![\"\"](\"https:\/\/advisor.wellington-altus.ca\/therosedalegroup1\/wp-content\/uploads\/sites\/32\/2019\/09\/Love-Letter-Sept-Image.jpg\")
<\/p>\nViewers of Let\u2019s Make a Deal, the TV game show of yesteryear, will remember the intrigue
\nas the two final contestants had to choose among three doors before the set of prizes was
\nrevealed one by one. Occasionally, host Monty Hall would give contestants the option to
\nchange their selection after the first door was opened, furthering the anxiety for contestants
\nand audience alike. The current trade-war between the U.S. and China is unfolding with
\nmuch greater intensity and its outcome, whether positive or negative, will continue to
\ndictate the path of the global economy and markets in the weeks and months to come. The
\n13th round of talks is set to take place in Washington during the week of October 7.<\/p>\n
Unlike the game show, we already know what\u2019s behind each door. What we don\u2019t know is
\nwhich door U.S. and Chinese leaders will agree on: a comprehensive deal, a partial deal, or
\nno deal. Before exploring each scenario and its likely consequences, a quick contextual
\nreview is warranted to set the scene. Loosening of trade policy has been used historically to
\npromote mutual prosperity and to reduce social, political, and ideological barriers between
\nsovereign states. Subject to regular reviews, China was repeatedly granted \u201cmost favoured
\nnation\u201d trade status by every U.S. administration since 1980, and this position was made
\npermanent in 2000 and paved the way for China to join the World Trade Organization in
\n2001. As part of its admission to the WTO, China agreed to global trade regulations. With a
\nburgeoning and low-cost work force, China quickly become the manufacturing hub of the
\nworld. This rise in prominence aided China\u2019s domestic economy (China is now the 2nd largest
\neconomy after the U.S.), while also providing global consumers with cheaper goods and
\nboosting margins for businesses. Eighteen years after joining the WTO, China runs enormous
\ntrade surpluses with most developed nations (exhibit 1) and is accused of currency
\nmanipulation, theft of intellectual property, and imposing barriers to foreign businesses.
\nEnter a populist U.S. president with a unique style of diplomacy\u2026 the result is a game of
\nchicken between the world\u2019s two largest economies. Now to what lies behind the three
\ndoors:<\/p>\n
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Let\u2019s make a deal Viewers of Let\u2019s Make a Deal, the TV game show of yesteryear, will remember the intrigue as the two final contestants had to choose among three doors before the set of prizes was revealed one by one. Occasionally, host Monty Hall would give contestants the option to change their selection after […]<\/p>\n","protected":false},"author":57,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_oasis_is_in_workflow":0,"_oasis_original":0,"_oasis_task_priority":"","_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[25,19],"tags":[22],"class_list":["post-1264","post","type-post","status-publish","format-standard","hentry","category-love-letters","category-read","tag-the-love-letter"],"yoast_head":"\n