Peg the Yuan
Bloomberg is reporting that the Group of Seven Industrialized Nations has decided to stop the "charm offensive" against China and get serious about forcing the PRC to stop pegging the Yuan to the dollar. Currently China pegs the Yuan at around 8.3 to the dollar no matter the current financial situation. This means that at a time when the dollar is depreciating the Yuan is made to artificially depreciate with the old greenback.
Europe is especially hurt by this policy because this means that while the Euro is rising companies are less willing to import expensive European goods, thus settling on cheaper US and even less expensive Chinese goods. The United States is hurt as well because even with a depreciating dollar it cannot make any headway in its trade balance with China. This is a major reason why the US currently has a skyrocketing trade deficit in general and with China in particular.
The foreign ministers have said that they are running out of patience with China, and unless the Yuan is allowed to be traded freely without any conditions, they threaten to impose tariffs on Chinese goods. I only have to say that it’s about time they stop pampering China.
Another topic I want to comment on is that I have been reading how many people are defending the anti-Japanese protests in China. Are you people smoking hash? Because you have to realize that these protests are not spontaneous, but are government organized through the Chinese university system. Does anyone really believe that China would allow protests to happen without the party’s permission? This is China's way of throwing another monkey ranch at the West. Its motive here is to simply stop Japan from becoming a permanent member of the UN Security Counsel. When time comes to vote to allow Japan to take a seat China will use these staged protests to veto Japan's bid. They know that US wants Japan on the council, and by preventing this, the PRC undermines American power at the UN.
If China is really serious, let it apologize for the atrocities it currently commits every day. Even better let them release actual protestors that are held in Chinese slave labor camps just for disagreeing with the communist party.
Europe is especially hurt by this policy because this means that while the Euro is rising companies are less willing to import expensive European goods, thus settling on cheaper US and even less expensive Chinese goods. The United States is hurt as well because even with a depreciating dollar it cannot make any headway in its trade balance with China. This is a major reason why the US currently has a skyrocketing trade deficit in general and with China in particular.
The foreign ministers have said that they are running out of patience with China, and unless the Yuan is allowed to be traded freely without any conditions, they threaten to impose tariffs on Chinese goods. I only have to say that it’s about time they stop pampering China.
Another topic I want to comment on is that I have been reading how many people are defending the anti-Japanese protests in China. Are you people smoking hash? Because you have to realize that these protests are not spontaneous, but are government organized through the Chinese university system. Does anyone really believe that China would allow protests to happen without the party’s permission? This is China's way of throwing another monkey ranch at the West. Its motive here is to simply stop Japan from becoming a permanent member of the UN Security Counsel. When time comes to vote to allow Japan to take a seat China will use these staged protests to veto Japan's bid. They know that US wants Japan on the council, and by preventing this, the PRC undermines American power at the UN.
If China is really serious, let it apologize for the atrocities it currently commits every day. Even better let them release actual protestors that are held in Chinese slave labor camps just for disagreeing with the communist party.
posted by Aleksandr at 8:31 PM
1 Comments:
re: Does anyone really believe that China would allow protests to happen without the party’s permission? This is China's way of throwing another monkey ranch at the West.
You are just too real. But I have to ask if the acceptance/defending of the protests is simply our Socialistic MainStream Media lying to us again?
I have not read any news on this so I'm uncertain as to who/how many are defending PRC. I do know that you are right when you say the protests are staged. It would be silly to not believe that.
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