UPDATED 9:15 AM PT – Wednesday, May 12, 2021
China appears to have gained a competitive advantage over the U.S. due to coronavirus lockdowns in America. A new report by the National Review found the policy response to COVID-19 has disrupted almost all economic and social activity in the U.S. for more than a year.
As a result, U.S. national debt has skyrocketed along with the federal spending, which makes the U.S. economy less competitive in the long-term. Additionally, China has extended political influence in the U.S. amid the rise in popularity of socialist ideas.
“The fact is that China is playing a very important role. The robust investment in China that happened during the last six months and also the merchandise export has increased significantly in terms of electronics and electrical equipment, digital equipment,” explained Hamid Rashid, lead author of the World Economic Situation and Prospects 2021. “All the parts and all the other manufacturing export from China, which have been very robust and it has exceeded the pre-crisis level…that is also driving a good outlook for China.”
According to Bloomberg Economics nowcasts, the world economy pushes into the second quarter with re-opening across the U.S. and Europe set to drive growth to an annualized 5.7%, up from 4.1% in the first quarter. China is “easing back to a more normal pace of growth”. pic.twitter.com/2sMsTvWISq
— Tatiana Palermo (@tatiana_palermo) May 10, 2021
The report concludes Democrat Party policies have given China a competitive advantage in trade and investment leaving the U.S. behind.