By eliminating the trade deficit, so that China doesn’t have excess hard currency to buy our companies. And so that our companies can’t be put out of business by Cheap Chinese labor.
By eliminating the trade deficit, so that China doesn’t have excess hard currency to buy our companies.
In this instance, the currency that flowed out to China flowed right back in to the American seller, returning those dollars to the US market.
And so that our companies can’t be put out of business by Cheap Chinese labor.
Why would you buy a business to then put it "out of business"?
Suppose a Chinese company or businessman buys an American company .... what does he do with it?
Does he give it to the Chinese government?
Is the technology or knowhow gone from America?
Are the American workers going to lose their jobs?
VOLVO is now owned by a Chinese company, what did it do for Sweden’s economy? Were there mass layoffs?
IBM sold Lenovo to a Chinese company, was this bad for the US economy?
These are questions we have to answer. It could be that none of our worst fears are realized at all.
The bottom line is this — Is that Chinese businessman so dumb that he is going to buy an American company for any other purpose than to make money? And if the American company makes money ( albeit under Chinese ownership), can anyone explain to me why that is a bad thing?