Comments on: The USA/China Relationship: Obama’s Conflict of Interest

By: jturner

jturner — Thu, 30 Jul 2009 16:50:27 +0000

Given all the money printing the Fed has been doing, I am very surprised that the gold price is still well below $1,000, as explained here: http://www.bloomberg.com/apps/news?pid=20601116&sid=aA3eLD2EZ5CM

By: A. Scott Crawford

A. Scott Crawford — Thu, 30 Jul 2009 10:17:03 +0000

Jonathan,

Here’s a point/issue to consider:

The first is a consulting report from a couple years ago that caused a stir between EY and the Chinese state bankers (linked below).

http://www.stratfor.com/global_market_brief_ernst_young_controversy

Best,

By: Whitehall

Whitehall — Wed, 29 Jul 2009 18:23:56 +0000

Actually, the threat of the Fed printing money is a direct challenge to the Chinese. By doubling our money supply, the real value of the Chinese dollar holdings is cut in half. We have a de facto devaluation underway. The Chinese can reduce that devaluation by continuing to buy dollar bonds.

We’re partners. remember?

By: tdaxp

tdaxp — Wed, 29 Jul 2009 14:17:30 +0000

In response to David Foster, from a geostrategic perspective, cap-and-trade is a way of subsidizing European initiatives to develop independence from Gazprom. When Europeans say “global warming,” they mean “Russia” [1]

[1] http://www.tdaxp.com/archive/2009/02/06/when-european-governments-say-climate-change-they-mean-russia.html

By: tdaxp

tdaxp — Wed, 29 Jul 2009 14:16:16 +0000

As we both have leverage in this relationship, perhaps a better way of putting it is ways in which our policies will be harmonized.

* In Taiwan, both China and the USA strongly support the KMT against the DPP
* In North Korea, China has for the first time sanctioned individual North Koreans and seized shipments into North Korea
* In Afghanistan American soldiers die to protect the lives of Chinese mining engineers

&c.

* The only areas of current disharmony are Russia (which we view as a Central Asian state that is hostile to European allies, and China sees as a Central Asian raw-material provider), and
* the Indian Ocean, where we likewise have a need to harmonize our relationship with India

By: david foster

david foster — Wed, 29 Jul 2009 13:12:59 +0000

Cap-and-trade, without carbon-based tariffs on imported goods, would of course seriously cripple U.S. manufacturing. Cap-and-trade, *with* carbon-based tariffs, would quite likely be in violation of trade agreements that the U.S. has signed and might well set off a global trade war.

Also, Obama’s repeated assertion that “green jobs” cannot be offshored is nonsense. Most solar-cell manufacturing capacity, for instance, is outside the U.S., and there is nothing about wind turbines that requires them to be made here. The only aspect of “green jobs” that cannot be outsourced in the local installation/construction activity–and there is as true for a coal-fired or gas-fired plans as for a solar or wind plant.

By: Bill Waddell

Bill Waddell — Wed, 29 Jul 2009 03:55:10 +0000

Gee … do you think this might have something to do with Obana’s insistence that no import tariff be put on Chinese goods to offset the damage Cap and Trade will do to American manufacturing?