Conducting a policy of protectionism. Protectionism policy

Protectionism- the economic patronage of the state, manifested in the protection of the domestic market of the country from the penetration of foreign goods, as well as in the encouragement of exports in foreign markets.

It aims to stimulate development and protect it from foreign competition through tariff and non-tariff regulation.

In the context of the intensifying process, it becomes extremely important to develop an adequate protectionist policy in order to increase the competitiveness of Russian goods on the international and national markets. The intensification of state policy in certain areas will allow domestic enterprises to adapt faster and more efficiently to the post-crisis conditions of the global economy.

V different periods state history economic policy leaned first towards freedom of trade, then towards protectionism, never, however, taking any of the extreme forms. but absolutely open economy , in the process of functioning of which the movement of goods, labor, technologies and across national borders would take place without restrictions, has not had and does not have any state... In any country, the government regulates the international circulation of resources. The openness of the economy presupposes the priority consideration of national economic interests.

The dilemma of which is better - protectionism, which makes it possible to develop national industries, or freedom of trade, which allows direct comparisons of national production costs with international ones - are the subject of centuries-old debate among economists and politicians. In the 1950s and 1960s, the international economy was characterized by a departure from protectionism towards increased liberalization and freedom of foreign trade. Since the early 1970s the opposite tendency appeared - countries began to fence themselves off from each other increasingly sophisticated tariff and especially non-tariff barriers, protecting your home market from foreign competition.

• permanent protection from foreign competition strategic sectors of the domestic economy(For example, Agriculture), in the event of damage to which the country would be vulnerable in a war;
• temporary protection relatively newly established industries domestic economies until they are strong enough to compete successfully with similar industries in other countries;
• retaliation for protectionist policies by trading partners.

• selective protectionism - protection from a specific product, or protection from a specific state;
• sectoral protectionism - protection of a certain industry (primarily agriculture within the framework of agricultural protectionism);
• collective protectionism - mutual protection of several countries united in a union;
• hidden protectionism - protection using non-customs methods, including methods of domestic economic policy.

Contemporary protectionist policies

The states, pursuing protectionist policies, use customs-tariff and non-tariff restrictions. The main task of the government in the field of international trade is help exporters export as much of their products as possible making their products more competitive in international market, and restrict imports by lowering the competitiveness of foreign goods in the domestic market... Part of the methods state regulation is aimed at protecting the domestic market from foreign competition and relates primarily to imports. Another group of methods, respectively, has the goal of forcing exports.

The classification of tariff and non-tariff instruments of protectionism policy is presented in Table. one.

In accordance with the decision of the Commission customs union EurAsEC from January 1, 2010 in the Republic of Belarus, the Republic of Kazakhstan and Russian Federation introduced a unified product nomenclature foreign economic activity the customs union (TN VED CU) and the Unified Customs Tariff.

Meanwhile, there are a number of specific problems associated with tariffs. Thus, the tariff rate may turn out to be so high that it may cut off imports altogether. From here the problem of finding the optimal tariff level ensuring the maximization of national economic welfare. The average level of tariff rates is currently 11%. Is it a little or a lot? The weighted average level of import customs tariffs fell from 40-50% in the late 1940s. up to 3-5% at present. Due to the fact that Russia is going to join the WTO, 11% is only the first step towards reducing tariff regulation.

Over the past decades the role of customs tariffs has noticeably weakened... However, the degree of state influence on international trade did not decrease, but, on the contrary, increased due to the expansion use of non-tariff restrictions... The system of non-tariff regulation, adopted in developed countries Oh. According to experts, more than 50 methods of non-tariff regulation are used... These include technical regulations, sanitary standards, a complex system, government procurement, etc.

