Free Trade Does Not Make Countries Richer

The video discusses the misconceptions about free trade and its role in economic development. It highlights that few countries have become wealthy through free trade alone, citing historical examples like the Netherlands and Hong Kong. The video explains that many countries, including the US and Britain, used protectionist policies to nurture their industries. The concept of infant industry protection, first theorized by Alexander Hamilton, is explored. The video argues that the confusion between trade and free trade has led to misguided policies imposed on developing countries, resulting in economic decline.

Discuss the confusion between the importance of trade and the importance of free trade as mentioned in the text.

What are some consequences of developing countries liberalizing their trade in the last 30 years?