China may have been too quick to pivot from foreign investment to domestic innovation with its Made in China 2025 plan, Koo said, and the trade war could damage the manufacturing industries that drove the Chinese economy for so long.
"The Chinese economy remains heavily dependent on foreign businesses not only for manufacturing know-how but also for overseas marketing and sales," the economist wrote. "In view of that, the authorities should have treated foreign capital far better than they did."
If the country hopes to recover and keep its foreign investment intact, it should come to a trade agreement with President Trump before the 2020 US election, Koo said.
If this is what they’re reporting, then the true figure must be awful. Couldn’t happen to a nicer bunch of thieves. Good.
The fourth threat is really the killer. All communist governments in the past have failed because of corruption. The most brutal ones last a bit longer, maybe, but they still fail. China is on the way.
Uh oh. This means liberals will work even harder to get us to lose. When they see victory they work even harder to ensure we lose.
Then this is a good time to negotiate with them.
Rising prices on their protein staple of pork, and the pig virus which has devastated their production is going to put heavy political pressure from their people to get the tariff issue resolved. Hungry and unemployed people start revolutions.
There’s been a lot of brave talk on FR lately about how bad off China is supposed to be, probably to support Trump’s trade war. But commies don’t have to run for reelection, whereas the USA is uncomfortably close to voting-in a communist takeover if the Democrats win. Trump’s trade war needs to translate into votes, or it’ll do no good. This isn’t going to happen if the tariffs cause people in the USA to start losing a lot of money. Fortunately, any loses from trade restrictions are being offset by free market reforms elsewhere, but this can’t continue indefinitely.
There’s also another massive threat the Left is reluctant to talk about: the massive financial cost of taking care potentially hundreds of millions of people affected by China’s very serious pollution problems. It’s a health cost bill that would either bankrupt the country and/or result in massive early deaths of many Chinese.
The numbers are probably lower than the BS numbers issued by China.