POLI 243 Lecture Notes - Investment, General Agreement On Tariffs And Trade, Protectionism
16 Mar 2013
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Document Summary
Despite similar starting points in 1945, several countries have attained different results. Difference in how they thought about trade in development strategy. Old mercantilist thinking and you need to break it. Stop importing manufacturing goods, start subsidizing with local production. Industries in britain and france are converted to wartime production. Making trucks for the army instead of trucks for the world market. That"s why they have to start local production and to invest in their own structure. Industry on the warring party focus on the war patterns and not on consumer production. But the war will end, so tariff barriers can protect local industries. In case britain wants to sell cars back to argentina, local industries will be protected. India: don"t want the same relationship with britain when they were a colony. May work in the short run but hard to sustain. Some countries will stick to isi because they can justify it as working.
