revaluation of the YUAN.
read an article discussing the extremely strong encouragement from the US to their lovely trading partner- China regarding the revaluation of their yuan, which, has been said to be grossly and artificially undervalued. oh wait, why bother with the politically correct english
^%$#@!
cancel.
let's try this once more.
read an article about US's persistent, whiny, threatening and uncompromising pressures towards China to revalue her yuan in a quick and big way. argh, i suck at this decriptive nonsense.
it was very very very insightful, haha. it made me think quite a bit. seriously man, all the export and import stuff can get RATHER interesting :D :D
but it's true you know, so what if china revalues her currency in a HUGE and QUICK way? it's not gonna impact the US trade deficit MUCH. besides, china makes up about 10% of US's import content. and the US has deficits in terms of trade with so many other countries, besides china. i suspect US's just feeling really threatened by China's successful economic reform and progress. they're afraid that with China's rapid uprising, her position as a SUPERPOWER's in critical danger, which means a LESS SIGNIFICANT say in international affairs and everything. THAT is one big fat fear 'cus any idiot who roams past a newstand would see THE US's big fat attention grabbing name slapped rudely on every damned headline.
"US MARINES blahblahblah.."
"US CONGRESS CONDEMNS.."
"US DISCUSSES TRADE.."
it's almost as if they're media whoring already. (think of bailing and say eww) alright, it might be due to the fact that THE US IS a superpower, and that's why she gets involved unknowingly in almost everything that happens in our world. besides, she's the ONLY superpower now. (being recognised officially- that is) but i'm pretty sure that if she learns to keep her fingers and toes and every body part to herself as much as she can, she'd be spending waaaay less, which means a muuuuuuuuch lower trade deficit. come on! the US spends HORDES OF MONEY on her defence industry (even though it seems as if she's attacking more than defending now), about 40% of the entire world's millitary spending. therefore, isn't it spelt out clearly that even if US manages to lower her import content successfully (and thus reducing her import expenditure), she'd still be incurring deficits everywhere else with her humongously gigantic millitary expenditure? and if her deficits were caused mainly by her high import contents from extremely competitive trading partners (in terms of costs),at the very least, it'd still mean that her people are consuming- spending on themselves. feeding themselves, clothing themselves. well at least SOMEONE is gaining SOMETHING from this, even when you take the long run costs into consideration. but now that her deficit's coming mostly from her bigfat millitary expenditure, it means that ALOT OF MONEY is being used to destroy lives, ruin homes and separate families- in BOTH ways too.
all the talk about liberating the country being invaded, do we see that happening now?
and even if china revalues her yuan, does it mean that her people will import less? china's comparative advantage in labour is and will be significantly evident throughout this decade, and very possibly, in many moreto come. so even if her yuan is being revalued, and the price of her exports go up, the extent of which it rises will still be well compensated for by her extremely low labour costs. this advantage they own is something that the US will never be able to change, or do anything about, unless they try their luck at interferring with yet ANOTHER country's way of governance and economic structures. anyway, as i was saying, even if china revalues her yuan, which leads to an increase in the price of her exports (in terms of the US currency), and given US's elastic demand for China's imports, the value of imports from China will decrease, (HAHA, THIS FEELS SO PAPER3-ish), which implies a lowered amount of expenditure on imports, and thus, A MORE CORRECTED DEFICIT. with that theory in place, we might say that US will import less, but that'd be from CHINA. what about US's OTHER trading partners? it seems that she has conveniently forgotten about her the small threats she faces while fighting the big monster in question. so what if china's exports become more expensive? US still faces competition from rising Asian economies, all of which are churning out products waaaaay cheaper than that of their domestic industries, even with her protectionistic measures in place. if her people cant get china's goods at THAT ideal price, they'll just search for cheaper alternatives, like say, goods made in VIETNAM or something like that.
either way, her people will still spend and import, just not on China. she'll still incur deficits.
okay, so maybe she just doesn't wanna owe China too much, you know, pride and all that. besides, the person leading US is a MAN. and we know that MEN are damn prideful about almost everything, what's more with their MONEY? :D
so maybe that's why she's pressing china like mad for a revaluation.
pride la, pride.
but haven't they been listening to THE GREAT CHIN? if you can't beat them, join them! (: ADOPT SUPPLY SIDE POLICIES LAH! promote export competiveness lah! instead of getting so emo over their trading partner's comparative advantage (come on, they've been enjoying too much for too long. it's time to SHARE), shouldn't they channel these emo energies into positive and PRODUCTIVE energies and devise ways to lower their costs till they're approximately comparable to that of china's, or every other developing country's? oh wait, but supply side policies require a whole lot of commitment and funds (for RnD and everythingelse)- which i doubt the US has the ability, or the political will to carry out when they've got so many wars to fight and lives to save.
they've gotta save themselves first man.
okay this is starting to get pretty anti US. i love my potatos. i love my steaks and popcorn. it's just that.. i don't get why and how they do stuff at times. MAYBE THAT'S WHY i'm not a politician, or an economist. hahahahaha.
eugenia must learn to be more.. BALANCED.
:D
i just adore referring to myself as a THIRD party lah. haha.
i'm getting tired. i shall conclude.
