Protectionism is
the use of trade barriers to protect local companies and their workers from
foreign competition. Import tariffs, quotas, subsidies/tax cuts to local
businesses and direct state interventions are some methods of Protectionism.
This is where government actions and policies directly restrict or restrain
international trade with the intention of protecting local businesses and jobs
from foreign competitions.
Some critics
argue that over time these types of government actions end up hurting people
that they intend to help and protect. They promote free trade as an alternative
and superior solution over protectionism.
