Laowai, is the term offensive?

Davidtochina (US)

On one of our earlier trips to China, my wife and I were walking from our home there when she heard a small child shout, "Mum! Laowai!" My wife looked and saw the child pointing at us. She told me and I wasn't the least offended, in fact I got a chuckle out of it and it is a story I have told many a time.

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The original piece: http://bbs.chinadaily.com.cn/thread-879259-1-1.html

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