The U.S. economy continues to thrive, according to a Reuters report last September, for the second quarter, economic growth registered an unrevised rate of 2.0 percent.
This is due to an increase in consumer spending, the strongest reported in 4.5 years, which helped offset weak exports and a slower rate of inventory investment.
The government’s latest reading on the economy showed a 3.1 percent increase in the annualized rate of Gross Domestic Product for the first quarter, followed by a 2.1 percent increase in the April-June quarter.
As Reuters points out, in the first half of the year the U.S. economy showed an expansion of 2.6 percent.
The Trump administration reported in 2018 the keys that have allowed the growth of the American nation, mentioning the impact tax cuts have had, deregulation, and trade policies.
Within this framework of economic growth, The United states has positioned itself as a strong competitor to the Chinese economy, generating a strong impact in the face of the advance of macroeconomic policies so far implemented by the Chinese communist regime.
Regarding the tariff measures that the Trump administration has imposed on Chinese products, John R. Smith, chairman of the Enterprise Policy Action Committee, said, “The tariffs imposed are like medicine: They don’t taste good, but they are effective against nations bent on economic destruction of rivals.”
In a West Journal opinion column, political author, pollster and consultant Dick Morris said that in 2019 the United States leads the world economic scene.
“Now, in the first two decades of this century, we have won the global game of economic chess we have been playing with the ruthless, vicious, tyrannical thugs who run China,” Morris wrote.
“Their strategy had been to use our own greed and materialism against us by dangling attractive, inexpensive products in front of our consumers with one hand while lending us the money to buy them with the other,” Morris added.
Morris pointed out that China’s presence in the market had products labeled ‘Made in China’ replacing American products in retail markets: “The idea was to sell to us vastly more than they purchased from us and to finance the difference by lending us back our own money.”
Morris claims that China became both a supplier of products and a lender, indicating that it managed to sell $300 billion more to American consumers than the United States bought from producers, leading to a gigantic fiscal deficit.
According to Sputnik News, even a European Union Commission noted that in the face of China’s entry into the World Trade Organization, it would not be recognized as a market economy because of its excessive production capacity.
Regarding U.S. production, Morris points out that Chinese products on the international market caused U.S. goods to be withdrawn from the local market and that the influence of the domestic market was used to attract U.S. companies to China.
Morris argues that such measures in which companies moved to China resulted in the sale of U.S. technology that was not easily accessible to the Chinese market, leading to large-scale industrial hacking and espionage.
“In its 20 years of massive growth—dating from WTO membership—China became an exporting machine cornering markets throughout the world and racking up a huge trade surplus with greedy, thrifty, pampered U.S. consumers,” Morris said.
He added, “Then came Donald Trump. He called China’s bluff and imposed massive tariffs on its exports, brushing off the expected retaliation against our farm products and other exports.”
It was then that China found itself facing economic stagnation, according to Morris, although the United States easily found new suppliers, China could not do the same so easily in part because it concentrated more on exports, neglecting the domestic market.
“The U.S. soared to higher GDP levels each quarter. Unemployment became a rarity. U.S. retailers mapped out new sources of supply, and domestic production filled the void,” Morris said.
However, Morris also warns: “Despite this colossal win, our victory over China is far from certain in the long run. Beijing is raising the stakes from the global control of trade to control our minds.”
“Through expropriation of American breakthroughs in Artificial Intelligence, combined with ruthless experimentation on human subjects, China is seeking to achieve control of the internet and of the human mind along with it,” he added.