From: Stephen Grammont (islander@midmaine.com)
Date: Tue Mar 15 2005 - 21:32:18 PST
Fortunately to screw with the US Dollar means near certain economic
collapse for China. And economic collapse would likely lead to
political implosion. So it would appear unlikely that they would dump
the Dollar simply because it would be suicide. The real threat is if
the Chinese start using something less than this as leverage in an
overt way like the US did to the UK many years ago over the Suez
Crisis. In other words, "we can do this and it might hurt us, but it
for sure will hurt you a lot more".
Joe wrote:
" It seems that our government is blind to the matter. "
According to conservative thinking, government should not only be blind
but gagged and tied up in locked closet. And in a free market economy
this is, for the most part, the way it should be (i.e. government
keeping its fingers out of the market system), as opposed to the more
liberal point of view where government meddles in pretty much
everything. But both points of view are off the mark because
government is not the problem with the trade deficit and its ill
effects... the consumer/voter is. It is the consumer that made WalMart
bigger than General Motors, not the government. Government isn't out
there shopping at 2am to get the best bargains (though neither
government of the consumer is spending within its means <g>). It is
the consumer that demands "lowest prices" and yet bitches about how
their jobs are being shipped overseas. And it is the consumer, as
voter, that doesn't require its politicians to do things like balancing
the budget, paying down the deficit instead of giving out tax breaks,
and signing FAIR trade instead of "free trade" treaties.
One thing can be said... this inbalance can't go on forever in this
direction.
Steve (a devout capitalist who still finds ways to NOT shop at Wal-Mart)
On Mar 15, 2005, at 11:42 PM, Mil-Veh Co. wrote:
> Yep, China has got us by the greenbacks and they could
> send us into economic Hell at a moments
> notice...course it would hurt them too, big time I
> suspect, but then the Chinese are used to adversity,
> not so sure about the typical American. I'm thinking
> Americans are pretty soft at this point. The big
> question is when will China go for Taiwan...think I
> better sell my 10 shares of Walmart stock before the
> shooting starts!
>
>
> --- JoeYoungInc@aol.com wrote:
>> Good post, but I wonder how long it would take China
>> to overwhelm
>> us, the USA, and crush all of our high tech US mil
>> equipment?
>> To me, it's inevitable. We presently have a one
>> hundred and sixty-billion
>> dollar trade deficit with China. We are helping them
>> to become the #1 World
>> Power. Their industry is so great and demanding
>> they're building the world's
>> largest hydroelectric plant. China is largely
>> responsible for the demand on crude
>> oil and the price increases. It seems that our
>> government is blind to the
>> matter. They're building drive-in theaters in China,
>> because more and more people
>> there can afford cars now. The smaller countries
>> they overtake are probably just
>> stepping stones in their plan for us. Most people
>> here don't realize what
>> they're doing by constantly purchasing China made
>> products and its ripple effect
>> on us and our industries.
>> Joe
>>
>
> ===Mil-Veh is a member-supported mailing list===
> To unsubscribe, send e-mail to: <mil-veh-off@mil-veh.org>
> To switch to the DIGEST mode, send e-mail to
> <mil-veh-digest@mil-veh.org>
> To reach a human, contact <ack@mil-veh.org>
>
This archive was generated by hypermail 2.1.4 : Sat May 07 2005 - 20:41:23 PDT