The latest U.S.-China spat is all the more extraordinary because it is unnecessary. For years, Chinese economists have advocated liberalizing the exchange rate and allowing it to rise, weaning the country off its addiction to exports. But when President Obama suggested that last week, China's leadership reacted with a furious snarl. The central bank's vice governor accused Obama of "politicizing" the currency issue; never mind that his own boss had hinted at liberalization a week earlier. Then China's premier, Wen Jiabao, weighed in. Clearly referring to Obama's unremarkable remarks, Wen growled, "This is a type of trade protectionism."
This Story How we help China China's nervous autocrats Google's lonely standThis Story Google's lonely stand Google vs. China China's nervous autocrats What to make of this outburst? It is not right on the merits. If any country is responsible for protectionism and for politicizing the exchange rate, it is China: Beijing's leaders have made a political decision to peg their currency at an artificially low level, handing their exporters a competitive advantage. Yet China's outburst reflects the insecurity behind its confident facade. It serves as a reminder of how autocratic political systems suffer from the lobbies and gridlock that bedevil democracies.
Looking at the way Washington has been doing the Citizens Will!
We find that our Politicians could give a rats A $ $ what the people want or need!
Why am I not surprised that obamas' policy would be to let China decide what we are going to do? And why are YOU surprised that China DOES NOT want to help us. We are bent over a barrel and it's China's turn.