Economic Nativism

Definition

Economic nativism is an ideology and set of policies that prioritize the economic interests of native-born or long-established inhabitants of a country over those of immigrants and foreign entities. It is the economic application of the broader concept of nativism, which is the political preference for established inhabitants as opposed to newcomers.

At its core, economic nativism is founded on the belief that the domestic economy is a finite pie, and that the gains of immigrants, foreign workers, or foreign countries necessarily come at the expense of the native-born population.

Key Principles and Policy Stances

Restrictive Immigration Policies: The argument is that immigrants depress wages for native-born workers, take jobs away from citizens, and place a net burden on social welfare systems. Examples include caps on immigration numbers, strict border controls, and the reduction of certain work visas.

Protectionism in Trade: Economic nativists are typically strong advocates for protectionist trade policies. They argue that free trade agreements lead to job losses in domestic industries. Examples include imposing tariffs and quotas on imported goods and renegotiating free trade agreements.

Skepticism of Global Economic Institutions: There is often deep distrust of supranational organizations that are seen as undermining national economic sovereignty. Examples include opposition to the World Trade Organization (WTO) or the European Union's single market.

"Buy Local" and Nationalist Rhetoric: This involves encouraging consumers and the government to prioritize domestically produced goods and services, often framed as a matter of patriotism and national security. Examples include "America First" and "Buy American, Hire American" slogans.

Motivations and Underlying Beliefs

The drive for economic nativism typically stems from a combination of perceived economic threat and anxiety about job security; concerns about cultural and national identity; a foundation of zero-sum thinking where one group's gain is another's loss; and its potent populist appeal for voters who feel left behind.

Criticisms

Most mainstream economists and political opponents argue that economic nativism is flawed because it can lead to inefficiency and higher costs for consumers; provoke retaliatory measures and trade wars from other countries; ignores the economic benefits of immigration, such as innovation and filling labor shortages; and stifles the global cooperation needed to solve transnational issues.

Historical and Contemporary Examples

19th Century America: The "Know-Nothing" Party opposed Irish immigration on economic and cultural grounds.

Interwar Period (1930s): The U.S. Smoot-Hawley Tariff Act is a classic example, which raised tariffs and exacerbated the Great Depression.

Contemporary Politics: This includes the "America First" platform of the Trump administration, characterized by tariffs on China; the Brexit campaign in the UK, which emphasized regaining national control over borders and trade; and various populist parties across Europe.