Putting Asia’s Savings to Work in Asia
From project-syndicate.org
For more than three decades, Asia has experienced faster economic growth than any other region. As it has developed, Asia has been exporting its savings, through a trade surplus with the United States, and re-importing them, in the form of direct and portfolio investment via New York and London – a process that has created severe, though largely overlooked, financial tensions.At the end of 2015, the combined net asset position of China, Hong Kong, Japan, Korea, Singapore, and Taiwan amounted to $7.3 trillion – almost exactly equivalent to the net international investment liability of the US. And this imbalance is not ...
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