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...least some of China's temptation to engage in conflict with the West comes from this sense of self-protection, from an intense debate about whether the West is really trying to welcome China or to do something to it yet again. One well-connected Chinese scholar wrote recently that even at the level of the Politburo, there had been intense fights about Hu's attending the Washington nuclear summit after what was seen as the U.S.'s "ruthless undermining of Chinese dignity." The West needs to remember that this excitability among internal forces emerges as a result of China...

Author: /time Magazine | Title: Hu's Visit: Finding a Way Forward on U.S.-China Relations | 4/8/2010 | See Source »

...debt a temporary quirk of the global economy or an expression of the ancient Chinese strategy of shangwu chouti - let your enemy get on the roof, then take the ladder away? It's very hard to know. Chance and the future and what we do now will determine whether China is with us or against...

Author: /time Magazine | Title: Hu's Visit: Finding a Way Forward on U.S.-China Relations | 4/8/2010 | See Source »

...largest developing country in the world and everyone wants to invest here, so we're going to make our own rules. This is the sort of challenge China will pose in many areas. It'll want to configure the system so it fits its needs - whether in relation to exchange rates, nuclear proliferation, how to handle North Korea or how to ensure that the benefits of information technology flow freely. In all these areas, we will need to find new global rules that don't isolate China. Beyond that, we need to ensure that real co-evolution gives China what...

Author: /time Magazine | Title: Hu's Visit: Finding a Way Forward on U.S.-China Relations | 4/8/2010 | See Source »

...Jintao had an hour-long phone conversation last week, after which the Chinese President agreed to attend a nuclear summit in Washington. And on the volatile issue of trade, a grand bargain of sorts now appears to be taking shape: In return for delaying a decision on whether to list China as a "currency manipulator" - long a dream of protectionists in Congress - China is sending signals that it will soon allow its currency, the renminbi, to appreciate. "The Chinese know very well it's in their own interest to allow the RMB to rise a bit," a source close...

Author: /time Magazine | Title: Why Geithner Made A Surprise Stop in Beijing | 4/8/2010 | See Source »

...question is whether anything other than a massive, one-off revaluation in the RMB versus the dollar - something that is not in the cards - will have any significant impact on employment in the U.S. or Europe. Economists differ around the edges of this debate, but most agree that a big employment impact is unlikely given a RMB rise of, say, 10% over the next year or two. "The thread between the two [revaluation and jobs] is very, very thin," says Derek Scissors, an economist at the Heritage Foundation in Washington. "No currency revaluation of any feasible size will create more...

Author: /time Magazine | Title: Why Geithner Made A Surprise Stop in Beijing | 4/8/2010 | See Source »

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