#11
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Re: China threatens \'nuclear option\' of dollar sales
Well I don't think I implied that at all; what I said was in response to the characterization of China as a mercantilist "We'll bomb your economy" type, when in reality they are simply trying to defend themselves from being subject to trade sanctions.
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#12
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Re: China threatens \'nuclear option\' of dollar sales
Yeah, they'd devalue their holdings, but they aren't exactly worried about future streams of revenue right now (11.9% Q2 GDP growth!!!, diversified export growth). Remember also even if China can only get like 90 cents on the dollar for the T bills, the threat is more political than economic and the ensuing reality of a recession, maybe even depression is sure to stay Capitol Hill's hand right now. The economic MAD.
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#13
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Re: China threatens \'nuclear option\' of dollar sales
At some point China's internal market is going to mature. Then it wont need to exports so much to keep its economy going.
Then it can exercise this option at its leisure. |
#14
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Re: China threatens \'nuclear option\' of dollar sales
Does Trump's Law apply here at all (I'm terrible at economics): "If you owe the bank a million dollars and can't pay, you have a problem. If you owe the bank a billion dollars and can't pay, the bank has a problem."
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#15
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Re: China threatens \'nuclear option\' of dollar sales
[ QUOTE ]
At some point China's internal market is going to mature. Then it wont need to exports so much to keep its economy going. Then it can exercise this option at its leisure. [/ QUOTE ] Not necessarily true. Japan's economy is certainly mature and they are still heavily dependent on exports. The U.S. & China are going to be dysfunctionally co-dependent for the forseeable future. |
#16
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Re: China threatens \'nuclear option\' of dollar sales
[ QUOTE ]
[ QUOTE ] At some point China's internal market is going to mature. Then it wont need to exports so much to keep its economy going. Then it can exercise this option at its leisure. [/ QUOTE ] Not necessarily true. Japan's economy is certainly mature and they are still heavily dependent on exports. The U.S. & China are going to be dysfunctionally co-dependent for the forseeable future. [/ QUOTE ] Does Japan have an internal market of 1 billion people? 1 in every 6 people on earth are part of China's internal economy. China could have the largest economy in the world and never export a thing. |
#17
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Re: China threatens \'nuclear option\' of dollar sales
China won't do anything to slow economic growth. It is part of thier contract with thier people not ask for democracy.
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#18
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Re: China threatens \'nuclear option\' of dollar sales
[ QUOTE ]
[ QUOTE ] [ QUOTE ] At some point China's internal market is going to mature. Then it wont need to exports so much to keep its economy going. Then it can exercise this option at its leisure. [/ QUOTE ] Not necessarily true. Japan's economy is certainly mature and they are still heavily dependent on exports. The U.S. & China are going to be dysfunctionally co-dependent for the forseeable future. [/ QUOTE ] Does Japan have an internal market of 1 billion people? 1 in every 6 people on earth are part of China's internal economy. China could have the largest economy in the world and never export a thing. [/ QUOTE ] And why is it that they don't already, and if they lose the US market due to their own obstinance, what makes you think they wont return to the policies that put them so far behind to start with? |
#19
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Re: China threatens \'nuclear option\' of dollar sales
[ QUOTE ]
You can't play hardball against someone who's got you by the balls. [/ QUOTE ] QFT |
#20
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Re: China threatens \'nuclear option\' of dollar sales
Why am I reminded of this scene from Blazing Saddles?
No way the filter allows the dialgoue through on this one. |
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