Again, what about the security concerns? The trade deficit is also an indicator of our reliance on foreign manufactured goods. What happens if a significant foreign power becomes hostile, or simply decides to start calling the shots. We buy a lot of goods from China, and I'm not convinced that in a crisis, we could spool up a manufacturing base(here or somewhere else) fast enough to avoid a domestic/economic crisis.
During WWII, we got bit in the ass for our reliance on Germany as a primary source of jeweled bearings (the kind used in gaging for avionics and weaponry). Congress passed the Jeweled Bearing Act to preclude it happening again.
China is becomming a Major player in OUR economy. Maybe not for high tech security stuff the modern day equivallent of jeweled bearings, but stuff like SHOES, HEAVY EQUIPMENT, HAMMERS, SHOVELS, (not concerned with discretionary stuff like consumer electronics) and a myriad of other relatively basic goods that we probably only notice when they are no longer available, or suddenly inflated to beyond reach prices because of demand on a limited availability.
China is positioning to win the war without firing a shot. Think about it - Where you gonna' get shoes?
