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Tariffs have a storied past and were once a significant revenue source for governments, dating back to Ancient Greece but gaining traction during the British protectionist policies of the Middle Ages. During the Industrial Revolution, the British government abruptly increased tariffs on imported goods to safeguard their manufacturing sector. This led to a rise in export subsidies, further entrenching the protective measures.
Adam Smith, often regarded as the "Father of Economics," stood oppositionally to this protectionist tendency. He argued for free markets and the benefits of competitiveness, positing that free trade outweighs tariffs. His influence became evident as many nations began to appreciate the benefits of reduced tariffs, with Britain abolishing numerous restrictions in 1846.