China May Be Having 'Big Debate' on Trade War, Lowy's McGregor Says

The transcript discusses former Governor Joe's concerns about asset prices and currency stability, advising against further stimulus and currency manipulation. It explores China's economic strategy, highlighting policy adjustments and the reform path amid US tariffs. The discussion extends to US-China trade tensions, focusing on potential responses and the impact on China's export market. Finally, it addresses the global economic implications of US-China relations, including political and economic decoupling.

What are the two main concerns expressed by former Governor Joe?

• Foreign investments and GDP growth

• Asset prices and currency stability

• Interest rates and unemployment

• Trade deficits and inflation

How does China plan to handle the challenges posed by US tariffs?

• By tweaking policies without disrupting reforms

• By implementing full stimulus measures

• By increasing domestic consumption

• By devaluing its currency

What is a significant concern for private companies in China?

• Lack of skilled labor

• Deleveraging and export market pressures

• High corporate taxes

• Strict environmental regulations

What is the potential impact of US tariffs on the global political landscape?

• Strengthening of international trade agreements

• A decrease in global trade tensions

• A hardening of political positions worldwide

• Increased cooperation between the US and China

What is one of the broader economic implications of the US-China trade tensions?

• Growth in US manufacturing jobs

• Strengthening of the Chinese yuan

• Decoupling of the US and Chinese economies

• Increased reliance on US exports