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Economic Commentary

The Economic Rise of China: Threat or Opportunity?

China’s economy is opening up to the outside world. This worries those who fear that country’s huge pool of low-cost labor will drain jobs from U.S. shores, and less expensive goods will spark trade problems. The author points out that not only does China’s untapped market present huge opportunities for U.S. businesses that would surely outweigh any loss of jobs, but the sort of jobs that would move to China left the U.S. a long time ago. And with respect to fair trading practices, China has made much progress.

The views authors express in Economic Commentary are theirs and not necessarily those of the Federal Reserve Bank of Cleveland or the Board of Governors of the Federal Reserve System. The series editor is Tasia Hane. This paper and its data are subject to revision; please visit for updates.

Suggested Citation

Lardy, Nicholas R. 2003. “The Economic Rise of China: Threat or Opportunity?” Federal Reserve Bank of Cleveland, Economic Commentary 8/1/2003.

This work by Federal Reserve Bank of Cleveland is licensed under Creative Commons Attribution-NonCommercial 4.0 International