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The Rise of German Protectionism in The 1870's: A Macroeconomic Perspective

The Rise of German Protectionism in The 1870's: A Macroeconomic Perspective,Asaf Zussman

The Rise of German Protectionism in The 1870's: A Macroeconomic Perspective   (Citations: 1)
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The 1879 German 'iron and rye' tariff marked a turning point in nineteenth-century European tariff history. This paper challenges the leading political-economy explana- tions for the adoption of the tariff that focus on the effects of a decline in European grain prices on Germany's income distribution. Instead it claims that severe macro- economic imbalances caused by the Franco-Prussian War indemnity played the crucial role in the rise of protectionism in Germany in the 1870s and in the eventual adoption of the tariff.
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