In the Cold War, the foundation of diplomacy was mutual fear and hatred. With that behind us, interdependence has introduced a new system which includes much closer relationships – and something more like angst and loathing. So has our relationship with China evolved.
As China has awakened, the GDP has grown by a factor of ten since 1990. The population went from 22% urban to 52%. All of this came at the expense, and mutual support, of hungry US consumers, corporations, and our nearly limitless need to finance our debt. It was too much, too quickly, and wise investors saw that it was a bubble ready to pop – or at least relax the insane pace.
That day is coming very soon.