Avoiding the Mistakes of the Past: Rejecting Protectionism and Embracing the Global Economy

Abstract

The “Great Recession” of 2008 was the greatest global financial crisis since the Great Depression. It led to the bankrupting of businesses, caused credit markets to dry up, imploded the housing market, and led to a near collapse of global trade. The plunge in trade that occurred between the second quarter of 2008 and the third quarter of 2009 was the steepest fall of world trade in recorded history. By rejecting protectionism, and by embracing the global economy through initiatives like NAFTA and the TPP, the U.S. can foster increased job growth and economic prosperity for its own citizens, and for individuals around the globe.