Protectionism in One Country: How Industrial Policy Worked in Canada
blog.daviskedrosky.com
TL;DR: the Canadian National Policy of 1879-1895 was a successful instance of deliberate infant industry protection (IIP). Selective targeting of industries with close domestic substitutes led to rapid output expansion, productivity growth, and price declines with little cost to consumer welfare. Nineteenth-century Canada is a good example of how a heavily agricultural, resource-dependent economy can use trade policy to develop a native manufacturing sector despite pressures toward primary product specialization. Main points:
Protectionism in One Country: How Industrial Policy Worked in Canada
Protectionism in One Country: How Industrial…
Protectionism in One Country: How Industrial Policy Worked in Canada
TL;DR: the Canadian National Policy of 1879-1895 was a successful instance of deliberate infant industry protection (IIP). Selective targeting of industries with close domestic substitutes led to rapid output expansion, productivity growth, and price declines with little cost to consumer welfare. Nineteenth-century Canada is a good example of how a heavily agricultural, resource-dependent economy can use trade policy to develop a native manufacturing sector despite pressures toward primary product specialization. Main points: