Has this question hit you like a sudden burst of rain? The European Financial Stability Fund is expected to hit the 1 trillion euro mark and this will not be possible without Chinese support. It is interesting to consider how an emerging market which till the last decade was a closed economy (with trade barriers) today is the knight in shining armour for the developed world.
Chinese President Hu Jintao visit for the G 20 summit later this week is being touted by the Europeans as an opportunity to win him over and get China to support the bailout. China on the other hand would use this opportunity not just to generate goodwill but also to fulfill its colonial ambitions. Knowing fully well the motives of China, Europe is still willing to bend that extra bit. Will this redraw the global trade balances? Is this a paradigm shift in not just global wealth concentration but also in power centres? Do post your thoughts and watch out for India's stance at G 20 later this week..Lots to ponder about!!!
1 comment:
Also, isn't Europe's appeal already a sign or declaration that China is already a Dominant Global Power? Another instance of Dominance is the Chinese currency, which is effecting the rest of the world , but then can we do anything about it?
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