Admitting China to the WTO seems ineffective in imparting economic freedom and democracy to the communist regime.

Dan Rochefort

2018-07-27 10:35:00 Fri ET

Admitting China to the World Trade Organization (WTO) and other international activities seems ineffective in imparting economic freedom and democracy to the communist regime. China now marches toward global technological leadership and often challenges America both economically and militarily in what U.S. policy writer Michael Lind terms *Cold War II*. At one level, China seeks to be master its own technologies such as artificial-intelligence applications, robots, electric cars, biotech innovations, and semiconductor microchips. China thus aspires to achieve not only economic growth but also technological dominance.

With good intentions, the prior Carter and Clinton administrations might have been conducive to normalizing trade relations with China. These administrations might hold high hopes that China may embrace both economic freedom and democracy after WTO accession. These high hopes would then continue throughout the Bush and Obama administrations.

Nevertheless, China fails to fully comply with its WTO membership requirements with respect to trademark-and-patent protection and enforcement. In fact, China skillfully uses its WTO membership as blanket immunity from prosecution for its R&D-mercantilist policies. For instance, China sets unfair rules and regulations for U.S. multinational corporations to establish onshore data centers and IT innovation parks. These policies in turn transfer technologies from these corporations to their Chinese counterparts.

In the new millennium, America can no longer undertake unilateral actions against China without triggering WTO complaints. For better national economic security, it is legitimate for the Trump administration to impose on China hefty punitive tariffs and even quotas and embargoes in addition to foreign investment restrictions. This counterrevolutionary strategy better balances U.S. economic interests and so rolls back China's R&D-mercantilist agenda *Made in China 2025*.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

Saudi Aramco unveils the financial secrets of the most profitable corporation in the world.

Jacob Miramar

2019-04-13 14:28:00 Saturday ET

Saudi Aramco unveils the financial secrets of the most profitable corporation in the world.

Saudi Aramco unveils the financial secrets of the most profitable corporation in the world. In its recent public bond issuance prospectus, Aramco offers the

+See More

Tech titans from Apple and Amazon to Microsoft and Google can benefit from the G.O.P. tax reform.

James Campbell

2017-12-07 08:31:00 Thursday ET

Tech titans from Apple and Amazon to Microsoft and Google can benefit from the G.O.P. tax reform.

Large multinational tech firms such as Facebook, Apple, Microsoft, Google, and Amazon can benefit much from the G.O.P. tax reform. A recent stock research r

+See More

The OECD projects global growth to decline from 3.2% to 2.9% in the current fiscal year 2019-2020.

Rose Prince

2019-10-29 13:36:00 Tuesday ET

The OECD projects global growth to decline from 3.2% to 2.9% in the current fiscal year 2019-2020.

The OECD projects global growth to decline from 3.2% to 2.9% in the current fiscal year 2019-2020. This global economic growth projection represents the slo

+See More

Mark Granovetter follows the key principles of modern economic sociology to analyze social relations and economic phenomena.

Charlene Vos

2023-02-21 08:27:00 Tuesday ET

Mark Granovetter follows the key principles of modern economic sociology to analyze social relations and economic phenomena.

Mark Granovetter follows the key principles of modern economic sociology to analyze social relations and economic phenomena. Mark Granovetter (2017) &

+See More

CEO overconfidence and corporate performance

Laura Hermes

2022-11-05 11:32:00 Saturday ET

CEO overconfidence and corporate performance

CEO overconfidence and corporate performance Malmendier and Tate (JFE 2008, JF 2005) argue that overconfident CEOs are more likely to initiate mergers an

+See More

CNBC's business anchorwoman Becky Quick interviews Nobel Laureate Joseph Stiglitz on the current Sino-U.S. trade war.

Daisy Harvey

2018-03-27 07:33:00 Tuesday ET

CNBC's business anchorwoman Becky Quick interviews Nobel Laureate Joseph Stiglitz on the current Sino-U.S. trade war.

CNBC's business anchorwoman Becky Quick interviews Nobel Laureate Joseph Stiglitz on the current trade war between America and China. As America imposes

+See More