ABSTRACT
The Ottawa Agreements, signed in August 1932, are based upon the principle of Imperial Preference, against which Free Traders have always fought. The Ottawa Agreements would have been impossible if it had not become a Protectionist country, since it was only by becoming a Protectionist country and taxing foreign imports, and in particular foodstuffs, that one could give effective preference to Dominion and Colonial imports. Britain's main criterion might be the general level of trade barriers in existence before and after Ottawa. The volume of trade affected by the increased tariffs was much greater than the volume affected by reduced tariffs. On several other grounds the Ottawa Agreements were open to very serious criticism. This difference in costs of production of certain classes of goods in different countries was the basis of all international trade.
