Right, deep breaths everyone. It’s Friday. The end of the working week is nigh. Birds are probably singing (unless you live in Edinburgh, in which case it’s more likely seagulls are aggressively raiding the bins). But amidst the usual Friday feeling of “get me to the pub beer garden,” there’s a rather alarming buzz in the news: talk of bringing back trade barriers reminiscent of the pre-World War 2 era. Seriously? Are we dusting off economic policies that helped pave the way for global conflict? Make that a triple measure please.

Pre-WW2 Trade Barriers Explained (Because it is Friday and My Brain is Fried)

Okay, so picture the time before World War 2. The global economy was a bit of a mess after the Great Depression. Countries, in a bid to protect their own industries and jobs, started slapping hefty taxes (tariffs) and strict limits (quotas) on goods coming in from other countries. The idea was simple: “Buy local!” But the reality was a spectacular failure.

Think of it like this:

• Tariffs: Imagine Scotland decides to put a massive tax on all English tea coming over the border. Suddenly, Scottish tea becomes cheaper, and the government hopes Scots will buy more of it. But then England might retaliate by putting a huge tax on Scottish whisky. Everyone ends up paying more, and trade grinds to a halt.
• Quotas: Now imagine Scotland says, “Only 100 boxes of English biscuits can come into the country each month.” This limits the amount of foreign goods available, again trying to boost local producers. But it also means less choice and potentially higher prices for consumers.

The most infamous example of this protectionist madness was the Smoot-Hawley Tariff Act in the United States in 1930. It raised tariffs on thousands of imported goods. Other countries retaliated, global trade plummeted, and many economists believe it actually worsened the Great Depression. It was a classic case of “tit for tat” tariffs escalating into an economic disaster. “You hit me, I’ll hit you harder!” Except in this case, everyone gets a bloody nose and goes home poorer.

The post-WW2 era saw a global push away from these barriers, with agreements like GATT (General Agreement on Tariffs and Trade), which eventually led to the World Trade Organization (WTO), aiming to reduce tariffs and promote smoother international trade. The logic was that open trade fosters economic growth, competition, and (hopefully) fewer reasons to start global conflicts over resources.

“Bring Back Trade Barriers?” – Should We Stockpile Tinned Goods and Toilet Rolls again?

So, the news is suggesting some folks are advocating for a return to this pre-WW2 style of protectionism? Are they serious? It’s like saying, “Remember that time we all had covid? Let’s do that again!”

Here’s why this idea is about as sensible as navigating Edinburgh during the Fringe Festival on cutches:

• Tit-for-Tat Tango of Tariffs: We’ve seen this movie before, and it doesn’t end well. Country A imposes tariffs on Country B. Country B retaliates with tariffs on Country A. Soon, everyone’s slapping taxes on everything, consumers pay more, businesses struggle to import and export, and the global economy looks like a toddler who’s just dropped their ice cream. Remember those “tit for tat tariffs” from earlier? Multiply that by the number of countries on Earth, and you’ve got a recipe for economic indigestion on a global scale.
• Supply Chain Mayhem: In today’s interconnected world, products often cross multiple borders before they’re finished. Slapping tariffs everywhere throws a massive spanner in the works. Your fancy smartphone might have a screen made in one country, a chip from another, and be assembled in a third. Tariffs on each component just make the final product more expensive and harder to produce. It’s like trying to make a Full Scottish breakfast when you can’t import the haggis because someone decided offal deserves tariff protection.
• Economic Slowdown: Reduced trade means less competition, potentially leading to higher prices and lower quality goods. It stifles innovation and economic growth. Businesses that rely on international markets suffer. It’s like putting a speed limit on the entire global economy – everyone moves slower.
• Increased Risk of Conflict (Yes, Really): Economic interdependence can actually be a force for peace. When countries rely on each other for trade, they have less incentive to go to war. Bringing back trade barriers fosters economic nationalism and can breed resentment and mistrust between nations. It’s like building fences between neighbours – it doesn’t exactly encourage friendly chats over the garden gate.

“Thank Fuck It’s Friday,” and we have two days to forget all about it:

So, as you crack open that well-deserved beverage tonight, take a moment to appreciate the relative freedom of trade we (mostly) enjoy. The idea of reverting to pre-WW2 protectionism isn’t just economically daft; it’s a historical amnesia of epic proportions. Let’s hope cooler heads prevail and we don’t end up needing to barter our Irn-Bru for survival in a post-tariff apocalypse. Now, if you’ll excuse me, I’m off to check if tinned haggis futures are a thing… just in case.