Protectionism



Abstract

This essay is about the arguments of the protectionist policies. Protectionism is the development of a policy to protect the products of their own country, imposing restrictions on entry of the same or similar foreign products by imposing tariffs and taxes on the import, and the more expensive product so unprofitable.

Protectionism

Introduction

Protectionism is the development of a policy to protect the products of their own country, imposing restrictions on entry of the same or similar foreign products by imposing tariffs and taxes on the import, and the more expensive product so unprofitable. The protectionist policy has experienced several periods of rise and fall throughout history. Generally, in situations of war economy or autarky, protectionism applies bluntly. In times of economic crisis, certain levels of protection to prevent a fall own products withering prices and the subsequent collapse of some sectors of the national economy. Protectionist barriers are only those that implement the nations to safeguard their products, but in turn could trigger a controversy world unless we take the right decisions. (International Business Publications, 2007)

Protectionism is an economic policy interventionist conducted by a State or group of States, of protecting its producers against the competition from producers in other states. Goals may be the maintenance of employment in certain sectors, reducing the trade deficit, or the defense of living standards. Protectionist measures consist primarily to curb imports (tariffs, standards binding brakes administrative), encourage exports (grants various tax incentives, devaluation, dumping as “protectionism offensive”), focus on companies in the national tendering of public procurement, or prevent investors from taking control foreign national companies. Protectionism allows greater job security in certain areas. it ensures the stability of domestic industries, in some cases, it allows the economic development of the state that puts into practice, it lowers the variety of consumer products compared to free trade.

Discussion

The Concept of Foreign Trade

No matter how different political systems in different countries, they can not pursue a policy of self-sufficiency in full for a long time, because followed forced the state to produce all their needs, although their economic and geographic not enable it, and whatever tendency of any State to achieve This policy, they can not live in isolation from other countries, as countries like minded could not produce everything you need from the goods, but would be required to specialize in the production of goods that qualify their natural conditions and economic Because produced then exchanged surplus products other countries can not produced within its borders, or post production, but at a high cost, it becomes then import from abroad. This is the basis upon which the foreign trade, then intended to foreign trade is: Process of trade in goods and services and other factors of production between several different countries in order to achieve mutual benefits for the parties to exchange. (Paul & Maurice, 2009)

Although the trade, whether internal or external is a result of the specialization and division of labor, it has been usually a lot of economists who are ...