As American consumers and businesses face the looming possibility of additional tariffs under a second Trump administration, it is worth revisiting the incisive critique of protectionism put forth by economist Murray Rothbard in his book Power and Market. Rothbard’s analysis exposes protectionism not as a tool for national prosperity but as a mechanism for enriching politically connected interests at the expense of the general population. With policymakers entertaining yet more trade restrictions, his arguments remain as relevant as ever.

Protectionism, in its essence, involves the use of any combination of subsidies, tariffs, quotas, and other trade barriers to insulate domestic industries from foreign competition. Advocates argue that such measures safeguard jobs, promote national security, and support fledgling industries. These claims often resonate with voters, particularly in a climate of economic uncertainty. Yet, as Rothbard demonstrates, protectionism is fundamentally flawed in both theory and practice.

At the heart of Rothbard’s critique lies the principle of free trade, which he defends as a cornerstone of economic prosperity. Drawing upon the insights of the classical economists, he emphasized the mutual benefits of trade and the principle of comparative advantage, and correctly identified that protectionism fatally undermines these benefits, impoverishing society as a whole while propping up inefficient industries.