M-RCBG Associate Working Paper No. 200
Financial Competition and Coexistence in a Bipolar World: Building an Effective U.S. Strategy for Engagement with China
Connie M. Friesen
This paper explores ways in which the United States might shape the structure and terms of its financial engagement with China more effectively. The recommended policies envision international institutions, payment systems and strategies that will affirm U.S. interests and values, demonstrate economic leadership in a bipolar world and promote a stable relationship with China. Steps that the United States might take to protect the primacy of the U.S. dollar (“USD”) over the long term and promote payment systems and strategies led by the United States and its allies are identified and evaluated.