China’s massive weapon compared with the United States: Its capacity to save and invest in the rest of the world

The tension between China and the United States and their competition to be the most influential country in Asia clearly appeared at the APEC summit in November 2018 . We have to realise that in this competition betw een the United States and China, China will have powerful weapons: Its vigorous growth and the increase in the weight of its economy; Its rise up the value chain; But, above all, its extremely high level of savings; while the United States is accumulating external debt, China is accumulating external assets, and potentially has the means to make massive investments and acquisitions in the rest of the world.