Christopher A. McNally
Professor of Political Economy, Chaminade University
Apr 16 , 2018
While Xi’s speech at the Boao Forum did not outline any particularly new or bold initiatives, policy makers in Washington, D.C. should take these market opening moves as the basis for negotiating an agreement.
Mar 28 , 2018
It will be difficult to change long-held opinions on the openness of Chinese markets. Naturally, different segments of the international community will vary in their views. Countries in Southeast Asia, for example, could see benefits from Chinese initiatives to accelerate the building of regional free trade areas. Financial services firms in the West also stand to benefit from removing caps on foreign stakes in banks, securities brokerage houses, and fund management firms. However, on balance, it will be hard to “exceed the expectations of the international community.” China is facing an uphill battle due to three reasons.
Feb 14 , 2018
There are only two major pathways open: a continuation of relatively minor actions on both sides that nonetheless could spiral into a tit-for-tat trade war that no one wanted; or then a concerted effort on both sides to engage in negotiations.
Dec 08 , 2017
The China model could lead to more varied views on what works and doesn’t in economic development.
Oct 30 , 2017
China is increasingly insisting that its oil imports be denominated in Chinese yuan instead of U.S. dollars. If successful, this could make the yuan into the globe’s second or third most important currency overnight. Given that China’s imports will soon dwarf those of the United States, it is perhaps just a matter of time until the more than a half century reign of the petrodollar comes to an end.
Oct 23 , 2017
Many observers note that President Xi Jinping’s opening speech at the 19th National Congress did not spell out major new economic reform initiatives. Nonetheless, economic reform has neither stalled nor backtracked in the past five years, and is even less likely to do so if Xi Jinping successfully consolidates his power with the 19th Congress.
Sep 19 , 2017
It seems as if U.S. President Donald Trump is intent on perpetrating a dangerous fallacy: to impose tariffs on American imports to lower the trade deficit. These moves are coming despite the fact that the most prominent critic of China’s trade practices in the U.S. administration, Steven Bannon, has left the White House. Why is the Trump administration so enamored by tariffs, a trade policy more commonly employed a hundred years ago?
Jun 09 , 2017
Outcomes fromU.S.-China trade talks that were recently announced ignored the major structural issues facing U.S.-China economic relations. While a trade deal was produced, the major point of contention between the two countries, that they practice deeply divergent forms of capitalism, was ignored. In order to truly make progress on trade between the U.S. and China mutual understanding of the different dynamics driving the two forms of capitalism is needed.
May 24 , 2017
The Mar-a-Lago meeting between presidents Trump and Xi has started to generate concrete results, the recently announced trade agreement between the countries shows. However, the transactional approach risks leading to an impasse; it needs to be buttressed by more fundamental deals, such as the US-China Bilateral Investment Treaty.
Apr 19 , 2017
Why has there been such a tidal change in the U.S.-Russia-China strategic triangle? The reason is simple: the United States and China are deeply enmeshed over a broad spectrum of politico-economic relations. Russia, on the other hand, is a straight forward strategic competitor and, within the international economic order, by and large a natural resource exporter.