I think what is missing in this expansion is the lack of high paying middle class jobs. Most of the growth are from Walmart, Amazon.... hiring low paying service jobs.
Is that China's fault? Or another way of putting it, is making them our whipping boy going to change things? tRrump seems to think it will get him re-elected. Many thought he was a bitnit man not a pol. LOL
Look back at the year 2000. We were in our 4th straight year with a GDP above 4%. Our unemployment rate was the lowest it had been in over 30 years. We collected so much in tax revenue that we had a budget surplus. In 2001 China joined the WTO, and things started to shift. Since then we've closed about 60K factories and lost 5 million manufacturing jobs. Our annual GDP has dropped from 4% to around 2 to 2.5%. The trade deficit has always been bad for us. We just haven't had someone in the white house willing to go up against China until now.
Sep 11th, 2001 happened. That changed the world. Bad example. Do you need a refresher course on how bad that shit was for the world's psyche?
Cornholio is East Asian. He knows more about the wonders of communism than anyone here, other than CSETrader. Right, Comrade?
I remember how bad it was. But China's GDP grew steadily over the next few years. They went from 8.5% in 2000 to 14.2% in 2007. Our GDP fell from 4.1% to 1.9% over the same time frame. I don't think 9/11 is responsible for the mass exodus of manufacturing from U.S. shores, and the ballooning trade deficit with China.
Then you do not understand what 09/11 did to the US, or the psyche of the world. I was there. The change was palpable for years. It still hurts, almost 20 years later.
Well... I don t get it. If China lost 3.5% of their GDP previous activity, how could the next growth number, assuming still 7% increase on other parts of GDP, be 6.76% ? I understand the operation you did (96.5% of 7%) but can't see the logic behind it.
It will always hurt. I know that 9/11 and the war on terror caused an economic downturn in our country. But I'm looking at the big picture of the past 18 years. You asked why the trade deficit was a bad thing. Since China joined the WTO back in 2001, we've closed 60K factories and lost 5 million manufacturing jobs. Their GDP grew for several years while ours declined. This resulted in a huge trade deficit with them. I don't really think that's a good thing for our country. We would probably be a lot better off if the deficit were more balanced.