It is a common complaint that, despite the repeated calls by heads of the Group of 20 leading nations to prevent an outbreak of protectionism in the wake of the current crisis, many member countries have charged ahead with protectionist measures anyway. But it is wrong to conclude that the G20 is crying in the wilderness, or that it is hypocritical.

For it is necessary that we do not put into the same hopper both illegal and legal protectionism. The former, in the few instances where it has arisen, is deplorable. The latter, more frequent form, is less clear-cut as it consists of actions agreed at the World Trade Organisation as legitimate under certain circumstances – which surely include political stress during a macroeconomic crisis. It therefore calls for a different strategy from mere exhortation and condemnation if it is to be moderated.