China Not Strong Enough for Confrontation With U.S., Says Enodo Economics' Choyleva

The video discusses the geopolitical strategies involving China and the US, focusing on the economic and trade dynamics. It highlights China's current economic challenges and the potential impact of tariffs on supply chains and consumers. The discussion extends to the broader geopolitical shifts and their implications for financial markets, including the rise of equity risk premiums and inflation, drawing parallels to a new digital Cold War.

What strategy is being used by the US in its international relations with China?

• Soft power diplomacy

• Divide and conquer

• Carrot and stick

• Good cop, bad cop

Why is China not ready for a full confrontation with the US?

• It is focused on internal reforms

• Its economy is not yet self-sustaining

• It lacks military strength

• It has strong alliances with Europe

What is a potential consequence of the tariffs on $200 billion of goods?

• Decrease in US consumer prices

• Increase in global trade agreements

• Disruption of supply chains

• Strengthening of US-China relations

How might the US-China geopolitical confrontation affect financial markets?

• Decrease in equity risk premiums

• Stability in bond markets

• Increase in equity risk premiums

• Reduction in inflation rates

What term is used to describe the current geopolitical situation between the US and China?

• Cold War 2.0

• New digital Cold War

• Trade War

• Economic Standoff