Since Chinese exports to the United States were six times greater than America's exports to China in 2006, it was a clear reflection of America's most imbalanced trading relationship. The debate on whether or not the United States should trade with China began in the early 1990s when America's economy was much healthier and Chinese exports to the United States were smaller. In the recent years, this debate has risen to include concerns on whether China's trade policies are resulting in the transference and loss of many U.S. jobs.
Reasons Why the U.S. Should Not Trade with China:
Given the concern by policymakers and the entire American public, the United States should not trade with China because of various reasons which have a huge impact on the American population. These reasons include:
Trade Imbalance:
As mentioned earlier, this is one of the reasons why the United States should not trade with China since it results in widespread trade barriers. The trade imbalance is as a result of China adopting policies that promote huge subsidization of export production and sustaining stiff non-tariff hindrances to imports. Furthermore, the trade imbalance has been as a result of China's currency pegged policy that doesn't allow Chinese currency to move with greater flexibility in foreign exchange markets. These policies adopted by the Chinese government have made its trade relationship with the U.S. To be regarded as America's most imbalanced one and continues to hurt many Americans.
Negative Impacts:
While trade with China doesn't really harm America's economy,...
S. economy, causing job losses that reach into the most technologically advanced industries in the manufacturing sector and affect every state, according to a January 11 press release by the U.S.-China Economic and Security Review Commission" (U.S. Info State Government, 2005). Also, these job losses not only negatively impact the population, but they also affect the business community. With fewer workers and resources, American companies will no longer be able
U.S. Vs. China, cultural, historical differences The history of China mainland and Hong Kong Hong Kong has always grown under the wings of China owing to several reasons. One of the main ones is that the country was under the governorship of their close neighbors, China. Therefore, most of the direction that the country has currently is attributable to the influence of China. It was during the Qin Dynasty that the destiny
He states that changes international capital flows have been the primary consequence of increased deficits and likens this to direct competition between the U.S. Treasury and the U.S. exporting industry. He reasons that the flow of foreign funds into the Treasury prevents these funds from being available for foreign purchase of U.S. goods and services. Thus, the more our government borrows and finances with foreign funds, the more our
4 trillion to about $5 trillion dollars at the end of 2008 to support a rise in U.S. net external debt from $3.3 trillion to $7.4 trillion. (Ibid. 6) Continued financing of the U.S. trade deficits by the rest of the world is also not without its long-term problems: the U.S. would accumulate so much debt over time that the ultimate cost of adjustment would become too high for the
Reflections The United States and China as today's political and economic world leaders still suffer from the consequences of gender inequality and inequity. Combined economic, sociological and historical factors hamper and resist the achievement of equality between the sexes. Man's dominance for thousands of years will be strenuous to eliminate or minimize. It will not be an easy achievement but, nonetheless, an ideal objective for which every man and every woman
The goods deficit with the European Union increased from $6.4 billion in September to $11.9 billion in October; the goods deficit with Japan increased from $6.2 billion in September to $8.0 billion in October; and the goods deficit with China increased from $23.8 billion in September to $25.9 billion in October. Which product groups had the largest increases in exports? The September to October export of goods increase resulted from increases
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now