it is not as easy as it looks. there is the widening gap of incomes among the population (characteristic of capitalist development). and the inequitable development between its coastal and interior regions. Chinese wages are also artificially low (to make it more conducive for manufacturing). couple this with high inflation and you have a volatile situation in your hands. since they are heavily dependent on foreign markets, any hiccup in the world economic scene makes them particularly vulnerable. all of these are prime ingredients on why China might not be able to produce significant domestic demand any time soon.
********r is right, Japan is the US' main ally. ours is just for show.![]()





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