US & World Economies Economic Theory What Is Nationalism? Comparing Nationalism and Patriotism By Kimberly Amadeo Updated on June 27, 2022 Reviewed by Erika Rasure Reviewed by Erika Rasure Erika Rasure is globally-recognized as a leading consumer economics subject matter expert, researcher, and educator. She is a financial therapist and transformational coach, with a special interest in helping women learn how to invest. learn about our financial review board Fact checked by Aaron Johnson In This Article View All In This Article Definition and Examples of Nationalism How Does Nationalism Work? Nationalism vs. Patriotism The History of Nationalism How Economic Nationalism Is Different Frequently Asked Questions (FAQs) Photo: Sandy Huffaker/Getty Image Nationalism is the idea that your nation is superior to all others. This sense of superiority often has its roots in a shared ethnicity. Definition and Examples of Nationalism Nationalism is the idea that your nation, often identified by a shared ethnicity or set of values, is better than all other nations. Nationalism can be—and oftentimes is—expressed as aggression toward other nations. Nationalism is built around a shared language, religion, culture, or set of social values. A nation will emphasize shared symbols, folklore, and mythology. Nationalism can impact foreign and domestic political policies and typically has economic implications. Note A nationalist is someone who believes their nation is better than all others. Nationalist politicians have gained favor across parts of the world in recent years. Examples of nationalism in the 21st century are spread across the globe. In 2014, India elected Hindu nationalist Narendra Modi. In 2015, Vladimir Putin rallied Russians to invade Ukraine to "save" ethnic Russians. In 2016, the United Kingdom voted in favor of Brexit, the British exit from the EU. Closer to home, the United States elected populist Donald Trump to the presidency in 2016. In 2018, President Trump declared at a Texas rally that he was a nationalist, though many felt that was already evident from his protectionist policies. He and his former advisor Steve Bannon had often advocated for economic nationalism. How Does Nationalism Work? Nationalists demand to be independent of other countries. They don't join global organizations or collaborate with other countries on joint efforts. If the people are part of another nation, then they will want freedom and their own state. Because they believe in the superiority of their shared attribute, nationalists often stereotype different ethnic, religious, or cultural groups. The resultant prejudice keeps their nation unified. Intolerance can lead to a desire to rid the country of those deemed as "different." In an extreme form, it can lead to ethnic cleansing and genocide. Important Nationalists work toward a self-governing state. Their government controls aspects of the economy to promote the nation’s self-interest. Nationalism sets policies that strengthen the domestic entities that own the four factors of production. These four factors are: Capital goodsEntrepreneurshipNatural resourcesLabor Different types of Nationalists may disagree on whether the government or private businesses should own the factors, however, they are generally happy as long as these factors singularly make the nation more insular or stronger in their eyes. Nationalist trade policy is based on protectionism. It subsidizes domestic industries that are deemed to be of national interest. It also includes tariffs and quotas on foreign imports. If it escalates to a trade war, it reduces international trade for all parties. For example, the Smoot-Hawley Tariff of 1930 reduced global trade by at least 60% and worsened the Great Depression. Nationalism vs. Patriotism Nationalists believe that their shared interests supersede all other individual or group interests. They oppose globalism and empires. They also rally against any philosophy, such as religion, that supersedes national loyalties. They are not necessarily militaristic, but they may quickly become so if threatened. Nationalists' feeling of superiority differentiates their nationalism from patriotism. Patriotism equates to pride in one's country and a willingness to defend it. Nationalism, on the other hand, extends that to arrogance and potential military aggression. Nationalists believe they have a right to dominate another nation because of their superiority. They may feel that they are doing the conquered a favor. This attitude can encourage militarism. The History of Nationalism Nationalism, as we understand it today, didn't arise until the 17th century. Before that, people focused on their local town, kingdom, or even religion. The idea of nation-states can be said to have begun in 1658 with the Treaty of Westphalia. It ended the 30 Years' War between the Holy Roman Empire and various German groups. Industrialization and capitalism strengthened the need for a self-governing nation to protect business rights, and merchants partnered with national governments to help them beat foreign competitors. The government supported this mercantilism, because the merchants paid them in gold. The steam-powered printing press helped enable nations to promote unity within and prejudice against outsiders. In the late 18th century, the American and French revolutions formalized large nations that were free of a monarchy. They ruled by democracy and endorsed capitalism. In 1871, Otto von Bismarck created the nation of Germany from different tribes. By the 20th century, the North American and European continents were governed by sovereign nations. Note The Great Depression created economic conditions so harsh that many countries adopted nationalistic policies and mindsets as a defense, which often made the economic conditions worse. Fascist leaders such as Adolf Hitler in Germany and Benito Mussolini in Italy used nationalism to override individual self-interest, subjugating the welfare of the general population to achieve social goals. Nationalism under fascism works within existing social structures rather than destroying them. It focuses on "internal cleansing and external expansion," according to Professor Robert Paxton in The Anatomy of Fascism. This thinking attempts to justify violence as a way to rid society of minorities and opponents. World War II convinced the Allied nations to endorse global cooperation. The World Bank, the United Nations, and the World Trade Organization were just three of many global groups.In the 1990s, Europe's nations formed the European Union. How Economic Nationalism Is Different Economic nationalism is a form of nationalism that specifically prioritizes domestic businesses. It seeks to defend them against multinational corporations that benefit from globalism. It advocates protectionism and other trade policies that protect local industries. President Trump espoused economic nationalism when he announced tariffs on steel and Chinese imports. Economic nationalism also prefers bilateral trade agreements between two countries. It says that multilateral agreements benefit corporations at the expense of individual nations. It would even adopt unilateral agreements where the stronger nation forces a weaker one to adopt trade policies that favor the stronger country. After the stock market crash of 1929, countries began adopting protectionist measures in a desperate attempt to save jobs. Instead, those efforts helped to send the world economy down by 60%. As a result, those measures likely prolonged the Great Depression. To compensate for less trade, economic nationalism advocates increased fiscal policies to help businesses, including increased government spending on infrastructure and tax cuts for businesses. Economic nationalism might oppose illegal immigration, arguing that it takes jobs away from domestic workers. President Trump's immigration policies followed nationalism when he built a wall on the border with Mexico. Key Takeaways Nationalism is an ideology that a person's nation is superior to all others. The root of nationalism is often based on shared ethnicity.An example of nationalism can be seen in much of Adolf Hitler's rhetoric.The difference between nationalism and patriotism is the feeling of superiority. Nationalists think their country is better than all other countries, while patriots have pride in their country. Frequently Asked Questions (FAQs) Is nationalism on the rise? Yes, according to some experts. This is due to several factors including economic instability, various refugee crises, and the ongoing pandemic. It is not unusual to see a rise in nationalism during a crisis in a country. Where did nationalism get its start? Modern nationalism got its start in England in the 17th century during the Puritan revolution. How did nationalism cause World War I? Nationalism led to the assassination of Franz Ferdinand, the Archduke of Austria, which in turn led to World War I, along with several other important factors. Was this page helpful? Thanks for your feedback! Tell us why! Other Submit Sources The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy. Ziya Öniş Mustafa Kutlay. "The Global Political Economy of Right-Wing Populism: Deconstructing the Paradox," The International Spectator. Eric Helleiner. 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