Economic nationalism as a challenge to economic liberalism? Lessons from the 19th century

Abstract

What kind of challenge does economic nationalism pose to economic liberalism in today's global political economy? Conventional wisdom holds that economic nationalism is an outdated ideology in this age of globalization and economic liberalization. But this argument rests on understandings of economic nationalism that are increasingly being called into question by recent scholarship. In this article, I show how the history of economic nationalism in the 19th century provides strong support for two important but potentially controversial arguments made in recent literature about the nature of economic nationalism: (1) that this ideology is most properly defined by its nationalist content (rather than as a variant of realism or as an ideology of protectionism), and (2) that it can be associated with a wide range of policy projects, including the endorsement of liberal economic policies. With these two points established through historical analysis, I conclude that economic nationalism should be seen still to be a powerful ideology in the current period, but that its relationship to the policy goals of economic liberals is an ambiguous one, just as it was in the 19th century.