We learned that free trade has costs, and we're adjusting. That's ok too.

Cooperation leads to higher value for everyone. We are now only getting the maximum minimum value because we are actively destroying cooperation. In other words, borders are stupid. When they go away you see prosperity and reduced tensions. When they go up you see inefficiency and distrust. Borders aren't the result of distrust and economic issues, they are the cause.

Krugman implies that the US-Canada (not Mexico) integration of the auto industry came from NAFTA. Not so; The Auto Pact <https://en.wikipedia.org/w/index.php?title=Auto_Pact> preceded NAFTA by 30 years.

Krugman avoids answering the interviewer's question about whether Michiganites support having so much of the automobile supply chain outsourced to Canada, because he knows that the answer is "No". He instead says that the US has more auto jobs because of the cross-border integration than otherwise. The decline of the US auto industry began very soon after the start of the auto pact. I don't mean to say that the latter caused the former, but it would certainly be possible to make a case for such.

Trump's view is that Canada needs the US a lot more than the other way around. He's right. Every Canadian province except one trades more with the US than the rest of Canada, and every Canadian province is (far, far) more dependent on international trade than 48 of 50 US states. <https://www.linkedin.com/posts/goldfarbdanielle_we-make-thin...> At the end of the day, there is no way to get around the verity of another Krugman observation, that Canada is closer to the US than to itself. <https://krugman.blogs.nytimes.com/2010/01/13/eh/>

With the above in mind, consider the Trudeau government's bold talk in early 2025 about "dollar for dollar" tariffs <https://www.theguardian.com/world/video/2025/mar/12/dollar-f...>. How that would devastate an economy 8% the size of the US's was, of course, unsaid, because vibes are all it takes to fight Trump fascism, amirite fellow Canadians? Of course Trudeau's replacement Carney is not stupid like Trudeau, so abandoned that policy during the campaign <https://www.wsj.com/livecoverage/stock-market-trump-tariffs-...>. But still.