Between 1914 and 1945, international trade and investment dropped and barriers to the free movement of people and ideas were created by many governments.

During this period, encompassing World War I, the interwar years, and World War II, many countries adopted protectionist policies, including tariffs and quotas, to protect domestic industries. Additionally, the global economic downturn during the Great Depression further reduced international trade and investment. Restrictions on immigration and the spread of nationalist and isolationist sentiments also limited the movement of people and ideas.