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A largestrain on the economy of China would be that in its latest expansion it has been forced to lend the US dollars it is earning to the US. this led to a flood of money being lent out in the USA that looks like Will never be repaid. In effect this means that a large amount of wealth accrued by China as a result of trade with the USA does not in reality exist and will have to be written of. China is in a bind however because if they do not get rid of their US dollars to the US the US is not able to afford their product.
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