A BIT between the United States and China should be the highest priority to support investments flowing in both directions. This would fit nicely into what Chinese policy makers like to say would be a “win-win” for both sides. Regrettably, this part of the president’s agenda has been given less attention in favor of protectionist sentiments.

Yukon Huang and David Stack are respectively senior fellow and junior fellow at the Carnegie Endowment. This note draws on Yukon Huang’s forthcoming book, Cracking the China Conundrum – Why Conventional Economic Wisdom Is Wrong.

Image: Chinese shipping containers in Oakland, California. Flickr/Creative Commons/Jed Sullivan.