4 ms·
That was incoherent, right? He starts out by saying that the trade surplus is bad for china and good for the west, but then goes on to say that China can’t kee
by wodenokoto 2y ago
That was incoherent, right?
He starts out by saying that the trade surplus is bad for china and good for the west, but then goes on to say that China can’t keep it up because inevitably the west will not put up with it.
Econ 101 is almost a decade and a half ago for me, so maybe that’s why I didn’t get the argument that if a nation has a trade surplus, it won’t get foreign investments.
Maybe China now is starting to look like a bad investment, but 10-15 years ago, they still had a huge trade surplus and the west was still falling head over heels to built factories and set up shops there.