Chimerica

Historian Niall Ferguson and economist Moritz Schularick first coined the term in late 2006, arguing that saving by the Chinese and overspending by Americans led to an incredible period of wealth creation that contributed to the 2008 financial crisis.{{cite news|url=https://www.telegraph.co.uk/comment/5424112/The-trillion-dollar-question-China-or-America.html |location=London |work=The Daily Telegraph |first=Niall |last=Ferguson |title=The trillion dollar question: China or America? |date=2009-06-01}} For years, China accumulated large currency reserves and channeled them into US government securities, which kept nominal and real long-term interest rates artificially low in the United States. Ferguson describes Chimerica as one economy which "accounts for around 13 percent of the world's land surface, a quarter of its population, about a third of its gross domestic product, and somewhere over half of the global economic growth of the past six years."{{cite web |url=http://www.the-american-interest.com/article.cfm?piece=533 |title=What "Chimerica" Hath Wrought - Niall Ferguson - the American Interest Magazine |accessdate=2009-08-04 |url-status=dead |archiveurl=https://web.archive.org/web/20090721015335/http://www.the-american-interest.com/article.cfm?piece=533 |archivedate=2009-07-21 }} He suggests Chimerica could end if China were to decouple from the United States bringing with it a shift in global power and allowing China "to explore other spheres of global influence, from the Shanghai Cooperation Organisation, of which Russia is also a member, to its own informal nascent empire in commodity-rich Africa."

The accumulation of American debt, which has been estimated at over $800 billion, suggests the two nations are intrinsically linked; the economic symbiosis prevalent between the two suggests that separation would harm both countries and be disastrous for the global economy.{{citation needed|date=June 2011}} Another way to measure this integration is the trade deficit. The US trade deficit with China was $295 billion in 2011, meaning the US imported that much more goods and services from China than it exported to China. The Economic Policy Institute estimated that from 2001 to 2011, 2.7 million US jobs were lost to China.[https://www.reuters.com/article/us-usa-china-trade-idUSBRE87M0T420120823 "U.S. trade gap with China cost 2.7 million jobs"], Reuters, August 23, 2012 The concept of Chimerica supplements and/or supplants Nichibei, or the similarly constructed Japan-U.S. economic model and relationship that had been prominent in years before the development of Chimerica. The idea of Chimerica features prominently in Ferguson's 2008 book and adapted television documentary The Ascent of Money, which reviews the history of money, credit, and banking.{{Cite book |last=Ferguson |first=Niall |url=https://www.worldcat.org/oclc/237176823 |title=The ascent of money : a financial history of the world |date=2008 |publisher=Allen Lane |isbn=978-1-84614-106-5 |location=London |oclc=237176823}}

• Alan M. Taylor's collaboration with Moritz Schularick
• Bretton Woods II
• Chindia
• Global saving glut
• Group of Two
• Moritz Schularick on German Wikipedia
• Pacific Century
• Sino-American relations
• Chimerica, the play

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Category:2008 in economic history

Category:2000s in economic history

Category:2000s neologisms

Category:China–United States relations

Category:Economy of China

Category:Economy of the United States

Category:Great Recession