The world’s two most significant economies will both benefit from a swift and sensible resolution of the current federal budget crisis in Washington. The Chinese want stability in America. They want to see the U.S. market growing. They want to sell the U.S. goods. And they want to be able to continue investing in U.S. currency and U.S. debt. Above all, the Chinese don’t want to see the U.S. simultaneously impose steep and precipitous tax increases and equally significant spending cuts, sending the nation over a so- called “fiscal cliff” and into a deepened recession. According to the most recent Congressional Budget Office projections, the current proposed fiscal measures, if implemented, would automatically slash the federal budget deficit by $503 billion between FY 2012 and FY 2013.
China Wants the U.S. to Avoid the Fiscal Cliff, Too
They could take their money to more stable markets, deepening America’s fiscal problems.
December 20, 2012
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Learn how to overcome barriers when working globally.