White House Budget Chief Loves the China Boom
Investment strategists and economists have weighed in on China's uncanny 11% growth. How does the Bush Administration view the Asian powerhouse? Rob Portman, of the Office of Management and Budget, joined CNBC's Maria Bartiromo on "Closing Bell" to talk about the "good news."
Portman, a former U.S. trade representative, said China's economic boom is good for U.S. exports, which are "growing on a 3-year pattern." He explained that "our export growth to China is greater than China's growth in imports to the U.S." As to the dizzying rise of China's economic influence throughout the world, he said Americans "shouldn't worry," as the administration has "pro-growth policies" in place, ensuring that U.S. growth will continue at 2.5% to 3%.
Portman said China's increasing purchases of American goods are helping to boost U.S. employment, which in turn increases tax revenue and brings down the U.S. budget deficit.