Recently, more and more economists , analysts and market participants are eyeing China. In addition, China’s economy is dominated by the region , and many countries are not heavily dependent on its condition, opinions about the fact that China may soon become leading to the level of the U.S. and the EU. Recently, the chief economist of “Sberbank of Russia ” , said under Chinese economic forum that the yuan has all chances to become the world’s reserve currency.
Such a statement , according to analysts TeleTrade, sounded more like a compliment from the Russian side , rather than a balanced and well-grounded analysis , because it is no secret that, in view of recent developments in Ukraine , Russia’s relations with the West have become quite tense.
Let’s look at this situation from the perspective of economic feasibility and probability . First, the leadership does not imply hegemony , so the Chinese leadership on a global scale should not equate to a regional or global dominance . China simply can not impose its will on other economies , and will not want as experience already and quite sad . In addition, the Chinese authorities did not want to spoil relations with developing countries and to interrupt a close partnership .
On the other hand , China can not become a leader in all matters is because he has a pretty limited resources and international influence . But , according to analysts TeleTrade, in China has all chances to become a world-class lobbyist in protecting the environment, raising the level of poverty , large-scale humanitarian programs and the creation of influential communities in East Asia.
Another aspect is the fear that China’s desire for leadership may provoke an international conflict . Although such a scenario is possible only if America will actively restrict China in its quest to become more visible on the world stage . In fact , the increasing role of China in Asia will benefit the region as provide order and , in turn, will prevent national tensions within the country itself.
That is, the theory is quite optimistic and encouraging . But , nevertheless , there is concern about the growing role of China. These fears are not groundless , too , as China controls many industrial sectors of the world economy , buying tons of gold and holds a lot of Treasury bonds. At any moment Celestial may well quite bring down the almighty dollar and bring turmoil on world markets. Suffice it to recall the recent ” draining” China U.S. bonds …
Is it possible to world leadership in China?
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