Interviewer: Thank you for taking the time for this conversation on a bank holiday Monday.
It's often said that there are no winners in a trade war,
but what I would like to explore with you is your view on whether
this common assertion is correct if
we look at it at different levels, for example global,
national, company, and the individual.
Can we try to pick this apart starting global?
Is it true that there are no winners?
Mr. Wolf: It depends in part on what you mean by a trade war
which is an extraordinarily loose term.
If we are thinking of a trade war as
a relatively modest increase in protection between two countries,it's
sort of standard economics would suggest it's very unlikely that the world economy,
as a whole, will be better off as a result,
that is to say he will be able to afford in aggregate a higher standard of living.