JPMorgan CEO Dimon
In the letter, Dimon dissected the strengths and weaknesses of the Chinese Communist Party and reflected on the United States, the Nihon Keizai Shimbun reported. He wrote: “The Chinese Communist Party has no path to economic hegemony,” and “despite my deep and abiding faith in the United States and its extraordinary resilience and strength, we do not have a God-given right to win.
He said Communist leaders see the United States as going downhill – a gradual defeat in technology, infrastructure, and education, torn by politics and inequality, and unable to coordinate government policies that accomplish national goals. “Unfortunately, many of these perceptions have recently come true,” he said. While the Chinese Communist Party’s system of government has allowed for years of consistent leadership and policy implementation, he argued that in the face of the Chinese challenge, the U.S. government must also implement multi-year budgets and programs that make long-term public policy possible.
Echoing President Biden’s vision of a post-epidemic economic recovery, Dimon said Washington urgently needs to invest in infrastructure or invest in research and development to promote smart industrial policies for key technologies, areas where the free market alone is not enough. He also stressed that the U.S. must deal with its disparities, writing, “The fault line is disparity.”
Beijing is not an invulnerable adversary, he said, and the Communist Party will have to confront major problems over the next 40 years, including environmental issues, inefficient state-run enterprises, record levels of debt, flawed financial markets, an aging population, a growing wealth gap, increasing political pressure from Western governments, and conflicts with its Asian neighbors.
He noted that while the Communist Party’s recent successes have given its leadership confidence in authoritarian rule, “the growing middle class has always demanded political power, which is why authoritarian leadership always tends to be unstable in large, complex economies,” adding that the lack of transparency and the rule of law predicts a difficult internationalization of the yuan.
Basically, we don’t have to fear the success of the Chinese Communist Party, we just have to fear our own failure because that’s the only thing that really limits us,” Damon said, adding that the United States just has to “roll up our sleeves and push for bold leadership to solve the problems we’ve created for ourselves. “.
Recent Comments