Anything works when you are the strongest, the argument is greater good vs. individual gain. The mercantilist model works well when you are the only one executi

Anything works when you are the strongest, the argument is greater good vs. individual gain. The mercantilist model works well when you are the only one executing it into a free market. If everyone is behaving in a protectionist manner, than it gives no advantage and (in theory) everyone in the market has lower growth. However, the 'strongest' parameter still applies, and we can see this right now with the tariff war between the US and China. The US still has the strongest economy at the moment, so the instant the US began behaving in a protectionist manner the Chinese suddenly became much more interested in (slightly more) serious negotiation. I actually don't fault China for executing their strategy, it certainly made logical sense and has lifted hundreds of millions of people out of poverty. I also don't fault Europe for executing their strategy and they have benefited from it - Europe was ravaged by wars over its history and one of the ways to avoid that was tight economic integration. Different circumstances require different strategies.