WHO'S BEST ON CHINA?
Neither candidate impresses me all that much on China. Both seem to suffer from the out-of-date notion that we can "stand up" to Beijing, as if the power balance between the two nations hasn't drastically changed over the past decade. I find Romney's rather simplistic approach to China a bit surprising for a guy who claims to be a business guru. Romney morphs from a champion of free markets and private enterprise into a proponent of tariffs and state protection when it comes to China. I fear his combative attitude would sour relations with Beijing and lead to retaliation.
Obama's rhetoric is not helpful either, but, in my opinion, he does see America's relationship with China in much broader terms than Romney. Contending with China doesn't just mean fixing currencies and resolving trade disputes. It requires preparing the American workforce for even more intense competition from a rising China in the future. Here's what Obama said on Monday:
Over the long term, in order for us to compete with China, we've also got to make sure, though, that we're taking care of business here at home. If we don't have the best education system in the world, if we don't continue to put money into research and technology that will allow us to create great businesses here in the United States, that's how we lose the competition.
Obama realizes the U.S. will need all the advantages it can get in order to maintain its competitiveness. Romney seems to believe all the U.S. requires to maintain its competitiveness is tax breaks. Both candidates talk about creating a level playing field with China. Obama has a stronger, wider vision of how to make that happen.