President Donald Trump's economic policies are causing the U.S. to fall behind China in the tech sector, according to a Saxo Bank analyst, who said the current government does not have the "ability of seeing the world changing."
Steen Jakobsen, chief economist at Saxo Bank, said much of the policy that Trump has enacted or talked about is "negative" and "actually against productivity."
He cited Trump's desire to reduce the U.S. trade deficit, saying that it would not be good for the average American.
"If you have a current account deficit, you are spending more money than you have. If you want a surplus you going to spend less money than you can... So if Trump actually delivers on the trade policy, he will make Americans worse off first before they get better. And in terms of productivity he wants to keep jobs, he doesn't want to create jobs," Jakobsen told CNBC in a TV interview Thursday.
"And I think that is the big change we see relatively to China who has a research and development plan. China today, on a weekly basis, almost overtakes the U.S. in different technology sections."
Saxo Bank's chief economist said China is advancing in areas like quantum computing. This refers to a new era of faster and more powerful computers. In August, China demonstrated a world first by sending data over long distances and using satellites that was potentially unhackable. It laid the basis for next generation encryption based on so-called "quantum cryptography."