Enter a player name to begin or load your saved progress.
The British government encouraged manufacturing in the American colonies to foster economic growth and self-sufficiency.
Answer: False
Explanation: The British government implemented policies to discourage manufacturing in the American colonies, aiming to maintain them as suppliers of raw materials and markets for British goods, which was a factor contributing to the American Revolution.
The Tariff Act of 1789 was primarily designed to protect nascent American industries that had developed during the Revolutionary War, with revenue generation as a secondary goal.
Answer: False
Explanation: The Tariff Act of 1789 had dual primary goals: to generate national revenue and to protect nascent American industries. Revenue generation was a critical immediate need for the new federal government.
Alexander Hamilton argued that political independence for the United States was intrinsically linked to economic independence, advocating for government support of 'infant industries'.
Answer: True
Explanation: As the first Secretary of the Treasury, Alexander Hamilton articulated the view that economic self-sufficiency was essential for national security and political independence, proposing policies like import duties to foster domestic manufacturing.
Between 1792 and the War of 1812, the average U.S. tariff rate was approximately 25%.
Answer: False
Explanation: The average U.S. tariff rate between 1792 and the War of 1812 was approximately 12.5%. Rates were increased significantly during and immediately after the War of 1812.
Samuel Slater is credited with building the first operational textile manufacturing facility in the United States in 1790.
Answer: True
Explanation: Samuel Slater, an immigrant with knowledge of British textile machinery, is recognized for establishing the first successful water-powered textile mill in Pawtucket, Rhode Island, in 1790, marking a significant step in early American industrialization.
What was the British government's policy towards manufacturing in the American colonies?
Answer: Discouraged it to maintain the colonies as suppliers of raw materials.
Explanation: The British government's mercantilist policies aimed to restrict manufacturing in the American colonies, ensuring they served primarily as sources of raw materials and captive markets for British finished goods.
What was a key dual purpose of the Tariff Act of 1789?
Answer: To generate national revenue and protect new American industries.
Explanation: The Tariff Act of 1789 served the crucial dual objectives of establishing a revenue stream for the nascent federal government and providing protection for developing American industries against foreign competition.
Samuel Slater's contribution to the U.S. Industrial Revolution was:
Answer: Building the first operational textile manufacturing facility.
Explanation: Samuel Slater is credited with establishing the first successful water-powered textile mill in the United States in 1790, a pivotal event in the early industrialization of the nation.
The War of 1812 led to a decrease in U.S. tariffs as trade disruptions eased.
Answer: False
Explanation: The War of 1812 prompted an increase in U.S. tariffs, doubling them to an average of 25% to help finance the war effort and stimulate domestic industry due to trade disruptions.
Southern states, reliant on agricultural exports, generally supported protectionist policies to shield their industries from foreign competition.
Answer: False
Explanation: Southern states, whose economies were heavily dependent on agricultural exports and imports, generally opposed protectionist policies, favoring free trade to benefit their export-oriented industries.
The Nullification Crisis in the 1830s centered on disputes over federal policies concerning westward expansion.
Answer: False
Explanation: The Nullification Crisis primarily involved a confrontation between South Carolina and the federal government over the issue of federal tariffs, which South Carolina argued were unconstitutional and harmful to its economy.
The Walker Tariff of 1846 aimed to protect American industries by significantly increasing tariff rates.
Answer: False
Explanation: The Walker Tariff of 1846 significantly lowered tariff rates, establishing them at a level intended for revenue generation rather than protection of industries.
The Tariff of 1857 represented a move towards higher protectionism, increasing duties on imported goods.
Answer: False
Explanation: The Tariff of 1857 actually represented a move towards lower protectionism, reducing tariff rates in response to factors such as Britain's repeal of its Corn Laws.
Abraham Lincoln's administration significantly lowered tariffs during the Civil War to stimulate trade.
Answer: False
Explanation: Abraham Lincoln's administration implemented the Morrill Tariff and other measures that significantly raised tariff rates during the Civil War, partly to fund the war effort and protect domestic industries.
