Financial Times columnist Gideon Rachman has made his own
case against President Trump. Since he does not belong to the unhinged left and
should not be compared to the New York Times’s idiot savant Paul Krugman, Rachman's words should be taken with some seriousness. At the least, they will show us
why the liberal left opposes Trump, how the same liberal left will attack Trump in the future…
and why it might mean that Trump is doing something right.
Rachman opens with a cavalier dismissal of Trump’s
diplomacy. Trade deals are mostly smoke and mirrors. Negotiating with North
Korea, a fruitless exercise. It’s all for nothing. One does not recall what
Rachman was saying about Obama’s do-nothing policy toward North Korea and his
submission to Russia and China… but you can guess.
Rachman writes:
In a
few weeks time, the US president will declare a great victory. His loyal aides
will play along. But the underlying reality will be that not much has actually
changed in the economic relationship between the US and China — in the same way
that not much changed in the trade relationship between the US, Canada and
Mexico after Mr Trump’s team renegotiated the North American Free Trade
Agreement.
Just as
North Korea has not actually scrapped its nuclear weapons, so China will not
actually scrap its system of state subsidies for industry, the most fundamental
way in which Beijing disadvantages foreign competitors.
Instead,
the Chinese are likely to buy off Mr Trump with pledges to purchase lots more
American goods. They will also open up more sectors of their economy to US
investment and tighten laws on intellectual property. This will probably not
affect America’s trade deficit with China. And it will certainly not impair
China’s drive for dominance in the technologies of the future.
If Trump is a blowhard, what does that make Rachman? In
truth, and to shed a little light into the darker corners of his mind, we can
easily remark that we do not yet know the outcome of the diplomatic initiatives
toward North Korea and the trade negotiations with China. Similarly, we do not
yet know the outcome of the revised NAFTA agreement.
Anyway, Rachman does understand that America is currently
competing with China for economic and political influence in the world. And
yet, he, a weak-kneed idealist, imagines that we can win it all with
ideas. That is, we can counter Chinese anti-carrier missiles by flinging our
ideas about freedom and democracy at them.
In that, he shows himself to be hopelessly naïve. Were it
not for the fact that this premise undergirded the Obama foreign policy, we
would dismiss it out of hand. And were it not for the fact that Western
European leaders are still on board with the Obama policies, we would ignore it.
That matters because America’s most potent weapon in its emerging contest for supremacy with China is not its economy, nor its aircraft carriers, but its ideas. The notion that abstract principles like “freedom” and “democracy” are powerful American assets is sometimes dismissed as liberal wishful-thinking. But Chinese actions suggest otherwise. The government of Mr Xi does its utmost to suppress the circulation of liberal and western ideas, censoring the internet and cracking down on dissidents, students and human rights lawyers.
If you give it more than a cursory thought, and if you ask
yourself why President Xi has been cracking down on human rights lawyers,
dissidents, activists and radicals, you might come to the obvious conclusion.
Too obvious for Rachman, as it happens.
That is, the Chinese are watching with these groups have
done to America and they do not want them to do it to them. They see tolerance
toward radical Islam in the West and do not want it. They see an America
divided against itself, an America whose social fabric is shredding, and they
do not want it for themselves. China and many other countries in the world see
Western ideas as a contagion, a toxin, and they are simply not buying.
If we cannot make America into a thriving democracy, where
people get along with each other, and are not consumed by a will to destroy
each other, then no one is going to buy whatever we are selling.
Rachman does not live in America and does not understand
what is going on over here. He looks at America through rose colored glasses,
and misses the truth, entirely:
Compared
to China, America still provides an inspiring example of a free society in
action. But the fact that the US president regularly trashes the “fake news”
media, and that his administration has separated thousands of illegal migrants
from their children at the US border, blurs what should be a bright line
between the practices of a democracy and those of an authoritarian state.
The greatness of America, like the greatness of Western
Europe, lies in opening its arms to unassimilable migrants. Once-Great Britain has descended into political dysfunction. Its streets are plagued by knife attacks. It allows high school girls to be groomed by Muslim ganga. It is falling to pieces under the weight of an influx of migrants… and Rachman
thinks that everything is great.
Yes indeed, we have more freedoms than China. After all,
they have a communist government. And yet, we also have more bureaucrats per
capita, more regulations, more trial lawyers, more social justice warriors,
more activists, more environmentalists, more diversity mongers and more labor
unions. Don’t these forces constrain economic growth? One might even say that
President Trump has been trying to release the shackles that these groups have imposed on
the American economy. And that the entrenched interests have fought him tooth
and nail to hold on to their jobs.
But, then Rachman waxes lyrical about the Tienanmen
demonstrations in 1989. He sees in the goddess of democracy, not a pagan idol,
but a flicker of hope for a more democratic China. But seriously, his blinkered
Western outlook and his boundless capacity for empathy has made it impossible
for him to see the obvious. While we Westerners saw the Tienanmen
demonstrations as a reprise of Woodstock, the leaders of China, led by Deng
Xiaoping, saw them as a return of the Red Guards and of the Cultural
Revolution.
If you don’t see that you will never understand what
happened in China in 1989.
