Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: JasonC

Oh, that’s rich! They cut their holdsing 3% in June 09—after increasing it nearly 50% from the previous year. They really have us by the short hairs. The ironic thing is that we gave them the $$ to do it with.


15 posted on 08/21/2009 9:38:53 AM PDT by rbg81 (DRAIN THE SWAMP!!)
[ Post Reply | Private Reply | To 10 | View Replies ]


To: rbg81
They don't have us by anything. Nobody here requires Chinese to save for them. The total capital imported from China in the last year amounts to 1.5% of our income for that period. Save half the next raise and we don't need them at all.

Also the terms of trade shifting have a comparable or larger effect. A $40 reduction in the price of oil, for example, saves us as much as all Chinese capital provides - and oil today is not $40 but $70 below its peak.

It is absurd for people to imagine that a Chinese economy a quarter the size of our own dominates anything. Our own savings and investment practices control our economic trajectory.

18 posted on 08/21/2009 9:50:45 AM PDT by JasonC
[ Post Reply | Private Reply | To 15 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson