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China's major problem is that it's not the USA. The USA has lots of capital to throw around, it can shift manufacturing to other countries. The USA is also th
by mymythisisthis 7y ago
China's major problem is that it's not the USA. The USA has lots of capital to throw around, it can shift manufacturing to other countries. The USA is also the leader in style, culture, and innovation - China just plays catchup. With a centralized government, you'll always be playing catchup.
China may led the world in cheap electronic components, but there is no reason that India couldn't do the same if the USA trade war with China keeps escalating. Italy also has many small workshop that can crank out small precision parts. Sooner or latter Eastern Europe will get back into the game.
- tanilama 7y ago> China just plays catchup. With a centralized government, you'll always be playing catchup. Japan/S Korea/Taiwan beg to differ. Those are under democratic governance, but 'centralized' never the less. Japan has lion share of Semiconductor equipment, while South Korea and Taiwan are leading the most advanced foundry business.
- rayiner 7y agoCentralized in what sense? Those are all free market economies. On Heritage Foundation’s economic freedom index, Taiwan ranks in the top 10, ahead of the US, while South Korea and Japan rank around Germany or Norway, and ahead of Spain, Italy, or France: https://www.heritage.org/index/ranking https://www.heritage.org/index/ranking.