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As China’s leaders seek to preserve stability in 2012, they face a host of challenges, including reduced economic flexibility, increasing social, unrest, widening income disparities, and escalating external tensions.
The death of North Korean dictator Kim Jung Il increases the likelihood that the stress on the multiple fault lines in Korean society will reach the point of breaking. Secret talks with China to plan for contingencies may be needed now more than ever.
Portrayals of the Obama administration's return to Asia as an effort to contain China exaggerate competition between Washington and Beijing. As the 2012 presidential election draws near, U.S. officials must adopt a prudent approach to China in the face of mounting anti-China rhetoric.
Trade deficits generated by credit-fueled consumption are unsustainable, and can be reversed by either shifts in the policies of surplus-producing countries abroad or by crippling austerity at home.
There is an increasingly conducive environment for China to develop a more flexible exchange rate system, where the prospect of a decline in the value of the renminbi is the same as of an increase.
The execution of America’s strategic 'pivot' to Asia, and China's response, are combining to deepen mutual suspicions and potentially destabilize the entire area.
During his ten days in the Asia-Pacific, President Obama managed to convey successfully his administration’s determination to “rebalance” American attention, influence, and investment toward Asia, and away from the wars in Iraq and Afghanistan.
Stability in cross-Strait relations is based on policies in Taipei, Beijing, and Washington, but with all three countries looking toward potential changes in leadership, the framework for peace remains fragile.
China will not simply bail out Pakistan with loans, investment, and aid, as those watching the deterioration of U.S.-Pakistani relations seem to expect. Rather, China will pursue profits, security, and geopolitical advantage regardless of Islamabad's preferences.
The recent cut in China’s bank reserve ratio indicates that Beijing has prioritized stimulating economic growth over moderating a potentially overheated economy.