About the US-China trade conflict, some pundits going as far as to predict a "catastrophic outcome" that would be "worse than world wars".
And what to make of Paul Krugman’s recent and courageous apology for his role in what he now calls "the 1990s consensus"? Krugman now writes that the surge in the American trade deficit "explains more than half of the roughly 20% decline in manufacturing employment between 1997 and 2005". He does qualify his reversal, saying that the "China shock" coincided with a wave of "hyperglobalization" that has now ended. In his view, reverting now to protectionism would "create a new set of winners and losers". Certainly. Meanwhile, for decades, critics of both hyperglobalization and of imbalances with China have been treated at best as mavericks, at worst as crackpots.