The Chinese Currency problem could turn out to be as problematic
...as Arab "democratization" was in the middle east.
Everyone knows that the Chinese currency is keeping inflation low in the US even if it is undervalued and there a problem for American "manufacturers." But the question is can what's left of American Industry really make any difference in the US trade deficit now.
America is nearly "de-industrialized" now and any hope of "exporting" our way out of the trade deficit seems naieve at best.
What exactly does the US have to sell China...asset bubbles? Overpriced insurance priced at internal US monopoly prices?
The Chinese were key to Greenspan's Bubblenomic "miracle" in the 1990's....
But there are always consequences for economic miracles...
Revaluing the Chinese currency could make "democratizing" the middle east look like child's play!
BEWARE THESE POLITICAL CALLS FOR REVALUATION...WHO KNOWS SOMEONE MIGHT TAKE THEM SERIOUSLY...!
