As a result of this twin assault on America’s manufacturing base by state-run Chinese companies and offshoring multinationals, our once great country has devolved into a “Triple Zero Economy” characterized by near zero growth in jobs, wages, and, stock returns even as over 50,000 factories have disappeared along with 6 million manufacturing jobs.
Here is an even more chilling set of statistics: For the five and half decades prior to China’s entry into the WTO, our gross domestic product grew at a rate of 3.5 percent. Since 2001, however, that rate has fallen to a mere 1.6 percent annual growth rate. This slower growth, in turn, has led to the failure to create more than 20 million jobs – not coincidentally, exactly what we need to put America back to work.
Perhaps the most astonishing element of the US-China relationship is the inability of so many of our politicians, journalists, and academics to firmly connect the dots between China’s unfair trade practices and the abject failure of trillions of dollars of government stimulus to jump start our economy. Indeed, as recently as last week on the stump in Ohio, President Obama insisted that we have “a constructive economic relationship with China” and that our differences can be resolved through “dialogue.” However, the history of his administration as well as that of his predecessor has been the abject failure of dialogue to halt China’s massive unfair trade practices and its gross human rights and environmental abuses.