EU to Lose the Research Race

Today, the Brussels based European Union commission on research, has announced that in five years China will be spending a higher portion of their gross domestic product on R&D then will the EU.

Currently China's spending is expected to rise by double digit figures from their 1.3% spending in 2003. While at the same time the EU expects their spending to rise to 2.2 percent of their GDP by 2010, from 1.93% in 2003.

The very small increase in Europe’s spending is attributed to the large bureaucracy and high taxes on companies that want to spend on research. This has led to many companies moving their research to China, where research and development is supported and encouraged.

Not only that, but the Chinese authorities force companies that want to do business in China to either build research labs, or spend money on research and development inside China.

Once again, this is an example of how China is not a threat to only America's place in the world, but how the entire world should fear the Chinese rise. Technological superiority will lead to dominance in other areas, which will allow the PRC to accomplish their goal of world supremacy.