In the Concept of long-term socio-economic development of the Russian Federation until 2020, it is written: "The goal of state policy is to create conditions for increasing the competitiveness of the economy." Tasks solved by the Russian government on key development issues, including increasing national competitiveness, can be supplemented and refined based on an analysis of the country's position in world rankings. Studying the opinion of international experts allows us to identify the existing opportunities and limitations for, look at the main problems of the country's development from different points of view.

low government debt (this is largely due to the favorable external economic situation in the commodity markets)

Wide range of bank loans

Higher education and training, 45

The quality of education in the field of mathematics and science, the quality of the education system, the number of persons with additional education

Training of employees, availability of specialized research services, quality of the management school, accessibility of the Internet

Innovations, 57

The number of researchers and engineers, the quality of research and development institutes, the costs of companies for research and development (R&D)

Use of advanced technologies at the government level, cooperation high school and production, opportunities for development and implementation of innovations

Healthcare and primary education, 60

The level of impact of HIV / AIDS and malaria on business, the quality of primary education

Life expectancy, incidence of tuberculosis, primary education costs, proportion of schoolchildren among school-age children, infant mortality

Infrastructure, 65

Number of railway transport places, quality of railway infrastructure, length of telephone lines

Road quality, quality of infrastructure, quality of aviation infrastructure, quality of power supply, quality of ports

The competitiveness of the economy of the Russian Federation at this stage of development is lower than that of developed economies and even some. In this regard, there is a danger that Russia may take a place globally that does not reflect its true potential, and both, and turn into a supplier of resources for industrialized countries. Meanwhile, this process can be influenced by protecting domestic production and the competitive environment through a policy of protectionism.

So for public policy and state support the following areas are currently relevant:

• ... In 2009, the State Duma approved in the third reading the draft laws that make up the second package of antimonopoly laws. The amendments to the Federal Law "On Competition" are aimed at further protecting the national manufacturer and developing competition in Russia, toughening sanctions for violating antimonopoly legislation, as well as improving existing provisions. Antitrust regulation should be aimed at improving legislation in relation to natural monopolies, as well as increasing the efficiency of the Federal Antimonopoly Service.
• Customs tariff regulation: introduction of new technologies of customs administration within the framework of the Customs Union-2010, focus on reducing the weighted average customs tariff.
• Non-tariff regulation: expanding the use of non-tariff methods of regulation, which are implemented within the framework of administrative management, in particular, support for the export of high-tech products, services and technologies.
• Innovative development... In the long term, especially in the context of the exhaustion of the efficiency potential by other factors, innovations will acquire an exceptional value for raising the standards and quality of life of the population. Innovation policy involves creating conditions for increasing innovation activity Russian companies and the share of investments directed to the introduction of qualitatively new products and technological processes.
• Small and Medium Business Support... As part of the administrative reform, it is planned to reduce administrative barriers, reduce the list of licensed activities, and simplify the registration procedure.
• Formation of an investment-attractive environment, a decrease in the total tax burden on business entities. Long term (2020) tax policy aimed to decline tax revenues RF up to 33% of GDP.

In the context of Russia's inclusion in world economic processes, the regulatory function of the state acquires special significance for solving problems related to the formation of a competitive environment, with structural restructuring, creating conditions for economic growth and increasing the competitiveness of the national economy.

The most important areas of protectionism should now become increasing the role of non-tariff restrictions and the selective nature of protectionist measures: it is not domestic production as a whole that is protected, but individual industries. Protectionist measures are increasingly being introduced as an element of structural policies aimed at adapting national producers to the ongoing changes in the global economy.

The role and significance of protectionism in today's economic environment continues to be significant. State protective policy will allow national economy faster and more efficiently adapt to the conditions of the global economy.

After coming out of the prolonged economic depression of the 1860s-1870s. in continental Europe, a widespread transition to protectionist policies began. All countries that have implemented this program have experienced significant industrial growth.

Free trade and protectionism

The developing economic system requires the protection of newly formed and emerging under the influence of scientific and technological progress industries from the activities of large foreign companies, which have been involved in the turnover of products for a long time. The methods of protectionism have a rather pronounced social character, especially in times of structural transformations or the creation of a national industrial sector. During such periods, the state should provide protection to those professional categories that need retraining due to bankruptcy or closure of enterprises.

Free trade and protectionism are two interrelated phenomena. With a fairly intensive turnover of products during a period of aggravation of relations between countries or an increase in tension in the world, protective measures are introduced in order to preserve state security... This is facilitated by the release on its own territory of vital, necessary goods.

