This is the second time China has sought assurances that US is good for all the money China is lending. China's fears that US will allow inflation to erode the value of its Treasuries are reasonable.
If faith in the dollar and therefore the US Treasury falters, projects planned as part of the stimulus package may never happen.
My question is at what point being called into the "banker's office" (the banker being a metaphor for the anti-democratic country lending us money) about our spending will lead to a populist backlash. There's plenty of jingoists who are upset about people even speculating about the motives of anti-democratic countries. They're upset by their kids learning their languages. When will they come out and get all fired up about this lending arrangement, in which China keeps asking for assurances?
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment