gogbot
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As much as I know, USA imports goods from China, and export is close to zero. So if the relation deteriorates, it will be China who will be at loss. While US will get a chance to decrease the recently growing unemployment. Correct me where I am wrong. Or may be I have oversimplified the scenario?
That plan would have worked in the 90's
But those Chinese are ingenious, Despite patriotic feelings in the US , They are buying up American Firms, Essentially the US and Chinese economies are now inter-dependent on one another.
with our Americans Buying from China, and investing in China, their growth rates will just plummet.
With out China devaluation of Yuan, By essentially lending money to the US, Chines exports costs would rise. Making it cheaper to operate in South east Asia instead.
Without Chines Lending the US government will find it hard to manage their Balance of payments, which is in a very deplorable state.
But now The Chinese are re-investing the money they earn back into America, Making them key to US growth.
Its a lot more complex then i make it out to be, but i really cant be stuffed going into to much detail.
In fact if US and Chines interests were more inline with one another, they have enough reasons to be allies, or at the very worst competitors.
But sadly Chines interests show that in almost every area it always emerges the rival, and never the partner.
Now there is this love hate relation ship going on where the US is forced to hold hands with China.
Its their Bilateral issue, that has repercussions on a global scale i admit, but just let them work it out.
India just seems to be getting US love in the mean while(which has a price i am sure, They want something from us eventually), So i dont think its as bad for us. What am i talking about we have Pakistan as our foreign policy Nightmare, its a million times worse.