bttt
Does this mean we will be able to buy Chinese products for $0.68 instead of $1.00 ?
Bill Gates says China has created brand-new form of capitalism (and praises Communist leaders)
http://www.freerepublic.com/focus/f-news/1331228/posts
Barf Alert - Once Again, Bill Gates Praises the Communist Dictators of China
http://www.freerepublic.com/focus/f-news/1344926/posts
China's leaders order Communist Party to take stronger role in business
http://www.freerepublic.com/focus/f-news/1328492/posts
...some 150,000 or so government-owned businesses, in China, IIRC.
But it's not only Bill Gates. Many of our other business people are hanging on to that kind of philosophy. Some of our Baby Boomer peers might be our undoing, if they don't change their ways.
Bad news. If China's economy tanks, ours won't be far behind. Of course, the inverse is also true.
bump for later
It would be interesting to think how a Chinese crash might play out. In 1997 Thailand had a currency that traded freely but whose value was managed by the gov't. But the baht was overvalued, and the yuan is generally thought to be undervalued.
China places a lot of restrictions on taking currency out of the country, but as I understand it so did the US under Bretton Woods. That didn't prevent the Eurodollar market from developing. Does anyone know whether parallel markets for the yuan outside China exist yet? And if so I wonder what the aftermath of a sharp Chinese currency adjustment (upward, not downward) would be.