Parallel Perspectives on the Global Economic Order

The United States and China are the world’s two largest economies. Over the coming decades, no two countries will have a greater impact on the global economic order—the system of institutions, rules, and norms that govern international economic affairs. A global economy that delivers strong, sustainable, balanced, and inclusive growth will depend on such a well-managed order. More than ever before, Washington and Beijing must work together to identify potential areas of cooperation, as well as manage our differences.
 
It is this collaborative mission that has inspired the deep and productive relationship between our two institutions, the Center for Strategic and International Studies (CSIS) and the Shanghai Institutes for International Studies (SIIS), for many years. Since 2015, we have cohosted the U.S.-China Dialogue on the Global Economic Order, a track 1.5 dialogue that has sought to build mutual trust, enhance communication, identify issues, and propose solutions. The series of semiannual workshops, alternating between Beijing and Washington, has covered a wide range of topics across the global economic order, including trade, investment, finance, and climate change. The dialogue has drawn scholars, former policymakers, and current officials from the United States and China across a wide range of institutions and disciplines.
 
This essay collection harvests some of the rich bounty of our two-year dialogue. Scholars from the United States and China have contributed parallel essays presenting their respective positions on a wide variety of topics in the global economic order. We hope that this collection will generate new ideas that scholars, policymakers, and citizens in both countries can use to solve the most urgent problems in the global economy.

Contents

Introduction: The United States, China, and the Global Economic Order in 2017, by Kevin Nealer

Chapter 1 | Current State and Evolution of the Global Economic Order

A Grand Bargain to Strengthen the Global Economic Order, by Matthew P. Goodman

World Economic Order: Present and Future, by He Fan & Ye Qianlin

Chapter 2 | Macroeconomic Policy Coordination

U.S.-China Macroeconomic Policy Coordination: A MAP Without Daggers, by David Loevinger & Spencer Rodriguez

Economic Rebalancing Should Be the Core of China’s Supply Side Reform, by Wang Yuzhu

Chapter 3 | Financial Regulation

Living in Two Worlds: Chinese and U.S. Financial Regulation, by Douglas J. Elliott

Financial Regulation Reform and Financial Stability, by Zhao Xijun

Chapter 4 | International Financial Institutions

Toward Better Multilateral Development Banks: Can the United States and China Lead Together?, by Nancy Lee

China-U.S. Cooperation for a More Effective Multilateral Development Bank System, by Ye Yu

Chapter 5 | Global Trade Policy

Opportunities for U.S.-China Trade Cooperation, by William Reinsch

Managing Bilateral Trade Policy: A Quest for Rebalancing the Global Economy?, by Shen Minghui

Chapter 6 | U.S.-China Bilateral Economic Relations

A New Era in U.S.-China Economic Relations, by Amy P. Celico

The Trump Administration’s Trade Policy and Sino-American Economic Relations, by Song Guoyou

Chapter 7 | International Investment Policy

Prospects for U.S.-China Cooperation on Global Investment Policy, by Scott Miller

Changes in Global Trade and Investment and Implications for China-U.S. Economic Relations, by Xue Lei

Chapter 8 | Sustainable Development

A U.S.-China Partnership on the Sustainable Development Goals, by Scott Morris

The Development and Transformation of China’s Foreign Aid, by Zhang Haibing

Chapter 9 | Infrastructure

Addressing the Global Infrastructure Deficit: Channels for U.S.-China Cooperation, by Ziad Haider

The Belt and Road Initiative: Progress, Problems and Prospects, by Fang Jin

Chapter 10 | Climate Change and Energy

The U.S.-China Climate and Energy Relationship, by Joanna Lewis

Finance, Trade Policy, and the Implementation of the Paris Agreement, by Zhang Zhongxiang