18 Facts About Tariffs

Tariffs are among the most widely used instruments of protectionism, along with import and export quotas.

Tariffs therefore provide an incentive to develop production and replace imports with domestic products.

Tariffs are meant to reduce pressure from foreign competition and reduce the trade deficit.

Tariffs called for customs barriers to allow American industrial development and to help protect infant industries, including bounties derived in part from those tariffs.

Tariffs believed that duties on raw materials should be generally low.

Tariffs believed that political independence was predicated upon economic independence.

Tariffs noted that exports were 7 percent of GNP in 1929, they fell by 1.

Tariffs concluded that contrary the popular argument, contractionary effect of the tariff was small.

Tariffs overall reduce welfare is not a controversial topic among economists.

Tariffs can emerge as a political issue prior to an election.

Tariffs considers that infant industry protection policy has generated much better growth performance in the developing world than free trade policies since the 1980s.

Tariffs pointed out that the reduction of wages led to a reduction in national demand which constrained markets.

In 1932, in an article entitled The Pro- and Anti-Tariffs, published in The Listener, he envisaged the protection of farmers and certain sectors such as the automobile and iron and steel industries, considering them indispensable to Britain.

Tariffs criticised, for example, the neoclassical assumption of wage adjustment.

Tariffs criticised the static dimension of the theory of comparative advantage, which, in his view, by fixing comparative advantages definitively, led in practice to a waste of national resources.

Tariffs thus proposed the search for a certain degree of self-sufficiency.

Tariffs defends the idea of producing on national soil when possible and reasonable and expresses sympathy for the advocates of protectionism.

Tariffs considered that quotas could be more effective than currency depreciation in dealing with external imbalances.