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Re: He may be a silence hero

Author: observer
Date: 04-11-12 00:34

At the turn of the century, the prevailing view in Washington was that China being a communist state, would be uncompetitive relative to the highly successful Western capitalist countries. Therefore as soon as China joined the WTO, her economy would collapse within a few years. That was the view of the Clinton administration and this was reflected in Gordon Chang's book. I don't think Gordon Chang had any influence on Washington's decision to allow China to join the WTO as his book was published after China's accession to the WTO was already a fait accompli.

It is interesting to note that there was opposition in China to joining the WTO at that time and it was the tough Zhu Rongje who carried the day.

In retrospect, if Clinton knew that China would be that successful, he would never allow her to join the WTO. From Washington's point of view, this must be regarded as one of the biggest miscalculation in US history. This miscalculation revealed that Western economic/political ideologies, dogmas, theories, assumptions, premises etc etc are bankrupt and these should be dumped in the rubbish heap of history forthwith. The 2008 financial crisis was really a final nail in the coffin to many beloved theories such as 'laissez-faire economics'.

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