Whether China's Growth is America's Loss
http://thedianerehmshow.org/shows/2011-02-08/whether-chinas-growth-americas-loss
President Barack Obama and President Hu Jintao of China attend a meeting with business leaders in the Eisenhower Executive Office Building, Jan. 19, 2011.
Official White House photo by Samantha Appleton via Flickr
Last week Federal Reserve Chairman Ben Bernanke dismissed complaints by China and others that U.S. policies were driving up the global prices of goods and energy. Instead he blamed these increases largely on “ the very strong demand from fast-growing emerging market economies….” One of these markets is China, which is now the world’s second largest economy and the main driver of global growth. Some worry China’s gain is America’s loss. A look at global economics and world politics in the aftermath of the great recession. Why a group of emerging markets weathered the crisis better than advanced economies.
Guests
Gideon Rachman
chief foreign affairs columnist for the Financial Times and author of "Zero-Sum Future: American Power in an Age of Anxiety."
Eswar Prasad
Senior Fellow, Brookings Institution; Tolani Senior Professor of Trade Policy, Cornell University; author of "Emerging Markets: Resilience and Growth Amid Global Turmoil."
Comments
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More GM cars and Toyotas were sold in China last year than in the USA. There are as many smokers in China as there are people in the USA. More than half of China's labor remains on the farm. If they come off the farm China starves and the rest of the world is hungry. Look at your canned goods and frozen food where it says packed in China. Hell, they are feeding us while w make ethanol.
There is a limit to the carrying capacity of our natural planetary systems that will not allow previous economic growth to continue without massive increases in cost for the necessary items we consume everyday. Because of circumstances and real scarcities Capitalism becomes circumstantially more cruel and unrealistic each day.
What do one billion Chinese and one billion Indians deserve.
They deserve to leave a sustainable natural world to succeeding generations. Our life here will have to detechnologize more than theirs will technologize. Living simply with a small carbon footprint is good for everyone and business growth is bad for everyone. This delemma will not solve itself. All people deserve to be told the truth especially if that will ruin big business.
But the interior of China still remains 80 % undeveloped. Can the US remain passive while the Chinese government tries to develop it at the expense of the US economy ?
How can the US consumer kick the habit of cheap Made in China products and US investors made to once again reinvest in the USA instead of China ?
( Since Tian an Men the strategy of the Communist government of China has been to maintain sustained growth of their economy and international prestige so as to earn the loyalty of the Chinese population. This has meant that to get the most from their resources China has been buying from the USA only 20 % of what they export to the USA and running up a $ 2 trillion in trade surplus. )