The Background China has the third largest economy Growing more
that 10% each year for the past 30 years Still relatively poor
country Can afford cheap labor Imports materials from Latin America
and Africa, makes them cheaply, then exports them to US, Europe
etc.
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Results US has 4.5 trillion dollars in bills and bonds China
owns 1.16 trillion, 26% of that Wants to keep its yuan value low
China is USs largest banker, giving it leverage
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Current State Henry Paulson, US Treasury Secretary under Bush
Initiated Strategic Economic Dialogue in 2006 Trying to raise value
of yuan US and China meet twice a year to discuss economics Trying
to lower the deficit Encouraging China to open capitalist,
democratic markets Updated in 2009 by Obama, US-China Strategic and
Economic Dialogue
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US-China Strategic and Economic Dialogue Created by Obama,
Clinton, Geithner, Hu, Qishan, Bingguo, and other officials from
both sides Most recent meeting in May To discuss a broad range of
bilateral, regional, and global issues between the two nations.
Hope to tackle issues together Global warming, nuclear weapons in
Iran, military build up in North Korea, War in Afghanistan,
genocide in Sudan
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Some people suggest that China is a threat that must be
countered or contained. Others argue that its growth is an
opportunity for the U.S. economy and that Washington should manage
this rising power through engagement. I believe that engagement is
the only path to success.
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Opposing Viewpoints In Favor: -Most people want something to be
done with the trade deficit -People from both parties agree it is
an unhealthy relationship -Do no believe that we should support a
country with so many human rights violations -US manufacturers
cannot compete with cheap Chinese goods -Sending jobs overseas
Against: -a minority of people want the relationship to evolve
naturally -argue that it is better for Americans to be able to buy
cheaper products -If regulations were implemented, the prices of
Chinese goods would go up
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Barack Obama: - Mentioned how China has started to get ahead of
us in terms of infrastructure -Cannot let all manufacturing go to
China -Started the US-China Strategic and Economic Dialogue
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Republican Candidates Newt Gingrich: -Thinks the Chinese
government is suppressive and controlling -Wants to form relations
with the Chinese people and encourage them to demand more rights
from their government Herman Cain: - Wants to pay China back before
we spend money on anything else -Afraid of rising interest
levels
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Jon Huntsman: -Former ambassador to China -Thinks we need to
fix our core in order to fix the relationship Rick Perry: -Had
business of his own in China -Expanded Chinese companies in
Texas
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Ron Paul: -United States should have no influence on Chinas
human rights violations Mitt Romney: -Believes the United States
should make sure our goods are welcomed in China -Wants to label
them a currency manipulator -Wants to clamp down on regulations
-Had business of his own in China
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Rick Santorum: - The United States is handling the relationship
very poorly-acting too timid -Wants a battle against their
socialist economic and social policies Michelle Bachman: - Does not
trust most foreign countries with trade