The longer the United States has to wait, the smaller its advantage will be upon entering the Chinese market, which it will eventually have to do. It appears now that the United States did not benefit much from China's WTO accession. China's inadequate Intellectual Property framework diminishes the U.S. advantage in high tech industries. (Harvard, 8). Computer software, from such companies as Microsoft, are some of the most profitable products in the world, but they are often used by Chinese consumers without Microsoft being paid for it. Software products, often delivered through compact discs or even online, cost next to nothing to copy and transfer, as Chinese bootleggers have demonstrated.

The research and development costs that go into such software products is huge. Actually, they are the very epitome the United States' factor endowments, an abundance of capital and skilled labor. If the United States is to make use of its factor endowments, its knowledge economy especially, it must ensure...

Instead, China is pursuing a mercantilist economic strategy, where the aim is to achieve the greatest trade surplus possible in order to build up the country's gold/currency reserves. Although the WTO prevented China from distorting trade directly through tariffs and market restrictions, China was able to circumvent the WTO and distort trade indirectly through currency manipulation.
Bibliography

Feenstra, Robert C. Advanced International Trade: Theory and Evidence. Princeton, N.J: Princeton University Press, 2004. Print.

Feenstra, Robert C, and Alan M. Taylor. International Trade. New York W.H. Freeman, 2008. Print.

Abrami, R. "China and the WTO: What Price Membership?" Harvard Business School April 9, 2008. Cambridge: Harvard Business School Publishing.