There has been much buzz this past week over China's president, Hu Jintao visit to the States. Much of the complaints levied against China are its human rights violations and its intention devaluing of its currency, leading to a sustainable trade deficit between our two countries. However, if one were to look deeper at the United State's relationship with China, these are very minor issues. Perhaps the greatest issue facing us is China's continued violation of intellectual property rights. China is the number one purchaser of computer hardware, but only eighth in software purchases. It is no wonder that President Hu made a visit to Microsoft headquarters before arriving in Washington. Major companies are becoming increasingly worried about access to China's markets. China is a master at copying and duplicating technology that many fear that they will soon be downgraded. However, it must also be noted that there has been a notable divergence between American corporate interests and the public sector. American corporations are beholden to their stockholders, and not necessarily the public-at-large. Therefore, it can be argued that violation of intellectual property rights does not affect the average American.
With respect to China's devaluing its currency, this simply is an empty argument. The reasoning goes that since China devalues its currency, its exports becomes more attractive to consumer nations like the USA. Since China can produce more goods at a cheaper price than most, it damages and takes away jobs from American businesses. After all, Americans naturally make better quality goods than any other people in the world by virtue of being American (whatever). What most people don't acknowledge is the fact that if China regulates its currency to the levels we think are fair, businesses and corporations will simply move jobs to places like India and Indonesia. There is no shortage of countries that can cheaply produce goods to circulate in the world market. Again, China's currency does not affect the average American nor is it as disastrous to our job market as many would have the public believe. It is always handy to have a boogieman to blame for our peril. China is merely doing what it must to provide for its 1.3 billion people.
Another thing that America berates China for is its human rights violations. As President Hu makes his way around the country, people carrying Tibetan and Taiwanese flags can be seen everywhere. I must agree that it is lamentable where human abuses exist and I am not excusing China's approach to this issue. Having said that, one must understand that there is a fundamental difference between Eastern and Western philosophy. The West juxtaposes economic freedom with human freedom. For the Chinese, one does not necessitate the other; they are concerned, not with ideology, but with pragmatism. I believe that one of the elements that handicap America's continued emergence as a world power is the predominance of ideological constraints. China recognizes a situation, and then formulates the best way to effectively meet it. Just because a country allows for economic freedom and flexibility, does not mean that human rights is the foundational impetus for this decision. China is driven by results, not ideology. You will not see the Chinese government enter into empty debates about repealing health care or cutting vital funding to education. Our arguments tend to be philosophical, whereas China's focus is more on practical solutions. Sometimes it would be nice to have only one party it seems. That would eliminate much political wrangling and stagnation throughout both political and economic sectors. China's governance is reminiscent of the Roman Empire in many ways. The main concern for both empires is, "Will this be able to work."
With respect to China's devaluing its currency, this simply is an empty argument. The reasoning goes that since China devalues its currency, its exports becomes more attractive to consumer nations like the USA. Since China can produce more goods at a cheaper price than most, it damages and takes away jobs from American businesses. After all, Americans naturally make better quality goods than any other people in the world by virtue of being American (whatever). What most people don't acknowledge is the fact that if China regulates its currency to the levels we think are fair, businesses and corporations will simply move jobs to places like India and Indonesia. There is no shortage of countries that can cheaply produce goods to circulate in the world market. Again, China's currency does not affect the average American nor is it as disastrous to our job market as many would have the public believe. It is always handy to have a boogieman to blame for our peril. China is merely doing what it must to provide for its 1.3 billion people.
Another thing that America berates China for is its human rights violations. As President Hu makes his way around the country, people carrying Tibetan and Taiwanese flags can be seen everywhere. I must agree that it is lamentable where human abuses exist and I am not excusing China's approach to this issue. Having said that, one must understand that there is a fundamental difference between Eastern and Western philosophy. The West juxtaposes economic freedom with human freedom. For the Chinese, one does not necessitate the other; they are concerned, not with ideology, but with pragmatism. I believe that one of the elements that handicap America's continued emergence as a world power is the predominance of ideological constraints. China recognizes a situation, and then formulates the best way to effectively meet it. Just because a country allows for economic freedom and flexibility, does not mean that human rights is the foundational impetus for this decision. China is driven by results, not ideology. You will not see the Chinese government enter into empty debates about repealing health care or cutting vital funding to education. Our arguments tend to be philosophical, whereas China's focus is more on practical solutions. Sometimes it would be nice to have only one party it seems. That would eliminate much political wrangling and stagnation throughout both political and economic sectors. China's governance is reminiscent of the Roman Empire in many ways. The main concern for both empires is, "Will this be able to work."
The United States must be very careful in how it deals and interacts with China. I find it disappointing the cold reception that President Hu received from many in Washington over these past view days. It is easy to pass judgment on China for this thing or that, but the fact remains that China is extremely vital to the health of our country. It is destined to eclipse the US economy in the upcoming years and it would be wise to adopt more practical policies towards China in the future instead of stand on our own laurels pretending that we are better than they. The fact remains that the Chinese will be here long after our time as a nation is finished. There are many reasons for this. They lead the world in education (2.4 million college graduates in 2006), green technology, federal exchange reserves (1.5 trillion dollars), economic growth, etc. The very things that America is cutting-such as education and green technology research- China is heavily investing in. We may have many differences with the Chinese, but we would do well to emulate them instead of being so judgmental.
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