Facing Protectionism Generated by Trade Disputes: China's Post-WTO Blues

摘要: In present-day political and policy discussions in Washington, widespread concern is shared over the large growing U.S.-China trade deficit. Senate, this was manifested proposed Currency Exchange Rate Oversight Reform Act of 2007, which introduced June calls for designations escalations to punish countries deemed be guilty exchange rate manipulation. Many other proposals adjust, control or limit various elements relationship also exist, underscoring belief that U.S. economy suffers some way from relationship. More specifically, at very base these concerns lies view deficit has reduced welfare by increasing unemployment reducing wages. Yet an accurate representation affect current patterns with China on economy? order determine answer, paper we examine economic issues associated overall (which, 2006, three a half times larger than bilateral deficit), options tensions posing answering four critical questions.