European exports – The daily blog of behavioral and cognitive economics

How a Street Cleaner and a Hobo Bag Are Alike

U.S. cities might have to do without state-of-the-art street cleaning equipment while their affluent residents won’t have trendy European handbags. Today, let’s start with some of the stories that tell more about tariffs and wind up with the anchors that bias our opinions. Streetsweepers. A Croatian street cleaning equipment manufacturer said neither he nor his U.S. customers could absorb double digit tariffs. While his private customers could not afford a price hike, his bidding to municipal markets required binding prices that he could not predict. As a result, the U.S. might not have access to the highest quality hydrogen powered street cleaners ….[READ]