U.S.: China looking beyond Taiwan

[HenryTo]

Let's just say that if China did attack Taiwan, the entire Asian economy would literally collapse in a way you wouldn't believe. The global supply chain of, say, a company like Dell is very much intertwined with the Taiwanese and the Chinese economy - and a war (even a very limited one) between those two countries would literally drive every major global company out of those two countries (except for companies that are trying to sell consumer goods in those two countries). China - the world's manufacturing center - would see its economy literally collapse overnight - and it probably won't be able to recover for a whole generation. Hong Kong would disappear off the world's map as one of the major global financial centers.
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WASHINGTON (AP) -- China cannot be certain that its military, while steadily strengthening, is capable of conquering Taiwan, the Pentagon said Tuesday in a new report on Chinese military power and strategy.

Over the longer term, however, an increasingly modernizing Chinese military could pose a threat to U.S. and other forces in the Asia-Pacific region, it said.

Original link: http://www.cnn.com/2005/US/07/19/china.us.military.ap/index.html

[rffrydr]

Money can become politics before economists have any idea:

http://www.reuters.com/article/idUSTRE5B906Y20091210

http://www.nytimes.com/2009/12/10/world/asia/10jakarta.html?_r=1&hp


Check out the new Reuters site.
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