The approach of the US and China differs vastly in reducing the trade deficit between the two countries. Photo: Shutterstock
Opinion
Opinion
Is multilateral perspective the right approach for US and China to correct trade imbalance?
- The multilateral perspective makes clear that the US current-account deficit can be reduced only through structural reforms to address the imbalance between domestic savings and investment
- China’s adherence to the multilateral perspective on trade has led it to reduce its external imbalance through structural reforms
The approach of the US and China differs vastly in reducing the trade deficit between the two countries. Photo: Shutterstock