An MMT site bringing you dogma-free economics without the pleadings of self interest
like I pointed out before - we are pegged to a Chinese fixed currency - for the cheap purchase of poisoned toys and tainted seafood.now china is making deals with argentina to circumvent using the dollar - so they can buy genetically modified soy from south america.krugman points out the dollar trap the chinese are in http://www.nytimes.com/2009/04/03/opinion/03krugman.html?_r=1i wonder if the fixed yuan is going to make them implode like argentina did when they fixed their peso 1 to 1 with the U$D ??
there are big differences between argentina and china - namely that argentina did not acculmulated any foreign based assets - much the opposite, but the chinese's safest investment the USD Tbill seems to be what they are trying to undermine ? look out for expanding and contracting Fed Reserves as their buffer against bank risks ???
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