International Imbalances

Ten years ago, I visited the Cayman lslands, which is more or less the most remote place that I had been and certainly the most removed from China. I was impressed to see that there was still a Chinese restaurant on the island. It gave me the impression that wherever there are people, there will be some Chinese people doing business among them. Two years later, I saw a small souvenir shop in Puerto Rico with a notice outside stating that the shop doesn’t sell products “made in China”. When I went into look, I found many products were from Yiwu, a manufacturing hub in ZhejiangZhejiang province in China, on the shelves.