Criticism

The policy of protectionism undoubtedly has certain merit. However, not in all cases, its introduction into the national economic system is expedient. Opponents of this theory provide a number of arguments in defense of their position. In particular, they put forward a number of theses.

1. Protectionism is a system that is characterized by a certain illogicality. It manifests itself in the fact that, aiming to ensure the achievement of a positive balance in the balance sheet, the program significantly inhibits import operations. The consequence of this is a similar reaction of international partners, which reduce the volume of export supplies. Such actions result in imbalances.
2. Protectionism is a program that creates certain barriers in the sectors of the national economy. They undoubtedly provide protection against the activity of foreign firms. But at the same time, barriers reduce the incentive to develop industries, as there are failures in the mechanism of competition. At the same time, monopoly privileges and the ability to maintain high profitability destroy the desire for innovation and progress.
3. Protectionism is a system that creates a certain multiplier effect. It manifests itself through cross-sectoral technological communication. If certain safeguards are in place for some industries, other related sectors will also require them.
4. Economic protectionism seriously damages consumer interest. A domestic buyer pays more for both imported products subject to import duties and for products manufactured on the territory of their own state.
5. Protectionism is a scheme in which it is impossible to fully exploit the merits of international specialization due to the fact that more affordable imported products cannot enter the country due to existing restrictions.

Basic tools

The policy of protectionism presupposes the formation of non-tariff and tariff restrictions. The latter are customs duties on the import and export of products. This tool is considered to be the simplest and most effective one. However, today the value of duties is gradually decreasing. Governments of states are increasingly giving preference to non-tariff methods of protectionism. These include, in particular, import (restrictions on the number of imported products) and export quotas (limits of exported products at the request of the importer). Nevertheless, the study of tariff methods currently does not lose its relevance, since they continue to be used by various states.

Trade protectionism: duties

Tariff barriers began to be introduced a long time ago. For example, in the early 19th century, Britain introduced import duties to protect national agriculture. Towards the end of the century, the United States and Germany began to impose tariff barriers to preserve new industries. In Russia, duties protect the automotive industry.

Domestic programs

The government sets high tariffs not only on the import of new, but also used imported Vehicle... In this case, the state solves several problems. First of all, the domestic manufacturer shields itself from competition. Secondly, obstacles have been formed to fill the domestic market with used imported cars, which have already exhausted their resources at home. This, in turn, has a positive effect on the general level of safety on domestic roads. Thus, the Russian policy of protectionism has both an economic and a social orientation.

The result of the introduction of tariffs

The establishment of duties increases the value of not only imported goods, but also the average price of products in the domestic market. This is beneficial for the national manufacturer. Achieving such a result, as a rule, acts as the main goal of protectionism. Within the framework of such a program, the state protects domestic producers from low cost for products arising in the context of competition from foreign enterprises.

Real and calculated level of protection

It should be noted that the actual result of the introduction of fees may differ significantly from the planned one. The effect of the tariff method may differ at different stages of the production cycle. Let's look at an example. For example, in Russia it is planned to start assembling certain cars, and in the United States, already established assembly plants are going to develop the production of components. To encourage the domestic auto industry, the Russian Federation introduces a 20% duty on imported finished vehicles. Thus, the Russian manufacturer gets the opportunity to raise the price of its products from 10 to 12 thousand dollars. In this case, it is somewhat incorrect to say that domestic enterprises will receive only 20 percent protection. Before the imposition of the duty, Russian manufacturers could only work if the assembly price was no more than $ 2,000 (the amount that appears when the total is subtracted from the cost of the finished product - 10,000 - the amount spent on parts - 8,000 USD). ). After the introduction of the tariff, the existence of enterprises is possible even at 4,000 (the difference between the new price of 12,000 and the cost of parts). In this case, the 20% duty will provide domestic producers with virtually complete protection.

