If the chinese didn't buy notes from the US govenment, then they would be forced to buy something else.
They could invest that money in the US: Buying corporations or the debt of US corporations, or they could buy goods and services made in the USA. Note: They could also buy oil or some other commodity from someone else, but then that someone else has to do something with all those US$'s.
In otherwords: They are free to invest that capital anywhere they please. And that is in no way a bad thing for the USA.
Sorry if that confuses. The summary is: The trade deficit and our national debt are not a bad thing that is suddenly going to explode becuase of some action by the Chinese, Japanese or any other outside party.
Free trade is a wonderful thing. Those who don't partake are the only real losers.
Current Events » in reply to Can't get your post to make sense
re: Can't get your post to make sense
The whole thread (82 posts)
- Worst President Ever?
- You know I've gotten no work done since this thread started...
- Top Ten Reasons why Bush is the worst president
- Academics hate Bush. Film at 11:00 (n/t)
- Occam's Razor
- Anyone with a shred of humanity hates Bush. Guess who doesn't? (n/t)
- re: Academics hate Bush. Film at 11:00
- re: Historians have a good understanding of the past-it's their job
- Well, there was Tonkin and San Pablo.
- re: those who were responsible for 9/11 had no links with Iraq.
- re: those who were responsible for 9/11 had no links with Iraq.
- Trying to rate the present from a historical perspective is like trying to predict the future.
- In part
- By then we'll be bankrupt and China will have the power we once had (n/t)
- Used to hear all these exact same worries about Japan. (n/t)
- How do you figure?
- "Our economy is strong"
- They are holding a great deal of our govt debt.
- re: How do you figure?
- re: How do you figure?
- I agree with REB
- re: How do you figure?
- re: How do you figure?