The China-U.S. Trade War and Future Economic Relations

Lawrence J. Lau

• Publisher: The Chinese University of Hong Kong
• Year: 2018
• eBook ISBN: 9789882371125

The relation between China and the United States is arguably the most important bilateral relation in the world today. The U.S. and China are respectively the largest and the second largest economies in the world. They are also respectively the largest and the second largest trading nations in the world as well as each other's most important trading partner. If China and the U.S. work together as partners towards a common goal, many things are possible. However, there exist significant friction and potential conflict in their economic relations. The large and persistent U.S.-China bilateral trade deficit is one of the problems.It is essential to know the true state of the China-U.S. trade balance before effective solutions can be devised to narrow the trade surplus or deficit. The impacts and potential impacts of the 2018 trade war between China and the U.S. on the two economies are analysed and discussed. The longterm forces that underlie the economic relations between the two countries beyond the 2018 trade war are examined. In this connection, how a "new type of major-power relation" between the two countries can help to keep the competition friendly and avert a war between them is explored.~~~~~~~~Lawrence J. Lau's timely The China-U.S. Trade War and Future Economic Relations is full of careful analysis, penetrating insight and helpful suggestions from the world's preeminent economist on this relationship.—Michael J. BoskinTully M. Friedman Professor of Economics, Stanford UniversityFormer Chair, U.S. President's Council of Economic AdvisersThis sober and systematic study of U.S.-China trade relations and of technological development in the two countries is particularly timely. Lawrence Lau is one of the world's foremost economists working on these issues.—Dwight H. PerkinsHarold Hitchings Burbank Professor of Political Economy, EmeritusFormer Chair, Department of Economics, Harvard UniversityThis is a timely and penetrating analysis of the China-U.S. trade and economic relations, from its origins to its impacts and to a way forward.—Yingyi QianChairman of the Council, Westlake UniversityFormer Dean, School of Economics and Management, Tsinghua UniversityCounsellor of the State Council, People's Republic of ChinaLawrence Lau's book on the current U.S.-China trade war is insightful, balanced and comprehensive; rich in data on trade, investment, science and technology. It is essential reading for anyone who wants to get past the headlines.—A. Michael SpenceNobel Laureate in Economic Sciences (2001)Senior Fellow, The Hoover Institution, Stanford UniversityLawrence Lau brings light in the form of rigorous honest fact-based economic analysis to a subject where most of the discussion has been heated bluster, false claims, and political rhetoric.—Lawrence H. SummersFormer U.S. Secretary of the Treasury; Former President, Harvard UniversityThere is no topic more important, or more timely, or more urgent, than the China-U.S. trade war. Professor Lau is the ideal person to write about the implications of the China-U.S. trade war and the proposed resolution.—Tung Chee-HwaVice-Chairman, Chinese People's Political Consultative Conference National CommitteeChairman, China-U.S. Exchange FoundationThe history of Sino-American relations, to a great extent, has been a shared history. Lawrence Lau's timely and penetrating study will tell us it is still in best interest for both countries if they continue to pursue a shared journey and destination instead of parting ways.—Xu GuoqiKerry Group Professor in Globalization History, The University of Hong KongAuthor of Chinese and Americans: A Shared HistoryThis beautifully composed book uses nontechnical language to unravel the intricacies of the 2018 U.S.-China trade war, together with its long-term impact. I learned a lot from reading it.—Chen-Ning YangNobel Laureate in Physics (1957)