Don’t Expect Much from the Latest Grand Meeting with China

Derek Scissors /

The United States and the People’s Republic of China will hold the 2011 version of the Strategic and Economic Dialogue (S&ED) this coming Monday and Tuesday in Washington. Many distinguished people will participate, many well-crafted speeches will be given, many valuable topics will be discussed, and little of long-term economic value is likely to be achieved. Again.

This is especially unfortunate because next year could be very difficult for Sino-American relations.

By far the most important economic issue for America and China is the related imbalances in our economies. The U.S. recognized this several years ago and has repeatedly raised the matter. Result: Both economies are now more imbalanced than when the Dialogue began. (more…)