Deterrence Strategy Against China

The chapter delves into the significance of using monetary instruments to deter China, specifically targeting entities and policies tied to Xi Jinping's core interests like the Belt and Road Initiative. It advocates for imposing non-military costs in an escalating manner to condition Xi Jinping to associate aggression with substantial consequences. The focus is on disqualifying major Chinese entities from international trade and implementing systematic sanctions as deterrence against potential aggressive actions, addressing challenges in implementing these strategies due to the global nature of the economic system.