Predictably, Rachman does not see it:
The
fact that previous US presidents spoke up for human rights was more than an
irritant to the Chinese one-party state — it was a threat. There was no better
symbol of this than the “Goddess of Democracy”, built by pro-democracy
demonstrators in Tiananmen Square in 1989, which bore an uncanny resemblance to
America’s Statue of Liberty. The Tiananmen uprising was bloodily repressed and
the “Goddess” was torn down. But Chinese liberals have continued to look to
America for inspiration and support. Human rights were only one item on the US
agenda when dealing with China. But they were a crucial part of what America
stood for in the world.
Rachman might have recalled that the Bush administration
went easy on China after the crackdown. One does not understand why Rachman
does not pay more attention to that diplomatic restraint. And, you might ask
yourself, if you want to be mildly objective, how China has been doing post-Tiananmen.
Keep in mind, New York Times columnist Nicholas Kristof
prophesized at the time that the Chinese regime would surely fall. That the
masses of Chinese workers would soon rise up to smite their oppressors. Kristof
was not the only fool who missed the point entirely, but in truth, after the
square was liberated the Chinese nation
went back to work. The regime did not fall. Deng Xiaoping has been written into
history as an enormously successful economic reformer. And a rising China now
competes against America on the world stage. None of us liked what happened in Tiananmen
Square, but a minimal knowledge of history would have drawn a different lesson.
We would have seen that the Chinese people did not want to return to the days of
the Cultural Revolution and did not want to allow students to dictate policy.
One is shocked to see a Financial Times columnist blind
himself so completely to reality. Could it be that Donald Trump understands
this, while Gideon Rachman does not? Stranger things have happened.
As a footnote consider this column by Tom Holland. (via
Maggie’s Farm) His point is that Europe is caving in to Chinese influence,
through what President Xi calls the One Belt; One Road Initiative.
If you imagine that Western European nations, for all their sanctimonious
mewling about freedom and democracy, can stand up against China, you are
dreaming.
Holland makes the point:
The
truth is that Europe is too exposed, has too much to lose, and is too
fragmented to present an effectively assertive front to China over bilateral
economic affairs.
With
the EU’s largest economies prevented by the strictures of euro zone membership
from juicing up their domestic demand with tax cuts or additional government
spending, in recent years the EU has been heavily reliant on exports to Asia,
and China in particular, to prop up its growth.
As a
result, China’s slowdown has hit Europe hard, with Italy in recession, Germany
on the brink, and euro zone growth forecast barely to exceed 1 per cent this
year.
And Europe is not doing very well:
In
Italy, for example, net investment in infrastructure has turned negative since
2012, to the tune of around 10 billion a year. In other words, Italy is now
investing 10 billion euros less a year than it needs simply to offset the
depreciation of its existing infrastructure
It is
no wonder the country’s bridges are crumbling, and no surprise that Rome was so
keen to sign up for investment from China under the Belt and Road
Initiative.
And also:
With
Spain, Portugal and Greece in similar, if less extreme positions, and much of
eastern Europe also eager for inward investment, China has found little
difficulty recruiting allies at the EU decision-making table – allies who will
ensure that Brussels will never walk the walk when it comes to confronting
China over its naked economic nationalism.
So, on
closer examination, the EU’s more assertive stance towards China largely
evaporates. Yes, China will face greater difficulty in future acquiring high
technology companies in some European countries, principally Germany. But then,
in the past it faced no restrictions at all, much to the amazement of Chinese
officials.
So, Western Europe, drunk on its ideals, cannot compete. Do
you really believe that China is dying to adopt Western European and American
ways?
"[China] will also open up more sectors of their economy to US investment and tighten laws on intellectual property."
ReplyDeleteA more open economy and tighter IP regulations don't matter?
Rachman in 2017, NY Review of Books:
"A protectionist drive by the Trump administration is likely to raise living costs in the United States without doing much to boost employment."
"The labor market is strong and should encourage steady spending by consumers [and the] Fed also sees little risk of a surge in inflation."
--- MarketWatch, 2/22/19
"The unemployment rate is the lowest it’s been since 1969."
---NPR headline, 10/5/2018
Why, Rachman's as prescient as Aswad al-Gore, climate prophet! Doom!
Rachman: My Mind's Made Up! Don't confuse me with facts.
ReplyDelete"Rachman does not live in America and does not understand what is going on over here. He looks at America through rose colored glasses, and misses the truth, entirely:" Sounds to me more like he's looking thru badly ground and very dark lenses.
"One is shocked to see a Financial Times columnist blind himself so completely to reality." (See first comment above.)
"If you imagine that Western European nations, for all their sanctimonious mewling about freedom and democracy, can stand up against China, you are dreaming." Not so much about "can", but "will" (which I expect to be "won't").
" With the EU’s largest economies prevented by the strictures of euro zone membership from juicing up their domestic demand with tax cuts or additional government spending, in recent years the EU has been heavily reliant on exports to Asia, and China in particular, to prop up its growth." I wonder just how long the EU will last. If I can match my mother, I've got another 18 years. I rather expect to see the EU disassembled before then.