WEWEYER Increased steadily in the 1990s, especially after China's accession to the WTO in 2001 (see the following Figure). The trade surplus reached $419 billion USD in 2018, In May 2018, the Trump Administration launched a trade war against China with the aim of alleviating the trade imbalance between the two countries. In January 2020, a bilateral agreement was signed in which the Chinese government agreed to buy an additional 200 billion of US exports in 2020 and 2021.0 $600bn $500bn $400bn $300bn $200bn $100bn 0 Source: US Census 1990 1997: Asian financial crisis 2007-10: Global financial crisis 2001: China joins World Trade Organization 2000 2010 Imports 2018 trade deficit: $419bn Exports DDDDD-00-00 BBC 00508 A recent article by The Wall Street Journal in February 2022 reported the latest progress, as follows: In 2021, the trade deficit with China grew from 14.5% for the full year to $355.3 billion, reversing the decline that followed then President Donald Trump's policies to reduce the deficit with tariffs and purchase targets. According to an analysis by Chad Bown, a senior fellow at Peterson Institute, China has bought 57% of the U.S. goods and services it committed to purchase over 2020 and 2021, under the bilateral agreement signed with the Trump administration in January 2020 International Economics. Based on these facts and observations, answer the following questions 5a) Briefly explain the comparative advantages theory in the context of US-China trade 5b) On what economic ground would you agree with the Chinese government's view that the US-China trade e governmen imbalance is caused by the domestic saving-investment disparity within the U.S.? CAT ---- THE WI 5c) 20 On what economic ground would you agree with the U.S. government's view that the trade imbalance is c ground wou you agree with the U.S. due to trade barriers (triff and/or non-tariff barriers) set up by the Chinese government? DE and/or o 239 Administration China has run a bilateral trade surplus with the United States since the late 1980s. These surpluses increased steadily in the 1990s, especially after China's accession to the WTO in 2001 (see the following Figure). The trade surplus reached $419 billion USD in 2018. In May 2018, the Trump launched a trade war against China with the aim of alleviating the trade imbalance between the two countries. In January 2020, a bilateral agreement was signed in which the Chinese government agreed to buy an additional 200 billion of US exports in 2020 and 2021. 050 05O DIE WEWEYER Increased steadily in the 1990s, especially after China's accession to the WTO in 2001 (see the following Figure). The trade surplus reached $419 billion USD in 2018, In May 2018, the Trump Administration launched a trade war against China with the aim of alleviating the trade imbalance between the two countries. In January 2020, a bilateral agreement was signed in which the Chinese government agreed to buy an additional 200 billion of US exports in 2020 and 2021.0 $600bn $500bn $400bn $300bn $200bn $100bn 0 Source: US Census 1990 1997: Asian financial crisis 2007-10: Global financial crisis 2001: China joins World Trade Organization 2000 2010 Imports 2018 trade deficit: $419bn Exports DDDDD-00-00 BBC 00508 A recent article by The Wall Street Journal in February 2022 reported the latest progress, as follows: In 2021, the trade deficit with China grew from 14.5% for the full year to $355.3 billion, reversing the decline that followed then President Donald Trump's policies to reduce the deficit with tariffs and purchase targets. According to an analysis by Chad Bown, a senior fellow at Peterson Institute, China has bought 57% of the U.S. goods and services it committed to purchase over 2020 and 2021, under the bilateral agreement signed with the Trump administration in January 2020 International Economics. Based on these facts and observations, answer the following questions 5a) Briefly explain the comparative advantages theory in the context of US-China trade 5b) On what economic ground would you agree with the Chinese government's view that the US-China trade e governmen imbalance is caused by the domestic saving-investment disparity within the U.S.? CAT ---- THE WI 5c) 20 On what economic ground would you agree with the U.S. government's view that the trade imbalance is c ground wou you agree with the U.S. due to trade barriers (triff and/or non-tariff barriers) set up by the Chinese government? DE and/or o 239 Administration China has run a bilateral trade surplus with the United States since the late 1980s. These surpluses increased steadily in the 1990s, especially after China's accession to the WTO in 2001 (see the following Figure). The trade surplus reached $419 billion USD in 2018. In May 2018, the Trump launched a trade war against China with the aim of alleviating the trade imbalance between the two countries. In January 2020, a bilateral agreement was signed in which the Chinese government agreed to buy an additional 200 billion of US exports in 2020 and 2021. 050 05O DIE