trade war

(noun)

The practice of nations creating mutual tariffs or similar barriers to trade.

Examples of trade war in the following topics:

  • Economics

    • Trade barriers are government-induced restrictions on international trade, which generally decrease overall economic efficiency.
    • Trade barriers are government-induced restrictions on international trade.
    • Man-made trade barriers come in several forms, including:
    • Most trade barriers work on the same principle–the imposition of some sort of cost on trade that raises the price of the traded products.
    • If two or more nations repeatedly use trade barriers against each other, then a trade war results.

  • The Argument Against Barriers

    • Most trade barriers work on the same principle: the imposition of some sort of cost on trade that raises the price of the traded products.
    • If two or more nations repeatedly use trade barriers against each other, then a trade war results
    • Trade barriers are often criticized for the effect they have on the developing world.
    • If international trade is economically enriching, imposing barriers to such exchanges will prevent the nation from fully realizing the economic gains from trade and must reduce welfare.
    • International trade is the exchange of goods and services across national borders.

  • National Security Argument

    • Indeed, economics is often used directly as a weapon of war and conflict via trade sanctions.
    • For example, consider World War II.
    • Direct conflict will almost always result in a complete cease in trading not only between the country in which the war is occurring, but also any of that country's allies (who may or may not be directly involved).
    • However, some argue self-sufficiency (via protectionism) in war is not necessary, as friendly nations will still provide trade and economic support.
    • -Iraq war.

  • The Importance of Trade

    • International trade is an integral part of the modern world economy.
    • Gains from trade are commonly described as resulting from:
    • International trade is important, and, over time, has become more important.
    • Established in 1946 to rebuild the international economic system after World War II, the Bretton Woods Conference set up regulations for production of their individual currencies to maintain fixed exchange rates between countries with the aim of more easily facilitating international trade.This was the foundation of the U.S. vision of postwar world free trade, which also involved lowering tariffs and, among other things, maintaining a balance of trade via fixed exchange rates that would be favorable to the capitalist system.
    • Discuss the reasons of the U.S. increase in international trade participation after World War II

  • Introduction to Foreign Trade and Global Economic Policies

    • But since the Great Depression of the 1930s and World War II, the country generally has sought to reduce trade barriers and coordinate the world economic system.
    • The United States dominated many export markets for much of the postwar period -- a result of its inherent economic strengths, the fact that its industrial machine was untouched by war, and American advances in technology and manufacturing techniques.
    • Congress for trade liberalization in the 1980s and 1990s.
    • On top of that, the end of the Cold War saw Americans impose a number of trade sanctions against nations that it believed were violating acceptable norms of behavior concerning human rights, terrorism, narcotics trafficking, and the development of weapons of mass destruction.
    • Officially, the nation remained committed to free trade as it pursued a new round of multilateral trade negotiations; worked to develop regional trade liberalization agreements involving Europe, Latin America, and Asia; and sought to resolve bilateral trade disputes with various other nations.

  • Trade and Economy

    • States were responsible for their own trade policies under the Articles of Confederation.
    • Under the Articles of Confederation, Congress was denied the power to regulate either foreign trade or interstate commerce, and as a result, all of the states maintained control over their own trade policies.
    • The states and the Confederation Congress both incurred large debts during the Revolutionary War, and how to repay those debts became a major issue of debate following the War.
    • Some States paid off their war debts and others did not.
    • Federal assumption of the states' war debts became a major issue in the deliberations of the Constitutional Convention.

  • European Wars in the Colonies

    • The Anglo-Dutch Wars (1652–1674) were a series of conflicts fought largely at sea over Britain's power to restrict trade to the colonies.
    • The war was largely subsumed by the War of the Austrian Succession in 1742.
    • Britain and France fought four wars that became known as the French and Indian Wars—followed in 1778 with another war when France joined the Americans in the American Revolution.
    • The Iroquois suffered heavily in King William's War and were brought, along with other western American Indians, into the French trading network.
    • Queen Anne's War (1702–1713) was the second war for control of the continent and was the counterpart of the War of the Spanish Succession in Europe.

  • From Protectionism to Liberalized Trade

    • The United States has not always been a forceful advocate of free trade.
    • In 1934, Congress enacted the Trade Agreements Act of 1934, which provided the basic legislative mandate to cut U.S. tariffs.
    • Following World War II, many U.S. leaders argued that the domestic stability and continuing loyalty of U.S. allies would depend on their economic recovery.
    • The United States supported trade liberalization and was instrumental in the creation of the General Agreement on Tariffs and Trade (GATT), an international code of tariff and trade rules that was signed by 23 countries in 1947.
    • In addition to setting codes of conduct for international trade, GATT sponsored several rounds of multilateral trade negotiations, and the United States participated actively in each of them, often taking a leadership role.

  • Range Wars

    • Famous range wars included the Lincoln County War, the Pleasant Valley War, the Mason County War, and the Johnson County Range War.
    • The Lincoln County Range War arose between two factions over the control of dry goods trade in the county.
    • The Pleasant Valley War was commonly thought to be an Arizona sheep war between two feuding families, the cattle-herding Grahams and the sheep-herding Tewksburys.
    • The Johnson County War, also known as the War on Powder River and the Wyoming Range War, was a range war that took place in Johnson, Natrona and Converse County, Wyoming in April 1892.
    • Assess the significance of range wars in late nineteenth century America

  • Madison and the Pressure for War

    • In the early nineteenth century, President James Madison faced pressure from Democratic-Republican "war hawks" to go to war with Britain.
    • The war hawks advocated going to war with Britain for reasons related to the interference of the British Royal Navy in American shipping, which was hurting the American economy and, the war hawks believed, injuring American prestige.
    • Opposition to war came from Federalists, especially those in the Northeast, who knew conflict would disrupt the maritime trade on which they depended.
    • A portrait of Henry Clay, the leader of the war hawks' western faction, painted after the War of 1812.
    • Discuss the reasons for war with Great Britain proposed by the "war hawks"