President Donald Trump's tariffs proposal will have an "immediate disruption effect" and will hurt most people, except perhaps steel workers and those who own stocks in steel companies, economist Robert Shiller told CNBC on Friday.
Trump announced the tariffs Thursday, sparking fears of a trade war and rising consumer prices. As early as next week, the U.S. will impose a 25 percent tariff for steel and a 10 percent tariff for aluminum, the president said.
"I'd wonder if this isn't just a first step, that Trump has in mind raising other tariffs. Even if he doesn't there will be other countries who will retaliate and they'll get bigger. This is really like a first shot in a war and that's what is worrisome," said Shiller, who won a Nobel Prize for Economics in 2013.
"That's what happened in the Great Depression," he told "Power Lunch."