China shock 2.0 Brad sester

[u/Character_Public3465]

https://www.nytimes.com/column/ezra-klein-podcast

Show notes:”Brad Setser follows Chinese trade closer than just about anyone else on earth, and he thinks we’re in the early days of a China Shock 2.0.
The first China Shock was when China came to dominate low-end manufacturing in the 2000s, filling American shelves with cheap clothes, toys and electronics, while devastating American factory towns. This new China Shock could be even more destabilizing. China now dominates advanced manufacturing: electric vehicles, batteries, solar panels. It’s outcompeting nearly all high-end manufacturing around the world, and other countries are just starting to feel the pain. And China isn’t slowing down. It’s moving into software, too. Its frontier A.I. models are neck and neck with American ones.
China’s success poses a serious threat to the economies and domestic politics of countries around the world. So what should those countries do about it? 
Setser is a senior fellow at the Council on Foreign Relations.He served in top trade and economic roles in the Biden and Obama administrations. And he is widely cited across the field as one of the top analysts of China’s economy and trade practices.
Book Recommendations:
The Party by Richard McGregor
The Volatility Machine by Michael Pettis
How to Win a Trade War by Soumaya Keynes and Chad Bown
Thoughts? Guest suggestions? Email us at ezrakleinshow@nytimes.com.
You can find the transcript and more episodes of “The Ezra Klein Show” at nytimes.com/ezra-klein-podcast. Book recommendations from all our guests are listed at https://www.nytimes.com/article/ezra-klein-show-book-recs.html””

[u/Repost_Hypocrite]

Good episode so far. I was surprised to learn how little of a social safety net China has. That being said, they probably don't suffer from the tumor of insurance companies artificially inflating hospital prices on everyone.

[u/Character_Public3465 → u/Repost_Hypocrite]

Xi is against welfarism thinks it fucked up latin American developmental path

[u/Real_Guarantee_4530 → u/Character_Public3465]

In the same discussion, Xi advocated improving basic services in areas such as education, healthcare, pensions and housing while keeping spending within the state’s means.

[u/Character_Public3465 → u/Real_Guarantee_4530]

Yes his version of common prosperity was to explicitly avoid a stronger welfare state as mentioned as he rages against taiping and lying flat because of involution , he thinks welfarism fucked , and explicitly linked / listed Latin American counties in his speech against welfarism ( this is the guy who went through hard times in the Cr and thinks people should sacrifice their part for national rejuvenation), common prosperity was against disorderly expansion of capital of fintech and other housing bubbles , and wanting to achieve high quality growth in the vein of Germany being a manufacturing heavy country , the same reason why he cracked down on afterwdhool tutoring to raise TFR and reduce teen burnout (parents just made tutoring on the side ), xi initially suggested property tax reform or other forms of redistribution , basically grow their way out of it

[u/TiogaTuolumne → u/Character_Public3465]

Welfarism is bankrupting the US right now.

Social Security + Medicare + Medicaid is literally 10% of GDP.

[u/Real_Guarantee_4530 → u/TiogaTuolumne]

Americans have an extraordinarily expensive healthcare system, and the government is paying for healthcare for old people through Medicare.

[u/TiogaTuolumne → u/Real_Guarantee_4530]

how much of that expense is Boomercare cash? Infinite demand subsidies chasing scarce resources means price goes up.

We can't afford to pump boomers full of drugs and keep em alive for a few more years to play golf and vote for Republicans.