As Lambert put it, “A cheerleader that stops cheering when their own side loses… I’m sure there’s a word for that.” Needless to say, Krugman’s shift is a telling sign of the times.
From MS, via e-mail (emphasis his):
But it’s also true that much of the elite defense of globalization is basically dishonest: false claims of inevitability, scare tactics (protectionism causes depressions!), vastly exaggerated claims for the benefits of trade liberalization and the costs of protection, hand-waving away the large distributional effects that are what standard models actually predict. I hope, by the way, that I haven’t done any of that; I think I’ve always been clear that the gains from globalization aren’t all that (here’s a back-of-the-envelope on the gains from hyperglobalization — only part of which can be attributed to policy — that is less than 5 percent of world GDP over a generation); and I think I’ve never assumed away the income distribution effects.
Krugman, in 1997:
But even if the global economy matters less than the sweeping assertions would have us believe, does this ”globaloney,” as the cognoscenti call it, do any real harm? Yes, in part because the public, misguided into believing that international trade is the source of all our problems, might turn protectionist — undermining the real good that globalization has done for most people here and abroad.