What does autarky mean?

Autarky refers to the state of self-sufficiency and is typically used to describe nations or economies that have the goal of reducing their dependence on international trade. There are no fully-autarkic nations in the modern world, as even the most isolated have some level of participation in international trade and receive outside support or aid.

What is autarky in economics?

In conclusion, autarky is a concept in economics in which countries aim to achieve self-sufficiency by reducing their dependence on international trade or external entities. These countries rely on their own resources for production and consumption to meet their domestic needs.

Why do autarkic countries use autarky?

It also reduced international trade, providing independence to autarkic countries. Protection of domestic industries is also a motivation behind using autarky, as it protects countries from international competition. Autarkic countries implement strict trade barriers to support small businesses.