Economics
The Political Economy of Trade Liberalization and Protectionism
Quick fact
In trade policy, a small group of firms and workers in import-competing industries can block liberalization that benefits millions of consumers, because the costs of protection are spread so thinly that no one has an incentive to organize against it.
Why this is interesting
We are often told that free trade makes everyone better off, yet governments repeatedly choose to protect industries. Why would they act against the common good?