Another protection option

Suppose that the United States introduces a 10% duty on parts exported to Russia in order to stimulate the domestic production of components. In this case, the cost of components for domestic assemblers will become not 8, but 8.8 thousand dollars. This measure, with stable tariffs for ready-made vehicles, will make the production of cars at domestic enterprises less profitable. Before the introduction of the duty, the production of cars was considered profitable if the cost of assembly is no more than 2 thousand, and after the establishment of the duty, this figure should be no more than 1.2 thousand. Thus, the tariff system will be able to provide protection to the domestic manufacturer, but the level of its quality will decrease.

All countries apply some form of import control to develop national production. Protectionism is a wide range of obstacles created by the government to change the flow of international trade. A variety of policy instruments for trade barriers, including tariffs, quotas, subsidies, have historically been used to protect domestic import-competing industries and to stimulate exports. For economic and political reasons, extreme measures can be used by the state - a complete prohibition of a certain category of imported goods.

Definition and essence

Government actions and policies that restrict or hinder international trade are taken to protect local businesses and jobs from foreign competition. Typical methods are used for this: quotas, subsidies, tax cuts for local businesses. Protectionism is the deliberate protection of the domestic market of one's country from the ingress of goods of foreign origin. The main task of such a policy is the revitalization of the national economy and its further protection.

The goals of protectionism

• In the long term, provide protection to strategic industries that, in the event of damage, would cause irreparable damage to the country (for example, agriculture).
• To temporarily support the development of young branches of the domestic economy until they can independently compete with similar farms in other countries.
• Provide countermeasures when such policies are applied by trading partners.

The history of development

In the XVIII century. the dominant and recognized doctrine in Europe was the policy of protectionism. During that period, economic historians identified protectionism with mercantilism, which was aimed at achieving a positive balance in foreign trade through a system of prohibitive measures. In addition, A. Smith's theory was spread, which ran counter to the policy of mercantilism and consisted in freeing the economy from state regulation that hindered the natural development of industries.

In contrast to the theory of free trade, by the end of the XVIII century. began to develop a policy of protectionism, which was marked by the introduction of the first tariffs on imported goods in the United States by the Minister of Finance A. Hamilton. At the beginning of the 19th century. France staged a blockade of Great Britain, after the cancellation of which British goods poured into the markets European countries... France protected itself with duties, but the states of the German Confederation did not have time to do this. After German manufacturers became incapable of producing competitive products, economist F. List gave a theoretical justification for the need for a policy of protectionism in countries starting the path of industrial development.

It turns out that protectionism in history is economic theory Friedrich Liszt and his followers.

Development of protectionism in Russia

The policy of protectionism is aimed at protecting the country's internal market from the invasion of imported goods. The first manifestation of such a policy in Russia was the Trade Regulations of the second Moscow Tsar of the Romanov dynasty - Alexei Mikhailovich. The essence of the document is the introduction of a high duty on entrepreneurial activity foreigners. At the request of the merchants in 1667, foreigners were allowed to trade, but subject to the conditions prescribed in the New Trade Charter.

The first abandonment of protectionism occurred in 1857, when Russia introduced a liberal tariff that reduced duties by 30%. Subsequently, the country's economy underwent a crisis that lasted until 1880. But already 10 years later, the policies of Alexander III led to a powerful rise in industry thanks to new customs tariffs.

During the reign of the Bolsheviks, foreign trade was nationalized and all transactions with imported goods were made authorized body... In addition, foreign exchange transactions - the purchase of gold, platinum, foreign currency- were carried out only by the People's Commissariat for Finance. Soviet protectionism is a policy aimed at the monopoly of foreign trade, which was abolished immediately with the transition of the economy to the free market.

Modern protectionism in Russia

After the liquidation of the state monopoly in foreign trade, enterprises were able to independently communicate with foreign firms and make decisions. However, the opening up of the economy, which forced domestic firms to compete with foreign goods, was not the impetus for upgrading technology, improving quality, and lowering prices / costs. Thus, the country's trade fell to $ 97 billion in 1992 compared to $ 220 billion in 1990, or 44%. In 1997, the situation improved (trade turnover amounted to $ 139 billion), but the geo-economic position of Russia did not change.

