Protectionism
From ACT Wiki
Jump to navigationJump to search
Economics.
Central actions and policies designed to protect domestic businesses against competition from foreign businesses, or businesses external to a trading bloc.
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.
Escalated protectionism and retaliation is considered to be a 'trade war'.
