Nit i
4 EDITION
JOSHUA S. GOLDSTEIN a0] ema La LO1hTheories Trade
[Autarky One cbvious way t avoid becom
ing dependent on other states, expecially for SANCTIONS BITE
aweak sate whone trading partners would
tend tobe more powerul sto avoid trading
and instead to ty to produce everthing it
feeds by ite Sich a sategy is called lf
relace or autarky. But it has proven inef-
fective. A slfelint sate pays a very high
‘cont to produce goods for which it doesnot
Ihave a comparative advantage. As other
states cooperate among themsaives 0 max
mie thei joint creation of wealth, the rla-
tive power of the autakic state in the
{ntemational system tends to fall
States that have relied om a policy of
sutarky have inde lagged behind hers. A