Wednesday, September 29, 2010

This Will End Badly: House Voted To Penalize China (Trade War)

We're not sure what they hope to accomplish with this, but the House has voted 348-79 to penalize China for its practice of fixing the yuan to the dollar, at a level which foreign exchange experts in Congress believe to be too low.
WSJ:
The measure would allow, but not require, the U.S. to levy tariffs on countries that undervalue their currencies. The bipartisan support highlights lawmakers' long-simmering frustration with Chinese trade practices as well as their sensitivity to the faltering economic recovery with elections looming. It's the strongest trade measure aimed at China to make it through a body of Congress after more than a decade of legislative threats by U.S. lawmakers.
We doubt this will go anywhere in the Senate, which is gridlocked beyond all rhyme and reason, but the message is sent.
More Here

10 comments:

  1. i beleif we have no right to do this to others. it is aparant that ignorance is spreading like butter over pankakes. If you agree with heavy taxes thn your hateful mine as well go grab guns to shoot others who have less. Do I agree with spectation, uhh no way. hang on every body it will get hard.

    - Sam

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  2. Sam...you have no clue. China is the biggest offenderof free and fair trade in the world
    They impose steep tariffs and unfair trade practices, and now it's wrong to start doing what they have been doing? Additionally, China has lied and covered up it's safety regulations regarding all types of foods, animal products and building material...baby formulas ... on and on. This should have been done years ago.

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  3. And we...the US consumer get screwed again. The Washingtonian Geniuses passed bills to motivate Big Business to move to China so they took our jobs and products and left us holding nothing. China bought our debt and used our dollars to buy Tonnes of Gold at deflated prices...and now these idiots make sure we can't afford anything at Wal-Mart. Come on people...have you had enough yet?

    Mr. Smith-I need to go to Washing and kick some BUTT!

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  4. Man things getting interesting now, I bought gold at 870 now look where it is. Up over 1300 the investment guy I listen to was right, he called the stockmarket crash back in 2007 and has been spot on with things.

    Check out his video below. he is calling for higher prices. When the SHTF then what??. Many most the fat obese people in the US are so asleep. They aint got a chance.

    http://www.youtube.com/watch?v=-OSXpSGSz5M

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  5. America has been ideological champion of “free trade”,its manufacturing sector in the 50s and 60s did well. Then the American financial sector made great profits out of the de-industrialiation of America and from financial bubble creation bonuses .
    Its "patriotic" desire and hope is the “recovery’ of the “free Trade” Ponzi system not an industrial america.
    The only way it knows of making money witout actualy creating physical industrial wealth.
    After a couple of decades of advancing its young kings of casino capitalism to the top there is little institutional memory left of how to actually make money in an industrial America.
    Cheer squads of American working people for taffif protectionism hoping for higher wages in a de-industrialised services America are meaningless ,none of the major political parties in control will support that .
    Go and find some shoes to polish or lick in the services sector if you do not like food stamps Pay your bills like an honest Debt Peon and stop whining

    The Financial course already set is bailouts and money printing to pay for past losses.
    Capital rules O.K that’s the American system.




    The de-industrialized great Ponzi America already has protectionism for agriculture and
    Has used financial protectionism in the past to try and protect its dollar hegemony , for example by imposing the “Plaza accord” enforced yen-dollar ratio , currency manipulation on Japan.
    A deal that turned Japan from a vibrant export economy powerhouse into an economy only kept going by massive Keynesian spending . Now it is a debt ridden country slowly eating the accumulated savings value of its people to subsidize its export industries. All to protect the American inability to compete with Japan.
    See :

    http://en.wikipedia.org/wiki/Japanese_yen#Effect_of_the_Plaza_Accord
    Effect of the Plaza Accord on a financial puppet.

    “In 1985 a dramatic change began. Finance officials from major nations signed an agreement (the Plaza Accord) affirming that the dollar was overvalued (and, therefore, the yen undervalued). This agreement, and shifting supply and demand pressures in the markets, led to a rapid rise in the value of the yen. From its average of ¥239 per US$1 in 1985, the yen rose to a peak of ¥128 in 1988, virtually doubling its value relative to the dollar.”

    The US is now trying to work the same magic , by imposing a similar currency manipulation deal on China. to try and cheapen the price of the chineses products in Wal-Mart.
    but the the sahare of the profits from production are already cot to the cheap labor bone

    The first effect of that ,would be to devalue Chinas own national savings invested in US Treasury and Freddie and Fannie bonds.

    But ,China does not seem too happy about subsidizing an endless party for Americans like Japan . In fact they appear to be a bunch of party poopers.

    But the biggest and most costly protectionism of all that bankrupted America was military protectionism.

    Military keynesianism to prop up the military industrial complex and jobs for people engaging in costly resources wars .

    ReplyDelete
  6. son of sam is that you? 600

    also yea they built china bankrupted america
    now are guilty of treason!!!!

    now they figure this out what a joke.
    and yes americans are fat and happy

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  7. Those idiots now they figure it out about 30 years to late. Thats just what i want to do piss off the people we own a trillion dollars to

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  8. America will never manipulate the value of its currency just as long as they can afford to print trillion of dollars for bailouts and wars.And contol its money with interest free loans to its banks.
    Of course the dollar loses its value via inflation from money printing .
    But that has nothing to do with currency manipulation by honest Uncle Sam and the strong dollar.

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  9. You realize your webmaster needs to look at the article directly below: Caterpillar to Build More in China. Now, why is that?

    Let China and the Sam Walton family go XXXX themselves. Just think of Chinese lobbyist a444es that Mitch McConnell (R-Ky) and his Taiwanese wife Elaine Chao have kissed, all maybe for nothing.

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  10. Election year smokescreen, it will never get legs and the masses will continue to flock to Maomart for overpriced china crap.

    ReplyDelete

Everyone is encouraged to participate with civilized comments.