Economic Consequences of Isolationism

Where have all the tariffs gone?
Gone with business  every one.
When will they ever learn?

   Isolationism breeds contempt, both for others and others against the isolationist.
   The lesson that protectionist tariffs as a way of preserving one nation's dominance in international trade dooms the isolationist to sharp losses in trade and income apparently must be learned anew in every generation of politicians.
   The Smoot-Hawley Act of the Great Depression not only failed to protect America's export tradition by imposing high tariffs on imports, but was countered with retaliatory taxes imposed by other nation's against American exports.
   Result: Both sides lost business, and the world plunged into the Great Depression.
   That was only one of the factors that caused the economic crisis, of course, but the lesson is there, and it's time the current administration in Washington paid attention to some basic economic history.
   NAFTA, the North American Free Trade Agreement, enables firms in the U.S., Canada and Mexico to do business across the borders without having to deal with import and export taxes (aka tariffs) that only increase the costs paid by consumers.
   Similarly, free trade agreements among European Union nations enable them to manufacture and sell products for and to each other without having to pay tariffs that pass on the costs to consumers.
   To destroy these agreements in the name of "free competition" returns national economies to the cutthroat years of attempted dominance by one nation against all others.
   As Adam Smith, the founder of modern economic theory, wrote in the 18th Century, free trade and comparative advantage benefits all participants.