This podcast episode discusses the ongoing trade tensions with China and the misconceptions about international economics and national security concerns. It explores the historical context of trade tensions between the US and Japan in the 1980s and the misunderstandings of Japan's industry and technology as a threat. The podcast highlights the negative impact of shifting trade from China to higher-cost producers on American workers and the parallels between Japan's economic struggles and China's current challenges. It challenges the validity of national security concerns pertaining to China and emphasizes the importance of evidence-based policymaking. The podcast also discusses the delicate nature of the US-China relationship, the commitment of China to manufacturing-led growth, and the need to address budget deficits and stimulate domestic savings. It further examines the economic challenges faced by Hong Kong and provides insights into the unexpected changes in China's economic policy.
