… is, like yesterday’s QoD, from Krugman’s wonderful 1993 essay “What Do Undergrads Need to Know about Trade?”; the following quotation is found on page 123 of Krugman’s indispensable book Pop Internationalism:
[T]he level of employment is a macroeconomic issue, depending in the short run on aggregate demand and depending in the long run on the natural rate of unemployment, with microeconomic policies like tariffs having little net effect. Trade policy should be debated in terms of its impact on efficiency, not in terms of phony numbers about jobs created or lost.
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