US-China Economic Relations

Marcus Noland

No WP96-6, Working Paper Series from Peterson Institute for International Economics

Abstract: Today the US and China are probably the world's two largest economies (Table 1). Relations between these two countries are crucial to the future development of the world economy. Unfortunately economic relations between the two countries are troubled. China is large, rapidly growing, and still in the process of devising and implementing fundamental economic reforms. Despite its size and importance to the global economy, it is still not a member of the World Trade Organization (WTO), the primary multilateral institution for managing the world trade system. As a consequence, trade disputes between China and the US are resolved almost exclusively in public, acrimonious bilateral negotiations.

Date: 1996
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