1/4
I think we conflate two different issues. One is the deteriorating relationship between China and the US. The other is opposition by the US to the mercantilist imbalances permitted and even created by the global trading regime.
nytimes.com
I think we conflate two different issues. One is the deteriorating relationship between China and the US. The other is opposition by the US to the mercantilist imbalances permitted and even created by the global trading regime.
nytimes.com
2/4
The first issue involves the US and several countries in the West and Asia on one side and China and its allies on the other. Obviously the US and China stand in opposite positions on that issue.
The first issue involves the US and several countries in the West and Asia on one side and China and its allies on the other. Obviously the US and China stand in opposite positions on that issue.
3/4
But the second involves countries that run large, persistent surpluses on one side and the countries that absorb those surpluses through persistent deficits on the other. China and the US also stand in opposite positions on this second, more important issue.
But the second involves countries that run large, persistent surpluses on one side and the countries that absorb those surpluses through persistent deficits on the other. China and the US also stand in opposite positions on this second, more important issue.
4/4
The two issues reinforce each other, which is why trade tensions will continue to contribute to geo-political tensions between the two countries. Until there is a serious reform of global trade, mercantilist policies will continue to fester and to undermine global relations.
The two issues reinforce each other, which is why trade tensions will continue to contribute to geo-political tensions between the two countries. Until there is a serious reform of global trade, mercantilist policies will continue to fester and to undermine global relations.
Loading suggestions...