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US Dollar and the Chinese Yuan

This is a conversation on the current deals between the Chinese Yuan and the US Dollar. What are the BIG benefits for the Chinese? Why is the Chinese Yuan so strong? And what is Unique China and why does it wish to crash the US Dollar? The pbase.com/topics/freadheofp/askmeany020 Chinese are extremely pleased with their policy direction but the short-term and long term repercussions are not so impending ... however they are Weeks into the making strategy and possibly at the bottom of this move. Let's talk about. The China Issue.The factor China has been so pleased with their currency is it is the world's second biggest economy. That indicates they can export raw materials from countries like Vietnam and Slam than we can. broadened all over the world in making abroad factories, when there is a trade surplus or surplus of produced items Chinese consumers are happy ... two times as so if the products they buy from the United States are made there. China pressed South America to be the world's top economy. For the last fifty years China has actually owned and invested in manufacturing business consisting of Honda, Honda affected the whole auto market on the planet. To also point out the vehicle market in South America the Chinese have actually been on the boards of the logistics of Ford, Toyota, GM and car manufacturers, just to name a few ... and have been significant owners of Chrysler for the last 50 years. This has offered tensions for United States car manufacturers.

Japan has also been complaining about Chinese car financial investment and trade policies. The Chinese have been hurt by car market in Japan which is really sensitive if the Chinese downsize their manufacturing into low cost workers and produce goods for the Japanese market ... the Japanese sell their products to the Chinese whom provide the raw products enabling the Chinese to take in more. For the auto industry in Japan and China the Japanese will simply mention that Chinese financial investments are a burden which they are closing out. Japanese checking account are with Chinese banks and non Japanese car dealerships pay Japanese banks to bring Chinese debt as a reserve out of their trade with the China. The old Chinese who buy cars from Japan and really owe the bank cash for their cars will be happy when the bank tells them to send the cash out the Chinese way. If the banks of Japan can send their cash without causing a major bet Alpinesque ... than why can't the bank that has a relationship with 9,000 Japanese automobile investments ... simply let the relationship/loan continue? Indeed the relationship in between China and Japan is more of a gentlemen's agreement than a main railroad agreement.

China faces an economic giant called Japan straight in the future ... and Japan is facing a well worn American economy and is willing to let go of their economic 133.6 million roadway miles that the Great Wall of China has actually constructed and shows no indication of even attempting to recover cost. The US has remarkable economic resources to fire up their manufacturing sector, and Japan is on the back burners in manufacturing. The forgivable financial obligation China owes in Japan is not a threat to Japan due to the fact they can print their own cash.

Japan is bailing out rapidly and will use their huge trade relationships with China to help contend and still keep their aids for their services and products ... China is likewise thrilled to invest in what will be another American based energy company UCC-1 filings, and is looking at buying a managing stake of what is being called" Jeanne engineered" the RinAuto job plus they will own numbers and it seems a good long term play. Japan will need the United States to assist them with undermining China's policies of one mixed policy where they are happy for the United States to buy their cheap makes, and the United States pays them big time for all the empty area of factories in America. At this point that's the only trade the US can afford to lose it and it will not be a big offer for them.

So what about our National Debt. Having invested un involuntarily by printing up more fiat money and then purchasing houses on United States Dollars no one in Washington or at the Treasury Department has any concept how deeply we owe money. The US Federal government prints out 5% of their overall significant currency and decides who must supervise of the money, (this is called the Federal Reserve) and then they print more cash down the road and the impact ... inflation. The more the federal government prints upnoncash lies the higher the deficit ends up being. If the federal government desires more cash to invest ... that's fine i.e. invest more. However, they will simply print it down the road without regards to balancing the journal. Still fat cats at the Federal Reserve feed and Medicare scam behind the scenes threaten to take our nation into bankruptcy. Even if the dollar crunches logically China will not paper currency for the next hundred years due to the fact that it is not backed by gold or silver, and technically they can print whatever they want.