its obvious they have been
well for a long time it was pegged to the USD
now its only allowed to increase in value a certain percent each day so its not 100% freely floated
the problem is the US doesn't really has much say since we are a huge debtor to them and they are our cheap low cost producer
that said you are right about the latter part
china's economy is heading down the gutter too depend on us just as much as we depend on them
and a big trade war will likely break out before the end
well for a long time it was pegged to the USD
now its only allowed to increase in value a certain percent each day so its not 100% freely floated
the problem is the US doesn't really has much say since we are a huge debtor to them and they are our cheap low cost producer
that said you are right about the latter part
china's economy is heading down the gutter too depend on us just as much as we depend on them
and a big trade war will likely break out before the end
and history has shown pegging currencies eventually leads to doom for you country
a few economists can't micromanage economies and do all the right things the markets do a much better job....
much like the federal reserve setting interest rates and creating credit and such creates booms that eventually go bust.....
i expect to see a great deal of civil unrest in china before this whole thing is over
all those people who thought china could decouple from the US in that they could support themselves as we fell into recession
were dead wrong.....
a few economists can't micromanage economies and do all the right things the markets do a much better job....
much like the federal reserve setting interest rates and creating credit and such creates booms that eventually go bust.....
i expect to see a great deal of civil unrest in china before this whole thing is over
all those people who thought china could decouple from the US in that they could support themselves as we fell into recession
were dead wrong.....
Not as long as we're dependent on them to finance our consumption, and they're dependent on us to buy their junk. And the latter will end long before the former.
The one positive thing is that Obama's going to use the debt to rebuild the nation's infrastructure and technology base instead of giving tax breaks to millionaires. Our economy will still be a mess, and the dollar will still be practically worthless when it's all said and done. But at least we'll have something to show for it.
That is, if he's able to keep the pork hogs in Congress away from the stimulus $$$. A very dubious proposition.
whatever all this china new world power shit is nonsense
they got hoards of rural and UE people to deal with now that we heading for a depression
no country can ever be a big power without a strong middle class they very far from that day
lets just hope that the chinese government aren't successful in deflecting blame from themselves and pointing their fingers at the US to start a WW3
by the way the chinese buy the federal reserve evil type stuff alot more than americans do....which could be a dangerous thing long term as this depression evolves
-------------------------
Chinese buy into conspiracy theory
By Richard McGregor in Beijing
Published: September 25 2007 17:44 | Last updated: September 25 2007 17:44
The Battle of Waterloo. The deaths of six US presidents. The rise of Adolf Hitler. The deflation of the Japanese bubble economy, the 1997-98 Asian financial crisis and even environmental destruction in the developing world.
In a new Chinese best-seller, Currency Wars , these disparate events spanning two centuries have a single root cause: the control of money issuance through history by the Rothschild banking dynasty.
Even today, claims author Song Hongbing, the US Federal Reserve remains a puppet of private banks, which also ultimately owe their allegiance to the ubiquitous Rothschilds.
Such an over-arching conspiracy theory might matter as little as the many fetid tracts that can still be found in the west about the “gnomes of Zurich” and Wall Street’s manipulation of global finance.
But in China, which is in the midst of a lengthy debate about opening its financial system under US pressure, the book has become a surprise hit and is being read at senior levels of government and business.
“Some senior heads of companies have been asking me if this is all true,” says Ha Jiming, the chief economist of China International Capital Corp, the largest local investment bank.
The book also gives ammunition, however hay-wire, to many in China who argue that Beijing should resist pressure from the US and other countries to allow its currency, the renminbi, to appreciate.
The book’s publisher, a unit of the state-owned CITIC group, said Currency Wars had sold nearly 200,000 copies, with an estimated 400,000 extra pirated copies in circulation as well.
Mr Song, an information technology consultant and amateur historian who has lived in the US since 1994 and is now based in Washington, says his interest was sparked by trying to uncover what lay behind the Asian crisis in 1997.
After he began blogging some of his findings, his friends suggested he find a publisher for a longer work. He professes himself surprised by the book’s success.
“I never imagined it could be so hot and that top leaders would be reading it,” he says during a book tour in Shanghai. “People in China are nervous about what’s going on in financial markets but they don’t know how to handle the real dangers. This book gives them some ideas.”
The thing that most shocked him, he says, was his “discovery” that the Fed is a privately owned and run bank. “I just never imagined a central bank could be a private body,” he says.
The Fed does describe itself “as an unusual mixture of public and private elements”. While its seven governors are all appointed by the US president, private banks do hold shares in its 12 regional reserve banks.
But Mr Song ignores the government’s role and argues that the Fed’s key functions are ultimately controlled by five private banks, such as Citibank, all of which have maintained a “close relationship” with the Rothschilds.
Mr Song is defensive about his focus on the Rothschilds and what the book depicts as their Jewish clannishness.
“The Chinese people think that the Jews are smart and rich, so we should learn from them,” he says. “Even me, I think they are really smart, maybe the smartest people on earth.”
Jon Benjamin, chief executive of the Board of Deputies of British Jews, is not impressed. “The Chinese have the highest regard for what they see as Jewish intellectual and commercial acumen, with little or no concurrent culture of antisemitism. This claim, however, plays to the most discredited and outmoded canards surrounding Jews and their influence. That it should gain currency in the world’s most important emerging economy is a great concern.”
The book has been ridiculed in internet postings in China, for exaggerating the lingering influence of the Rothschilds and being a re-write of existing conspiracy theories in the west.
Mr Ha puts the book’s popularity down to the decade-long stagnation in Japan and the Asian financial crisis, which he says had a profound impact on many Chinese policymakers.
Such officials remain deeply suspicious of advice from western countries to open up the financial system and float the currency. “They think it is just a new way of looting developing countries,” Mr Ha says.
