American and Chinese workers are paying a high price for all the cheap goods. ~The Atlantic. Let’s look at a comparison of America’s Economic Management vs China’s:
An interesting viewpoint in which the author claims that cheaper goods are bad for the global economy because cheaper goods make for noncompetitive markets. Therefore, China should raise its prices to western levels so that other western countries can compete. That way, western consumers will disappear because we won’t be able to afford – anything. Causing global economies to completely collapse.
What the author is not is an economist.
The claim that China’s government subsidizes its goods so as to make them cheaper apparently ignores the fact that the US Government subsidizes; aerospace, agriculture, defense, energy, and technology. And still causes everything to be unaffordable resulting in massive hardships across America. While the author, a Jewish American, lives in – China.
The problem with anyone trying to decipher China in any real aspect is the fact that nothing is transparent, therefore facts are unavailable. For Example: the IMF, and the World Bank often cross-reference China’s official GDP using independent metrics. These include satellite imagery of night-time luminosity, electricity consumption, and freight volume. I kid you not.
Subsidies in America have contributed to a virtual welfare program that enriches the elite at the expense of the taxpayer. We subsidize every defense contractor, including Boeing and Intel who milk the government for billions! In 2024, Boeing had a loss of $12.2 billion, in 2023 their loss was $2 billion, and in 2022 their loss was $5 billion. CEO Dave Calhoun’s compensation package was $33 million in 2023 – his exit package is unknown. Incoming CEO Kelly Ortberg’s salary for the last five months of 2024 was $18.4 million. This is what Americans subsidize.
But the problem is China.
It has become a bizarre game we play comparing the unknowns of China, Russia, and Iran economies against America’s. The Atlantic, CSIS, NED, are psychologically obsessed with fabricating data that is wholly unavailable to prove a point that doesn’t exist. It is no different than Scientists piling 20 facts on top of a theory and claiming the end result is a fact. Or the FBI citing National crime statistics when: 32% of Florida Agencies report their crime stats to the FBI, NY – 23%, California and Texas only 48%.
In order to have national crime statistics, every agency in every state should be reporting – otherwise your value has a 77% potential ERROR RATE. When I took Statistics, an error rate of no more than 3% was considered allowable. The concept of inflation is based on each country’s government in their ability to economically understand where to go for the best pricing while concentrating on supplementing and sharing instead of beating and competition. But competition is the mainstay of American ideals. As we are now witness to the new arena theatre at the White House that required the bulldozing of all vegetation life. In celebration of America’s 250th anniversary in which Americans are disinvited to attend. The Fight Venue is by ‘invite only’.
According to the World Economic Forum, China has a wholly different type of government and production capability – when Iran oil became scarce, China simply shifted its focus of exports to solar and cars while every other western country stagnated causing constant upticks in inflation which will become hyper as the trucking collapses as it did during CoVid supply chains. America’s manufacturing base is laying off workers. Why? Weaker demand, higher cost of raw materials, US Tariffs, and supply shortages.
Instead we are focused on ‘data center’ buildout that produces zero revenues to add to the GDP and trade! We are focused on endless Wars that deplete inventories requiring higher taxes to increase production. And the only thing keeping America afloat at all is higher oil prices due to the shutting of the Strait of Hormuz… Ironic.
US crude exports hit a record high in May climbing to 5.6 million barrels per day – Asia and Europe buy up what they can. So why don’t the prices come down in America? Consumption in America is 20.6 million barrels per day while production is 13.6 million barrels. Of the 13.6 we export 5.6 leaving a gap 12.6 million barrels per day… Logical? It helps to artificially keep the prices up – like a magician’s trick – watch this hand, not the Tricky Don Trick.
Valero Energy is one of the largest American oil producers. Their revenues for 2024, 2023, and 2022 were all in decline. Revenues as of March 31, 2026, were up 7% year over year. ExxonMobile: Compared to their pretax revenue during the CoVid hype, profits have tanked 48%. Chevron: Pretax Revenue dropped 61% from 2022 as of 2025. Is this why Trump is blockading the Strait? On behalf of Big Oil?
Americans get the shaft while oil companies recoup lost revenue for themselves and gas prices remain high creating shortages of goods and inflation. Purposefully. This is supposedly ‘Capitalism’. While China’s economy based on $1.5 trillion in excess trade benefits its citizens. And somehow China needs to raise their prices so as to make the high priced world more ‘competitive’… Good Show!
