STUART, Fla. — Many people turn to Walmart for the everyday low prices.
“Their prices are a lot less expensive for milk, eggs, paper towels,” said Sandi Caimi.
For Megan Feriola, accounting for every dollar spent is critical.
“I’m a single mom. I don't exactly have an income right now,” said Feriola.
They’re looking to see what tariffs proposed by President-elect Trump could mean for prices at some stores.
“If they were to raise prices it would definitely make life a little more stressful,” added Feriola.
A tariff is a tax placed on goods when they cross national borders.
Major retailers like Walmart and Lowe's are warning consumers of the possible impact.
William Luther, Associate Professor of Economics at FAU, explained, “It’s going to cause domestic prices to be higher than they otherwise would be."
Luther said tariffs are meant to discourage foreign trade and raise revenue for the government. Supporters believe it evens the playing field for domestic producers of goods.
“We’re bringing that production back home but that means we’re bringing it back to a place where production costs are higher,” added Luther.
Local consumers are preparing for the price hikes.
Luther said the price surge could be spread across a variety of goods, from textiles to groceries.
“An across-the-board tariff is very likely to have across-the-board effects,” Luther said.
Luther expects the cost increase may not be as high as people anticipate if companies adjust their behaviors.
Shoppers say discount stores like Walmart may still be their best option. For now, many shoppers say it's "wait and see".
“I’m waiting out to see how it plays out because for right now it’s better than the name brand stores,” said Caimi.