Mr Song himself has been commissioned to write a number of new books to capitalise on his success, on the yen, the euro and also on China’s financial system.
But in conversation, he sounds hesitant about the line his future tomes might take. “This book may be totally wrong, so before the next one, I have to make sure my understanding is right,” he says.
“Before this book, I was a nobody, so I could say anything I liked, but now the situation has changed.”
they got hoards of rural and UE people to deal with now that we heading for a depression
no country can ever be a big power without a strong middle class they very far from that day
lets just hope that the chinese government aren't successful in deflecting blame from themselves and pointing their fingers at the US to start a WW3
by the way the chinese buy the federal reserve evil type stuff alot more than americans do....which could be a dangerous thing long term as this depression evolves
-------------------------
Chinese buy into conspiracy theory
By Richard McGregor in Beijing
Published: September 25 2007 17:44 | Last updated: September 25 2007 17:44
The Battle of Waterloo. The deaths of six US presidents. The rise of Adolf Hitler. The deflation of the Japanese bubble economy, the 1997-98 Asian financial crisis and even environmental destruction in the developing world.
In a new Chinese best-seller, Currency Wars , these disparate events spanning two centuries have a single root cause: the control of money issuance through history by the Rothschild banking dynasty.
Even today, claims author Song Hongbing, the US Federal Reserve remains a puppet of private banks, which also ultimately owe their allegiance to the ubiquitous Rothschilds.
Such an over-arching conspiracy theory might matter as little as the many fetid tracts that can still be found in the west about the “gnomes of Zurich” and Wall Street’s manipulation of global finance.
But in China, which is in the midst of a lengthy debate about opening its financial system under US pressure, the book has become a surprise hit and is being read at senior levels of government and business.
“Some senior heads of companies have been asking me if this is all true,” says Ha Jiming, the chief economist of China International Capital Corp, the largest local investment bank.
The book also gives ammunition, however hay-wire, to many in China who argue that Beijing should resist pressure from the US and other countries to allow its currency, the renminbi, to appreciate.
The book’s publisher, a unit of the state-owned CITIC group, said Currency Wars had sold nearly 200,000 copies, with an estimated 400,000 extra pirated copies in circulation as well.
Mr Song, an information technology consultant and amateur historian who has lived in the US since 1994 and is now based in Washington, says his interest was sparked by trying to uncover what lay behind the Asian crisis in 1997.
After he began blogging some of his findings, his friends suggested he find a publisher for a longer work. He professes himself surprised by the book’s success.
“I never imagined it could be so hot and that top leaders would be reading it,” he says during a book tour in Shanghai. “People in China are nervous about what’s going on in financial markets but they don’t know how to handle the real dangers. This book gives them some ideas.”
The thing that most shocked him, he says, was his “discovery” that the Fed is a privately owned and run bank. “I just never imagined a central bank could be a private body,” he says.
The Fed does describe itself “as an unusual mixture of public and private elements”. While its seven governors are all appointed by the US president, private banks do hold shares in its 12 regional reserve banks.
But Mr Song ignores the government’s role and argues that the Fed’s key functions are ultimately controlled by five private banks, such as Citibank, all of which have maintained a “close relationship” with the Rothschilds.
Mr Song is defensive about his focus on the Rothschilds and what the book depicts as their Jewish clannishness.
“The Chinese people think that the Jews are smart and rich, so we should learn from them,” he says. “Even me, I think they are really smart, maybe the smartest people on earth.”
Jon Benjamin, chief executive of the Board of Deputies of British Jews, is not impressed. “The Chinese have the highest regard for what they see as Jewish intellectual and commercial acumen, with little or no concurrent culture of antisemitism. This claim, however, plays to the most discredited and outmoded canards surrounding Jews and their influence. That it should gain currency in the world’s most important emerging economy is a great concern.”
The book has been ridiculed in internet postings in China, for exaggerating the lingering influence of the Rothschilds and being a re-write of existing conspiracy theories in the west.
Mr Ha puts the book’s popularity down to the decade-long stagnation in Japan and the Asian financial crisis, which he says had a profound impact on many Chinese policymakers.
Such officials remain deeply suspicious of advice from western countries to open up the financial system and float the currency. “They think it is just a new way of looting developing countries,” Mr Ha says.
Mr Song himself has been commissioned to write a number of new books to capitalise on his success, on the yen, the euro and also on China’s financial system.
But in conversation, he sounds hesitant about the line his future tomes might take. “This book may be totally wrong, so before the next one, I have to make sure my understanding is right,” he says.
“Before this book, I was a nobody, so I could say anything I liked, but now the situation has changed.”
I was watching something the other day about finace and currency and they talked about China and America and they're relationship.
China keeps they're dollar low I guess by printing a lot of extra money and then produce low priced goods.
America buys they're goods because the US dollar is much higher and its cheaper to buy stuff from china than make it thereself in the US.
America cant afford to keep buying stuff while not producing stuff so China keeps lending the US money to they can keep buying cheap good from china.
If this keeps up America's debt keeps getting higher and higher till the interest is so high that theres not enough money to run the country because you pay the interest on debt to other countrys before you get your peice of the pie and when your piece of the pie gets so small your fucked.
China keeps they're dollar low I guess by printing a lot of extra money and then produce low priced goods.
America buys they're goods because the US dollar is much higher and its cheaper to buy stuff from china than make it thereself in the US.
America cant afford to keep buying stuff while not producing stuff so China keeps lending the US money to they can keep buying cheap good from china.
If this keeps up America's debt keeps getting higher and higher till the interest is so high that theres not enough money to run the country because you pay the interest on debt to other countrys before you get your peice of the pie and when your piece of the pie gets so small your fucked.
