It so happened historically that different states at different time periods have various forms of protecting national interests in the world market. It is the chosen position that determines the country's trade policy and its importance in the international arena. The most famous are protectionism and free trade. If the first is an attempt to protect the national interests of entrepreneurs, the second involves complete freedom of action in trade.
Protectionism is the government’s policy regarding protecting the interests of domestic producers and restricting the import of imported products. In a strict form, this is expressed in the maximum stimulation of exports and the restriction or prohibition of import imports. National industry is protected by the introduction of high duties on foreign goods. Such a policy originated on the basis of mercantilism.
On the one hand, protectionism is very beneficial for national producers, this allows them to compete with importers and sell their products profitably. But such a position of the state can lead to the emergence of a monopoly, the deterioration of the quality of the goods. Moreover, sooner or later, foreign trade will begin to decline markedly, and the state itself will be isolated. Therefore, protectionism is often replaced by free trade, that is, free trade.
The policy of establishing equal conditions for importers and domestic producers often gives positive results. The national economy is becoming more open, and relations in the international market are noticeably improving. After analyzing the policies of different countries, we can say that protectionism is not the only sure way to improve your economic situation. It is precisely the liberalization of foreign trade that contributes to the welfare of the state; it positively affects both the world community and each specific country.
Protectionism in Russia appeared in the 17th century along with the opening of the first private manufactories. Then the king began to receive many complaints from merchants against foreign merchants, because of which they could not sell their goods. The first to defend domestic manufacturers was Alexei Mikhailovich, and the rest of the rulers followed him. It was he who imposed a heavy duty on foreigners, showed them what and where to trade, a ban was imposed on certain products.
In every possible way, exports were restricted by Peter I, Elizabeth, Catherine II, Alexander I, Nikolay I, Alexander II, Alexander III. Protectionism is the main form of trade relations of the time. Rulers weakening the patronage of domestic producers were not held in high esteem, sooner or later they had to change their views and restrict imports. At the end of the 19th century, such a policy led to good consequences; the position of Russian industry was noticeably strengthened. But the tsar's constant interference in the affairs of the capitalists aroused their discontent with the authorities. Therefore, it is not surprising that many wealthy entrepreneurs strongly supported and even sponsored the opposition side.
