While we’re on the subject of civil war, Time’s Michael Schuman points to a country where it seems all too plausible: China.
Massive poverty and a dependence on strong growth largely explain why Chinese leaders are in no great hurry to let their currency appreciate, Schuman writes.
Though China is widely imagined in the financial press as the great locomotive that will pull the West out of its debt-soaked ditch, he notes that 200 million Chinese subsist on less than $1.25 a day. And while China’s development in recent decades has been a great success story, naturally it has created its own issues.
Of course, that’s not the only reason China’s not doing what the U.S. wants. There is also the fact that the United States has drunk its own free-market Kool-Aid, Clyde Prestowitz writes — in spite of the fact that it was outright trade hostility that actually saved the day when Japan was ascendant.
No, of course not. That’s a nice quote, but Prestowitz has a better one that also potentially speaks to China’s other recent ones on the trade front, such as the apparent rare earth minerals embargo:
Sounds like fun, though it probably can’t match a good civil war.