Tariffs for Retaliation

Tariffs for Retaliation When governments use tariffs and other trade restric tions as instruments to influence, restrain, or coerce other peoples or governments, the field of international politics and intrigue is entered. If history offers any basis for judgment on this subject, it is that sound economics and morality are cast aside at such times. This subject will be discussed more fully later, in connection with national defense. International politicians seem to assume that trade is a hostile process; that it is a concession granted to friendly nations; and that when it is withheld from un friendly nations it does them harm, without harming the withholder. Even the words sometimes used-protec tion, sanction, embargo, and the like-suggest hostility. They carry the implication of warfare-of doing some thing to restrain someone. Actually, trade as engaged in by individuals is gen erally a friendly exchange. A trader, to be sure, drives the best bargain he can. But when both sides are free 37 to accept or reject offers, the result cannot be hostile to either party. If you're out of gas, you don't feel hostile toward the person who sells you some.