Does china depend on the US more or vice versa?

[ShyStar]

If China hasn't found it's feet entirely yet...it's going to happen very soon.

China is a dumping ground for everything (including work) other Countries don't want or aren't willing to pay for/actually do the work.

Holding this perspective I believe the U.S relies a lot on China to simply make their headaches disappear...oh you have containers full of 'e-waste' that your "innovative", have it both ways, Country won't deal with as 'China' (Hong Kong and others Countries) will, and you haven't come up with a way of dealing with it in a environmentally friendly manner.

China bailed out the U.S's...what? Recession?

Saying China just manufacturers things is highly ignorant. Look at their agriculture for instance. Simply look it up on Wikipedia...the opening line is

Agriculture is an important economic sector of China, employing over 300 million farmers. China ranks first in worldwide farm output, primarily producing rice, wheat, potatoes, sorghum, peanuts, tea, millet, barley, cotton, oilseed, pork, and fish.

If you think China depends on the U.S, well you may be partially correct for now, but as China pulls everything together they'll become self sufficient, and from there it's not far from exploiting other nations.

Forgive my honestly but overall America seems to have become lazy and cheap. You have all this cheap money (Was it the year 2000? 2001? When an Australian dollar was worth less than US 50c, today little over 10 years later the AU Dollar has sat above the US like every day for nearly a year and a half?

The thing someone said about Facebook needs to be put into context - China doesn't use the site...so it's really an overpriced bubble that will explode and affect only those involved...i.e. NOT CHINA.

America over the last few decades seem to have rested on their achievements of the past. Once the waves of dedicated, educated and work driven Chinese Students emerge from schools and universities speaking English America will barely be in the game anymore.

America still seems like a massive marketing/advertising bubble despite the fact workers have been stung with the GFC and Governments and greedy companies, fear/hatred of financial institutions...that they trust no one with their money and don't want to buy 'stuff'.

America needs to do like every individual concerned about money have been told...start minimizing their expenses (war) and resolving their debt.

Just think...if/when Israel and Iran go toe to toe and fuel prices go up...what is going to happen in America then?

America seriously needs to plan for the future. Yeah your heritage of rebelling from England, getting rich off slaves then 'freeing' them was neat...oh and you went to the moon 40 years ago...but it's time to grow up and get back to work.

Remember when the interest rates got cut so you could go out shopping? The opposite needs to occur, the purse strings need to be tightened with Americans told to get back to work...whatever that may be.

[ChargerCarl]

Originally Posted by ShyStar

Forgive my honestly but overall America seems to have become lazy and cheap. You have all this cheap money (Was it the year 2000? 2001? When an Australian dollar was worth less than US 50c, today little over 10 years later the AU Dollar has sat above the US like every day for nearly a year and a half?

If you're using exchange rates as an indicator of loose or tight monetary policy than you obviously don't know enough to be talking about such a complex topic.

Given the way you see things (higher exchange rate=better) you'd be claiming that China is the state with "cheap" money...

Remember when the interest rates got cut so you could go out shopping? The opposite needs to occur, the purse strings need to be tightened with Americans told to get back to work...whatever that may be.

China cut interest rates too in 2008 and are likely going to cut them again soon. Tightening the purse strings would have the opposite effect of what you claim. It reduces economic activity, it doesn't stimulate it.

Basically, freshen up on your basic macro economics. Since your're and ozzie, I recommend paying attention to John Quiggen.

[ShyStar]

Originally Posted by ChargerCarl

If you're using exchange rates as an indicator of loose or tight monetary policy than you obviously don't know enough to be talking about such a complex topic.

Given the way you see things (higher exchange rate=better) you'd be claiming that China is the state with "cheap" money...



China cut interest rates too in 2008 and are likely going to cut them again soon. Tightening the purse strings would have the opposite effect of what you claim. It reduces economic activity, it doesn't stimulate it.

Basically, freshen up on your basic macro economics. Since your're and ozzie, I recommend paying attention to John Quiggen.

I didn't say, nor imply that higher exchange rate = better, I simply used it to demonstrate how volatile the American dollar has become in as little as around 10 years. I based it on the Australian Dollar, do you think Australia has done much to compete with the American currency besides NOT insanely cutting interest rates and our 'resource boom'? The Australian Government even had it's own stimulus packages to pay for things people sort of wanted but weren't going to front the money for until the Government decided to give away money.

As for reducing 'economic activity'...perhaps, just maybe...that's what needs to happen! I might put words in your mouth and say you want to generate even more debt and misery by putting the World back into pre-2008 insane spending mode.

The advice to freshen up on bullshit 'macro economics' is laughable. Financial principles don't vary significantly enough to have more than one sort of economics. There's cheap money in China, worthless money in the U.S (go on argue) and 'unstable' money everywhere else because the business is left to Governments and individuals with their heads up their asses pretending they understand what mess they involved with.

I'd have to say if you are correct about China and their interest rate...that the game is over for America...as if that's truly what they are doing, or proposing to do...it's a debt trap for a new generation of wage slaves and the American workforce have more to worry about than what they have experienced over the last few years.

[Akagi]

Originally Posted by ChargerCarl

also, how the fuck is the dollar in trouble?

The dollar has been in trouble ever since we abandoned using actual money. Most the so-called money going around doesn't actually exist and never will. It's nothing more than floating credit that multiplies every time it gets sent to another bank. The actual cash in existence is but a tiny fraction of the money supply.

[Struwwelpeter]

China is much more dependent on the US.

[benny vader]

^thats just like saying eggs comes first before chicken.