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MIDTERM - ESSAY - INTL 5400 - Research Paper Example

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Name: Course: Tutor: Date: Trade Dispute between China and the U.S. over Governmental Clean Energy Subsidies No country is independent in terms of economy because the resources are limited and distributed across countries differently. While some countries are endowed with more of a given resource, others are endowed with other resources…
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Download file to see previous pages China and the U.S. have been engaged in trade disputes especially concerning the production of energy. The disputes emerged at the time when other countries especially China feel that the policies of the U.S. regarding energy production are not favorable to their country interests. Each country has its interests that it seeks to protect through establishment of subsidies and tariffs to the corporations involved in the production of energy as discussed in this paper. The Dispute The hegemonic theory can be used to explain the existing dispute between China and the U.S. This is because China established that U.S. policies are not favorable to China, but are only meant to meet U.S. interests. Therefore, “… THE DRAGON HAS RISEN TO CHALLENGE THE EAGLE’S HEGEMONY BY ADOPTING THE MONETARY SYSTEM THAT WAS MADE IN AMERICA” (Brown, pp. 260). The dispute between the two countries regarding the production of energy is vested in the production of green energy that is friendly to the environment. While the U.S. would like its companies to be involved in the leading role of energy production globally, it is important to note that China too would like its companies to take the leading role. ...
ama favors initiation of tax treatment for wind power and solar power as well as an increase in the expenditure of the federal government on the energy sources. The U.S. government has also set aside $50 billion as loans to firms producing nuclear power. The U.S. president also seeks to increase the electricity produced form cleaner sources by twice by 2035. Such policy would manipulate the energy markets. Therefore, the U.S. has clear cut goals regarding increase of clean energy while letting utilities achieve them. On its part, China has also undertaken various measures toward the manufacture of clean energy. China’s rapid economic growth was fueled by the decision made by leadership of the country to embrace a capitalist approach to the growth of the economy. This leadership also adapted economic policies that opened up China to foreign investments, and implemented free market reforms in 1979 thereby making it a major global economic and trade power (Morrison 1). Despite its growth, China enforced methods and policies on its people to bolster and maintain the economic growth bordered on dictatorship. Changes in policy and property ownership rights made the Chinese people lose their properties and investments. Economic reforms made many Chinese change their jobs and habitual lifestyles. Redistribution of land to poor peasants and prioritization of agriculture stabilized the agricultural production making it possible for the country to feed its whole population (Thomas 23). The Chinese government owns and controls major industrial and economic sectors in areas such as transport, communication, energy and financial services (Thomas 26). The government regulates the economy by gearing its reforms towards higher productivity, better living standards and exemplary ...Download file to see next pagesRead More
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