Meaning: This quote by Henry Carey, an American economist and advisor to President Abraham Lincoln, reflects his belief in the importance of protectionism for economic growth. Carey was a proponent of the American School of economics, which advocated for government intervention to protect and promote domestic industries. In this quote, Carey argues that the economies of countries with protective measures in place, such as tariffs and trade barriers, experience growth, while those without such protections, like India, Portugal, and Turkey, do not see the same level of growth.

Carey's views on protectionism were shaped by the economic conditions of the mid-19th century, during which the United States was transitioning from an agrarian economy to an industrial one. The American School of economics emerged as a response to the challenges faced by American industries in competing with more established European counterparts. Carey and his contemporaries believed that the U.S. economy needed to be shielded from foreign competition in order to develop its own industries and achieve economic independence.

In the quote, Carey points to specific examples to support his argument. He mentions India, Portugal, and Turkey as countries whose commerce does not grow, implying that their lack of protectionist policies is a contributing factor to their stagnant economies. On the other hand, he cites Spain and Germany as examples of countries where protected industries have led to economic growth.

It's important to note that Carey's views on protectionism were controversial then and continue to be debated today. Critics of protectionism argue that it can lead to inefficiency, reduced competition, and higher prices for consumers. Free trade advocates argue that removing barriers to trade fosters economic growth, as it allows countries to specialize in the production of goods and services in which they have a comparative advantage.

Carey's emphasis on the benefits of protectionism aligns with his broader economic philosophy, which emphasized the role of government intervention in promoting economic development. He believed that government policies should prioritize the interests of domestic industries and workers, even if it meant restricting trade with other countries.

In the context of the 21st century, Carey's views on protectionism continue to be relevant, particularly in the debate over globalization and free trade agreements. The rise of populist and nationalist movements in various countries has reignited discussions about the merits of protectionism versus free trade. The ongoing trade tensions between the United States and China, as well as the United Kingdom's departure from the European Union, have further highlighted the complexities and implications of trade policy.

In conclusion, Henry Carey's quote reflects his staunch advocacy for protectionist economic policies as a means of fostering domestic economic growth and development. While his views were shaped by the economic challenges of his time, they continue to resonate in contemporary debates about trade and globalization. Whether one agrees with Carey's perspective or not, his ideas have undeniably left a lasting impact on economic thought and policy discussions.