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SamuelRSmith on 06 January 2011
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ultima said:
Jexy said:
ultima said:
Nirvana_Nut85 said:

Well you dont have to worry about China. The banking elites and powers that be will never let them become the main global super power.

LOL, all China has to do is ask the US to repay its debt to China; being second in line, China would be the new super power.


Everyone always says that, but outside of theory, it wouldn't actually work.  Their economy would collapse just as hard without us buying all of their products, which obviously we would stop importing if they decided to do that.

You think a broke US will start buying products that are 10 times the price just to get back at China? Every country in the world is reliant on China. Sure, everyone bitches about terrible pay, work environment, etc. for Chinese workers, but there's a reason noone takes any action. It's because they don't want to pay $800 for their PS3, $100 for their Apple headphones, $10 for dog toys.


China can only maintain its dominance over the export market through currency manipulation - and that's why they buy so much US debt (which they can't just "ask for", btw, it's under contract, it's paid back when the contract says it will be paid back), as that allows them to peg their currency against a dollar.

Not only is it contractually impossible for China to just ask for the money back, but it will also kill the top reason why everybody buys shit from China versus other countries.