Protectionist Policies Cripple Global Trade, Risking Economic Disaster
The economic crisis today is similar to the Great Depression, which saw a rise in protectionist trade policies that hurt world trade. Policymakers may be tempted to do the same now, leading to higher trade barriers. This happened in the 1930s because countries didn't want to change their currency values. This led to more tariffs and import restrictions. The study looks at how these policies affected world trade, why some countries imposed strict trade rules, and how trade agreements influenced global trade. The lessons learned can help prevent future trade conflicts.