IN CONCLUSION, the US should just start by staring long and hard into the mirror, instead of pointing all 8 fingers, 2 thumbs, 8 small toes and 2 big toes at everyone else but themselves. siigh, but seriously, i won't see anything changing for the better in the short AND long run.
i rest my case.
read an article discussing the extremely strong encouragement from the US to their lovely trading partner- China regarding the revaluation of their yuan, which, has been said to be grossly and artificially undervalued. oh wait, why bother with the politically correct english
^%$#@!
cancel.
let's try this once more.
read an article about US's persistent, whiny, threatening and uncompromising pressures towards China to revalue her yuan in a quick and big way. argh, i suck at this decriptive nonsense.
it was very very very insightful, haha. it made me think quite a bit. seriously man, all the export and import stuff can get RATHER interesting :D :D
but it's true you know, so what if china revalues her currency in a HUGE and QUICK way? it's not gonna impact the US trade deficit MUCH. besides, china makes up about 10% of US's import content. and the US has deficits in terms of trade with so many other countries, besides china. i suspect US's just feeling really threatened by China's successful economic reform and progress. they're afraid that with China's rapid uprising, her position as a SUPERPOWER's in critical danger, which means a LESS SIGNIFICANT say in international affairs and everything. THAT is one big fat fear 'cus any idiot who roams past a newstand would see THE US's big fat attention grabbing name slapped rudely on every damned headline.
"US MARINES blahblahblah.."
"US CONGRESS CONDEMNS.."
"US DISCUSSES TRADE.."
it's almost as if they're media whoring already. (think of bailing and say eww) alright, it might be due to the fact that THE US IS a superpower, and that's why she gets involved unknowingly in almost everything that happens in our world. besides, she's the ONLY superpower now. (being recognised officially- that is) but i'm pretty sure that if she learns to keep her fingers and toes and every body part to herself as much as she can, she'd be spending waaaay less, which means a muuuuuuuuch lower trade deficit. come on! the US spends HORDES OF MONEY on her defence industry (even though it seems as if she's attacking more than defending now), about 40% of the entire world's millitary spending. therefore, isn't it spelt out clearly that even if US manages to lower her import content successfully (and thus reducing her import expenditure), she'd still be incurring deficits everywhere else with her humongously gigantic millitary expenditure? and if her deficits were caused mainly by her high import contents from extremely competitive trading partners (in terms of costs),at the very least, it'd still mean that her people are consuming- spending on themselves. feeding themselves, clothing themselves. well at least SOMEONE is gaining SOMETHING from this, even when you take the long run costs into consideration. but now that her deficit's coming mostly from her bigfat millitary expenditure, it means that ALOT OF MONEY is being used to destroy lives, ruin homes and separate families- in BOTH ways too.
all the talk about liberating the country being invaded, do we see that happening now?
and even if china revalues her yuan, does it mean that her people will import less? china's comparative advantage in labour is and will be significantly evident throughout this decade, and very possibly, in many moreto come. so even if her yuan is being revalued, and the price of her exports go up, the extent of which it rises will still be well compensated for by her extremely low labour costs. this advantage they own is something that the US will never be able to change, or do anything about, unless they try their luck at interferring with yet ANOTHER country's way of governance and economic structures. anyway, as i was saying, even if china revalues her yuan, which leads to an increase in the price of her exports (in terms of the US currency), and given US's elastic demand for China's imports, the value of imports from China will decrease, (HAHA, THIS FEELS SO PAPER3-ish), which implies a lowered amount of expenditure on imports, and thus, A MORE CORRECTED DEFICIT. with that theory in place, we might say that US will import less, but that'd be from CHINA. what about US's OTHER trading partners? it seems that she has conveniently forgotten about her the small threats she faces while fighting the big monster in question. so what if china's exports become more expensive? US still faces competition from rising Asian economies, all of which are churning out products waaaaay cheaper than that of their domestic industries, even with her protectionistic measures in place. if her people cant get china's goods at THAT ideal price, they'll just search for cheaper alternatives, like say, goods made in VIETNAM or something like that.
either way, her people will still spend and import, just not on China. she'll still incur deficits.
okay, so maybe she just doesn't wanna owe China too much, you know, pride and all that. besides, the person leading US is a MAN. and we know that MEN are damn prideful about almost everything, what's more with their MONEY? :D
so maybe that's why she's pressing china like mad for a revaluation.
pride la, pride.
but haven't they been listening to THE GREAT CHIN? if you can't beat them, join them! (: ADOPT SUPPLY SIDE POLICIES LAH! promote export competiveness lah! instead of getting so emo over their trading partner's comparative advantage (come on, they've been enjoying too much for too long. it's time to SHARE), shouldn't they channel these emo energies into positive and PRODUCTIVE energies and devise ways to lower their costs till they're approximately comparable to that of china's, or every other developing country's? oh wait, but supply side policies require a whole lot of commitment and funds (for RnD and everythingelse)- which i doubt the US has the ability, or the political will to carry out when they've got so many wars to fight and lives to save.
they've gotta save themselves first man.
okay this is starting to get pretty anti US. i love my potatos. i love my steaks and popcorn. it's just that.. i don't get why and how they do stuff at times. MAYBE THAT'S WHY i'm not a politician, or an economist. hahahahaha.
eugenia must learn to be more.. BALANCED.
:D
i just adore referring to myself as a THIRD party lah. haha.
i'm getting tired. i shall conclude.
IN CONCLUSION, the US should just start by staring long and hard into the mirror, instead of pointing all 8 fingers, 2 thumbs, 8 small toes and 2 big toes at everyone else but themselves. siigh, but seriously, i won't see anything changing for the better in the short AND long run.
i rest my case.
posted by genia at 11:52 PM
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