China grows vs USA

[pic 1][pic 2][pic 3]

[pic 4][pic 5]

Summary

The years 1950 to 1970 are difficult, but the Chinese economy goes through the steps deemed necessary (by economists who adhere to the theories of "latecomers" for example) to its economic development. The Chinese economy then has very specific characteristics:

• An economic quasi-autarky and a planned economy of the Soviet type.
• Major programs in industry and infrastructure.
• A qualified factory economy of the world

It emerged as an emerging power in the late 1970s, as its economic take-off and double-digit growth rates made other Asian countries as wealthy as an economic golden age, a sort of Glorious Chinese Thirty: "the miracle". The Chinese economy is defined by:

• Dependence on foreign demand and, as a result, an almost complete economy oriented towards exports.
• An export of high value-added products, although it continues to flood the market with the strategy rather than "quantitative" that has earned it the position of the world's largest exporter.
• Many reforms implemented to liberalize and privatize the economy but by strengthening education and social protection.

It was in 2010 that these phenomenal rates gave way to a gradual decline in growth. In 2014, while it still seems to be stagnating, economists make predictions about the future of the country. We are now witnessing:

• A gradual transition to a growth model where domestic demand takes a more important role, in an attempt to minimize risks vis-à-vis its dependence from abroad.

What problems remain today?

• The government set up economic reforms thinking only supply problems, so in the long run. This reflects a view of the crisis as a departure from the country's actual growth from the trend of its potential growth.
• A better distribution of capital is desirable. Stock and bond markets have been open to companies, but there is still much to be done for them to be truly competitive in their access to capital.
• Better trade legislation is desirable to lower barriers to business start-ups.
• Inflation. The relative fixity of rates of change vis-à-vis the US dollar has exposed the economy to inflationary or deflationary pressures; As a result, the inflation rate, which was very unstable over the period, was eight times higher than the United States and four times higher than that of Western Europe. The influx of schemas needs Necessary purchase of dollar assets to stabilize the price of change. It has been very difficult to avoid a swelling of the money supply. Overall, the authoritative rate of change and the rate of change in the rate of bank interest rates. The revaluation of the yuan in July 2005 in this direction.

What danger does the United States weigh on China now?[pic 6]

We've been talking about it for a while now, especially through the character of Trump, who was appointed president of the United States on January 20th. But more specifically: what threat does this country pose to China?

...