|
Post by jacquelope on Dec 27, 2011 20:45:00 GMT -6
|
|
|
Post by unlawflcombatnt on Dec 27, 2011 23:43:56 GMT -6
Is there any reason China can't just print more Yuan, and bail out their lenders and debtors, the way Congress and the Fed did in the US? If they did, it would have the added benefit (to China) of suppressing the value of their currency, thus increasing their trade surplus with the US even more.
|
|
|
Post by jacquelope on Dec 28, 2011 2:13:33 GMT -6
Is there any reason China can't just print more Yuan, and bail out their lenders and debtors, the way Congress and the Fed did in the US? If they did, it would have the added benefit (to China) of suppressing the value of their currency, thus increasing their trade surplus with the US even more. Well I'm wondering, if China did that then wouldn't that cause their inflation to overheat? I've another theory about China's persistent trade surplus during a dollar devaluation - we're in a donut hole where our currency is devalued but not enough to wipe out the China advantage. To cross that donut hole is to cause a hell of a lot of trouble for our economy.
|
|