Is China diverting foreign direct investment (FDI) from other developing countries? Theoretically, a growing China augments other countries' FDI by creating more production networking and raising demand for resources. However, low Chinese costs lure multinationals away from other production...

The paper provides a simple comparative analysis of Japanese and U.S. trade with China. In recent years, Japanese exports to China had been growing faster than U.S. exports, but Japanese imports from China had been growing more slowly. A large amount of U.S. and Japanese exports were first...