Correlating these academic findings with the initial statements in the paper, it can be said that the United States of American was eager to revive its economically challenged power and with this objective in mind, they made the transition from protectionism to free trade.
Without denying the importance of the previously mentioned arguments explaining the United States' movement from an enclosed and protectionist economy to one based on free trade, Ronald Rogowski (1987) introduces a new concept. According to the author of Political Cleavages and Changing Exposure to Trade, the change in the U.S.' approach to international trade could be based on the relative power of other international players. Otherwise put, the United States could have changed its trade policies as a response to external forces. Some of these forces could include the relationship between the national exposure to trade and the growth rate in national expenditure or the costs and benefits of conducting international trade, in the context of the barriers or stimulations offered by international partners.
A translation of Rogowski's findings could relate to the social structure of the post-war United States. With more and more people migrating from the rural to the urban areas, and with the opening of more and more factories, the U.S. manufacturers were able to produce more than they needed to consume internally. Additionally, the focus on agricultural activities had decreased and the adjacent products needed to be imported. Ergo, the change to an open trade economy could also be due to structural changes in the society, which in turn generated modifications in the domestic exposure to trade. The post-war United States was characterized by rich lands, but reduced labor force and capitals. The rural sector rebelled against the protectionist policies which prevented them from benefiting from the comparative advantage of...
As a result then, the authorities might have implemented the movement from protectionism to free trade in order to respond to the national demands of the rural and urban societies.
Up to this point, the prominent reason for the switch in the approach to trade is based on the American desire to support its economic growth as well as expand its political superiority. Aside these reasons however, it is highly likely that the United States authorities also assessed other reasons in favor of free trade in the detriment of an enclosed economy. Some of these reasons include an estimated 67% increase in national income, an 8% reduction in transportation costs and trade barriers reduced by an estimated 25%. Foremost, liberalized trade improves the living conditions for the population, creates additional jobs and leads to technological innovations. "In brief, trade leads to specialization based on comparative advantage, which lowers production costs, allowing for greater levels of output and, therefore, consumption. Individuals are able to purchase products at lower prices, resulting in higher real incomes and a higher standard of living. In addition, trade allows countries to import products that embody new technologies which are not produced home" (Krol, 2008).
