Economic security

 

Dalio Says ‘Time Is on China’s Side’ in Power Struggle With U.S.

Bridgewater Associates founder Ray Dalio said China has an advantage over the U.S. on a range of issues.

“Time is on China’s side and it’s not on the United States’ side, for various developments,” Dalio said Monday in a conversation with New York Times columnist Thomas Friedman at the Milken Institute Global Conference. “What’s going to be a difficult situation in the new administration is destiny is on the side of China growing, and doing better probably.”

He noted how China’s economy has rebounded faster during the pandemic than that of the U.S. and that the listing of “hot” companies on Chinese stock markets is attracting capital. He also said China’s higher interest rates mean the nation is in a better position of “not having to print money.”

In July, Dalio warned in a LinkedIn post that tensions between the U.S. and China could spiral into an armed conflict, saying there’s “usually an economic war” before “a shooting war.” Later that month, he said the two nations may find themselves ensnared in a “capital war” that could hurt the dollar.