Posts tagged with: Trade Imbalance
China, Press, U.S. Policy »
Media: BusinessWeek (Cover Story).
Clip: “A coordinated message with these leaders changes the narrative,” says Daniel Michaeli, a Sino-American relations expert who runs the Asia Ruminations blog.
Link: http://www.businessweek.com/magazine/content/10_14/b4172038526024.htm
China, U.S. Policy »
How Not to End Chinese Currency Manipulation
The Chinese Renminbi, whose largest denomination remains 100 yuan ($14.64)
In the recent hoopla about sanctioning China for currency manipulation, there are a few factors that are being overlooked. These factors suggest that sanctioning Chinese exports won’t help the United States achieve the economic results one would hope to achieve.
To begin with, the goal should be reducing the trade deficit with China not for its own sake, but to produce more jobs in the United States. (After all, this is why China’s currency manipulation matters.)
So U.S. companies need to find more demand for products they produce, either here or elsewhere around the world. Yet if the U.S. slaps a 25% tariff on Chinese goods, it might as well give up on selling much at all to China’s 1.3 billion-person market.
China, Press, U.S. Policy »
Media: Icelandic National Broadcasting Service – Radio 1 “Spegillinn.”
Subjects: President Obama’s trip to Shanghai and Beijing, and the U.S.-China relationship.
Length: 5:42.
China, Press, U.S. Policy »
Media: Icelandic National Broadcasting Service – Evening News.
Subjects: President Obama’s trip to China, and the U.S.-China relationship.
Length: 1:45.
Miscellaneous, U.S. Policy »
The value of the dollar has taken a hit as rumors spread that oil producers are exploring a scheme to price oil in a basket of currencies instead of the U.S. dollar. (The Wall Street Journal subsequently reported that Gulf officials “strongly denied” the rumors.)
This week’s news follows a year in which more and more banks and foreign governments have voiced concern that the U.S. dollar will weaken in the coming years. This has been discussed most openly in Asia, where China and Japan’s massive foreign exchange reserves are at risk.
But should demand for the dollar fall significantly, it is the United States that would suffer most. The U.S. could face a crippling debt crisis unlike any previous economic crisis we have faced in the last two centuries.