China expresses "disgust" over U.S. debt deal

"Xinhua on Wednesday said the United States has a "runaway debt addiction" which has tarnished its credibility and remains as a ticking time bomb. It said Tuesday's debt deal had served only to make the fuse an inch longer"

Then for heavens sakes do the sensible thing -- stop putting your money into anything Yankee -- after all there so many other assets worth acquiring -- gold and other precious metals, stocking up on your grains and other food staples, currencies like the Swiss franc or even the yen if you simply must acquire forex. Or even investing more in your military and R&D to thwart Yankee designs on your country and resources .... go for anything but those Yankee instruments!

I have to admit - this is a funny article - like a man who eats at the same restaurant every day and complains about the food every day. If China is disgusted with american politicians, STOP buying american bonds and dollars. What to do with $ 3.5 trillion in reserves? How about: Improving your agricultural industry so you don't have to import food? or Buying African nations that have oil reserves and drilling for that oil yourselves? or Cleaning up the environment around your industrial areas? If you want to stick it to the usa, build and fly your own space shuttle or send Chinese astronauts to land on the moon. That statement that said China has no other alternatives was written by american politicians according to their typical brainwashing propaganda. Reserve a copy of my first book: "How to Stop Thinking like an American and Live a Better Life"

The feeling is mutual. I just hope US China trade stops, cold turkey, and we'll see who will be better off. Those disgraceful bastards became rich thanks to trade with US and thanks to industrial spying and intellectual theft. Starve them I say. Devalue the dollar and bring the industries back to the US. Last I checked US still has space for growth while China needs to continue the one child policy for another two millennia.

I haven't checked the figures recently, but when this whole mess began in 2008, the Chinese began reducing their purchases of U.S. bonds - and nobody noticed because Americans increased theirs at the same time. There are problems with all other options or they probably would have switched away more than they have. By buying up stocks of raw materials (something they've been doing) they drive up the price, threatening the global economy they depend on to buy their products. By investing in other currencies they put themselves at risk if those countries have economic problems and the currency falls in value. (And the Japanese don't sell much debt to foreigners.) By trying to increase local consumption by raising wages they their export industries and stoke inflation, already a big problem. Investing even more in their military not only makes their neighbors nervous and willing to turn to Washington for support (who's Vietnam's new BFF?) but also contributes to inflation, since producing goods that won't go to meeting consumer demand means less production of goods, food in particular, that can help keep inflation down.

The existing degree of mutual dependence is probably not a good thing, but ending it is going to take patience. The budget cuts over ten years already agreed to about equal China's bond holdings, meaning mutual independence may be in sight. Why are they complaining, then? Maybe they hope to increase the yield on the bonds they continue to buy? Luckily, the U.S. has the advantage of the example of Greece and the other EU countries that waited too late to get their finances in order. But in Greece, there is rioting in the streets over cutting spending, while in the U.S., there is practically rioting in Congress (by the Tea Partiers) over not cutting enough. And China, which promises its people more freedom when they're ready for it, should get used to the idea that democracy in action is not always an edifying spectacle.

This is my crude way of seeing it...

Anyone who earned a US dollar and does not spend it hurts American Economy because of the way its designed. If China has 2 trillion American dollars and they don't do anything with it they are hurting American Economy BAD.

Anyone who borrows a US dollar is indebted to help American Economy. If people stop borrowing from the US they also stop helping American Economy.

China seems to know what its doing...

I was looking at the charts and there are approximately 8 trillion dollars out-there... Sooo, there still 6 trillion dollars out-there to save the US... The US has a pretty good GDP compared to China so we are not doomed yet...

The feeling is mutual. I just hope US China trade stops, cold turkey, and we'll see who will be better off. Those disgraceful bastards became rich thanks to trade with US and thanks to industrial spying and intellectual theft. Starve them I say. Devalue the dollar and bring the industries back to the US. Last I checked US still has space for growth while China needs to continue the one child policy for another two millennia.

I haven't checked the figures recently, but when this whole mess began in 2008, the Chinese began reducing their purchases of U.S. bonds - and nobody noticed because Americans increased theirs at the same time. There are problems with all other options or they probably would have switched away more than they have. By buying up stocks of raw materials (something they've been doing) they drive up the price, threatening the global economy they depend on to buy their products. By investing in other currencies they put themselves at risk if those countries have economic problems and the currency falls in value. (And the Japanese don't sell much debt to foreigners.) By trying to increase local consumption by raising wages they their export industries and stoke inflation, already a big problem. Investing even more in their military not only makes their neighbors nervous and willing to turn to Washington for support (who's Vietnam's new BFF?) but also contributes to inflation, since producing goods that won't go to meeting consumer demand means less production of goods, food in particular, that can help keep inflation down.

The existing degree of mutual dependence is probably not a good thing, but ending it is going to take patience. The budget cuts over ten years already agreed to about equal China's bond holdings, meaning mutual independence may be in sight. Why are they complaining, then? Maybe they hope to increase the yield on the bonds they continue to buy? Luckily, the U.S. has the advantage of the example of Greece and the other EU countries that waited too late to get their finances in order. But in Greece, there is rioting in the streets over cutting spending, while in the U.S., there is practically rioting in Congress (by the Tea Partiers) over not cutting enough. And China, which promises its people more freedom when they're ready for it, should get used to the idea that democracy in action is not always an edifying spectacle.

"Xinhua on Wednesday said the United States has a "runaway debt addiction" which has tarnished its credibility and remains as a ticking time bomb. It said Tuesday's debt deal had served only to make the fuse an inch longer"

Then for heavens sakes do the sensible thing -- stop putting your money into anything Yankee -- after all there so many other assets worth acquiring -- gold and other precious metals, stocking up on your grains and other food staples, currencies like the Swiss franc or even the yen if you simply must acquire forex. Or even investing more in your military and R&D to thwart Yankee designs on your country and resources .... go for anything but those Yankee instruments!

I have to admit - this is a funny article - like a man who eats at the same restaurant every day and complains about the food every day. If China is disgusted with american politicians, STOP buying american bonds and dollars. What to do with $ 3.5 trillion in reserves? How about: Improving your agricultural industry so you don't have to import food? or Buying African nations that have oil reserves and drilling for that oil yourselves? or Cleaning up the environment around your industrial areas? If you want to stick it to the usa, build and fly your own space shuttle or send Chinese astronauts to land on the moon. That statement that said China has no other alternatives was written by american politicians according to their typical brainwashing propaganda. Reserve a copy of my first book: "How to Stop Thinking like an American and Live a Better Life"

This is my crude way of seeing it...

Anyone who earned a US dollar and does not spend it hurts American Economy because of the way its designed. If China has 2 trillion American dollars and they don't do anything with it they are hurting American Economy BAD.

Anyone who borrows a US dollar is indebted to help American Economy. If people stop borrowing from the US they also stop helping American Economy.

China seems to know what its doing...

I was looking at the charts and there are approximately 8 trillion dollars out-there... Sooo, there still 6 trillion dollars out-there to save the US... The US has a pretty good GDP compared to China so we are not doomed yet...