One thing I can't figure out is regarding the Chinese currency manipulation. They are certainly manipulating their currency, and its putting us out of business because US companies can't compete with their prices. However, if the yuan were to get revalued at 30-40% more, wouldn't that also fuck us over. All the Chinese made goods would now cost that much more. Also, China then could really start purchasing raw materials, foreign land, commodities at a substantial discount to what they pay now. Here's my 2 bit prediction, China will in the next few years revalue their currency as we have been begging them to, but when they do, they will already have driven us out as competitors in just about every industry, then when we have no productive capability and are reliant on them for more than just cheap crap, then boom, prices will inflate dramatically in dollar terms and we are fucked. They will flip the switch on us, and before we know it, we are 3rd world and they are the new empire. They will soon take over all steel, the US is barely surviving in that industry now, they will take over solar, and they already own almost all the rare earth metals. They own trillion+ of our debt. They are buying up property all over US, South America, Africa and Asia, much of it agricultural land.
Right now, they may have over capacity and not enough demand domestically, which may cause a temporary slowdown in the near future, but that will be just a blip. We, on the other hand, can't get any growth unless its spurred by massive stimulus. Another one on the way in the next 6 months. They are kicking our ass. But now, they are big enough to take over sometime in the not so distant future as the next superpower.
I really hope that I'm completely wrong. Someone please point out my err in thinking and give me some hope for this country. Thank you.
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