Tuesday, March 24, 2009

Fwd: China Takes Aim at Dollar

china is the one developing nation which is overly worried about  imminent devaluation of usd, what with its 1.3 trillion dollars turning into worthless paper. for long, it flogged its citizens to sustain the extravagant lifestyles of americans. and when the american corporations have collapsed under their own weight, the impact of bankrupt americans is having a multiplier effect on the export-oriented chinese economy. the chinese govt cannot dump the dollars as it will trigger a financial meltdown and insane write-offs; it cant use the money to pump up its economy without risking hyper-inflation. the chinese are doomed long before the communist govt is. india is relatively insulated as the exposure to usd is minimum.
you can expect the cheap cronies in chennai, who only cost a few cents, to now call for a financial overhaul. after all, it is in china's best interests more than india's.

---------- Forwarded message ----------
From: Girish

 
China called for the creation of a new currency to eventually replace the dollar as the world's standard, proposing a sweeping overhaul of global finance that reflects developing nations' growing unhappiness with the U.S. role in the world economy.
 

1 comment:

Shankar said...

The unstoppable LiC waxes eloquent on why his Han masters were right in suppressing the Tibetans.

http://www.hindu.com/2009/03/28/stories/2009032854911000.htm

If Tibet needs 'Democratic reform' and 'Social Emanicipation', what about China? What are you smoking, Mr LiC?