china Options

[innovation]

how much of a "threat" is the newly powerful china? what policy should america develop toward the nation?

also...
can someone explain to me the implications of "revaluating" currency?
why do so many people want china to "revaluate" the yuan? thanks.

[sadolakced acid]

that's a risk that every investment has. build a factory anywhere and you have natrual disaster risks- just add in it being seized. If you can make up the cost of the factory within 3 or 4 years, it's a pretty justifiably risk.

[ComradeRed]

that's a risk that every investment has.  build a factory anywhere and you have natrual disaster risks- just add in it being seized.  If you can make up the cost of the factory within 3 or 4 years, it's a pretty justifiably risk.

The natural disaster risk is TINY compared to the risk of it being seized in a country with loose eminent domain laws

Also, for whoever said that Chinese goods are a better deal because of the value of the yuan, is only half true. If the yuan is revalued, Chinese goods will still be a better deal, but it will be because of the actual difference in the costs of production, not the valuation of the currency. It won't be as good of a deal, but it will still be a good deal.

[sadolakced acid]

The natural disaster risk is TINY compared to the risk of it being seized in a country with loose eminent domain laws

Also, for whoever said that Chinese goods are a better deal because of the value of the yuan, is only half true. If the yuan is revalued, Chinese goods will still be a better deal, but it will be because of the actual difference in the costs of production, not the valuation of the currency. It won't be as good of a deal, but it will still be a good deal.

much bigger risk, but companies are willing to take it, cus you save money on labor