcfv4we4uxzzt/bafkreifrzrvaszfhj4bzhgtyvx3fm6ht4kc2zrwtvozijyxl3zxgp7vx6a)