ABSTRACT
World trade was a powerful engine of growth from the end of World War II to the end of the 1970s, growing much faster than the gross national product during that period. World trade also underwent a period of turbulence and structural change since the beginning of the 1970s. The prolonged slowdown in world economic growth and the virtual stagnation of world trade from 1979 to 1983, greatly increased pressures on all governments. In response to import pressures, key US industries have called for, and received, increased restrictions on trade. In industry, the elaborate structure of negotiated protection in fiber, textiles, and apparel developed over 24 years shows no sign of coming to an end, although its original intention was protection of a temporary character, with the objective of gradual liberalization. In varying degrees, most governments have active policies to assist troubled industries and to encourage development of new industries.
