The challenge the u.s. economy faces away following President Barack Obama's election victory will not go, nor will the potential impact on the Chinese economy, economists and financial specialists said.
Obama will be faced with some heavy fighting in the next a few months, while economic growth may again refuse, Ethan Harris, said co-head of global economic research and head of the developed economies at Bank of America Merrill Lynch.
"There are limits to what the President can do to go" and the biggest challenge for Obama is the "fiscal cliff", Harris told China Daily Wednesday.
The "fiscal cliff" refers to a series of policy changes, including tax increases and spending cuts, which shall enter into force in January.
Obama has called for raising taxes on the top income group, that are not yielded to Republicans.
"Negotiations around the ' fiscal Cliff ' will defiantly, and uncertainty may linger in the business," said Harris.
A priority for the Democrats and Republicans after the election is coming together to reach a compromise by the end of December, he said.
Investors will be more careful if economic growth could fall, he added.
The u.s. economic growth was 2 percent in the third quarter, while unemployment stood at 7.9% in October.
Once the "fiscal" resolved, the United States could see a cliff better recovery partly due to a recovery in the housing market, Harris said.
The country real estate market is showing signs of recovery and growth in the housing market is expected to return to about 2.5 percent by the end of 2013 and be back to 3 percent by 2014, he said.
Long Guoqiang, senior research fellow with the Research Center Council development is described Chinese-v. s. Economic and trade ties during Obama's first term as ' big positive ", and said that the situation is likely to be sustained in his second term as a result of the" very interwoven interests "of the two Nations.
"Despite there being moves toward trade protectionism under the pressure of the financial crisis, the general economic and trade relations between the two countries are quite good. The two countries will move more in areas like macro policy coordination and the establishment of multilateral mechanisms, "said long.
However, Li Daokui, Director of the Center for China in the world economy at the University of Tsinghua, concern about the impact of the Obama re-election.
"Obama is not a better problem-Solver than (his challenger Mitt) Romney. I feel concerned about the u.s. economy and new economic fluctuations are very possible, "said Li.
"The Outlook for the US economic recovery are bleak, which will Drag on the world economy, including China. Obama shifts his focus to international affairs in his second term and I am concerned that China will be a target. "
Zhang Ming, senior research fellow with the Chinese Academy of social sciences, said it makes little difference to China, whether the Democrats or the Republicans who set American domestic economic policy. Both parties are probably to an ultra-loose monetary policy, generate more "hot money" and more inflationary pressures on China.
China must continue to deal with the consequences of our macro-economic policy in the coming years, he said.
China on Thursday will hold the 18th National Congress of the Communist Party of China, which until the election of new leadership summit will lead the country.
Harris, at Bank of America Merrill Lynch expects the new leadership to look at smaller actions in favour of the economy, instead of major changes.
"The growth peak has passed for China-no economy can grow by 10 percent for always. My assumption is about 8 percent for the next few years, "he said.
He said the biggest concern for the Chinese economy is inflation and the country needs for its structural issues to deal with.
Harris said the third round of quantitative easing by the u.s. Federal Reserve announced in September is a two-edged sword.
"It's probably good for the world economy, given how vulnerable the u.s. economy is now," he said. "But the negative part is ... more asset bubbles in the market."
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