The Morrill Tariff, which raised tariff rates, was passed after the Civil War had concluded.
Answer: False
Explanation: The Morrill Tariff, which significantly raised tariff rates, was passed in March 1861, just before the Civil War began, facilitated by the departure of Southern senators.
The Tariff of 1828, known as the 'Tariff of Abominations,' imposed very low import duties.
Answer: False
Explanation: The Tariff of 1828, infamously known as the 'Tariff of Abominations,' imposed exceptionally high import duties, leading to widespread opposition, particularly from Southern states.
Historians universally agree that tariffs, not slavery, were the primary cause of the American Civil War.
Answer: False
Explanation: While tariff disputes were a significant contributing factor to sectional tensions, the overwhelming consensus among historians is that slavery was the primary cause of the American Civil War.
During which century was protectionism most prevalent in the United States?
Answer: The 19th century
Explanation: Protectionism was a dominant and recurring theme throughout the 19th century in the United States, shaping major political debates and economic policies, particularly concerning the development of domestic industries versus agricultural export interests.
Which region of the United States generally opposed protectionist policies during the 19th century?
Answer: Southern states reliant on agricultural exports
Explanation: Southern states, whose economies were heavily reliant on agricultural exports and the import of manufactured goods, generally opposed protectionist policies, viewing them as detrimental to their economic interests.
How did the average U.S. tariff rate change immediately following the War of 1812?
Answer: It doubled to an average of 25%.
Explanation: Following the War of 1812, U.S. tariff rates were significantly increased, doubling to an average of approximately 25%, partly to finance war debts and stimulate domestic manufacturing.
While slavery was the primary cause, what other significant issue contributed to sectional tensions leading to the American Civil War?
Answer: Tariff disputes between the industrial North and agrarian South.
Explanation: Beyond the central issue of slavery, significant sectional tensions leading to the Civil War stemmed from disputes over federal policies, notably tariff rates, which favored the industrial North but were opposed by the agrarian South.
What was the approximate tariff rate implemented by Abraham Lincoln's administration during the Civil War?
Answer: 44%
Explanation: During the Civil War, Abraham Lincoln's administration enacted tariffs that reached approximately 44%, reflecting a strong protectionist stance and a need for wartime revenue.
The Nullification Crisis primarily involved a confrontation between South Carolina and the federal government over what issue?
Answer: Federal tariffs
Explanation: The Nullification Crisis of the 1830s was fundamentally a dispute over the constitutionality and economic impact of federal tariffs, with South Carolina asserting the right to nullify these laws within its borders.
What was the main objective of the Walker Tariff of 1846?
Answer: To lower tariff rates for revenue only, not protection.
Explanation: The Walker Tariff of 1846 was designed to reduce tariff rates to a level primarily intended for revenue generation, rather than for protecting domestic industries, aligning with the interests of the agrarian South.
During the Second Party System (1829-1859), which party generally favored lower tariffs, influenced by Southern interests?
Answer: The Democratic Party
Explanation: Influenced heavily by the agrarian and export-oriented interests of the Southern states, the Democratic Party during the Second Party System generally advocated for lower tariff rates.
The Tariff of 1857 lowered tariff rates, partly in response to which international event?
Answer: Britain's repeal of its Corn Laws
Explanation: The Tariff of 1857 reduced tariff rates, partly as a response to Britain's repeal of its protectionist Corn Laws, signaling a broader international trend towards freer trade.
The Morrill Tariff, enacted just before the Civil War, significantly raised tariff rates and was facilitated by:
Answer: The departure of Southern senators.
Explanation: The passage of the Morrill Tariff in March 1861, which substantially increased tariff rates, was made possible by the secession of Southern senators from Congress, removing their opposition.
Protectionism was most prevalent in the United States during the early 20th century, particularly after World War I.
Answer: False
Explanation: While protectionism was significant in the early 20th century, it was most prevalent and a central political issue throughout the 19th century. The period after World War I saw high tariffs, but the 19th century was characterized by more consistent and intense debate over protectionism.
