The adoption of mercantilist policies is the only means for advanced industrial countries to deal with the consequences of the Great Recession. Do you agree or disagree?
Mercantilism often comes up as a policy option during times of economic hardship. That is because when the economy sees a downwards slope, people are inclined to blame outside forces, external economies "unfairly" dominating industries and taking away jobs. This has been a response to economic pressure from the era of colonialism and onwards.
The Great Recession decimated the global economy by collapsing the financial infrastructure that was driving it. For advanced countries, this led to a sharp drop in consumer behaviors, which in turn crashed the supply-based markets of other economies. Facing rising unemployment, it is tempting to block off and protect the remaining industries in advanced economic world from the cheaper labor and production costs of the developing world, so that they can recover without having prices undermined. A move ...
Mercantalism is a popular topic for discussion as an economic policy, but what would mercantalism mean in the era of the Great Recession?