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In an international political economy characterised both by constancy and change, this study, first published in 1996, links together one seemingly incongruous continuity in international trade relations with an increasingly dramatic development in the economies of industrial countries. On the one hand, industrialised countries have become progressively dependent upon one another. On the other hand, the liberal international trade regime has yet to falter. These two points are tied together by seeking to explain the maintenance of liberal trade relations in terms of the mutual economic dependence of industrial countries. In particular, the study examines what may be a fundamental constraint on trade protectionism today: the reliance of industrialised countries on external trade relations, and especially on markets within the industrial world.
Milner explores the similarities between the economic conditions of the 1920s and the 1970s, where both Western Europe and the U.S. had high unemploymnet rates and sizeable agricultural and industrial overcapacity. She draws on evidence from six U.S. industries in the 1920s, six U.S. firms in the 1970s, and six French industries in the 1970s, and concludes that in the 1970s both nations had corporations with international market interests than they had in the 1920s. She believes that in modern industrial nations, the corporate sector plays an important role in policy determination, and that any move toward protectionism would be at the behest of large corporations with international interests. ISBN 0-691-05670-6: $29.50.
Why do nations so frequently abandon unrestricted international commerce in favor of trade protectionism? David A. Lake contends that the dominant explanation, interest group theory, does not adequately explain American trade strategy or address the contradictory elements of cooperation and conflict that shape the international economy. Power, Protection, and Free Trade offers an alternative, systemic approach to trade strategy that builds on the interaction between domestic and international factors. In this innovative book, Lake maintains that both protection and free trade are legitimate and effective instruments of national policy, the considered responses of nations to varying international structures.
Challenging the traditional notion that state officials act autonomously in formulating and implementing international policy, the contributors to this volume argue that the influence of organized business groups has been consistently underestimated in recent decades. Each uses a "business conflict" model of state-society relations as a new paradig
Why didn't the protectionist spiral of the 1920s reappear in the 1970s in light of similar economic and political realities? In Resisting Protectionism, Helen Milner analyzes the growth of international economic interdependence and its effects on trade policy in the United States and France. She argues that the limited protectionist response of the 1970s stems from the growth of firms' international economic ties, which reduces their interest in protection by increasing its cost. Thus firms with greater international connections will be less protectionist than more domestically oriented firms. The book develops this thesis by examining the international ties of export dependence, multinationality, and global intra-firm trade. After studying selected U.S. industries, Milner also examines French firms to see if they respond to increased interdependence in the same way as American firms, despite their different historical, ideological, and political contexts.
Global Tariff War: Economic, Political and Social Implications traces the impacts that global tariff wars in international trade can have on the growth of national economies. Offering a range of perspectives from developing economies, this collection presents a unique insight into this complex area of geo-political and economic practice.
By the early 1980s the average American had a lower standard of living than the average Norwegian or Dane. Standards of living in the Netherlands, Belgium, Sweden, Switzerland, and Austria also rivaled those in the United States. How have seven small democracies achieved economic success and what can they teach America?In Small States in World Markets, Peter Katzenstein examines the successes of these economically vulnerable nations of Western Europe, showing that they have managed to stay economically competitive while at the same time preserving their political institutions. Too dependent on world trade to impose protection, and lacking the resources to transform their domestic industries, they have found a third solution. Their rapid and flexible response to market opportunity stems from what Katzenstein calls "democratic corporatism," a mixture of ideological consensus, centralized politics, and complex bargains among politicians, merest groups, and bureaucrats.Democratic corporatism is the solution these nations have developed in response to the economic crises of the 1930s and 1940s, the liberal international economy established after World War II, and the volatile markets of more recent years. Katzenstein maintains that democratic corporatism is an effective way of coping with a rapidly changing world, a more effective way than the United States and several other large industrial countries have yet managed to discover.
A critical and detailed analysis of inequalities of world trade systems.
A history of America's most infamous tariff The Smoot-Hawley tariff of 1930, which raised U.S. duties on hundreds of imported goods to record levels, is America's most infamous trade law. It is often associated with—and sometimes blamed for—the onset of the Great Depression, the collapse of world trade, and the global spread of protectionism in the 1930s. Even today, the ghosts of congressmen Reed Smoot and Willis Hawley haunt anyone arguing for higher trade barriers; almost single-handedly, they made protectionism an insult rather than a compliment. In Peddling Protectionism, Douglas Irwin provides the first comprehensive history of the causes and effects of this notorious measure, explaining why it largely deserves its reputation for combining bad politics and bad economics and harming the U.S. and world economies during the Depression. In four brief, clear chapters, Irwin presents an authoritative account of the politics behind Smoot-Hawley, its economic consequences, the foreign reaction it provoked, and its aftermath and legacy. Starting as a Republican ploy to win the farm vote in the 1928 election by increasing duties on agricultural imports, the tariff quickly grew into a logrolling, pork barrel free-for-all in which duties were increased all around, regardless of the interests of consumers and exporters. After Herbert Hoover signed the bill, U.S. imports fell sharply and other countries retaliated by increasing tariffs on American goods, leading U.S. exports to shrivel as well. While Smoot-Hawley was hardly responsible for the Great Depression, Irwin argues, it contributed to a decline in world trade and provoked discrimination against U.S. exports that lasted decades. Peddling Protectionism tells a fascinating story filled with valuable lessons for trade policy today.
This book investigates the influence of globalization on ideology and politics in the United States. Ronald Cox and Daniel Skidmore-Hess argue that U.S. policy has been motivated less by anxiety about the independence and stability of the domestic economy and more by worry about factors that might limit the participation of U.S. corporations in international markets. Connecting trends in domestic and foreign policy with the changing needs of industry, they associate increased globalization with the the breakup of the liberal, New Deal coalition; the collapse of the Bretton Woods Agreement in the 1970s; the neoconservative, antiregulatory movements of the 1980s; and the rightward drift of both the Republican and Democratic Parties.