Historian Howard K. Beale argued that post-Civil War tariffs primarily benefited Southern agricultural interests.
Answer: False
Explanation: Historian Howard K. Beale argued that post-Civil War tariffs primarily benefited Northern industrialists, suggesting that these high tariffs were maintained to protect their economic interests.
In the late 19th century, the iron and steel industries actively lobbied *against* high tariffs to reduce production costs.
Answer: False
Explanation: In the late 19th century, industries like iron and steel were among the most vocal proponents of high tariffs, lobbying strongly through the Republican Party to protect their domestic markets and maintain high prices.
President Grover Cleveland strongly advocated for high tariffs, viewing them as essential for national prosperity.
Answer: False
Explanation: President Grover Cleveland was a prominent opponent of high tariffs, viewing them as detrimental to consumers and the economy, and made tariff reform a central issue of his presidency.
William McKinley argued that free foreign trade was essential for the prosperity of American labor and farmers.
Answer: False
Explanation: William McKinley was a leading advocate for high tariffs, arguing that protectionism would benefit American labor, tradespeople, and farmers by shielding them from foreign competition.
The 'home market' argument for protectionism suggested that high-wage factory workers would buy more imported goods, benefiting farmers.
Answer: False
Explanation: The 'home market' argument posited that protectionism would lead to high-wage factory workers purchasing more domestic foodstuffs, thereby benefiting farmers, rather than buying more imported goods.
By the 1880s, American industry had become globally competitive, making continued high tariffs largely unnecessary from an economic standpoint.
Answer: True
Explanation: By the 1880s, American industry had achieved significant global competitiveness. However, high tariffs persisted, often maintained more as an ideological commitment or for specific industry protection rather than strict economic necessity.
The Payne-Aldrich Tariff of 1909 helped to unify the Republican Party around a protectionist platform.
Answer: False
Explanation: The Payne-Aldrich Tariff of 1909 caused a significant split within the Republican Party, alienating Midwestern insurgents who opposed its high rates and contributing to the party's division.
The Underwood Tariff of 1913 significantly raised tariff rates in an effort to protect American industries.
Answer: False
Explanation: The Underwood Tariff of 1913 significantly lowered tariff rates, a policy championed by President Woodrow Wilson, though its economic impact was somewhat overshadowed by the onset of World War I.
The establishment of the federal income tax via the Sixteenth Amendment reduced the government's reliance on tariffs for revenue.
Answer: True
Explanation: The ratification of the Sixteenth Amendment and the implementation of the federal income tax provided a substantial new revenue stream for the government, diminishing the relative importance of tariffs as a primary source of federal funding.
The Beard thesis argues that Northern industrialists used high tariffs and supported Reconstruction to protect their economic interests against Southern political power.
Answer: True
Explanation: Historian Charles A. Beard's thesis posits that Northern industrialists leveraged high tariffs and supported Reconstruction policies to maintain their economic dominance and political influence by limiting the power of low-tariff Southern interests.
Howard K. Beale's thesis regarding post-Civil War tariffs suggested they primarily benefited:
Answer: Northern industrialists.
Explanation: Howard K. Beale's influential thesis argued that high tariffs maintained after the Civil War primarily served the economic interests of Northern industrialists, providing them with protected domestic markets.
In the late 19th century, how did industries like iron and steel typically influence Republican tariff policy?
Answer: By advocating strongly for high tariffs through the Republican Party.
Explanation: Industries such as iron and steel, along with others like wool, were powerful advocates for high tariffs. They typically exerted influence through the Republican Party, which generally supported protectionist measures.
What was President Grover Cleveland's primary stance on tariffs during his presidency?
Answer: He strongly opposed high tariffs, viewing them as unfair.
Explanation: President Grover Cleveland consistently argued against high tariffs, characterizing them as a burden on consumers and an impediment to fair trade, and made tariff reform a cornerstone of his political platform.
William McKinley promoted the idea that protectionism would lead to prosperity by arguing that:
Answer: Protectionism would benefit American labor, tradespeople, and farmers.
