He argues that China's deflation spiral makes that negotiation path difficult because consumers who feel pessimistic about the future will not borrow and spend more.
Topic brief
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Deflation
A transcript-matched topic anchored by excerpts such as "...consumer. The problem, though, is that because China is in the deflation spiral, this means the Chinese consumer is not that optimistic about the..."
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Topic Scope And Freshness
A transcript-matched topic anchored by excerpts such as "...consumer. The problem, though, is that because China is in the deflation spiral, this means the Chinese consumer is not that optimistic about the..."
Key Notes
Jiang argues that removing most Chinese goods from the US market raised inflation in America while China now faces deflation.
Jiang says that if US-China relations improve enough for China to export deflation overseas, people's standard of living would improve drastically.
He says weak consumer spending, the real-estate collapse, geopolitical issues, and trade sanctions have produced deflationary pressure in China over the last couple of years.
Timestamped Evidence
"...consumer. The problem, though, is that because China is in the deflation spiral, this means the Chinese consumer is not that optimistic about the..."
"...has gone up. So the situation is that China is facing deflation and America is facing inflation. So I think that if US China..."
"Well, I mean, the problem with China is that it's a huge country, right? And the economic disparity between the cities and countryside are..."
Relevant Lectures And Readings
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Jiang frames the Tianjin summit as proof that the real U.S.-China fight is no longer just about ideology.
Related Topics
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