Juno Beach Posted June 17, 2010 Share Posted June 17, 2010 China threatens 'nuclear option' of dollar sales China could hurt the USA severely if they sell off their one-trillion in US monetary assets. The US is quite weak financially. Think of the US as a beautiful chocolate Easter egg on the outside but the inside is hollow due to the amount of debt that has eaten it away! The US has the strongest militarily but it does have weakness! Cordially, JB 0 Quote Link to comment Share on other sites More sharing options...
dieseltaylor Posted June 17, 2010 Share Posted June 17, 2010 Hot off the press from ...2007 By Ambrose Evans-Pritchard Published: 9:11AM BST 08 Aug 2007 0 Quote Link to comment Share on other sites More sharing options...
Stalins Organ Posted June 17, 2010 Share Posted June 17, 2010 Even discussed here in 2008..... 0 Quote Link to comment Share on other sites More sharing options...
MeatEtr Posted June 18, 2010 Share Posted June 18, 2010 0 Quote Link to comment Share on other sites More sharing options...
Michael Emrys Posted June 18, 2010 Share Posted June 18, 2010 I think MeatBtr is starting to get the hang of this thing. Michael 0 Quote Link to comment Share on other sites More sharing options...
Elmar Bijlsma Posted June 18, 2010 Share Posted June 18, 2010 Can anyone identify this insect for me? 0 Quote Link to comment Share on other sites More sharing options...
JonS Posted June 18, 2010 Share Posted June 18, 2010 I wish I was a glow-worm a glow-worm's never glum it's hard to be unhappy when the sun shines out your bum! 0 Quote Link to comment Share on other sites More sharing options...
Affentitten Posted June 18, 2010 Share Posted June 18, 2010 0 Quote Link to comment Share on other sites More sharing options...
JonS Posted June 18, 2010 Share Posted June 18, 2010 Wow. Spectacular picture. 0 Quote Link to comment Share on other sites More sharing options...
gunnergoz Posted June 18, 2010 Share Posted June 18, 2010 If China economically devastates their best customer, where will they sell all their...stuff? It ain't gonna happen. Americans may end up speaking a dialect of Mandarin, however... 0 Quote Link to comment Share on other sites More sharing options...
costard Posted June 18, 2010 Share Posted June 18, 2010 If China economically devastates their best customer, where will they sell all their...stuff? It ain't gonna happen. Americans may end up speaking a dialect of Mandarin, however... Hey, someone's using their brain! Like the way China is having a go at reducing waste and inefficiency in their energy use: forget about the feel-good politics of the green-than-thou west, how about having a manufacturing industry that can produce at twenty percent less cost because the political process isn't tied to outdated and inefficient infrastructure and the profits generated therefrom. I can't see the Yanks speaking Mandarin. Spanish, however, or Portugese... there's something to be said for the Vatican's ban on contraception: they'll outbreed, and in the long term that's all that matters. 0 Quote Link to comment Share on other sites More sharing options...
womble Posted June 18, 2010 Share Posted June 18, 2010 Last thing I read, the EU/eurozone is China's biggest export market... Which isn't to say that devastating the economy of your second-biggest currency-defined market makes any sense either, since there's not much of a difference in quantity. Nevertheless, China does have the wherewithal to put some serious pressure for extended periods of time on both the dollar and euro markets, and probably sterling too, keeping those currencies where they want 'em to keep their economy booming at the level they need to suppress internal dissent. The importing countries need to impose levies on Chinese (actually all third world) imports based on their human rights and ecological shortfalls, I reckon. Not enough to make things cost the same in a market as they'd cost if made by labour in that market, but enough to encourage the emerging economies to rush past the sweatshop/child labour/suppression of the press stage in order to make more money. 0 Quote Link to comment Share on other sites More sharing options...
costard Posted June 18, 2010 Share Posted June 18, 2010 If China pushes the value of another nation's currency down, it makes the industries in that country more competitive in the market. The only way China can keep the value of foreign currencies high is to keep buying them, which means they require a return on those currencies - they can't afford to have the value disappear altogether or they'll have severe problems paying their pensions, etc. So, unlike the West, which still believes in a laissez-faire market and the law of the jungle, China needs to manage the world economy in a way that benefits all parties: it is only by doing this that they can guarantee their own rising standard of living and long-term survival. I wouldn't worry about it, it's about as fantastic as the threat of nuclear war in that no rational entity can seriously consider instigating it. China is already too expensive for lower end manufacturing. You can pay $1.49/hr in China or move next door and pay the Vietnamese $0.75/hr. The difference is pure profit! How can it go wrong? In a couple of decades the poms will be back to having a competitive manufacturing environment - if they can fund their education system that long. The yanks, well, who can predict what they'll do? Workers of the world, back to your chains! Marx must be spinning in his grave. 0 Quote Link to comment Share on other sites More sharing options...
gunnergoz Posted June 19, 2010 Share Posted June 19, 2010 The only problem is, will there still be a middle class in Western Europe - and particularly in the US - after this is all over? 0 Quote Link to comment Share on other sites More sharing options...
Michael Emrys Posted June 19, 2010 Share Posted June 19, 2010 The only problem is, will there still be a middle class in Western Europe - and particularly in the US - after this is all over? Well, that is a question, isn't it? My guess is the the Middle Class will do what it's always done and reinvent itself by doing all the skilled jobs that the Upper Class doesn't want to bother itself with and the Lower Class doesn't have the talent or education for. Michael 0 Quote Link to comment Share on other sites More sharing options...
Wilhammer Posted June 20, 2010 Share Posted June 20, 2010 Yun is a fellow IT worker who is now in China for a month to visit family. Before he left, folks were asking him about souvenirs from China. It go tiresome. Eventually Yun told folks 'Go to Wal Mart'. 0 Quote Link to comment Share on other sites More sharing options...
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