Explanation: William McKinley championed the protectionist viewpoint, asserting that high tariffs would foster domestic prosperity by safeguarding the livelihoods and economic interests of American labor, artisans, and agricultural producers.
The 'home market' argument for protectionism was intended to appeal to farmers by suggesting that:
Answer: High-wage factory workers would purchase more foodstuffs.
Explanation: The 'home market' argument aimed to persuade farmers by proposing that protectionist policies would lead to the growth of domestic industries employing high-wage workers, who would then become substantial consumers of agricultural products.
By the 1880s, despite global competitiveness, why did some manufacturers and workers continue to demand high tariffs?
Answer: As an ideological commitment rather than an economic necessity.
Explanation: Even as American industries became globally competitive by the 1880s, the demand for high tariffs persisted, often rooted in an ideological adherence to protectionism and the desire to maintain established market advantages, rather than solely on economic necessity.
How did the Payne-Aldrich Tariff of 1909 impact the Republican Party?
Answer: It caused a significant split between party factions.
Explanation: The Payne-Aldrich Tariff of 1909 proved highly divisive within the Republican Party, exacerbating tensions between progressive insurgents and conservative protectionists, ultimately contributing to the party's fragmentation.
What was the main characteristic of the Underwood Tariff of 1913?
Answer: It significantly lowered tariff rates.
Explanation: The Underwood Tariff of 1913 represented a substantial reduction in tariff rates, marking a significant shift towards lower trade barriers, although its immediate economic effects were soon overshadowed by the outbreak of World War I.
Following World War II, the United States actively promoted protectionist policies globally, including advocating for high tariffs.
Answer: False
Explanation: Post-World War II, the United States shifted its policy to promote global free trade, advocating for agreements like the General Agreement on Tariffs and Trade (GATT) to reduce trade barriers.
The Reciprocal Tariff Act of 1934 authorized the U.S. to increase tariffs through bilateral negotiations to stimulate the economy.
Answer: False
Explanation: The Reciprocal Tariff Act of 1934 authorized the U.S. to negotiate bilateral agreements for *reducing* tariffs, aiming to stimulate trade and economic recovery.
The Smoot-Hawley Tariff Act of 1930 is considered the primary cause of the Great Depression.
Answer: False
Explanation: While the Smoot-Hawley Tariff Act of 1930 raised tariffs and contributed to the severity of the Great Depression by triggering retaliatory tariffs and reducing global trade, it is not considered its primary cause.
Milton Friedman argued that the Federal Reserve's insufficient action was the main cause of the Great Depression, more so than trade protectionism.
Answer: True
Explanation: Economist Milton Friedman posited that the Federal Reserve's failure to adequately manage the money supply was the principal driver of the Great Depression, outweighing the impact of protectionist trade policies like Smoot-Hawley.
Paul Krugman believes that protectionist measures during recessions have a net positive effect on overall economic growth.
Answer: False
Explanation: Paul Krugman suggests that protectionist measures during recessions have a neutral effect on overall economic growth, as the expansionary impact of reduced imports is offset by the contractionary effect of reduced exports.
The U.S. promoted the General Agreement on Tariffs and Trade (GATT) after World War II to increase trade barriers among capitalist nations.
Answer: False
Explanation: The U.S. promoted the General Agreement on Tariffs and Trade (GATT) after World War II with the explicit goal of minimizing trade barriers and liberalizing trade among capitalist nations.
What major shift in U.S. economic policy occurred after World War II regarding international trade?
Answer: The promotion of free trade agreements like GATT.
Explanation: Following World War II, the United States actively championed a global economic order characterized by reduced trade barriers, leading to the establishment of institutions like the General Agreement on Tariffs and Trade (GATT) to foster international commerce.
Which tariff act, intended to protect American industries during the Great Depression, backfired by triggering retaliatory tariffs and worsening the global economic downturn?
