Tariffs, Wars, and the Economics of Protection:Lessons from the History of American Textile
"The fierce tariff struggles of 19th century America illuminate the important roletrade policy could play in determining the course of history. And as a major player in theprotectionist movement, the textile industry was more than knee-deep in the controversy.
This paper is organized into two main parts, the first of which provides a brief review ofthe development of textile protection during the 19th century, and its role in shaping theperiod�s political turmoil which culminated in the War Between the States. The secondpart of this paper seeks to unravel the causes behind Southern hostility against theprotective tariff through the lens of Austrian economics, with particular emphasis on itssubjective theory of value. The protectionist doctrine, which enforcement is hereinargued to be Lincoln�s true motivation for war, is further examined from the standpointof natural rights theory."
This was a fascinating economic history lesson for me. Also, there's an interesting application of the Austrian subjective value theory to defend free trade on moral grounds based upon the sanctity of fundamental human freedoms. Highly recommended reading for the anti-globalization brigade.
It's amazing to see how the economic drivers of textile industry have remained constant over centuries. History continues to repeat itself:
United Textile/Fiber Industry Seeks China Safeguard Action