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Effects of China's Software Policy on World Economy?
guptaparesh asks: "The Chinese government is currently engaged in a comprehensive overhaul of its procurement policies and regulations. These regulations would ban non-Chinese firms from selling software to the Chinese government. Given that how much trade all the countries in the world are engaged in with China, isn't this a unfair trade move by the Chinese government?" A better question would be how this might affect the worldwide economy, particularly that of the U.S. and China. What benefits and drawbacks may China see as a result of this new policy? What steps might the U.S. take to attempt to counter it?
These regulations would ban non-Chinese firms from selling software to the Chinese government.
So whats to stop US companies from opening 'chinese' companies?
air and light and time and space
In principle, this is bad. This is protectionism, and protectionism is a Bad Thing.
In practice, how bad this is depends on the details. Specifically, can a business get away with just having a Chinese subsidiary? And if that subsidiary can be in Hong Kong, many companies are already positioned to meet this requirement.
Imagine respecting international trade laws! Kind of a stretch, given a mafia government that respects nothing but power, and the money that flows from it.
Are you talking about the US or Chinese?
Good point. What's important to notice is who the US government is helping and why. Our government is interested in serving the rich inside our country because we are a plutocracy. The Chinese government IS the plutocracy, so naturally, they want to do things to benefit the industry inside their own country, the exclusion of all other industries.
What's funny is that from a class perspective, China's policy is more likely to help the little guy than the US's policy, so if anything, we should encourage China to foster their own industry. The greater the pool of software companies, the more of a demand there will be for labor, which should drive salaries up. This is why workers should encourage governments to help foster new players in industry.
If you make less than $500,000 a year, the last thing you should want is for governments to completely open their markets. The complete opening of markets will result in the eventual consolidation of worldwide industry, with predictable consequence of low wages, no benefits, and poor quality products. Keeping some barriers between large markets can be a good thing.
This is exactly what the US does do.
Many US government agencies do not use Checkpoint firewalls, solely because it's made by a company in Isreal.
China has a much more paranoid outlook. Good for them.
when China's economy lights up the real power will start to change hands. Thank god.
Thank god, indeed.
The US has quite a few flaws, but think long and hard on the above before you break out the champagne to celebrate Chinese dominance.
What part of "shall not be infringed" is so hard to understand?
> The US has quite a few flaws, but think long and hard on the above
:(
> before you break out the champagne to celebrate Chinese dominance.
Yea, but at the rate we are going down the ol shitter the fall of US world dominance is a forgone conclusion in another generation. So all we can hope is that we manage to export Western Civilization to places like China & India before we collapse. Because we certainly haven't had a use for it here the last 50 years and Europe no longer even remembers having had it.
Democrat delenda est
I take it you've never heard the expression, "If you owe the bank a grand, its your problem, if you owe the bank ten million, its the bank's problem"?
Are you suggesting that the US can just not pay it back and not have it affect the US economy?
The amount of money the US owes China is less an expression of need for a loan as it is a display of contempt for their ability to ever claim it back.
1) The US does need the loan at its current spending and trade deficit. Maybe they can get it from other usual places like Saudi Arabia and Japan, but we all know that they can't just print more money? (right?)
2) The US is not immune to the kind credit problems that causes mass economic and currency flux to bounce around between Asia, Russia, Mexico, etc.
The Chinese that I know, and there are many, I even speak a good deal of Cantonese, are so completely and utterly brainwashed by their upbringing that they will accept no criticism of their country, nor any discussion.
This could be said about a lot of countries, US included.