Tyler Cowen says that UCI professor Peter Navarro is "one of the most versatile and productive American economists of the last few decades." Matt Yglesias says Navarro is an idiot. Who's right?
I think there's a category error here. Back in September, Navarro co-authored a paper about Donald Trump's trade policy. Roughly speaking, Navarro relied on the following accounting identity:
GDP = Consumption + Investment + Government Spending + Trade Balance
So if our trade balance goes up...