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Strategies & Market Trends : China Warehouse- More Than Crockery -- Ignore unavailable to you. Want to Upgrade?

To: RealMuLan who wrote (1024)	10/15/2003 12:09:26 AM
From: RealMuLan	Read Replies (1) \| Respond to of 6370

JAY AMBROSE: China helps U.S. economy Scripps Howard News Service Published: October 14, 2003, 10:06:00 AM PDT (SH) - Yes, China ought to quit playing games with its currency and get out of the protectionist business, but the thought that China's imports constitute a threat to the U.S. economy is hokum. What those imports mainly do is make millions of Americans richer. How so? Well, analysts tell us, they keep prices down, and, when prices are low, people can buy what they need and walk away with more money in their pockets than if the prices are high. Not all economics is difficult, and this concept surely isn't. The politicians yelping about cracking down on those imports need to answer why they want to make Americans poorer. If they say the imports are costing jobs, we come to a more complicated concept, but just fractionally so. It's true that the trade with China or any other partner can cause some businesses to fail, but resources then are more likely to go into businesses that have a competitive advantage in international commerce. The net number of jobs actually increases. Try to freeze the economy, and you hurt far more people than if you permit a dynamism that can carry you to something like what we have today, an economy that in historic terms and relative to virtually any other land is truly a wonder to behold. China has become an issue of late because there is in fact a trade imbalance, and the U.S. economy has been a step or two slow. President Bush, who earlier had dispatched his treasury secretary to talk with the Chinese, will be meeting this week at an economic conference with the Chinese president, Hu Jintao. The barking you hear in the background? That's the members of Congress threatening to raise U.S. tariffs. It's certainly true that the United States would be better off if China were not being so laggard in the department of self-reform. More U.S. exports to China would help create more jobs here; China has pledged to become less protectionist, and it ought to follow through. But we would be worse off, not better off, if we disrupted the trade that now exists. The U.S. economy is beginning to pick up its speed right now, and the sort of thing that could slow us down is trade intervention. Jay Ambrose, the director of editorial policy for Scripps Howard Newspapers, can be reached at AmbroseJ@shns.com modbee.com

To: RealMuLan who wrote (1024)	10/21/2003 10:40:43 AM
From: GUSTAVE JAEGER	Read Replies (1) \| Respond to of 6370

Re: In the January-to-September period, exports rose 32.3 percent over a year earlier to $307.7 billion while imports were up 40.5 percent to $298.56 billion, the ministry said on its Web site at www.mofcom.gov.cn. [...] Though China runs a large trade surprlus with the U.S., its surplus with other countries -- particularly in Asia -- has all but evaporated as it imports material to fuel production. That's precisely the second stage of the US's double-barreled strategy in dealing with China: the first stage was all about China buying US Treasury bonds and financing US consumption. Hence the US's booming trade deficit... However, in the second stage, corporate America's gonna cash in on China's tremendous domestic market, recouping most of its trade imbalance with China! At that point, the US trade deficit with China is gonna vanish faster than an ice cube in the Death Valley.... When the renminbi will rise to RMB4.00 to USD1.00, corporate America's piggybacking onto the Chinese growth will erase the US trade deficit. Gus