Second, to successfully deal with their own economic difficulties, the US and Europe must clearly understand their current problems were made at home, not imposed by others. Again, to take an analogy from studying China, when China suffered serious economic stagnation and difficulties in the period leading to the mid-1970s, Deng Xiaoping certainly noted the international situation China was in. But he stressed the most important cause of China's problems were its own mistakes, which he therefore set about correcting.

The same applies today. Mitt Romney, the leading Republican presidential candidate, is currently blaming China for the US's economic problems. But the statistics show the slowing of the US economy started three decades ago when China scarcely registered on the US economy's Richter scale. The financial crisis blew up under a president from Romney's own party, George W Bush. The Eurozone's fundamental problem, the creation of a common currency area without an adequate central budget to compensate for economic unevenness among members, was pointed out in the mid-1990s – when China was not a decisive factor in Europe's economy. If governments blame others for problems they have created themselves, they will not be dealing with the fundamental economic issues and therefore won't overcome them.

This also relates to economic realism. China's position in the world economy shows both the potential and limits of the role it can play in a renewed financial crisis. It wastes time to discuss fantasy questions, such as the headline of BBC's business editor Robert Peston recent article from Shanghai 'Will China rescue the West?' As the average standard of living in China, for all its successes, will not equal Europe or the US for two decades at least China is under no obligation, either economic or moral, to 'rescue' the West. Nor, to deal with another media fantasy, could any conceivable use of China's foreign exchange reserves be used to stabilize Italy's bond market – the world's third largest after the US and Japan.

The most important contribution China can make, corresponding both to its own self-interest and that of the West, is for its economy to grow sustainably and strongly - therefore providing a market for other countries exports. As neither the US nor Europe can compete with China's price for low, and increasingly medium, technology goods. The most effective way to boost their exports to China would be to lift restrictions on high technology exports.

China's government will doubtless continue to participate in international operations providing support to the international financial system, but the fundamental joint interest is in China's economy growing while ensuring the maximum range of US and European exports to it.

Finally the US and Europe can fruitfully study China's economic stimulus policies. The overwhelming majority of the GDP decline in the US and Europe is the fall in investment. There is growing realization of this from leading US economists, such as Bobert Barro and Gregory Mankiw, and figures such as UK Business Secretary Vince Cable. In contrast the core of China's successful 2008 stimulus package was boosting investment making it a key example to study.

While relying primarily on its own resources, China carefully studied Western economies. While relying primarily on their own resources, a good idea would now be for the US and Europe to learn from China's successes.

John Ross is Visiting Professor at Antai College of Economics and Management, Shanghai Jiao Tong University. From 2000 to 2008, he was then London Mayor Ken Livingstone's Policy Director of Economic and Business Policy. The views expressed here do not necessarily reflect those of the China Daily website.