what gives us the right... Options

[princess2113]

y does America try to control other countries...i mean we want them to be free...but like Japan, we dont let them have weapons...dont get me wrong i know its for our protection...it just seems like we alwayz get exactly what we want, and when we dont...there goes a war

[jarnifer]

China's fixed currency was meant to boost up its exports in hope of a long-term gain, I think, because they're cheaper goods to sell. But doesn't that mean that their currency can't appreciate therefore hurting their economy in the short-term?

EmeraldKnight: I think it's sort of like this: the exchange rates of the Euro and the dollar changes/fluctuate everyday (appreciate/depreciate). However, that doesn't seem like the case for China, who has a fixed exchange rate. So, their goods will still be cheaper/more affordable for other countries to import.

Correct me if I'm wrong, but isn't this suppose to hurt the economy? How come it's said that China is doing well? And tying this back to topic (almost), doesn't this hurt their trading partners' domestic industries (which, obviously, include the US)?

yes, china's fixed currency was meant to boost up its exports which means that it definitely hurts its trade partner's economy esp. the US

The lower Yuan makes Chinese exports to the United States less expensive, and conversely makes U.S. exports to China more expensive.

Therefore this means that more foreign investments are going into China...

here's some facts...

2003: China surpassed the United States as the world's largest recipient of FDI (foreign direct investment), and its bilateral trade surplus with the United States reached $117 billion in the 12 months up through August 2003.

so i guess that's one of the reasons why China's economy has become a significant force in the global economy...