In 2007, the Social Security Trustees suggested that either the payroll tax could increase to 16.41 percent in 2041 and steadily increased to 17.60 percent in 2081 or a cut in benefits by 25 percent in 2041 and steadily increased to an overall cut of 30 percent in 2081.
effective rate of protection. the real amount of PROTECTION accorded to domestic suppliers of a final product when a TARIFF is applied to a competing imported final product (see IMPORTS), but either no tariff, or a lower rate of tariff, is applied on FACTOR INPUTS that are imported to produce that product.
From the passage of the Tariff of 1816 to WWII, protectionism was the policy of the United States, switching to free trade only in 1945, when most of its industrial competitors had been wiped out by the war. In the late 19th Century, Germany, too, used protectionist measures to grow its industry.