Answer: The Smoot-Hawley Tariff Act (1930)
Explanation: The Smoot-Hawley Tariff Act of 1930, enacted with the intent of protecting American industries, is widely criticized for provoking retaliatory tariffs from other nations, thereby exacerbating the global economic crisis of the Great Depression.
What was the economic rationale behind the Reciprocal Tariff Act of 1934?
Answer: To authorize the negotiation of bilateral tariff reduction agreements.
Explanation: The Reciprocal Tariff Act of 1934 empowered the executive branch to negotiate bilateral trade agreements aimed at reducing tariffs, reflecting a belief that trade liberalization could help stimulate economic recovery during the Great Depression.
Which statement best reflects the assessment of the Smoot-Hawley Tariff Act's role in the Great Depression?
Answer: It contributed to the severity of the Depression by worsening global trade.
Explanation: While not the sole cause, the Smoot-Hawley Tariff Act is widely regarded as having exacerbated the Great Depression by triggering widespread international retaliation, leading to a sharp decline in global trade.
Milton Friedman's analysis of the Great Depression emphasized which factor as the primary cause?
Answer: The Federal Reserve's insufficient monetary action.
Explanation: Economist Milton Friedman argued that the primary cause of the Great Depression was the Federal Reserve's failure to counteract the contraction of the money supply, rather than trade protectionism or other factors.
What is Paul Krugman's perspective on the relationship between protectionism and recessions?
Answer: Protectionism has a neutral effect on overall growth, offsetting import/export changes.
Explanation: Paul Krugman suggests that protectionist measures during recessions do not necessarily worsen or improve overall economic growth, as the negative impact of reduced exports is counterbalanced by the positive impact of reduced imports.
After World War II, the U.S. actively promoted which international agreement to minimize trade restrictions?
Answer: The General Agreement on Tariffs and Trade (GATT)
Explanation: Following World War II, the United States was a principal architect and promoter of the General Agreement on Tariffs and Trade (GATT), established in 1947, to reduce global trade barriers and foster international economic cooperation.
The 'chicken tax' imposed in 1964 was a retaliatory tariff on imported light trucks from West Germany.
Answer: False
Explanation: The 'chicken tax' was a retaliatory tariff imposed in 1964 on imported light trucks, but it originated from a dispute over West German tariffs on U.S. chicken imports, not tariffs on trucks from West Germany.
Labor unions generally supported free trade agreements like NAFTA, believing they would create new jobs.
Answer: False
Explanation: Labor unions generally opposed free trade agreements such as NAFTA, arguing that they would lead to lower wages and job losses for American workers due to competition from countries with lower labor costs.
Public opinion on international trade is largely independent of political influence and elite framing.
Answer: False
Explanation: Scholarly analysis indicates that public opinion on international trade is highly susceptible to political framing and cues from political elites, rather than being solely based on objective economic data.
Currently, the majority of imported goods into the United States are subject to tariffs, with average rates at a historic high.
Answer: False
Explanation: Currently, only about 30% of imported goods into the U.S. are subject to tariffs, and the average tariff rates are at a historic low, as detailed in the Harmonized Tariff Schedule.
Voluntary Export Restraints (VERs) negotiated with Japan encouraged Japanese auto companies to focus on exporting cheaper, lower-margin car models to the U.S.
Answer: False
Explanation: Voluntary Export Restraints (VERs) on Japanese auto imports inadvertently encouraged Japanese manufacturers to export higher-value, more expensive models to the U.S. to maximize profits within the imposed quantity limits.
The Harmonized Tariff Schedule details historically high average tariffs applied by the U.S. on imported goods.
Answer: False
Explanation: The Harmonized Tariff Schedule currently details historically low average tariffs applied by the U.S. on imported goods, reflecting a general trend towards trade liberalization since the mid-20th century.
Donald Trump's 2016 campaign platform primarily emphasized free trade agreements and globalization.
Answer: False
Explanation: Donald Trump's 2016 campaign platform emphasized protectionist policies and 'economic nationalism,' diverging from the traditional Republican stance on free trade.
What challenge did American industries like steel and textiles face after 1970?
Answer: Increased competition from low-cost global producers.
