Bilateral Protectionism: Lessons from a Cause Célèbre

by Jean Pasquero



Bilateral protectionism is the curious form of trade relations that Canada and the United States, the two largest trading partners in the world, have developed over the years. This article analyzes one celebrated trade friction between the two countries. It reviews its development and examines its political underpinnings. The reconstitution of the main actors' motivations and strategies reveals the inner workings of the American trade protection apparatus and demonstrates its potential for abuse and self-reinforcement. This article also explores the ideological differences between the two countries' perspectives on trade and the questionable benefits of their mutual brand of protectionism.

California Management Review

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