
James A. Dorn
China’s unexpectedly strong economic rebound may appear miraculous. In reality, it’s derived from a combination of that government’s huge economic stimulus package and increasingly strong domestic consumer demand. Our firm, InterChina Consulting, views Chinese consumer spending as an increasingly important contributor to the Middle Kingdom’s long-term economic growth. It also is offsetting continued weakness in global demand for China’s exports and will be the foundation for sustainable growth in the future.
Following other Asian nations, China is moving up the technology ladder—but at an unprecedented pace. This speed is phenomenal in and of itself. However, China possesses significant advantages relative to nations that have followed this very same path.
China possesses a combination of characteristics that enable rapid and sustainable growth of its technology base that few other nations enjoy. These include a:
The annual North American Leaders Summit was held in August in Guadalajara, Mexico, with President Obama, Canadian Prime Minister Stephen Harper and Mexican President Felipe Calderon. As I speak to audiences around the United States, I repeatedly hear the same question: “What was accomplished during the summit?” My short answer: not much.
President Barack Obama is neither a committed free-trader nor a hard core protectionist. But his continuing failure to commit to a pro-trade agenda amounts to de facto protectionism and subverts his economic and foreign policy objectives.
Reacting recently to a provision in the climate change bill that would impose trade penalties against nations that do not limit carbon emissions enough, the president said, “At a time when the economy worldwide is still deep in recession and we’ve seen a significant drop in global trade, I think we have to be very careful about sending any protectionist signals.”
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