Explanation: After 1970, American industries such as steel and textiles encountered intensified competition from global producers, particularly those in developing nations offering goods at lower costs, leading to significant market challenges.
The 'chicken tax' originated as a retaliatory measure against West Germany's tariffs on:
Answer: U.S. agricultural products, specifically chicken.
Explanation: The 'chicken tax' was a retaliatory tariff imposed by the U.S. in response to West German tariffs on American poultry products, specifically chicken, which had impacted U.S. agricultural exports.
What was the primary aim of the North American Free Trade Agreement (NAFTA)?
Answer: To reduce trade barriers and enlarge the market for American firms.
Explanation: The primary objective of the North American Free Trade Agreement (NAFTA) was to eliminate or reduce trade barriers among the United States, Canada, and Mexico, thereby facilitating commerce and expanding market opportunities for businesses in the region.
Labor unions generally opposed agreements like NAFTA primarily because they argued it would:
Answer: Lead to lower wages and job losses for American workers.
Explanation: Labor unions frequently opposed free trade agreements like NAFTA, contending that they would incentivize companies to relocate production to countries with lower labor costs, resulting in diminished wages and job displacement for American workers.
According to scholars, public opinion on international trade is highly susceptible to:
Answer: Political framing and elite cues.
Explanation: Research suggests that public opinion on complex issues like international trade is often shaped more by how the issues are framed by political leaders and media, and by cues from trusted political figures, than by detailed economic analysis.
What does the Harmonized Tariff Schedule currently indicate about U.S. tariffs?
Answer: Average tariffs are at a historic low.
Explanation: The Harmonized Tariff Schedule, which details U.S. tariff rates, currently indicates that average tariffs are at historic lows, with a significant portion of imported goods entering duty-free.
The 'chicken tax' imposed in 1964 was a 25% tariff specifically placed on:
Answer: Light trucks, such as Volkswagen vans.
Explanation: The 'chicken tax,' enacted in 1964, imposed a 25% tariff specifically on imported light trucks, a measure that significantly impacted the market for vehicles like the Volkswagen van.
How did Voluntary Export Restraints (VERs) on Japanese auto imports affect the types of cars exported?
Answer: Led to a focus on higher-value, more expensive models.
Explanation: By limiting the quantity of vehicles that could be exported, Voluntary Export Restraints (VERs) incentivized Japanese automakers to shift their export strategy towards higher-margin, more expensive models to maximize revenue within the quota.
Economic historian Paul Bairoch characterized the United States as the primary proponent of free trade throughout modern history.
Answer: False
Explanation: Economic historian Paul Bairoch described the U.S. as the 'homeland and bastion of modern protectionism,' indicating a historical role characterized by protectionist policies rather than consistent free trade advocacy.
What is the primary goal of protectionist economic policies in the United States, according to the source?
Answer: To encourage local industry by making imported goods less competitive.
Explanation: Protectionist policies are fundamentally designed to shield domestic industries from foreign competition by imposing barriers, such as tariffs, on imported goods, thereby making them less competitive and encouraging domestic production and consumption.
According to economic historian Paul Bairoch, what title best describes the U.S.'s historical role concerning protectionism?
Answer: The 'Homeland and Bastion of Modern Protectionism'
Explanation: Economic historian Paul Bairoch famously described the United States as the 'homeland and bastion of modern protectionism,' highlighting its long and significant history of implementing protectionist trade policies.
Michael Lind characterized U.S. trade policy from 1816 until World War II primarily as:
Answer: Predominantly protectionist.
Explanation: Michael Lind characterized U.S. trade policy from the Tariff of 1816 through World War II as predominantly protectionist, with a notable shift towards trade liberalization occurring only after 1945.
What was the 'American System' in 19th-century U.S. politics?
Answer: An economic plan championed by Henry Clay, including protectionism.
Explanation: The 'American System,' championed by figures like Henry Clay, was a comprehensive economic program that included advocating for protective tariffs to foster domestic industry, alongside internal improvements and a national bank.