The U.S. optimized for efficiency, innovation, and globalization. China optimized for control, scale, and industrial learning.
Across sharply different political systems and historical paths, Germany, Japan, and China share a foundational commitment the United States abandoned:manufacturing is a strategic national system that requires deliberate institutional support, not a residual sector left to market punishment. In each case, capital allocation, labor relations, education and training, and state policy are organized around sustaining … Read more
I. Zhang Weiying’s Worldview: Elegance, Coherence, and Its Narrow Frame Zhang Weiying’s critique of industrial policy is not a superficial stance but the product of a highly coherent intellectual synthesis. Drawing on Austrian economics, he emphasizes the radical uncertainty and dispersed knowledge that make centralized planning inherently flawed. Schumpeter’s notion of entrepreneurs as engines of … Read more
Why the West Cannot Decide What China Is The West’s long-standing effort to reshape China reflects a basic misreading of China’s developmental trajectory and reform logic. For decades, Western policymakers, academics, and elites have viewed China not as a civilizational peer pursuing its own path, but as an incomplete or delayed version of the West—one … Read more
Rare earth elements are neither truly scarce in nature nor an inherent, singular point of existential weakness for the United States. Their strategic importance instead arises from their role as a high-leverage chokepoint within modern industrial supply chains. The most complex, capital-intensive, and environmentally demanding stages—midstream refining and downstream magnet production—are overwhelmingly concentrated in China. … Read more
The Cold War, lasting roughly from 1947 to 1991, shaped global geopolitics, economics, and technology. Its consequences were uneven: some nations were immediate short-term beneficiaries, while others gained in the long term. This analysis categorizes the effects on major countries and regions and explores China’s unique position. I. The United States: The Ultimate Winner? 1. … Read more
I. Gratitude or Reciprocity? Reframing the Meaning of China’s WTO Accession At the heart of debates over China’s rise lies a fundamental question: should China’s integration into the global economy be understood in terms of gratitude and patronage, or as the outcome of mutual interest among sovereign actors? The assertion that China “owes” its development … Read more
SWIFT Explained: Its Function and Real Significance in Global Finance SWIFT, the Society for Worldwide Interbank Financial Telecommunication, plays a central role in the modern global financial system by enabling secure and standardized communication between banks and financial institutions. Its core function is to transmit payment instructions and other financial messages across borders with speed … Read more
I. The De Facto “G2” Economic Loop A. Mutual Benefit Through Asymmetric Global Roles For decades, the United States and China have functioned as a de facto “G2,” quietly orchestrating a global economic system that primarily serves their own interests. Their roles are complementary and asymmetric: the United States issues the world’s reserve currency, consumes … Read more
Unlike the U.S. defense industry’s evolution toward privatization, consolidation, and an emphasis on high-margin experimental systems, China has pursued a state-directed, integrated, and gradual modernization strategy. Beginning in the 1950s, China prioritized centralized coordination, built a comprehensive military-industrial foundation, and systematically adapted civilian technologies for military use. This long-term approach has enabled China to steadily … Read more
This study undertakes a critical examination of the logic behind the so-called “China global price revolution,” exploring how and why it has functioned, where it shows structural weaknesses, and under what conditions it might fail. By situating this analysis within a broader historical and economic context, the discussion considers how China’s impact on global prices … Read more