answersLogoWhite

0


Best Answer

One positive thing about protective tariffs is that they protect jobs associated with manufacturing and distributing domestic goods and services. They are also beneficial to fledging companies who cannot compete with established foreign enterprises. One argument against the tariffs is that is artificially increases prices. Another argument is that it can lead to targeted countries imposing their own tariffs.

User Avatar

Wiki User

10y ago
This answer is:
User Avatar
More answers
User Avatar

Wiki User

12y ago

The South, having little industry to protect, opposed protective tariffs. Thomas Jefferson and James Madison feared national government with strong economic powers dominated by the wealthy class. They had a very different vision of what America should become.

- Chelsea Grate TTYLXOX

This answer is:
User Avatar

User Avatar

Wiki User

13y ago

The arguments for protective tariffs are that it protects domestic goods and services from foreign goods and services. This protects specific jobs identified with the protected goods and services. Additionally, an argument can be made that a protective tariff can be used for fledgling enterprises that cannot compete with established foreign firms. A country may also want to use protectionist measures for national security or international prestige reasons. For example, let's say the US wants to be able to make tanks in the event of a war, therefore, they need the infrastructure to produce steel and automobiles in the event that trade and supply routes are disrupted in the case of international conflict.

The arguments against tariffs are that prices are artificially high and this hurts consumers. For example, if people could get their wheat a lot cheaper, say a couple dollars a bushel, from Another Country then more people could afford to eat bread, and the consumer could use that money on other things. However, if a government imposes a tariff, then the consumer would have to spend more money on bread and would have less money to buy other things.

Another problem with tariffs is that the targeted countries may impose similar tariffs on other goods. These tariff wars significantly hamper trade and although not the cause of the Great Depression, caused the great depression to be great (not my quote...).

Another problem with tariffs is that it keeps inefficient production tied up in areas that might not be the best place for those resources. For example, let's say your country is really good at making computers, but you have a protective tariff that allows your country to make widgets at the cost of consumers. If those tariffs would be removed, your country would then produce computers more efficient and consumers would get cheaper widgets and therefore everyone is happy.

This answer is:
User Avatar

User Avatar

Wiki User

12y ago

it means to protect locally firms thereby causing people to patronize in locally products or goods. In a nut share, it will create competition between impoted goods and local goods

This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: Summsrize the arguments for and against protective tariffs?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

What was Jeffersons opinion of protective tariffs?

He was against it


Northern and southern Farmer's Alliance had different views on?

protective tariffs - apex


What is specialization restricted by in the global economy?

Protective tariffs


What affect did the protective tariffs have on the American economy?

Protective tariffs had a few effects in the American economy. The main effect that it had was pricing.


Why were protective tariffs established?

fgjgjgh


Why In 1833 South Carolina threatened to secede from the Union if?

Congress continued to raise protective tariffs.


What encouraged Americans to buy America made goods?

Protective tariffs


Preferred low protective tariffs?

west


Did Jefferson support protective tariffs?

Yes


How did federalists feel about protective tariffs?

they loved them!


Americans who oppose protective tariffs believe that?

Tariffs may lead to ill will among countries


What was Alexander Hamilton's justification on protective tariffs?

nothing