http://www.manufacturethis.org/2008/05/07/another-one-of-those-china-apologists/ Just another WordPress weblog Mon, 13 Oct 2008 00:08:57 +0000 http://wordpress.org/?v=2.1.2 http://www.manufacturethis.org/2008/05/07/another-one-of-those-china-apologists/#comment-27375 Frank the sales forecaster Wed, 14 May 2008 16:06:15 +0000 http://www.manufacturethis.org/2008/05/07/another-one-of-those-china-apologists/#comment-27375 China's exchange rate manipulation distorts the marketplace's ability to charge more for energy to the user with the greatest demand increase. Floating exchange rates act to increase costs to the fastest growing while decreasing costs to the slowest growing. China would be paying more for oil and we would be paying less. By allowing the fastest growing economy to peg to us we pay part of the price increase created by their increased demand. What a deal. China’s exchange rate manipulation distorts the marketplace’s ability to charge more for energy to the user with the greatest demand increase. Floating exchange rates act to increase costs to the fastest growing while decreasing costs to the slowest growing. China would be paying more for oil and we would be paying less. By allowing the fastest growing economy to peg to us we pay part of the price increase created by their increased demand. What a deal.

]]>