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The impact of protectionism is currently a contentious policy

issue. This book evaluates the effects of protectionism on the

British interwar economy. In contrast to most studies of the period

and the conclusions of orthodox economic theory, Kitson and Solomou

show that the introduction of the General Tariff in 1932 provided a

substantial stimulus to the domestic economy - a stimulus which can

help to explain the trend improvement in British economic growth in

the 1930s. The authors show that the tariff made encouraging import

substitution and macroeconomic expansion. The empirical evidence is

examined at two levels. First, a sectoral study shows that the

newly protected sector of the 1930s saw an improvement in

performance following the introduction of the tariff. Secondly, the

large fall in manufacturing imports generated favourable effects on

macroeconomic performance by helping to reduce the import

propensity of the economy. The policy implication of this study is

that trade policies should be constructed in the context of

prevailing economic conditions and not solely with reference to

sometimes inappropriate theoretical perspectives.

List of figures

List of tables

Preface

Introduction

1. British interwar economic growth in an historical

perspective

2. The impact of protectionism on economic growth: theoretical

issues

3. Quantitative studies of the impact of the 1932 General

Tariff

4. A macroeconomic analysis of the impact of the 1932 General

Tariff

5. Industrial performance and trade policy: a disaggregated

analysis

6. The 1930s economic revival: an overview

Conclusion

Notes

List of references

Index

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书籍介绍

The impact of protectionism is currently a contentious policy issue. This book evaluates the effects of protectionism on the British inter-war economy. In contrast to most studies of the period and the conclusions of orthodox economic theory, Kitson and Solomou show that the introduction of the General Tariff in 1932 provided a substantial stimulus to the domestic economy--a stimulus that can help to explain the trend improvement in British economic growth in the 1930s. The authors show that the tariff made domestic products more competitive, encouraging import substitution and macroeconomic expansion. The empirical evidence is examined at two levels. First, a sectoral study shows that the newly protected sector of the 1930s saw an improvement in performance following the introduction of the tariff. Secondly, the large fall in manufacturing imports generated favorable effects on macroeconomic performance by helping to reduce the import propensity of the economy. The policy implication of this study is that trade policies should be constructed in the context of prevailing economic conditions and not solely with reference to sometimes inappropriate theoretical perspectives.