I don't know where he gets the idea China is a cheater. Perhaps, China learned from too many Bushs and that might be the issue, but, China is a sovereign nation. It has a large population which is harnessed to produce goods. I have no doubt China believes the best defense is a strong economic offense globally. I am sure much of what China does is strategic.
But, in all honesty, the 25% increase in China's manufacturing is due to the fact their cranes are at every shipping port in the world.
The fact of the matter is China is struggling. It has an inflation problem and it is finally realizing the export business is not endless if it means depriving working people in other countries good paying jobs. Mr. Romney is way off base in his allegations in this political ad of which he approves.
It is not outrageous to say China and Wall Street, including Romney with his big box stores, are learning the hard way, because, they are.
China's Economy is Rebalancing as Export Growth Slows - Report (click here)
By Prabha Natarajan
China's manufacturing activity continues to slowdown, but services and retail industries are picking up the slack, notes an advance summary of quarterly survey of economic activity.
In an early summary of the China Beige Book's third quarter report, the authors see the "rebalancing" as a positive sign of the country's vast economy.
The China Beige Book is a private publication modeled after the U.S. Federal Reserve's outlook with the same name, and it began publication with the first quarter of this year.
"Monetary stimulus is revealing its limitations," said Craig Charney, director of research and polling at CBB International, the publisher of the book.
He noted that while companies had access to cheap capital, few of them sought or planned to seek these loans. Bankers say there was 50% greater reporting availability, but borrowing fell 9 points to 34%, according to the report....
Chinese businessmen are so worried about their export slow down they are seeking to invest in businesses in manufacturing in the USA to increase employment. Some may see that as adverse, but, they are allowed to and they are only allowed to in measured ways that do not threaten the nation's security. If we can return manufacturing to the USA in measurable ways, there is nothing wrong with that completely. I don't like the idea of profits from American manufacturing going to China, but, in a struggling global economy some Chinese oligarchs are taking an interest in righting the ship.
The Chinese investors still have to pay American taxes as well. Last time I looked.
I like to think of the Chinese as ambitious and not war like. Their economy requires good relationships with other nations otherwise it will implode.The Chinese investors still have to pay American taxes as well. Last time I looked.
The Chinese are only beginning to develop a consumer base within their own borders. These things take time. They just do. Sometimes it is even generational. India is the same way. The sooner their own economies are stronger and somewhat self-reliant because of their massive number of consumers, the better off the entire global market will be.
Chinese people purchasing Chinese goods will absorb the glut of exports they now covet. The Chinese have to develop the markets for their own products within their borders and BALANCE their exports. They have to. Ultimately, it is their ability to have consumers that buy Chinese as well as imports that will balance the global manufacturing markets.
When one considers there are well over a billion people in China and India it is easy to see how adding all those adult consumers to import and export on a global basis will balance the Chinese export markets. The Chinese won't have as many exports to send as their own citizens increase their quality of life. I do believe the Chinese government, for the problems they still have, want to have better quality of life for their people. India as well.
The problem now with China's set back is the fact manufacturing has gone completely in one direction, literally crashing their market places outside their borders. American businessmen are not the people China should be trusting the most. And I don't blame them for maintaining their currency where it is either. It is the 'market share' for their goods that have to be balanced on a global basis. Then the Chinese monetary system can be better addressed. They also need to decide on ONE currency for China. They currently use two separate systems.
American business types go to China for cheap labor. Cheap labor will not improve the quality of life of their citizens. China has to allow their factory workers to increase their 'income per hour.' It has to be. The internal consumer markets have to be developed in these countries in order for the global economy, of which they thrive on, to recover. Manufacturing has to return to Europe and North America in order for China to achieve a recovery. South America as well for that matter. I am quite confident Argentina would love to have a manufacturing sector with global reach.
The USA consumer has to have a job to purchase goods. So, do the Chinese people. The USA has to recover its manufacturing in order for the global economy to rebound. Like it or not, the Chinese have to admit that greedy Wall Street CEOs have hurt their markets in the face of this new dimension.
So, Mitt has it wrong. He is comparing apples and oranges in this ad with no clear solutions. China has to realize all the legal cases at the WTO and otherwise with the Obama Administration will, in the long term, assist China to balance their economy with stronger viability for the USA and China. Strong economies in both countries as well as India and Europe and African nations is the best way to secure the future of peace and prosperity.
Mitt Romney continues to pick and chose facts to build a case for his election. Manipulating the truth to the American electorate is not the way to win them over. Of course, I suppose, 47% of the American people are too much of a bother to think about having a brain in their head if they can't see it his way. So, pandering to stupidity might work for a minority of American voters, but, not for the majority.
