Hey, China’s got economic problems, too. Excellent piece on the challenges facing the Middle Kingdom:
When the country engaging in mercantilist-protectionist policies is also your banker, I guess you tend to look the other way. My fellow CNBC contributor Peter Navarro makes the devastating case:
My blogging has been particularly light of late. I am visiting several cities in China, including Beijing, Urumqui, Kashgar and Shanghai. I will be back full-force after Memorial Day, though I hope to post from time to time. A few quick thoughts on what has been happening back in the US:
Chinese President Hu Jintao’s visit to Washington has triggered debate about whether the United States should copy his country’s hands-on, interventionist economic model. But the Middle Kingdom’s feisty “tiger mothers” may provide a better guide for Washington policymakers than turning to Big Government, Chinese style. A new book extolling their tough-love approach could help America escape its debt trap and boost growth.
Ed Yardeni thinks Tim Geithner is off point:
Tim Geithner thinks he can solve the world’s economic problems by getting countries with large trade surpluses to reduce their surpluses and by getting countries with large deficits to reduce their deficits. The problem is that fixing the world economy isn’t as simple as suggested by Mr. Geithner. Multilateral approaches rarely work because it is so hard to get universal agreement on what to do.