China’s crackdown on debt has slammed the country’s nascent hedge fund industry
The argument in favor of the tariffs is that they are a counterweight against foreign producers of aluminum and steel that have flooded the U.S. market, putting American companies at a disadvantage. However, the decision may put regions and states at an economic disadvantage, in at least two additional ways.
The United States leads China in private investment in artificial intelligence (AI) and in the number and experience of its scientists. But Chinese firms may gain an advantage from having more data—including data not in the public domain—for honing algorithms.
The SEC is concerned that such agreements are potentially being used to trade like securities without conforming to the strict rules that apply to securities.
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