International Trade

The United States and China’s economic partnership has increased dramatically over the past years. Having a big population and a fast paced economy, China is a major market for the U.S. government. Thus, economic ties have stretched due to several issues, including China’s vast and expanding trade goods to the United States. China's fast transition to higher status, the U.S. and China merger has pushed the international relations into the spotlight of the world today.
Due to its low rate of saving, the United States takes from outside sources to finance the federal budget deficit. It solely depends on countries with high savings rates, such as China, to push some of their money and goods in the United States. “U.S. Treasury securities, which are used to finance the federal budget deficit, constitutes the largest category of U.S. securities held by China. As of June 2013, these totaled $1.28 trillion.”(Fas.gov 2013) United States policymakers have shown concern that China’s large amounts of U.S. money could spark a danger to the economy, in particular if China tried to deprive itself of larger shares of its interests.
One example, some argue China might be willing to sell a large share of its United States holdings, which would force other foreign countries to sell off their U.S. shares resulting in the undermine the U.S. economy. Some state China might use its large amounts of U.S. debt as a pawn in its negations with the United States. American policymakers oppose China’s shares of U.S. debt allow bargaining over the United States, because China continues to control the value of its money to the U.S. dollar.
For every $1 billion in exported goods to China in exports to China supports American jobs. The down side of that is ...

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