Protectionism

Economics

Actions and policies designed to protect domestic businesses against competition from foreign companies.

Protectionism can be achieved by imposing tariffs or quotas on imported goods, or granting subsidies or tax advantages to domestic businesses.

The consequence of domestic protectionism, and tit-for-tat retaliatory measures by foreign countries, is to restrict international trade.

See also

• Free trade
• Globalisation
• International trade
• Tariff