always protectionist latin american tariffs from independence to great depression (Coatsworth, Flashcards
What was the central argument of the article regarding Latin America’s protectionism?
Latin America was the most protectionist region globally from its independence until World War I.
True or False: The article claims that Latin American protectionism primarily emerged during the Great Depression.
False
What were the main drivers for high tariffs in Latin America in the early post-independence period?
- State revenue needs for defense and administration
- Internal and external security threats
What did weak governments in Latin America prefer to collect revenue through?
Customs duties
Later in the 19th century, what became an increasingly important motive for high tariffs in Latin America?
Protection of domestic industries
According to the authors, did high tariffs promote economic growth in Latin America before World War II?
No, high tariffs were associated with slower growth.
What other factors influenced tariff levels in Latin America?
- Strategic responses to trading partner tariffs
- Need to compensate globalisation’s losers
Did the Great Depression fundamentally alter Latin America’s tariff levels?
No, it did not.
How did the rise in Latin American tariffs during the late 19th century compare to Europe?
It was more pronounced than the protectionist shifts observed in Europe.
What impact did wartime inflation have on specific duties during World War I?
It reduced specific duties to much smaller percentages of import values.
What shift occurred in the determinants of tariff policy in Latin America after World War I?
There was an adjustment of Latin American tariffs to partner tariffs and changes in the impact of federalist regimes.
What is the definition of protectionism?
Economic policy of restricting imports from other countries through measures such as tariffs.
Fill in the blank: A _______ is a tax imposed by a government on goods imported into a country.
[Tariff]
What is an Ad Valorem Tariff?
A tariff calculated as a fixed percentage of the value of the imported goods.
What does the term Globalisation refer to?
The increasing interconnectedness and interdependence of countries through trade, finance, information, and culture.
What period does Belle Époque refer to?
A period typically dated from the late 19th century to the outbreak of World War I.
What is Import Substitution Industrialisation (ISI)?
An economic policy aimed to promote domestic industrial growth by protecting local industries from foreign competition.
What does the Stolper-Samuelson Theorem suggest?
Opening to international trade will raise the return to a country’s relatively abundant factors of production and lower the return to its relatively scarce factors.
What was the primary aim of a Revenue Tariff?
To generate income for the government.
What is the Infant Industry Argument?
The rationale for protecting new domestic industries until they can compete with established foreign firms.
What do Beggar-my-neighbour Policies refer to?
Economic policies implemented by one country to improve its economic situation at the expense of others.
What does Price Elasticity of Import Demand measure?
How much the quantity demanded of imports changes in response to a change in their price.
What is the Gold Standard?
A monetary system where the value of a country’s currency is linked to a fixed quantity of gold.
What were Caudillos in the context of Latin America?
Military or political leaders who often ruled authoritarian regimes.
