Today, in a world of container ships, jumbo jets, and the Internet, goods and many services are delivered faster and more cheaply (in inflation-adjusted terms) than ever before. 1 Today I will discuss the crucial economic benefits we receive from the ongoing expansion of international trade. I will also address the adverse effects of trade and some possible ways to mitigate them.
I will argue that one possible response to the dislocations that may result from trade – a retreat into protectionism and isolationism – would be self-defeating and, in the long run, probably not even feasible.