Secondary IV • 2mo.
What was the economic policy of the United Kingdom from 1815 to 1846 and what is its definition?
What was the economic policy of the United Kingdom from 1815 to 1846 and what is its definition?
Explanation from Alloprof
This Explanation was submitted by a member of the Alloprof team.
Good evening AdorablePumpkin! :)
Since the early 19th century, the United Kingdom has practiced protectionism to allow its colonies to develop.
Protectionism is an economic measure aimed at shielding a colony or country’s economy from foreign competition.
Protectionism works as follows:
the metropolitan power increases customs tariffs on resources coming from countries other than its colonies. This makes it so that buyers in the metropolitan area purchase resources from the colonies because they are cheaper. This eliminates competition, as the customs tariffs make the resources from the colony less expensive. This measure promoted the development of the wheat and timber trade in Upper and Lower Canada from 1815 to 1846.
In the early 1840s, a wave of new ideas arrived in the United Kingdom. The British Parliament adopted several economic reforms.
Economic liberalism and free trade took over as the economic model, replacing protectionism.
Economic liberalism believes that the state should intervene minimally in the economy and trade. Free trade is a measure that removes any barriers to trade, such as tariffs. Economic liberalism is directly opposed to protectionism.
I hope this helps ! Let us know if you have any other questions! :)
Marilee