Abstract
Our studies examine how consumer attribution of blame and purchasing behavior change when retailers provide transparent explanations for tariff-related price increases. Through two experiments involving over 1,500 U.S. adults, we found that when tariffs were explicitly disclosed on itemized bills, consumers were significantly more likely to blame the government rather than retailers or the broader economy for price hikes. However, transparency came with trade-offs: while it redirected blame away from retailers, consumers still perceived tariff-disclosed prices as less fair and showed reduced willingness to purchase, even when total costs remained identical. Our studies also revealed partisan differences, with Trump supporters less likely to blame the government for tariff costs compared to those with more negative views of the President. These findings suggest that as new U.S. tariffs begin to affect consumer prices, businesses face a complex decision about transparency—clear explanations can protect a retailer's reputation. Still, they may not fully mitigate adverse consumer reactions. Our research highlights the importance of attribution in consumer behavior and the political dimensions of economic policy implementation at the retail level.