Therefore, when a country loses its position in competitiveness, conditions arise for the creation and support of industries with the ability to produce goods that can withstand competition in the domestic and foreign markets. Reasonable protectionism is a necessary policy to protect domestic producers by subsidizing investment from duties in weak industries.

Forms of defensive policies

The development of protectionist tendencies allows for the identification of several forms of the state's protective policy.

1. According to the object of protection, there are:

• Selective method- is aimed at protecting a specific product and / or from a specific state.
• Collective method- carrying out protectionism by the united countries in relation to states that are not members of this union.
• Industry method- establishes the protection of the industry.
• Hidden protectionism- This is a form of protection of the national economy by non-tariff methods.

2. In the direction of measures:

• Stimulating (export).
• Restrictive (imported).

3. By the nature of the instruments:

• Tariff.
• Non-tariff.
• Mixed.

Protectionism tools

Instruments of international trade in relation to government regulation are divided into tariff (with the use of customs duties) and non-tariff (all others).

Rates - monetary obligations imposed on manufacturers of imported and exported goods when crossing the border. Hence came such a definition as customs protectionism - this is the course of the state aimed at levying high duties on imported foreign goods to the domestic market. When using tariff policy, there are a number of problems, one of which is finding the optimal level of customs duties. After overstating this figure, you can cut off imports. At present, the average tariff level in Russia is 11%.

The most popular tool in developed countries is non-tariff regulation foreign trade, the instruments of which can be conditionally divided into 3 types: financial, quantitative and technical.

Non-tariff methods

There are more than fifty ways of non-tariff regulation.

1. Quantitative methods:

• Quotas- a limited number of goods for export and import.
• Licensing- issuance by the state of permits for the import / export of goods in a certain quantity and for a specific period.
• Voluntary export restrictions- an agreement between the two countries to limit the volume of exports.

2. Technical (hidden) protectionism in the economy is a non-customs barriers set by state and local authorities in trade relations.

• Internal taxes, fees - payments levied on imported goods, thereby reducing their competitiveness.
• Technical barriers are requirements for imported goods to comply with national standards.
• Politics public procurement- holding tenders in favor of choosing nationally produced goods, even if their cost is higher than imported counterparts.
• The requirement to build up the national product with the aim of further substituting a similar imported product.

3. Financial methods:

• Subsidy - cash aid allocated by the state for the development of national producers, which sidewise discriminates against imports.
• Export crediting - financial support of national firms for the production and sale of goods outside the country.
• Dumping is the promotion of goods to the foreign market by lowering export prices. This method is prohibited by the rules of international trade.

Non-tariff methods of protectionism are methods of foreign economic regulation of the state's activities, which differ in terms of trade policy instruments from customs and tariff impact.

State protectionism

The national economy, which covers the national economy of the country, is the subject international relations competing with similar entities in the field of sustainability, independence and development dynamics. The state is the representative of the national economy.

Proceeding from this, state protectionism is the protection of national economic interests arising from the relationship of the state, on the one hand, with internal economic entities, and external agents, on the other. The goal is to create favorable conditions for national reproduction, improve and strengthen the position of the state in the world economy, and ensure independent economic development.

The policy of protectionism is the economic policy of the state aimed at the realization of national interests.

Advantages

Which is better - free trade, which develops independently (without the intervention of outside forces) and identifies industries that can compete, or a policy of protectionism?

Benefits of a protectionist policy:

• Fighting unemployment. When consuming inexpensive imported goods there is no need to produce anything, as a result, there is a reduction in jobs, an increase in unemployment and, accordingly, payments from the budget, which affects a decrease in the standard of living.
• Fees, fees, taxes- additional sources of filling the budget.
• Assistance in the development and formation of a new industry, dynamically developing in other countries... Temporary disadvantage - higher prices in the domestic market to support domestic producers.
• Ensuring national security.

Flaws

There are also disadvantages of the protectionist policy:

• The possibility of developing domestic monopolies.
• Slowdown of economic growth, when the state redistributes resources from productive industries in favor of insufficiently efficient ones to meet needs in the domestic market.
• Higher prices due to tariffs on imported products and the possibility of the formation of a national monopoly, which is interested in high prices.
• Trade wars.

