An Awkward Dance: China and the United States

Eswar Prasad and Grace Gu

No 13, IZA Policy Papers from Institute of Labor Economics (IZA)

Abstract: China and the U.S. have a close but complicated economic relationship. This note provides a fuller picture of the tightening embrace between the two countries – in terms of flows of goods and services, financial capital and people – and discusses the potential flashpoints in this relationship. This bilateral relationship is important not just for the principals but also for the broader world economy as the cooperative or conflicted nature of this relationship will set the tone for progress on a number of multilateral issues, including reform of the international monetary system and tackling climate change.

Keywords: China-U.S. relationship; China's exchange rate regime; renminbi; trade (search for similar items in EconPapers)
JEL-codes: F3 F4 F5 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2009-11
New Economics Papers: this item is included in nep-ifn
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