beggar-my-neighbour policy


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Related to beggar-my-neighbour policy: Beggar Thy Neighbor Policy

beggar-my-neighbour policy

a course of action that is entered into by a country unilaterally in pursuit of its own self interest in INTERNATIONAL TRADE even though this might adversely affect the position of other countries. For example, country A might decide to impose TARIFFS or EXCHANGE CONTROLS on imports from other countries in order to protect certain domestic industries. The great danger with this type of policy, however, is that it can be self-defeating; that is, other countries may retaliate by imposing tariffs, etc., of their own on country A's exports, with the result that everybody's exports suffer. To avoid confrontation of this kind, various international organizations have been established to regulate the conduct of international trade and monetary dealings.

See WORLD TRADE ORGANIZATION, INTERNATIONAL MONETARY FUND, EXPORT INCENTIVES, IMPORT RESTRICTIONS, DIRTY FLOAT, DUMPING.