According to the report, "Consumer Expenitures in 2003", by the US Bureau of Labor Statistics, average annual expenditures per consumer unit stayed the same in 2003, though it rose in 2001 and 2002.
The major components of spending—food, housing, apparel and services, transportation, healthcare, entertainment, and personal insurance and pensions—account for about 90 percent of total expenditures, and of these, only the change in apparel and services was statistically significant in 2003, decreasing by 6.2 percent.
Finally, progressives get serious about regressive taxes, like tariffs. The ladies and gentlemen at the Progressive Policy Insitute note that tariffs are 1% of annual tax revenue. According to their estimates, in 2004, U.S. Government Tax Receipts were as follows:
Income tax: $765 billion
Payroll tax: $732 billion
Corporate tax: $169 billion
Excise taxes: $71 billion
Tariffs: $21 billion
Why does this matter? Don't tariffs help protect American workers by saving jobs? Well, comparatively speaking, tariff revenues are low, but it bears remembering that many products purchased by low-income families might be included in this measure. In fact, according to this week's "PPI Trade Fact of the Week" bulletin:
The $21 billion includes $9.3 billion on
shoes and clothes (which make up 6 percent of imports);
rates are especially high on cheap shoes and mass-market
clothes. Another billion came from food, and another
billion from miscellaneous small manufactures like luggage,
bicycles, and silverware. The cost of the system for
families is much more than this, though, since tariff costs
are magnified by retail markups and sales taxes. The total
is not easy to calculate, but (1) the border cost of shoe
and clothing imports was about $85 billion; (2) tariffs
added $9.3 billion; (3) the total store cost was about $320
billion; (4) including about $40 billion in locally made
shoes and clothes; meaning that (5) the price of shoes and
clothes triples from border to store. Thus clothing and
shoe tariffs alone seem likely to cost families about $30
billion.
Far from kindness. For more on this topic, the PPI's Edward Gresser argues that tariffs are regressive, hitting poor, single mothers hardest.