Why Protectionism Surges in Uncertain Economic Climates
Uncertainty, whether sparked by financial turmoil, pandemics, geopolitical tensions, or abrupt technological shifts, exerts pressures that steer governments and voters toward protectionist measures. Such protectionism emerges from fear, political incentives, and calculated strategy. This article explores the forces that revive protectionism during difficult periods, illustrates them through historical and contemporary examples, analyzes the economic mechanisms and outcomes involved, and presents policy alternatives that can lessen the impulse to withdraw behind trade barriers.Historical trends and recent instancesProtectionism has long been more than a modern curiosity, exemplified by the 1930s Smoot-Hawley tariffs, when the United States raised duties to shield domestic industries,…
