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发表于 2010-6-21 11:47 AM
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USA problems do not have anything to do with the Chinese yuan. A valuable yuan will make life more expensive for Americans. Affording less of what Americans need is not a fix! China cannot fix the world's debt problem. Debt was the problem to begin with and american have more of it now. US dollar rally is real. 2008 was just the warm up in this deflationary crash. FED printed a trillion and inflation is nowhere to be seen! Do you know why? Let me explain. Our money supply is NOT printed dollars. It is bank credit. We printed 2 trillion dollars. But we borrowed 50 to 300 trillion over many decades. This debt becomes our money supply. And it needs to be paid back with interest! Because banks create money when we borrow. For that reason, credit, which is our money supply, can deflate。 |
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