Help! Why should the US be worried about China (economically)?

Question

I have to write a ten page paper on why China's economy is something the US should be worried about and all I can find is stuff about their GDP and obviously I can't write an entire paper on this. Help! Why else should the US be worried?
Thanks

Answer 1

check out these items -
- Americas trade deficit to China
(China receives a surplus of $50 Billion/year)
- China's holding of American currency:
chinese productivity is undermining the value of the american dollar, and strengthening the value of the yen.
while China holds huge reserves of American dollars, they will dump them at some point for a stronger and more stable currency.
- the American economy is devaluing because of the HUGE debt incurred to maintain its dependence on oil by using its very expensive war machine to maintain accessibility to resources.
- America no longer has the only market on leading technology to sell to the rest of the world
- China has resources and a large population to develop those resources, as well as developing cutting edge technologies
- You have George W. Bush

...some thoughts for you. many more reasons, you will find them.

Answer 2

Economically, as long as there is a world-wide free trade mind set, very little. For one, many economists believe their bubble will burst soon due to official corruption and a government that believes in a controlled economy. The only real concern is what China does with its current wealth. It has turned a large, horrible military into a smaller more capable one. If it uses that power to destabilize Asia, then it becomes a concern but so far, they have been no more then an irritation. The US and Chinese economies are so intertwined that it would be disastrous for both if things changed too much. The biggest current economic threat from them is higher prices in oil, timber, and concrete due to their huge demand and their competitive advantage at manufacturing over the USA (cheaper labor). Basically it feeds inflation and unemployment in the USA. On the bright side, the US dollar is falling in value making imported items more expensive and increasing the ability of US industries to compete in the world.

Answer 3

The Wall Street Journal recently suggested that China will have a major economic depression by the year 2012 because it can't handle capitalism.

Already heavy industry is starting to move out of China for India's cheaper labor and energy supply.

China has a wicked serious corruption problem. China's banks are poorly run and poorly adminstered and has severe problems transferring large pools of money.

The commies are facing a huge labor problem and already shot 20,000 striking miners in northern China.

So far China is nothing but economic POTENTIAL and not a fully developed and savvy financial group association.

Answer 4

The main thing is the fact that the U.S builds everything in China, any type of toy, knife or any other material is usually made in China. That is a main factor in Chinese economy and China has a huge population and China's taxes are rather high. China has a excellent economy but the U.S should not be worried about this, its not like we are going to sink into a depression because of China.

Answer 5

as China expands its economy it will build more factories etc and pollute the sky above it even worse (in some cities you cannot ever see the sky)

also right now because Americans are so greedy for higher wage its cheaper for companies to make stuff in China and ship it back to USA to sell - this in fact will put MORE Americans out of work.. yet nobody seems to concerned and most are fully willing to buy "Made in China" stuff. Every time you buy something that is Made in China - you inflate their economy and thus lower ours...

however I already feel the USA is dominating the world economy and should back off.. I hate to see the USA get any richer than it already is..
its about time we helped other nations like in Africa and stuff...

Answer 6

China is the worlds largest manufacturer.They use fake company's {owned by the Red Army}to buy up U.S. assets. They own the under sea fiber-optic cables between the U.S. and Europe. They are partnered with Cuba to drill for oil between Florida and Cuba. Their industrial growth has been responsible for the rise in world oil prices. They not only have low paid workers but they have no anti pollution laws to keep their company's from making better profits. They also may have been guilty of using prison labor{slaves basically}When you add to that the fact that when they took over Hong Kong they gained control of a huge percentage of the worlds banking industry and now hold a ton of U.S. money and debt it is a real concern.You have to remember that the government in a communist country can take ownership of any business by simply nationalizing it.They have no defense, remember Chairman Mao said that all political power comes from the mouth of a gun......
Since so much of our industry has died off because of less expensive products from China we depend on them for a majority of goods.When they have a large enough financial advantage they can manipulate our economy by manipulating their prices just like OPEC.

Answer 7

Because in 10-20 years time (if not sooner), China will have the worlds strongest economy. I have been told this by American economics professors. Chinas economy is growing at light speed because of their cheap labour, exports, etc.

I'll happily swop you my 10 page paper on definitions of discontinued technologies for this paper!

Answer 8

Oil consumption.
Money(they can deflate the American dollar with the loans,market etc.(thats our fault for the loans etc we gave them
the population
They are not set up with environmenatalists and do not have the lobbys crying foul on energy(coal plants etc.Polluting plants,and are not held accountable in the world as a polluter,the even sell their carbon credits in the world economy that they have
Their safety standards to their people(lead and comtaminents,environmentally) are not as strict
China,though opening up freedoms,for their people,are still a communist country and their leaders biggest problem is finding jobs for every citizen.If their peasant farmers ever got to live in their cities and got a chance to see,what they dont have it would cause an upheaval amongst the poor who arent getting a chance at what the city people get daily.

Answer 9

The chinese language have the mixture of inhabitants, industrialization and lack of information of environmental concerns to enable them to take care of a continual develop. The investments of the west have located China to maintain a threatening place for the distant destiny. on an identical time as the previous western countries like France, England and something of Europe have observed the U. S. into giving up on production, China maintains to enhance. The declining dollar and dependence on oil has placed the U. S. at an extremely comfortable place. We now not develop sufficient to feed ourselves or manufacture sufficient to furnish our needs. The infrastructure of this usa has develop into so fragile that it would desire to truthfully crumple. by using fact the chinese language purchase up the money they carry down the fee of their Yen to make larger their risk. The western countries are initiating to split from from the dollar and as greater countries try this our ability to export dwindles.

Answer 10

iam a chinese. China has the biggest population in the world and the 2nd GDP. U.S is worried about China is gonna take over the world ecomomy