mrstickball on 04 February 2010
I think we can rightfully complain about the deflation of the Yuan.
China controls their currency more than any other. It is not tied to all currencies like the dollar, Euro, pound and others are. Because of that, it is undervalued by approximately 20-30%. That allows other counties to buy goods in China for less than they should cost, giving them an economic advantage.
So yes, I think that its fair for the US to complain about other currencies. Yes, we've had some advantages with the dollar being the de-facto reserve currency, but when others aren't playing fair while we are, its a problem.
Back from the dead, I'm afraid.
