Free trade or protectionism - Essay Example

With the current world moving more and more towards capitalism, even the so called socialist countries like China have adopted free trade practices in recent times. However, no system is perfect and has its own pitfalls. Thus, protectionist measures have to be taken to balance the threats posed by negative fallouts of free trade. It is analogous to an institution encouraging creativity and enterprise by delegating authority and responsibility but ensuring accountability as well through certain disciplinary arrangements.

Thus there is a need to identify a current world trading system that is the most appropriate and find a balanced view from the ongoing debate between Free trade and protectionism. As a means to achieve peace and prosperity in the world, the concept of free trade has been the most internationally discussed and acted upon topic and area of research. The topic is relevant not just academically, but economically and politically as well. Both views to and for free trade have found some or the other form of hypothetical or empirical basis.

Besides being intellectually stimulating, the topic finds itself high in relevance in international as well as domestic affairs. Thus there exists sufficient, academic, moral and ethical motivation to pursue research on the topic. To find sufficient basis for the relevance of the ongoing nature of the debate between free trade and protectionism based on the hypotheses that debate between free trade and protectionism is essentially of an ongoing nature and will continue to be so, since the world socio-economic and political arrangements are becoming increasingly dynamic and keep changing at an increasingly faster pace.

To examine the relationship between various international and domestic factors that shape up the direction in which the free trade policy of a nation or group of nations moves, based on the premise that in order to understand the nature