The Difference Between China and Germany

The NYT has a good editorial outlining the weak U.S. growth prospects, although the double-dip discussion is silly, we're looking at too slow growth, not a double-dip. The pieces makes another serious error at the end when it argues that Germany, like China, should reduce its trade surplus.

China and Germany are in fundamentally different positions in the world economy. China is an extremely fast growing developing country. It would be expected that China would have a large trade deficit. By ...