In any case, a properly structured policy of protectionism is aimed at developing a domestic industry with high productivity and low prices for their country.

Protectionism is a state economic policy, the essence of which is to protect domestic producers of goods from competition from firms in other countries by establishing various kinds of import restrictions.

The dilemma of which is better - protectionism, which makes it possible to develop national industries, or freedom of trade, which allows direct comparisons of national production costs with international ones - are the subject of centuries-old debate among economists and politicians.

Types of trade policy: protectionism and free trade.

Protectionism: The essence of the policy is to curb the import of highly competitive foreign products into the country and to stimulate the export of national products.

Protection of national production from competition from foreign manufacturers (dumping); + development of production; + protection of young sectors of the national economy; + stimulates growth own production;

Balancing the foreign trade balance.

Weakening of competition in the economy; incentives to improve production;

Choices for consumers are narrowed;

Deprivation of the possibility of use international division labor;

Undermines opportunities for the export of goods.

The development of protectionist tendencies makes it possible to distinguish the following types of protectionism:

selective protectionism - protection from a specific product, or protection from a specific state;

sectoral protectionism - protection of a particular sector (primarily agriculture within the framework of agrarian protectionism);

collective protectionism - mutual protection of several countries united in a union;

hidden protectionism - protection using non-customs methods, including methods of domestic economic policy.

Reasons for the existence of protectionism:

1. For developed countries, this is the desire to encourage their own producers and protect them from international competition.

2. In developing countries (in the form of restrictions on the import of manufactured goods from abroad) to protect the developing national industry for industrialization (was successfully implemented in India). If big external debt- then to save the country's currency.

Forms of protectionism:

1.Tariff protectionism is the establishment of high rates customs tariff for goods imported from abroad. Levying tariff duties as a percentage of the price of a good or fixed rates per unit increases the price of imported goods and makes them less competitive. This is how the US and Japan wage trade wars. An increase in customs duties by 20% increases the price of imported food from 20,000 rubles. up to RUB 27,000 As a result, demand decreases from 01 to 02. Domestic food production should grow from 03 to 04, and imports should decrease accordingly.

2. non-tariff restrictions - the establishment of quotas for the import and export of goods in quantitative or value terms. This form is usually entered on a certain period in connection with any event (fair) or to protect the interests of the national industry in connection with the need to improve the balance of payments. Export licenses are introduced for goods that are in short supply in the local market. Trade in this case is carried out under licenses issued by authorized organizations. The second half of the twentieth century is characterized by a decrease in customs duties and an increase in non-tariff restrictions. Non-tariff restrictions are widely used in US trade competition. Japan, EU countries due to imbalance in payments between them to protect not the entire national economy as a whole. But only certain industries. This policy is called "selective protectionism" There is also "collective protectionism" when a number of countries jointly protect their markets from third countries (EU countries). Japan and the United States use non-tariff restrictions differently. Japan uses them very actively to enable high-tech industries to gain strength for competition. The USA, on the contrary, is of the opinion in the development of knowledge-intensive industries. that you can only get stronger in the course of a competitive struggle.

3. Export subsidies - state stimulation of exports at the expense of the budget. Such subsidies are possible in the form of: - direct financing of research and development and experimental design works that are carried out for export production; - provision of preferential loans; - provision of export premiums for the export of goods abroad (in the USA, for the export of grain); - exemption of exporting firms from taxes.

Belarus

At the London G20 summit, the participating countries reaffirmed their commitment to fighting protectionism. As the British Ambassador to Belarus Nigel Gould-Davis noted, “all economists refer to the sad experience of the Great Depression.” One of the factors that complicated the situation in the 1930s was the protectionist measures of individual countries. trade. Now everyone understands that today it is impossible to repeat the sad experience. " In this regard, the G-20 instructed The World Bank and the World trade organization monitor the situation in the field of international trade and draw up "lists of shame" of countries that do not disdain protectionism and erect trade barriers to protect their own producers. which are conducted for export production; - provision of preferential loans; - provision of export premiums for the export of goods abroad (in the USA, for the export of grain); - exemption of exporting firms from taxes.

