Pressuring China: F*ing Insane
Apr. 22nd, 2005 07:46 amLately I've been asking myself, why the hell are Bush and Congress pressuring China to float their currency? Aren't these guys financing our budget and trade deficits? Wouldn't this lead to a collapse of the dollar, a huge rise in interest rates, and a deep recession? Not being an economist, I decided I didn't know enough to say, and had to assume Our Leaders knew best. (Yes, I gave them the benefit of the doubt when it came to Iraqi WMD, too.)
Well it looks like a real economist, Nouriel Roubini, is asking the same question. He apparently thinks the administration is just being stupid (or, at best, are just posturing to head off protectionist sentiment). Once again, we're headed into a storm under the command of Captain Queeg.
Well it looks like a real economist, Nouriel Roubini, is asking the same question. He apparently thinks the administration is just being stupid (or, at best, are just posturing to head off protectionist sentiment). Once again, we're headed into a storm under the command of Captain Queeg.