Yes that's correct.
Example: It's the policy the USA adapted after World War 1, they decided to "isolate" themselves from the issues of the European continent, as it didn't affect them (they didn't join the League of Nations). They tried to continue this policy during World War 2 but eventually entered the war on the Allies side.
Hope this was of help :)
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isolationism
Isolationism is a policy of not being involved in world affairs. This means a country does not bother itself with worrying about the welfare of other countries.
He wanted the nation to concentrate on domestic affairs
they did not join the league of nations
isolationism..... they formed the league of nations a few years back and now they wanted to get out of it....