The most important areas of protectionism at the present time should be an increase in the role of non-tariff restrictions and the selective nature of protectionist measures: it is not domestic production as a whole that is protected, but individual industries. Protectionist measures are increasingly being introduced as an element of structural policies aimed at adapting national producers to the ongoing changes in the global economy.

The role and significance of protectionism in today's economic environment continues to be significant. The state protective policy will allow the national economy to adapt faster and more efficiently to the conditions of the global economy.

Belarus

Most illustrative example protectionist measures in Belarus - Presidential Decree No. 214 of April 21, which introduced temporary increased rates customs duties on a range of consumer goods in order to protect domestic producers. According to the decree, increased duties have been established for two lists of goods. The first list, in particular, included TVs, refrigerators, microwave ovens, vacuum cleaners, watches, furniture, underwear, grape wine. The second list was made up of vegetables - potatoes, onions, cabbage, carrots and beets.

Another high-profile Belarusian example is the prohibition of regional officials to let goods from one region to another. Their main argument is support local budgets and the preservation of jobs. However, when a crisis broke out in the courtyard, the Ministry of Economy of Belarus finally decided to put an end to such "trade wars" and developed a draft decree that would remove restrictions on the free movement of goods within the country. Now the final answer lies with the Council of Ministers and the Presidential Administration.

At the London G20 summit, the participating countries reaffirmed their commitment to fighting protectionism. As the British Ambassador to Belarus Nigel Gould-Davis noted, “all economists refer to the sad experience of the Great Depression.” One of the factors that complicated the situation in the 1930s was the protectionist measures of individual countries. trade. Now everyone understands that today it is impossible to repeat the sad experience. " In this regard, the G20 instructed the World Bank and the World Trade Organization to monitor the situation in the field of international trade and draw up "lists of shame" of countries that do not disdain protectionism and erect trade barriers to protect their own producers.

The arguments of the supporters of the protectionist doctrine are: growth and development of national production, employment of the population and, as a result, improvement demographic situation in the country. Opponents of protectionism, who support the doctrine of free trade - free trading, criticize it from the standpoint of consumer protection and entrepreneurial freedom.

Types of protectionism

Depending on the tasks set and the conditions imposed, the protectionist policy is divided into several separate forms:

Branch protectionism - protection of one branch of production;
- selective protectionism - protection from one state or one of the types of goods;
- collective protectionism - protection of several union states;
- local protectionism, products and services of local companies fall under it;
- latent protectionism, carried out using non-customs methods;
- green protectionism, uses the norms of environmental law;
- Corrupt protectionism, carried out by dishonest politicians in the interests of certain financial groups.

Economic crises are the driving force behind protectionism

The protracted world economic depressions of the late 18th and early 19th centuries gradually led many world powers to a transition to a policy of strict protectionism, under the slogan "Let's support domestic producers." In continental Europe, this transition took place after the protracted economic depression of the 1870s and 1880s. After the end of the depression, active industrial growth began in all countries that followed this policy. In America, the transition to protectionism took place in 1865, after the end of the Civil War, this policy was actively pursued until the end of World War II in 1945, after which it continued to operate in an implicit form until the late 1960s. In Western Europe, tough protectionist policies began to operate everywhere in 1929-1930, at the beginning of the Great Depression. Late 1960s Western European countries and the United States took joint decisions and carried out a coordinated liberalization of their foreign trade, the active widespread action of protectionism ended.

Proponents of protectionism argue that it was the protectionist policies pursued by the countries of Europe and North America in the 17th-19th centuries that allowed them to industrialize and make an economic breakthrough. In their statements, they point out that periods of rapid industrial growth of these states coincide with periods of tough protectionism, including the most recent economic breakthrough in Western countries in the middle of the 20th century.

Critics of protectionism, in turn, point to its main shortcomings. The increase in customs duties leads to an increase in the cost of imported goods within the country, from which end consumers suffer. The threat of monopolization of industry and seizure by monopolists of control over domestic market in conditions of protection from external competition, which happened in the USA, Germany and Russia at the end of the 19th and beginning of the 20th centuries.